Human resource management (HRM) mentions the practices of hiring and developing employees, but what many persons do not know is that practitioners in the field choose between two basic HRM systems: soft and hard HRM. Soft HRM encompasses traditional HR practices such as employee benefits and employee training. Hard HRM system, on the other hand, centers around data gathering, including performance metrics and everything in between. This choice is essential because each system impacts an organization’s ability to perform effectively. A clear understanding of these differences will enable business owners to make better decisions.