Human Resources (HR) management is crucial for the success of Small and Medium Enterprises (SMEs). Key HR considerations for SMEs include attracting and retaining talent, compliance with labor laws, employee benefits and rewards, and performance management and development. SMEs can improve HR management by implementing best practices and staying informed.
Strategic compensation is a long-term approach that aligns an organization's compensation practices with its overall business strategy, including attracting and retaining top talent, motivating employees, and achieving business goals. It involves designing a compensation plan that is competitive, fair, and sustainable, while also promoting employee engagement and productivity.
People may have a negative perception of Human Resources (HR) departments due to their role in enforcing company policies and procedures, as well as for their involvement in employee layoffs and terminations. HR is also often seen as bureaucratic and disconnected from the frontline workers.