In this paper we have discussed the importance of human resource management in project management. As a concept human resource management emerged in 1980 [9]. It is very important to utilize resources effectively in any organization. Like triple constrains (cost, quality, scope) human resources are also considered as one of the most important factor for the success of any project. Management of human resources involve hiring experienced workers, giving appropriate training, acknowledgement about the significance of the project and the effective use of techniques and tools in order to get the project done productively with in time and budget. It becomes the responsibility of the project manager to effectively manage human resources as it is more challenging than managing other technical resources. In this paper we have also discussed the challenges that an organization faced during the management of the resources and use of some strategic human practices in order to overcome these challenges.