Why is an HR Department Essential for Business Success?

If you walk into any business with an existing HR department and ask a random employee if they feel the need for the HR team, you might not be surprised by their answer—in most cases, it will be a strong NO.

However, if you ask a senior manager in the same organization the same question, you are likely to get a resounding YES. Why do these two perspectives differ so much within the same company?

The answer is simple: the role of HR professionals is often misunderstood by employees. Many view the HR team as company enforcers. If you dig a little deeper and ask the employees about the department’s productivity, they might spend the entire day explaining how they perceive the HR department as lazy—many would eliminate it if they had the power.

Where does this disconnect come from? Let me start by making a bold statement: the most important thing a business will ever do is hire the best talent. Without the right people in the right positions, the company will achieve mediocre results at best. In fact, what makes super successful companies thrive is their laser focus on hiring.

Of course, having the best workforce doesn’t stop at recruitment. If you’ve ever been employed or an employer, you know that the HR department takes care of new staff right from recruitment to when the employee exits the company. The HR department ensures that the new employee is on boarded successfully, ergonomically supported, and well equipped to effectively perform their responsibilities.

Once the employee settles into their new role, the HR department conducts performance appraisals and offers feedback to help the employee improve. The HR team also ensures that employees are well compensated, their health and safety are prioritized, conflicts are resolved, clear career paths are provided, and much more.

In short, the HR department, given the right environment, will quietly take care of the business’s most important asset—the employees. While doing so, their colleagues, who directly benefit from HR’s work, might feel like HR is just lazing around.

It's important to recognize that not all businesses, especially smaller ones, need a full HR team. Affordability is always a consideration. A company with fewer than twenty (20) employees may not require full-time HR professionals. In such cases, outsourcing HR services to a consultant or company is highly recommended.

This is where our company, Panaqia Ltd, comes in. If you are in business and want to transform your operations, we can manage the HR function, allowing you to focus on other critical areas like sales and marketing. Sir Richard Branson once said, “Take care of your employees and they will take care of your customers.” This statement holds true in reverse as well.

In conclusion, the HR department operates behind the scenes, quietly ensuring the success of the business. Their work might not always be visible, but it is indispensable. If you want to understand the true value of an HR team, talk to any senior manager in a serious business. They will show you how closely they work with HR to achieve their goals.

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