Human resources consist of skills, knowledge and aptitude available in countries population. From Organizational perspective Human resources consist of skills, knowledge and aptitude prevalent in the organization's work force. There are six M's of Management 1.Materials 2. Machines 3. Money 4. Market 5. Methods and 6. Men. Though each M of management has its own significance but the importance of Men or Human Resource is more than five other M's.
The reason for higher importance of human resource are many but the important point is the efficient utilization of materials, machines, money, market and methods depends upon the proper utilization of human resources. The other resources depreciate with time where as the human resource appreciates with time due to knowledge, skills gained as a result of experience. The management of Human resource is more challenging than other resources as human behavior is unpredictable. All managers whatever they may be managing need to get work done through and by people working below them and with them and hence they need to be good in Human Resource Management.
The challenges of Human Resource Management are:
1. Scientific selection, training and placement of human resource.
2. Career planning and progression.
3. Adequate Compensation
4. Objective performance evaluation.
5. Employee empowerment and participation.
6. Organizational Climate which fosters growth of employees and organization.
Today's organization are learning organizations where both management and employees have to be receptive to change and to take proactive steps to take advantage of opportunities presented by business environment and tackle threats present in the business environment. In such a scenario Human Resource Development and employee training gives a vital edge to the organization and enables it to face competition. Human Resource training and development must be considered as strategic function of management, for business to grow and prosper.