Changing Role of HR and its Business Relevance

Abstract

The purpose of this paper is to investigate the role of the human resources (HR) department in connecting organizations to the business. Traditionally, the finance department in the organizations has is related to the money matters, whereas the HR department is not related to the money matters, even in case of giving of the training to the employees and subsequent organizational growth. This paper attempts to establish the link between the HR and finance (money matters). Finally, it has been observed that the role of HR has been limited to that of the administrative rather than the development of employees. The study is based on the qualitative research approach adopting direct/participant observation method when the researchers were part of their respective organizations. Semi- structured interviews were also conducted from the HR and the employees for in depth understanding of the HR processes and subsequently the role played by the HR and its impact on the performance of the employees. The data collection was carried out when the researchers were part of their respective organizations, where the role of a participant observer was involved. This is limited to the organizations and the HR interaction. However, the data collection through semi-structured interviews helped increase the depth of the data collection. The role of the HR in developing the employees has an impact on the employee satisfaction and motivation which results into increased organizational performance. The employees within such organizations achieve their career targets within the organizations. This was possible through research framework of TALENT, TRAINING and TASKS. At the heart of this framework is value fit/cultural fit.