In some companies the HR department advises top-level management; in others the HR department may make decisions regarding staffing, training, and compensation after top managers have decided relevant business issues.One way to think about the roles and responsibilities of HR departments is to consider HR as a business within the company with three product lines.Administrative Services and Transactions: Compensation, hiring,and staffing• Emphasis: Resource efficiencyand service qualityBusiness Partner Services:Developing effective HR systems and helpingimplement business plans,talent management• Emphasis: Knowing thebusiness and exercisinginfluence—problem solving,designing effective systems toensure needed competenciesStrategic Partner:Contributing to businessstrategy based onconsiderations of humancapital, business capabilities, readiness, and developingHR practices as strategicdifferentiators• Emphasis: Knowledge of HRand of the business,competition, the market,and business strategiesExplain this in simple words
Question
In some companies the HR department advises top-level management; in others the HR department may make decisions regarding staffing, training, and compensation after top managers have decided relevant business issues.One way to think about the roles and responsibilities of HR departments is to consider HR as a business within the company with three product lines.Administrative Services and Transactions: Compensation, hiring,and staffing• Emphasis: Resource efficiencyand service qualityBusiness Partner Services:Developing effective HR systems and helpingimplement business plans,talent management• Emphasis: Knowing thebusiness and exercisinginfluence—problem solving,designing effective systems toensure needed competenciesStrategic Partner:Contributing to businessstrategy based onconsiderations of humancapital, business capabilities, readiness, and developingHR practices as strategicdifferentiators• Emphasis: Knowledge of HRand of the business,competition, the market,and business strategiesExplain this in simple words
Solution
The text is describing the different roles that a Human Resources (HR) department can have within a company. It suggests that you can think of HR as its own business within the larger company, with three main areas of focus.
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Administrative Services and Transactions: This involves the basic, day-to-day tasks of HR like managing pay, hiring new employees, and organizing staff. The main goal here is to do these tasks efficiently and with high quality.
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Business Partner Services: In this role, HR works to develop effective HR systems and helps to put business plans into action. This could involve managing talent within the company. The emphasis here is on understanding the business and having influence within it, solving problems and designing systems to make sure the right skills are in place.
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Strategic Partner: Here, HR contributes to the overall business strategy. This involves considering the human element of the business, its capabilities, and readiness. It also involves developing HR practices that give the company a strategic advantage. The focus in this role is on understanding both HR and the business, the competition, the market, and business strategies.
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