What is human resources? The role of human resources in businesses

Table Of Contents

Any large or small organization, business, and country needs a team of quality human resources to operate stably and flourish strongly in the market.

Human resources are one of the valuable assets of every business and country. Quality human resources will contribute to building competitive advantage and is a prime factor for the success of an organization. Let's explore what human resources is and how to effectively improve the quality of human resources through the information below.

1. What is human resources?

Human resources are all knowledge, skills, experience, capacity and creativity of people that are related to the development of each individual and the country.

Human resources are also considered an primary source of capital alongside other types of physical one such as monetary capital, technology, and natural resources.

In a broad sense, human resources are the source of labor for social production and manpower for development. Therefore, human resources will include the entire normally developed population.

In a narrow sense, human resources are society's labor capacity and resources for socio-economic development, including the working-age population capable of participating in productive labor (all individuals involved in the labor process, all of their physical and mental factors mobilized in that process).

Human resources are expressed through the following two aspects:

  • In terms of quantity: It is the total number of people of working age working according to state regulations and the labor time mobilized from them.
  • In terms of quality: Is the labor's health and professional level, knowledge, and skill level. Labor source is the total number of people of working age directly working or looking for work.

People are now a significant resource and a source of economic progress. As a result, human resource development has become a critical concern. Adequate human resource care and development will ensure the growth of every business and country.

What is the concept of human resources?

2. The importance of human resources

What is the important role of human resources? The critical role of human resources is expressed as follows:

For businesses


  • Help plan human resources for each department, put the right people into the right jobs, recruit, develop, and retain talent.
  •  Be a prime factor in helping businesses seize development opportunities and increase business performance and efficiency in an open economic era.
  •   Assists in directing human resources through employee behavior along with the employee leadership process and control of employee work activities.
  •  Act as a motivation for leaders to direct employees to learn and perfect the skills necessary for building structure and operating the organization.

For society

The role of human resources in society is as follows:

  •  Be the driving force behind the economic development of a business and country. Human resources can participate in labor and production, thereby creating value and enhancing economic development.
  •  People are the source of creativity and innovation. Individuals with knowledge, skills, and creativity will contribute to the development of industry, technology, and many other areas of society.
  •  Participate in social activities, helping to improve the quality of life.

  •  Education, training, and human skills development activities help each individual improve their qualifications and expand job opportunities.

  •  Play a crucial role in national security, including the military and law enforcement.


The important role of human resources

3. Indicators for evaluating the quality of human resources

What are the criteria for evaluating the quality of human resources? To improve the quality of human resources, managers and businesses can refer to and apply the following criteria:

The "health" situation of human resources

Attention should be paid to aspects related to the health of human resources, including workers' health status, average life expectancy, health classification, health indicators, and working capacity.

Academic standard

The academic standard has a direct impact on the overall quality of human resources and has a great influence on the economic and social development process. The high academic standard creates favorable conditions for human resources to handily absorb and apply scientific and technological advances in the work process and daily life.

Professional qualifications of human resources

The level of professional qualifications of human resources can be measured through the ratio of officials and employees with skills or College, University, or postgraduate degrees compared to the total number of human resources nationwide.

Human development index  (HDI)

To evaluate the quality of human resources, it is also necessary to consider the Human Development Index (HDI). The HDI index evaluates human development through three aspects, including knowledge, health, and income.

In addition, there are a number of other indicators related to the working environment of employees, such as cultural traditions, patriotism, national culture, customs and practices.

Criteria for evaluating the quality of human resources

4. How to improve the quality of human resources

How to improve the quality of human resources? To have a team of high-quality human resources, managers and businesses can apply some of the following measures:

Build business strategy closely linked to human resource development one

Many enterprises only focus on business strategy and ignore human resource development. This leads to a situation where human resources cannot meet the business’s needs.

To ensure sustainable development, businesses must develop appropriate human resource development strategies. To create a human resource plan that is suited to the overall aim, it is vital to link the business plan at each stage with specific targets.

Facilitate the enhancement of professional expertise for human resources

Besides conducting assessments, businesses must create favorable conditions for employees to continue learning and developing. It may be time and financial support and alternative work arrangements for employees to focus on the cultivating capacity process.

To choose the appropriate form of training for human resources, businesses need to consider factors such as object, specific goals, budget, training content, and trainers to ensure the quality of human resources is improved in the fastest and most effective way.

In addition, encourage employees to self-study, learn, and develop themselves through participating in online training courses and using documents on the internet. Businesses can improve the learning environment by pairing new employees with experienced employees so that they can learn as rapidly as possible.

Appreciate the right talent

Discovering, developing, and utilizing talent in the right way with the right position is crucial for promoting higher performance. It is also the foundation for businesses to grow sustainably and enhance their competitive position in the market compared to competitors in the same industry.

Foster talent

Businesses should integrate recruitment processes and competent employee training. Try to build a team of professional and talented staff in some specific departments or areas of the business. By effectively implementing measures to improve the quality of human resources, businesses will have a team of quality human resources that help meet set business goals and achieve expected results.

Choose a reputable recruitment unit

To effectively improve the quality of human resources and limit problems in human resource management, businesses need to focus on choosing reliable recruitment channels right from the beginning.

Navigos Search is currently Vietnam's leading professional and prestigious middle and senior-level human resource recruitment company. With over 20 years in talent search, Navigos Search has supported many businesses and corporations across Vietnam in finding the most potential and suitable candidates for the positions being recruited.

Navigos Search's strength is featuring a team of experienced recruitment experts and a wide network of operations. Based on an effective and professional recruitment process, our experts will accurately grasp the business's recruitment requirements to search, recommend, and bring candidates for management accounting or any other most suitable field.

Vietnam’s leading middle  and senior-level talent hunting company 

In addition, with 375,000+ senior candidates, 85,000+ senior management candidates, and search results always retained, Navigos Search is willing to meet the recruitment needs of middle and senior-level personnel for all organizations and businesses. With outstanding strengths, the opportunity to find talent for businesses will be high with the certain time.

Don't hesitate to contact us if your business needs to recruit a management accountant or any other middle or senior-level position. We always strive to maintain our position as Vietnam's leading talent-hunting service provider.

Hopefully, the above information has helped you understand what human resources is and how to effectively develop and improve the quality of human resources!

Navigos Search - Vietnam's leading middle and high-level talent hunting company

Registration Form For Subscribing To Latest Advices