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Objectives of Human Resource Management and Policies

Last updated:
1st Mar, 2024
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Objectives of Human Resource Management and Policies

Within companies, Human Resource Management (HRM) stands as a foundation, focusing on strategically guiding human resources toward achieving organizational objectives. It’s all about attracting, nurturing, and retaining talent while also ensuring the well-being of employees and aligning HR practices with the overall business strategy. As someone deeply involved in Human Resources Management, I know firsthand that setting clear objectives is key in this journey—it’s like having a roadmap that guides HR professionals in making decisions and planning strategically. These objectives ensure that HR initiatives are in sync with the broader organizational goals, fostering a unified and purpose-driven approach to managing our workforce. 

In this blog post, I’ll delve into the various functions and objectives of human resource management functions, such as recruitment, training and development, employee retention, compliance, and employee relations. Additionally, I will highlight the importance of HRM by emphasizing how it helps businesses effectively manage their people, nurture talent, and achieve organizational objectives. 

What is Human Resource Management?  

Human Resource Management (HRM) is a multifaceted process that involves nurturing, acquiring, motivating, and retaining a skilled and efficient workforce within an organization. Recruiting, inspiring, and retaining a talented workforce within a company. Fundamentally, HRM aims to facilitate the effective functioning of the organization by aligning the suitable candidates to the right positions to optimize their impact. 

To achieve these primary goals, HRM is involved in various activities, including recruitment, where suitable candidates are identified and hired, and training, where employees are equipped with the necessary skills and knowledge to excel in their roles. For example, it’s important for an IT engineer to have a degree such as a Master of Science in Computer Science from LJMU to acquire the right skills in this role. 

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Additionally, HRM plays a crucial role in maintaining employee morale by fostering a positive work environment offering support, recognition, and opportunities for career growth and development. 

Role of Human Resource Management?  

Human Resource Management (HRM) is involved in a comprehensive process aimed at nurturing, acquiring, motivating, and retaining a skilled workforce within an organization. At its core, HRM strives to ensure the smooth operation of the organization by assigning individuals to appropriate roles to optimize their potential contributions. 

To achieve these broad goals, HRM carries out various activities, including recruitment to identify and hire suitable candidates and training to equip employees with the necessary skills and knowledge for role success. Additionally, HRM plays a crucial role in fostering a positive work environment by providing support, recognition, and opportunities for career advancement, thereby enhancing employee morale. 

Through effective management of these aspects, HRM significantly contributes to the overall success of the organization, ensuring its competitiveness in today’s dynamic business landscape. 

Primary Objectives of Human Resource Management  

The main objectives of HRM are to guarantee a smooth experience for staff and stakeholders while achieving organizational objectives. These objectives are shaped by organizational goals and verticals, aiming to maintain a stable work environment through efficient operations and organized data management. Let us look at each of these objectives in detail: 

  • Organizational objectives 

The objectives of human resource management aim to align human resources with organizational goals, ensuring that business requirements and standards are met to enhance the profitability of the organization. 

Organizational objectives of HRM consist of various aspects of workforce management, including recruitment, onboarding, payroll management, and social engagement initiatives. Achieving these objectives necessitates efficient planning and execution by HR. An essential aspect of effective HRM is establishing clear parameters for goals, mission, and resource allocation. Once these parameters are defined, HRM objectives can be pursued more effectively. Additionally, there are further objectives that warrant exploration. 

  • Functional Objectives 

Functional objectives pertain to specific business functions, such as marketing, operations, HRM, and finance, aimed at supporting the achievement of corporate goals. 

In a well-established business, activities are typically categorized into various functional areas, including finance and administration, marketing and sales, production and operations, and human resource management. While each function requires specialized expertise, their activities are interconnected, and it’s essential to understand how they relate to one another. Despite their specialized focus, each functional area sets its own objectives, which should align with the overarching corporate objectives. 

  • Personal Objectives 

Personal objectives of HRM involve acquiring, developing, utilizing, and retaining skilled employees to enhance the organization’s effectiveness and efficiency. These goals can be accomplished when employees contribute to both organizational success and their own personal growth. To achieve these objectives, employees should receive comprehensive training and constructive feedback. For example, enrolling in Software development courses will help employees stay current with technological advancements and improve their proficiency in coding and programming languages. This approach not only enhances the company’s performance but also highlights key areas for the employee’s improvement. 

  • Societal Objectives 

Human Resource Management bears the responsibility of appropriately addressing legal, ethical, social, and environmental concerns within the organization. It is imperative for HRM to ensure that human resources are managed in accordance with official and compliant standards while also recognizing and fulfilling their needs and requirements. Furthermore, HRM should take into account societal ethics and uphold social responsibility as part of its duties. Additionally, HRM should strive to enhance the organization’s competitive advantage through social strategies, ethically contributing to address the evolving needs and challenges of society. Societal objectives also encompass legal matters such as equal opportunity and equal pay, which warrant careful consideration and attention. 

  • Team Integration 

One of the key roles and objectives of human resource management is to facilitate efficient team coordination. Seamless communication is essential for teams within an organization, and it falls on HR to ensure the availability of tools that facilitate smooth integration. 

Effective connectivity among team members is vital for maintaining productivity. To achieve successful human capital management, it’s imperative to explore improved integration portals that simplify data accessibility for all. Functional objectives of HRM, such as team integration, aim to streamline operations and tasks. Implementing the right tools, like a self-service portal, can bridge the gap between employees and HR professionals, fostering closer collaboration. 

  • Employee Empowerment 

Employee empowerment entails a management approach centered on granting employees autonomy to make independent decisions and take action as they deem appropriate. This stands in contrast to micromanagement, which stifles independent decision-making. Companies aiming to empower employees should undertake the following actions: 

  1. Regularly seek and act on employee feedback to give them a voice in decision-making processes.  
  2. Offer opportunities for employee growth, whether through increased autonomy, additional responsibilities, or new roles. 
  3. Frequently recognize employees to boost their engagement and confidence in their abilities.  
  4. Provide employees with the necessary tools, training, and authority to succeed including opportunities like the Full Stack Development Course by IIITBFull stack development course by IIITB. Establishing a supportive, empowered environment requires collaboration among company leaders, HR professionals, and fellow employees. 
  5. Building mutual trust, fostering a culture of risk-taking, and establishing clear expectations and guidelines are essential components. Without this collaborative effort, true employee empowerment cannot be achieved. 
  • Employee Retention 

Ensuring the development of leadership qualities, creating a positive work environment, and promoting employee retention are key objectives and responsibilities of HR managers. Maintaining high employee retention rates and motivation levels should be a primary focus for HRM. 

To effectively retain employees, the HR department must align the company’s functional objectives with the interests of both the organization and its workforce. This ensures that employees are engaged in achieving the company’s goals. In addition to the employee hiring, onboarding, and training processes, retaining employees for the long term presents a significant challenge for HR professionals. Attention to employee experience is crucial. Sustaining high retention rates contributes to maintaining a stable level of employee turnover. To achieve this, HR managers must seek out the best retention strategies for the business. 

  • Compliance and Data Management 

Functional and organizational objectives encompass managing company and employee data, as well as ensuring compliance with regulations. Payroll compliance management presents a significant challenge for HRM teams and managers, as even minor errors can result in substantial penalties and damage to the company’s reputation. 

When handling tasks related to employment and payroll, it is essential to adhere to laws and regulations to prevent any potential claims or disruptions in operations. 

Automated software, such as HRMS systems, plays a crucial role in achieving HRM objectives by minimizing errors and mitigating the risk of penalties from regulatory bodies like the IRS. It is the responsibility of HR to adhere to IRS guidelines and standards to ensure effective employment practices within the company and maintain compliance with legal requirements. By prioritizing legalities, HR can uphold the organization’s integrity and reputation. 

  • Positive and Health work Culture 

When it comes to effective HRM, prioritizing employee well-being and fostering a positive work environment are crucial factors. The workplace culture significantly influences HRM practices and ultimately impacts business performance. 

An HR manager must actively devise strategies to cultivate a conducive work culture. Leveraging automated processes such as leave approvals and reimbursement requests can streamline operations and contribute to a positive atmosphere. Moreover, facilitating quick operations and empowering employees can foster a sense of positivity in the workplace. Building and nurturing healthy and transparent relationships among team members and across teams is essential for setting a strong example of a work culture. 

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Implementing appropriate solutions like an employee management system can simplify HR tasks significantly. Simple measures like efficient onboarding processes can also contribute to creating a favorable perception of the workplace. 

  • Decision-Making Proficiency 

In HRM, decision-making involves strategic choices in managing human resources. It includes recruitment, training, performance management, compensation, employee relations, and legal compliance. Decisions revolve around sourcing talent, implementing training programs, evaluating performance, structuring compensation, resolving conflicts, and ensuring legal adherence. Effective decision-making in HRM demands analytical skills, knowledge of HR principles, and alignment with organizational objectives. It requires consideration of employee needs and broader organizational impact. 


In conclusion, the effective management of human resources is critical for businesses to achieve their objectives. Human Resource Management (HRM) serves as the backbone of organizational success, guiding how companies recruit, develop, and retain their employees. By establishing clear objectives within HRM, organizations can ensure that their human capital strategies are in sync with broader business goals. Aligning HRM objectives with business objectives is crucial. This alignment ensures that HR initiatives directly contribute to organizational success through increasing productivity, reducing turnover, or enhancing employee engagement. By addressing these critical components of HRM objectives, organizations can enhance their ability to attract top talent, retain valuable employees, develop a skilled workforce, and effectively manage performance. Ultimately, this holistic approach to HRM contributes to businesses’ overall success and sustainability in today’s dynamic and competitive landscape. 

Frequently Asked Questions (FAQs)

1What are the primary objectives of Human Resource Management (HRM)?

The primary objectives of Human Resource Management (HRM) include talent acquisition, employee development, performance management, fostering a positive work environment, and ensuring compliance with labor laws and regulations.

2What role do HR policies play in maintaining a positive workplace culture?

HR policies play a crucial role in maintaining a positive workplace culture by providing guidelines and expectations for employee behavior, promoting fairness and consistency in decision-making, and outlining procedures for addressing conflicts and grievances. They help establish a framework for creating a respectful, inclusive, and productive work environment.

3What are the common components of HR policies in organizations?

Common components of HR policies in organizations typically include recruitment and selection procedures, employee onboarding processes, performance evaluation criteria, disciplinary actions, leave and attendance policies, compensation and benefits guidelines, diversity and inclusion initiatives, and health and safety regulations. These policies serve as essential tools for managing human capital effectively and aligning organizational objectives with employee needs and expectations.

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