Team Meeting

Human Resources Management

Human Resources are the most important assets in the organization. People can make significant impacts and with you busy focusing on the operations of your business, your are missing out the most important role which is managing your human resources.

What is Human Resources Management about? 

There are 4 sub-departments in the department of HR as detailed below. Each sub-department complements the other. The size of each sub-department differs from one organization to another based on factors like number of employees, roles diversity, level of jobs and the industry.


Organizational Structure

The organizational structure is designed to meet three main objectives:

1. Define the jobs and the responsibilities attached.

2. Clarify the level of authorization for each job.

3. Organizes the communication among employees in all departments.

There are many different kinds of organizational structures, but the most famous one in the Saudi market is 'Hierarchy'.

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To learn more about how to design an effective organizational structure contact us.

Policies and Procedures

The HR policies and procedures are the reference to both the employer and the employee to know their rights and their obligations. 

When an employee joins your company, they want to know their rights and how they can exhaust them for example, annual leave. 

Every organization has to have HR policies and procedures in place to help their employees focus on productivity rather than chasing after personal matters and wasting time and effort. 

HR Policies explain explicitly what employees can expect from the organization and what they are obliged to do.


A typical HR Policies and Procedures document includes (Culture, Attendance, Annual Leave, Sick Leave, Other Leave, Hiring, Dress Code, Promotions, Performance Management, Exit, Grievance, Business Trips, Gifts, Government Relations, Rewards, etc.)

A very brief example of an HR policy is: 

Annual leave policy; 

Every employee at Grade 14 and above deserves 30 annual-leave-day. Each employee coordinates his annual-leave with the department's manager. By 15th of January, all department are to submit their annual-leave schedule to the HR department for review and consideration. 

As per the Saudi Labor Law, every organization has to submit their HR Policies and Procedures to the Ministry of Human Resources and Social Development for their approval. Contact us to help you create your HR Policies and Procedures.

Compensation and Benefits

There are three compensation strategies an organization may follow; lead, lag, or meet the market. 

It is essential to understand the market and the industry your business is in. Compensation strategy aligns with the organization's objectives and culture. 

A good compensation system is designed to attract and retain good employees. 

There are many factors to consider when designing a pay-system (salary structure) such as: 

Labor Law and regulations, market benchmark, competition, cost of living, job analysis, internal equity, flexibility, and many others.

When you hear 'compensation' you probably think of wage only, but that is not all of it. Compensation policy includes other benefits such as medical insurance, overtime pay, emergency pay, bonus, commission, incentives (financial and non-financial), etc. 

As your business grows or changes, your compensation philosophy must be revised to make adjustments, if needed. 



Recruitment is the process of acquiring new employees to do a certain job in the organization.

Recruitment includes succession planning in addition to employee-retention planning. 

The seven steps of the recruitment process are: 

1. Identifying business needs.

2. Preparing job description.

3. Sourcing candidates.

4. Screening.

5. Interviewing.

6. Selecting.

7. Induction.

Employee Relations

The Employee Relations sub-department is responsible for all matters, personal and work related, related to the employee. All employee matters are to be defined and explained explicitly in the HR Policies and Procedures. 

Employee Relations is usually the front-line that deals with the employees. When an employee has a request or an issue, he/she first communicates with the Employee Relations and either it is solved there or the Employee Relations assign the issue to the concerned sub-department. 


Common employee matters managed by the Employee Relations include; leaves, wages, violations, attendance, travelling and business trips, hotel reservations, events coordination, government documentations, etc. 


There is a common misunderstanding in the Saudi market, which is that HR is Employee Relations. I believe by reading this far, you can see the difference clearly. 


If you have something to add or still confused, contact us and we will be happy to have a discussion with you.  


Learning and Development

Learning and Development is about studying and analyzing the current level of competencies of your employees and preparing a plan to provide them with the training they need to meet the job’s requirements.


Training your employees is of the important tools to boost their productivity and increase their loyalty to your facility. Many studies show that one of the major reasons an employee fails to do their job is lack of knowledge and experience which causes desperation and boredom to the employee and prevents them from doing their job as required.


Providing training for your employees doesn't improve their skills only but also generates positive energy that of course improves their productivity and loyalty.

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Performance Management

Learning and Development and Performance Management are related to each other. You hire an employee to do a certain job. To get the targeted results, you should have a performance management system in place. When an employee fails to do a job because of lack of knowledge or skills, then a learning and development plan gets in place to resolve the issue. 


​Performance management is one of the most important factors to increase the productivity of your facility which increases the profit.


Performance management reconciles the facility's objectives and the employees' objectives and that makes it easier for the top management to monitor the employees' productivity and analyze their strengths and weaknesses.


Many studies have proven that monitoring the performance of your employees and providing them with proper training boost their loyalty and decrease employee turnover rate. 


It is a human instinct that people like to be recognized for the good work, and it is healthy to the organization when bad performance is discussed and resolved promptly.

One key-factor here is clarity.

To know more about performance management contact us.