The administration is linked to performance and operation of the organizations. The term originates from the Latin language: ad-ministrare (“serve”) or ad manus trahere (“handle” or “manage”). A resource, on the other hand, is a means of any kind that contributes to achieving what is intended.
According to Digopaul, the administration of resources, therefore, consists in the efficient management of these means, which can be both tangible and intangible. The objective of the administration of resources is that they allow the satisfaction of interests.
The people, the money, the technology and even the weather can be considered, depending on the context, as resources that can be managed. The correct assignment of functions of each of these resources will help to make the operation of a set more efficient.
Within any company when it comes to resource management, people are talking about the correct management, use and development of four types of resources in a fundamental way:
Financial. By referring to them, we are mentioning all the monetary resources that are fundamental for the development of the company in question. These can be of two kinds: their own, such as cash and stocks; or others, such as bonds, credits granted by banks or various types of loans.
Materials. Under this umbrella are included all those tangible assets that the entity owns and which are those that allow it to provide the services it performs. Starting from this meaning we would find two clearly defined groups of resources: those related to facilities (offices, factories, tools…) and raw materials, whose name would also include products already made.
Technicians. In this case, it is the resources that are essential to be able to coordinate and manage other types of resources. In this way, we would find elements such as trademarks and patents, production systems, sales mechanisms …
Humans. When managing this type of resources, which are the set of employees of a company, the people in charge of this task are essential to take into account many aspects related to those such as skills, ideas, knowledge, needs, development, feelings, experience, burdens…
Managing human resources is one of the most important areas of a company. It is responsible for choosing, hiring, training and retaining the employees of an organization.
The function of human resources management (which may be left to a person or a department) is to motivate workers to perform to the best of their abilities and to make the group of employees work as a block in pursuit of Corporate goals.
Leadership, internal communication, teamwork and negotiation skills are some of the factors that human resource management must address.
It is important to note that resources are finite and have to serve virtually infinite needs. Resource management is therefore key to success.