HR is pivotal to Human Capital Management

The role of HR is beginning to move from simply recruiting to being strategic players in an organization. Time was when an organization’s HR was concerned with a little deskwork and sending out information to employees on some occasions. In line with this change in their functions and expectations, there has been the change in thinking about what organizations want out of their personnel. People are now seen as the organization’s capital, and making the best out of them is what is called human capital management, or HCM.

HCM is about looking at people differently

The concept of human capital management has evolved with the understanding that people can be developed and trained to do much more than their routine tasks. As a result, many managements look at people as resources, rather than employees who carry out the work assigned to them. These resources, which form the key part of an organization’s human capital management, are considered extensions of the core of the organization.

Organizations don’t hire people merely as employees, but as transformers of the organization who have a stake in its growth and development. To bring this about, management has to look at people at a very different level and from a completely different perspective. This is what looking at them from a human capital management perspective is essentially about.

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