Aspects of Human Resource Administration in Business Development

Human resource administration involves several orderly aspects that ensure a company obtains and develops suitable employees. The four main aspects are recruitment, selection, training and performance appraisal.

Recruitment and selection

Recruitment is the process of attracting qualified candidates to apply for a vacancy. Its sources can be internal (promoting or transferring existing staff) or external (advertisements, employment agencies, online job portals). Selection is the process of choosing the best candidate from those who applied. Common selection tools include interviews, aptitude or ability tests, and reference checks.

Training

Training raises employees' knowledge and skills. On-the-job training takes place at the actual workplace (for example a new worker guided by an experienced colleague), while off-the-job training is held elsewhere (courses, workshops). New employees usually receive induction training to get to know the organisation.

Performance appraisal

Performance appraisal is the process of reviewing an employee's work achievement periodically. Its purpose is to make decisions on promotion and rewards, to identify training needs, and to give constructive feedback.

These four aspects complement one another. Careful recruitment and selection lower the risk of choosing an unsuitable candidate, while good training helps employees contribute quickly. Appraisal then closes the cycle by confirming whether goals are met and what further training is needed. If one aspect is neglected — for example hiring staff without enough training — productivity and morale suffer. The human resource manager must therefore handle each aspect systematically and continuously.