Perspectives do change and it has now, for HR. On careful observation, one can clearly see the shift that is occurring in the way HR is perceived and is expected to function. Shifting workforce demographics, rapid changes in technology and the globalization of world economy have resulted in a shift in the way businesses operate and consequently the way HR functions.

Usually, at least in the past, HR has had the misfortune of being considered as a necessary, but yet unessential or unproductive department in an organization. It was considered an administrative doer rather than a strategic partner and catalyst. HR in that context merely meant regular administrative & record-keeping functionalities. This perspective though, has rapidly changed in today's knowledge era.

Well, what made the perspective change? Just as every era had a primary source of wealth creation, as in land in agrarian era; the primary source for wealth creation in the knowledge era is Human capital. Although technology and other resources have dramatically changed the way business is conducted; it is, nevertheless, the people who utilize it, that make all the difference.

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