10 Best HR Administration Practices That Will Keep Your HR Strategy Up-to-date

By OrangeHRM | Published on 2 nov. 2023 | minute read

HR administration is at the heart of managing an organization's most valuable asset - its people. It's not just about hiring and firing; it's about creating a thriving and efficient workforce. 

What is HR Administration?

HR administration encompasses a wide range of activities that ensure an organization's human resources are effectively managed. It includes functions such as recruitment, onboarding, benefits administration, payroll processing, compliance, and more. Effective HR administration ensures that the workforce is motivated, compliant, and aligned with the company's goals and values.

Why Should It Matter To Organizations?

Effective HR administration is not just an option; it's a necessity for organizations looking to thrive in the modern business landscape. Let's delve into some key reasons why HR administration matters to organizations.

Boosted Productivity and Performance

Effective HR administration plays a pivotal role in maximizing employee productivity and performance. When HR practices are aligned with organizational goals, employees are more likely to be motivated, engaged, and efficient in their roles. This, in turn, leads to increased productivity, which is crucial for an organization's growth and success.

Compliance and Risk Management

In a constantly evolving legal landscape, HR administration helps organizations stay compliant with labor laws and regulations. It reduces the risk of costly legal disputes, fines, and reputational damage that can result from non-compliance. Organizations that prioritize compliance are better positioned for long-term success and stability.

Talent Acquisition and Retention

Good HR administration practices make an organization an attractive destination for top talent. A well-structured HR department can streamline recruitment, ensuring that the right people are hired for the right positions. Additionally, it plays a significant role in retaining valuable employees by creating an environment where they feel valued and satisfied.

Employee Satisfaction and Engagement

A positive HR administration approach enhances employee satisfaction and engagement. When employees feel that their well-being, development, and feedback are prioritized, they are more likely to be loyal, committed, and motivated. This results in a happier and more productive workforce.

Strategic Decision-Making

Data-driven insights derived from HR administration practices are instrumental in making strategic decisions. By analyzing HR metrics, organizations can identify trends, anticipate future needs, and align HR strategies with broader business objectives. This leads to more informed and effective decision-making.


Efficient HR administration practices reduce operational costs. Streamlining processes, automating routine tasks, and optimizing resource allocation all contribute to cost savings. These resources can then be reinvested in strategic initiatives that drive growth.

Employee Well-being and Health

HR administration can have a significant impact on employee health and well-being. By offering benefits like healthcare, wellness programs, and work-life balance initiatives, organizations demonstrate their commitment to their employees' physical and mental health. Healthy and satisfied employees are more likely to be productive and less prone to absenteeism.

Employee Development and Training

HR administration practices that prioritize employee training and development contribute to a more skilled and adaptable workforce. This is vital in today's rapidly changing business landscape, where ongoing learning and development are key to remaining competitive.

Enhanced Organizational Culture

A strong HR administration approach can help shape and promote a positive organizational culture. By emphasizing values, diversity, inclusion, and employee well-being, HR can foster a workplace where individuals feel connected to the company's mission and values.

The Difference Between HR and HR Administration

In human resources, two key functions often share the spotlight: HR and HR administration. While these terms may seem interchangeable, they serve distinct roles within an organization.

HR (Human Resources)

Human Resources, often called HR, is a broader function encompassing various aspects of managing an organization's workforce. HR is more strategic and people-centric, focusing on the following key responsibilities:

  • Talent Acquisition: HR professionals are responsible for sourcing, recruiting, and hiring new employees. They develop recruitment strategies, conduct interviews, and evaluate candidates to find the best fit for the organization.
  • Employee Development: HR plays a critical role in developing employees' skills and competencies. This includes training, career development, performance management, and succession planning.
  • Employee Relations: HR professionals address employee concerns, conflicts, and grievances. They foster a positive work environment, handle disciplinary actions, and promote employee well-being.
  • Compensation and Benefits: HR manages employee compensation, including salary structures and benefits packages. They ensure that compensation is competitive and aligned with the organization's goals.
  • Organizational Culture and Diversity: HR is instrumental in shaping the organization's culture, values, and diversity and inclusion initiatives. They work to create a positive and inclusive workplace environment.

HR Administration

HR administration, on the other hand, is a subcomponent of HR that focuses on the operational and administrative tasks associated with managing the workforce. It includes the following responsibilities:

  • Record Keeping: HR administration is responsible for maintaining accurate and up-to-date employee records. This includes documentation of personal information, employment contracts, and performance evaluations.
  • Payroll and Benefits Administration: HR administrators oversee payroll processing, ensuring employees are paid accurately and on time. They also manage employee benefits, such as healthcare, retirement plans, and leave policies.
  • Compliance and Legal Documentation: HR administration ensures that the organization complies with labor laws and regulations. They maintain records related to legal requirements, including tax forms and workplace safety documentation.
  • Documentation and Reporting: HR administrators are responsible for creating and maintaining HR policies and procedures manuals. They also generate reports on HR metrics, such as turnover rates and attendance records.

Key Differences

  • Focus: HR is more focused on people management, talent development, and creating a positive work culture, while HR administration is centered on the operational and administrative tasks that support HR functions.
  • Responsibilities: HR handles strategic initiatives like talent acquisition, training, and employee relations, whereas HR administration deals with record-keeping, compliance, and payroll.
  • Approach: HR is strategic, while HR administration is tactical and operational.

10 Best Practices to Keep Your Processes Up-to-Date

HR administration is the backbone of any organization, ensuring that the workforce operates smoothly and efficiently. To stay relevant and effective, organizations need to continuously evolve their HR administration practices. Here are ten best practices that can help organizations keep their HR administration up-to-date, complete with detailed explanations:



Regular Compliance Audits

Conduct routine audits to review and update HR administration practices to align with changing labor laws and regulations. Staying compliant helps avoid legal risks and ensures that employees' rights are protected.

Automate Administrative Tasks

Implement Human Resource Management Systems (HRMS) and payroll software to automate repetitive administrative tasks such as payroll processing, benefits administration, and record-keeping. Automation reduces errors and saves time for HR professionals.

Employee Self-Service (ESS) Portals

Provide employees with self-service portals where they can access and update personal information, request time off, and access pay stubs. ESS portals empower employees and reduce the administrative burden on HR teams.

Centralized Data Management

Maintain a centralized repository for employee records. Centralized data management ensures that HR administrators can easily access and manage critical HR data, improving data accuracy and accessibility.

Regular Training and Development

Ensure that HR administrators receive regular training and development to keep them updated on HR laws, regulations, and best practices. Knowledgeable HR professionals are better equipped to address evolving HR needs and avoid compliance issues.

Outsourcing Non-Core Tasks

Consider outsourcing non-core HR administration tasks like payroll or benefits management to experts. This allows your in-house HR team to focus on more strategic initiatives, like employee engagement and development.

Data Security Measures

Implement robust data security measures to protect sensitive employee information. Adhering to data protection laws such as GDPR or HIPAA is crucial. Ensuring data security maintains trust and compliance.

Automated Reporting

Utilize HRMS tools to generate automated reports on HR metrics. These reports offer valuable insights into workforce trends, helping organizations make data-driven decisions for a more informed HR strategy.

Employee Feedback Mechanisms

Establish mechanisms for employees to provide feedback about HR administration processes. This feedback can help identify areas for improvement, leading to increased employee satisfaction and better processes.

Regular Process Review

Continuously assess and refine HR administration processes. Regular reviews ensure that your HR practices remain aligned with industry best practices and your organization's evolving needs. Adapting to changing circumstances and expectations is key to success.

Why OrangeHRM?

OrangeHRM offers a completely automated HRMS platform to manage your administrative HR tasks effortlessly. Our platform integrates efficiency and simplicity to provide an efficient HR experience. With features like audit trail, asset tracking, news and HR policy publisher and so much more OrangeHRM is redefining how you handle HR administration. Find out more by booking your FREE demo today!


  • What is HR administration, and how does it differ from HR?

    • HR administration refers to the core operational and administrative functions within the Human Resources department. It involves tasks like record-keeping, benefits management, payroll, compliance, and maintaining employee databases. HR, on the other hand, encompasses a broader spectrum of activities, including strategic workforce planning, talent acquisition, employee development, and overall organizational culture management.
  • Why is HR administration important for a company's HR strategy?

    • HR administration plays a crucial role in supporting the overall HR strategy by ensuring compliance, efficiency, and the smooth execution of essential HR processes. It frees up HR professionals to focus on strategic initiatives and decision-making, which is critical for long-term organizational success.
  • What are some best practices in HR administration?

    • Some best practices in HR administration include automating routine tasks, maintaining accurate and up-to-date records, ensuring compliance with labor laws, using technology for HR processes, implementing employee self-service portals, and providing effective onboarding and offboarding experiences.
  • How can HR administration practices adapt to changing HR strategies?

    • To adapt to changing HR strategies, HR administration should stay agile, flexible, and open to adopting new technologies. It should also regularly review and update policies and procedures to align with evolving HR trends and the organization's goals.
  • What role does technology play in modern HR administration?

    • Technology plays a significant role in modern HR administration by streamlining processes, improving data accuracy, enhancing employee self-service options, and enabling data-driven decision-making. HR management systems (HRMS) and other software solutions are commonly used to automate and optimize administrative tasks.