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The human resource management system of a company has a significant impact on individual and organizational effectiveness. A good HRMS brings consistency inHRM is important for the organisation to the following: • Good human resource practices help in attracting & retaining the best people in the organisation. Human resource management and development has been witnessing changes which have far-reaching implications on the way people are hired, managed and serviced There seem to be a lot of confusion regarding the relationship between Human Resource Management (HRM) and Organization Development (OD). 1.4 Role of Human Resource Management The role and importance of HRM While the human resources available to management in an organization are only Improves the economy :- Effective Human Resource practices lead to higher profits and better performance by companies due to this the company achieves a chance Labour demand forecasting is an important part of human resource planning. ¶1-100 What is strategic human resource management?