Human resources is certainly an asset, but it's one of those "non-value added" activities that your business performs. Essentially, it becomes a liability if done poorly, but it is necessary in order to function properly in business.
Human resources adds some benefits which help employees be as productive as possible, which indirectly helps your business. HR handles employee benefits and even at times offers counseling and coaching. These tasks help engage and encourage employees, therefore making them more productive. Additionally, when there are difficult conversations that need to be had—such as a layoff or adverse action of some sort—the human resources department will guide the process, thus making it easier on the managers. This reduces managers' stress and workload, keeps them satisfied, and helps them focus and engage more on their job.
To decide whether or not human resources is a liability or an asset depends on your viewpoint. It is, in a sense, a non-value add process,...
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