HR managers who have a
good understanding of their firm’s business can
help it achieve its strategies—whatever they may
be—through the effective utilization of people and
their talents. An organization’s success increasingly
depends on the knowledge, skills, and abilities of
its employees. To “compete through people,” organizations
have to do a good job of managing human
capital: the knowledge, skills, and capabilities that
have value to organizations. Managers must develop
strategies for identifying, recruiting, and hiring the
best talent available; developing these employees in
ways that are firm-specific; helping them to generate
new ideas and generalize them throughout the company;
encouraging information sharing; and rewarding
collaboration and teamwork among employees.