We’ve all heard about the Human Resources department at companies we’ve worked at in the past – and have probably at some point dealt with these individuals. In this day and age having someone heading up HR or having a department dedicated to HR is absolutely paramount. HR is important for a whole variety of reasons ranging from strategic planning to keeping employees happy and maintaining company image.

Today we’ll look at 10 reasons why HR is important within an organisation (here’s a great list of HR training courses also)

Strategic management

HR can fundamentally improve any companies bottom line simply with its knowledge of how human capital affects organisational success. Heads of HR often participate in extremely important business decisions which affect staffing and future workforce needs based on business demand. HR plays an integral role in ensuring every ounce of your employment process is seamless and covered.

Wages, salaries, contracts

A great HR specialist can organise payment schemes and realistic compensation schemes that will keep employees happy whilst ensuring the business flourishes financially. HR departments will keep their eye on industry salaries, relative position finances and what kind of money should be compensated for a myriad of job roles within an organisation – and this information is invaluable.

Health and Safety

Every employer on earth has the obligation to provide the companies employees with a safe working environment. Human resources will actively seek to ensure that it adheres to the latest in safety requirements that often within a given sector, log records and ensure that insurances are valid.

Minimalising liability issues

An efficient HR team will ensure the company is covered in the event of allegations of unfair employment practices. A human resources team will identify, investigate and resolve all work-related issues – that left unattended – could broil and escalate into a full-blown, expensive court case.

Ongoing training and development

HR specialists like HR Coach can coordinate new employee orientation – which is an essential step in forging a great employer-employee. Ensuring that your employees are fully trained in their respective area within your business can ensure maximum efficiency and output from any given employee, thus saving money and increasing employee satisfaction levels.


Normally, an HR department would orchestrate any recruitment drives or will seek to fill any vacancies within a particular area of your business. This will normally include sourcing good candidates, dealing with scheduling interviews and advertising new roles.

Employee satisfaction

One of the major (if not THE major) roles of an HR specialist or department is, of course, keeping the workplace happy. A good team will continually develop employee skills, engage with them to identify any potential issues and rectify them, conduct focus groups that include entire departments and garner a general consensus of how all employees feel about their current work situation.

Identifying issues such as the above can lead to a boost in morale which in turn will maximise employee efficiency and output. A happy worker = a profitable one!