It is safe to say that in the recent past, no other area of an organization has changed so much as human resource management. Till recently, companies and organizations had a department or division for personnel or labor relations or industrial relations. Its functions normally centered around ensuring smooth production and operations, discouraging strikes and labor activism, appraisal and compensation issues and complying with the government's rules and mandates.

There is a shift from controlling to managing these resources due to changes and improvements in industry and economy in addition to the realisation that employees are its most resourceful asset. It's the people not the capital, technology that is the most vital asset in any organisation. Since people are emotional, ever changing and susceptible to ups and downs and they need careful handling.

All sorts of tasks are encompassed by human resource management, such as effective recruiting of new staff, training of staff in order to enhance themselves and also be optimally productive for the organization, keeping morale up and encouraging people to achieve all they can. Other important areas include hrm and psychology, equal opportunity for women, minorities and physically challenged, compensation and benefits, and compliance with laws and government regulations.

In any organization's success a very important part is done by the human resource manager.His work is very difficult to do because he has to find the appropriately qualified candidate required by the organization having extra qualities such as good attitude and emotional balance.After that he has to perform hrm and psychology to make sure that all of them work in the same direction set by the organization and along with it they should not block individuality and creativity.

Some of the basic features that an effective human resource management possesses are a system to invite suggestions and complaints and to implement/address them quickly and effectively. A responsive appraisal system that includes provision of counseling to each employee in his or her career and personality development and a genuine feedback mechanism are other features of a good human resource management.

All organizations, whether they are a large corporation, a non-profit or a small business unit, has to take care of its people if it has to grow and prosper. It has to identify and nurture those who are high performers and groom them for leadership roles. At the same time, it has to identify and help average performers to improve themselves and their productivity. Without a well-developed human resource management, it cannot hope to achieve these objectives. It has to keep its people happy. After all, a happy person is a productive person essentially.

Human resource management has changed more than any other department in the recent past. The management of employees' emotional states requires a complex mixture of skills. HRM and psychology, along with other fields, allow organization to maximize their employees' production. The human resource manager plays a very important role in his company's success, and must possess a wide variety of features to ensure that problems are quickly noticed and addressed. Counseling, both personal and professional, is also important. Companies with strong management of their human resources are better able to achieve their goals.