After talking with many HR managers, I noticed that some of them struggle to clearly explain what HR really means. So, I decided to summarize the concept and importance of HR.
In companies, the department handling HR is called the HR team. This is also called the HR Department(人事部) in Japan and China.
The word "HR" in Korean(인사) comes from the characters for "person"(人) and "work"(事). It refers to both the people and their tasks. Therefore, the HR department manages people and their work.
In the West, this is called Human Resources. "Human" means people, and "Resources" means something to draw energy from to complete tasks.
Since work is energy, and energy is a resource, the concept of "HR" aligns well across Eastern and Western cultures.
The key point here is that HR is made up of two equal parts: "people" and "work." HR is not just about managing people; it's about managing both people and their work.
A company is a group of people who come together to work. It’s like having multiple “HRs” combined into one entity, and we call this a "company" or an "organization."
An organization has three key characteristics: it has structure, a system, and a culture.
HR manages these three characteristics in organizations:
Structure: HR builds organizational structures and assigns people to roles. It manages jobs, ranks, promotions, restructuring, and transfers.
System: HR sets up systems so the structure works effectively, like meetings, processes, policies, evaluations, compensation, and training.
Culture: HR helps build a healthy culture so the business can continue long-term by sharing values, strengthening communication, and fostering collaboration.
These days, HR departments are sometimes called "People Teams," putting more focus on the “people” aspect. But maybe that’s because we’re exhausted from too much emphasis on work.
When there’s too much focus on work, it can lead to overwork and harassment. However, without work, the company has no purpose. So, managing people and work requires balance because they’re inseparable (even eating can be considered work!).
HR is about both respecting people and ensuring the company’s survival. The balance between being "human-centered" and "performance-centered" is essential but challenging to achieve.
Have you heard of quantum mechanics? The electron has conflicting properties of both waves and particles, a concept that’s hard to grasp but foundational to the world. HR is like quantum mechanics: complex but essential to how companies function.
This is why people say, “HR is everything.”
