Resource Management

Resource management is a necessary part of all organisations. Without proper resource management, there can be unnecessary wastage of resources.

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Resource management not only ensure that there is no wastage but it also ensure that there is enough resource provided for the smooth operation of respective departments.

Good resource management also ensure that there would not be excessive supply leading to the need for a bigger storage space.

Budget proposal

In most established organisations, every head of each department would need to submit an annual budget proposal for the operational cost for each department.

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Each item of the proposal should have justification to ensure that department head can only purchase items needed.

A budget proposal also provides advance information for the head of the company with the estimated operational cost so that profit and loss can be calculated.

Limited supply

It does not make sense for unlimited supply of required items.

Just like a pen that costs only a dollar. It may not be expensive when we look at only one but it is really a great cost when we need to supply it to 1000 staff.

1000 pens would have cost the company one thousand dollars.

Can you imagine when each staff throws away the pen after using it each day and get a new one the next day?

Within a month, it would have cost the company $30 000.

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That is a lot of money and it would impact the operational cost of the company without good resource management.

Each department would therefore need to estimate the average use of pen before the ink runs out.

By estimating, each department can purchase the estimated number of pens.

When the supply is limited, the employees would naturally be more prudent in handling the limited resources provided.

Human Resource

Resource management does not only look at the physical needs but we need to look at the main engine of the company.

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We cannot have too many staff or too little staff to run a company.

Having too many staff can result in the increase of cost due to salary.

The lack of staff can also lead to the collapse or inefficiency of operations for each department.

Human resource management becomes an important part of resource management due to the direct impact to the function of the company as well as the high cost of employment.

Quotations

Most companies often need to engage other companies to complete certain specific task.

When there is a need, the organiser must submit at least 3 quotations from different companies that provide similar service to the resource manager for evaluation to ensure proper selection within a reasonable price.

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When the organiser decides to take a higher quotation, there is a need for justification. A good justification can be the quality service provided by the chosen company based on prior experience in working with them.

In conclusion

This article may not have provided every aspect of resource management but it may have raised the awareness for the need of better resource management to ensure no wastage of company fund.

With good resource management, there can be increase of profit after removing the unnecessary operational cost.

With more reserved fund, the organisation can set aside a greater sum of money for other enhancement or investment.

Disclaimer: This is my personal reflection and I am not in any position to instruct anyone what they should do. I am not responsible for any action taken as a result of this post. My post can only be a reference for your further research and growth. By reading this post, you acknowledge and accept that. All images and pictures were taken from google images that are free from copyright under labelled for reuse.

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Posted from my blog with SteemPress : http://fun2learn.vornix.blog/2019/02/15/resource-management/

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