Monday, August 29, 2011

The Problems With HR

By Conor Kindel


When a business is having financial problems and needs to cut costs, one of the departments that will be hit first is the HR department. The reasons for this is because this one of the departments that does not directly generate any income although it is central to the organisation. However, if a company needs to rely on direct sales to generate its income, it is inevitable that it will do its utmost to hang on to sales staff. Unfortunately, those in the HR department as well as other non income generating departments will not have the same job security.

This is not a good approach for a company to take but unfortunately it is all too common. The HR department cannot compete against a sales department because it does not have the same capability of getting a company back on its feet by getting new customers or generating more orders from existing customers. However, the sales department can come up with all sorts of special offers and promotions to create more income for the business.

However the same is not true for the HR department and they just can't compete. They know where savings need to be made within the company but they have no way of contributing to these savings. However, a good HR department would arrange to make sure that it gets a working knowledge of every other department within the organisation. That way the HR staff could come up with certain solutions to problems faced by other departments and then they would be seen as having an input into getting the company back on its feet. At least this is one way to stop the rest of the company seeing them as the department that doesn't contribute to profitability.

A good company will realise that all departments are important and that they all play a role in the success of the business. Once an entire organisation is working together the business will thrive and all staff will be more sure of the security of their jobs.

When all departments in a company learn about what makes each other tick, they can work together and help each other out when problems appear. This means that all departments will be able to prove how valuable they are. It is very important for a company to value all employees and to ensure that those employees know that they are appreciated for their contribution to the business even if they do not work in a department that directly generates income.




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