Human Resources Management

Human Resources are an essential element of any business. The primary goal of human resources management is to match the best resources to the needs in the company.

Exempt and Non-Exempt Employees

Exempt Employees

The Federal Labor Standards Act of 1938 sets the standards as it relates to Exempt and Non-Exempt employees and their associated compensation and work standards. The Labor Standards Act is located in Chapter 20 Section 201 of the Federal Code. This Act is applicable to those small business operations with more than $500,000 of annual revenues and who participate in interstate commerce.

The Key Man

Key Man

One of the most misunderstood principles of business deals with the one or few individuals in a small business operation who are critical to operations. This individual is referred to as the Key Man. The best example is that of the primary wage earner in the family unit. 

The Different Forms of Compensation

The Different Forms of Compensation

There are two different forms of compensation provided to employees; direct and indirect. Direct forms of compensation have a multitude of types or methods, from salaries to bonuses. Indirect compensation is primarily the various types of benefits and long term incentives. This article is an introduction to the terminology of compensation.

One of the forms of compensation is direct remuneration for services rendered by the employee.  The term used for this is wages.  It consists of four different groups of payment from the employer to the employee.  They are salary, hourly, commission and bonus types of wages.

Develop a Position Profile

Position Profile

The primary goal of the Human Resources Department is to match the best person to the job in the company. This maximizes both effectiveness and efficiency for the company. In order to achieve the best matching of resources to the positions in the company, the human resources director should develop a position profile. This profile identifies the job title, describes the job in detail, pinpoints the best hours of work, defines the duties, and sets out the skills needed to perform the job.

Gain an Understanding of the Work Environment

Work Environment

One of the top three purposes of any business operation is to provide security to employees. This consists of financial reward, generating self-worth and creating an environment of maximum productivity. Every industry is hampered by outside forces that places restrictions or dampens the spirit of the employees. Before developing a policies and procedures manual, gain an understanding of the work environment.