Having clear processes in place for human resources is essential for organizations to operate efficiently. Formal processes should be in place that outline how the company will handle human resources functions and how to go about them. Building these processes lets the employer create human resources goals that align with company goals. It also does the important work of establishing a standard for acceptable practice and creating consistency for routine tasks.
A major part of human resources is documenting and keeping records of all things related to employees. Anything that happens with health and safety, compensation and benefits, recruitment, training and development, employee relations, strategy, and so on must be tracked. There is legislation that applies to many of these areas. The legislation dictates how and what needs to be recorded for employers to remain compliant. Having a history of this information readily available is necessary for organizations to not only follow the law but also make better informed decisions. Documentation is necessary to support HR functions, and having accurate records will prove to be a reliable source of knowledge.