Association of Chartered Certified Accountants (ACCA) Certification Practice Test

What is the primary goal of human resources management?

1. To minimize costs

2. To achieve organizational goals

3. To maximize employee turnover

4. To comply with regulations

The correct answer is: To achieve organizational goals

The primary goal of human resources management is to achieve organizational goals. This involves aligning the workforce's capabilities, motivation, and performance with the strategic objectives of the organization. Human resources management plays a crucial role in recruiting, training, developing, and retaining talent, which directly impacts the organization's ability to execute its strategy effectively. When human resources practices are optimized, they contribute to a positive work environment, employee satisfaction, and increased productivity, all of which are essential for reaching broader organizational goals. This focus on achieving overall success through the effective management of human capital is fundamental to the function of HR. In contrast, minimizing costs, maximizing employee turnover, or merely complying with regulations are not aligned with the overarching purpose of HR management. While these aspects may be important in specific contexts, they do not represent the holistic and strategic aim of HR to enhance organizational performance and ensure long-term success.