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These are seen as functions that can add value to the entire firm and help it derive competitive advantage over other firms.
HR is responsible for the provision and management of one of the most critical factors of production ? labor. It is in this role that HR can help bring in differentiation and help create greater value with the limited resources in hand.
However, this is not always the case. There are instances where some companies / industries are using the transactional functions to differentiate themselves. One example is the BPO / call center industry. The lack of retention and high levels of attrition are being countered by providing best-in-class transactional services...
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