Title: Internal and External Factors Affecting Human Resources | Bizfluent
Headings: Internal and External Factors Affecting Human Resources
Internal and External Factors Affecting Human Resources
External Factor: Available Labor Pool
External Factor: Government Regulations
Internal Factor: Level of Growth
Internal Factor: Use of Technology

Content: Internal and External Factors Affecting Human Resources | Bizfluent
Internal and External Factors Affecting Human Resources
By: Chris Joseph
Reviewed by: Jayne Thompson, LLB, LLM
Updated November 21, 2018
Share It
Share
Tweet
Post
Email
Print
Related
External Factors That Affect the Staffing Process in an Organization
Learn More →
Human resources departments play an important role in such areas as workforce planning, employee and labor relations, training and development and legal compliance within their organizations. Because it is not directly involved in the production of goods and service, HR may be seen as a separate function apart from the day-to-day operations of a business. Yet, an effective human resources department can make a real difference to the organization's success. An HR department typically encounters a number of internal and external factors as part of its function. External Factor: Available Labor Pool
Perhaps the main function of human resources departments is to maintain adequate staffing levels through workforce planning. One external factor that influences the ability to recruit qualified candidates is the labor market availability, which is affected by unemployment rates, number of qualified workers in the reasonable commuting distance and, in some cases, the availability of applicants with specialized skills such as nursing or technology. An organization might have difficulty identifying and attracting suitable candidates, especially if the same skill sets are in demand throughout the industry.