The Human Resource (HR) department manages the efficiency of people working in operations and marketing departments. Proper recruitment, training and deployment are the key factors contributing to the success of the HR department of any bank. Building competence in the banking industry is largely dependent on the best selection process adopted by the HR department.
"It has become almost a truism in management that the human resource is, of all economic resources, the one least efficiently used and the greatest opportunity for improved economic performance lies in the improvement of the effectiveness of people in their work. Therefore, the management of human resources is the basic function of management".
Human resource is one of the natural resources of any country's economy. It is the wealth of the country. In the context of banking, human resource is of greater importance. The deployment of human resource through proper and efficient selection, training and development, is called Human Resource Management. India being a country with a large population has a vast potential in its human resource. In the present scenario of globalization and liberalization of the economy, there is an urgent necessity for efficient management of the human resources, particularly in the banking industry. This has gained significance in view of the industry's persistent endeavor to achieve efficient control over the administration and exercise good corporate governance. The success of any bank largely depends on efficient human resource management, apart from operations, marketing and sales. The HR department manages all the efficient people working in operations and marketing divisions in any organization.