Human Resource Management: People, innovation and knowledge workers
The core feature of any business is the delivery of a product or service by the transformation of resources.
Businesses differentiate themselves from the competition by the processing of those resources to deliver useful output. Of the many kinds of resources used by companies, there are three that are most important: money, material, and people.
Human Resources Management: People
The management of people, or more specifically “human resources”, is the most dynamic and sensitive resource an organization has. It’s also where a business can find more areas of growth and efficiency.
The purpose of human resources management is to extract value from their staff. They keep employees productive by motivation, measuring performance, and providing support. Through effective management, they are able to help the business grow and earn profitable returns.
Human Resources Management: Innovation
Today 80% of revenues are brought into a company by products that were invented in the last 4 years. Innovation is changing the market dynamic – it makes and breaks monopolies, and beats out the competition.
But bringing transformative change to the organization and marketplace depends entirely on the people behind it. It depends on their skills, knowledge and creative thinking which are all inherent abilities that can be optimized by management.
Human Resources Management: Knowledge workers
In the last decade, there has been a major shift from traditional hand-work to knowledge-work. People are using their hands less, and accomplishing more with their brains alone.
Organizations recognizing this trend are hiring individuals who can think creatively and independently. Possession of this talent is not enough as HR managers must sustain it through support and provision of facilities.
Google is a great example of where a company supports and values knowledge work. Employees are given flexible work times, open office layout, stimulative environment, and plenty of good food to keep their brains stress-free and productive.