Organizations are made up of people and functions through people. Without people organizations cannot exist. Among various factors of production like money, materials, men, and machines in an organization, men or human resource is considered as the most important and creative factor in production. Men are the resources which provide utility value to all other resources, and the focus of HRM revolves around men . . Man is the most valuable resource which appreciates with time if a right environment is a given to him and hence is termed as “human resource”.
The main aim of HRM is to assist the employees in achieving the desired organizational goals. If it fails to do so , its existence will come to an end.HRM not only focuses on the organizational, but it equally tries to explore and develop the capabilities of the employee by training and development, it aims to maximize employees as well as organizational effectiveness. It focuses on maintaining the effective reward system to motivate the employee to improve the efficiency of the employee. The duty of HRM is to make organization a pleasant place for employees. This is important as organizational performance cannot be enhanced without improving the quality of work life. It updates the employee with internal policies, feedback of customer.
Now let us talk about importance of HRM at different levels of life
A. CORPORATE LEVEL: enterprise requires their work to be done effectively and efficiently hence it requires HRM focuses on hiring skilled person and enriching them by developing and improving important skills and correcting their attitude by proper training. It also help in making optimum use of existing human resource. It help in gaining voluntary co-operation from the employee.
B. PROFESSIONAL LEVEL: HRM ensures good quality of life by building esprit de corps in employees by giving them congenial working atmosphere it creates the opportunities for the employees and ensures the healthy relationship among the team members .
C. SOCIAL LEVEL: HRM plays important role in the society . It enables employees to live with dignity by providing them employment which gives mental, and social satisfaction . It maintains equilibrium between the jobs opening and applicants.
D. NATIONAL LEVEL : HRM helps in development of a country by improving its economic growth by increasing living standards and employment. It ensures that human resource of the country are skilled.