If you’ve been on the sales or product development side of your business for your whole working career, you may think that the human resources department is just there to get your paperwork completed and make sure your paycheck gets out to you on time. When you start up your own business however, you may need to rethink that assumption. HR professionals are able to do a lot more than just payroll and benefits, and if they’re able to work effectively, they can be a great partner in helping your business take off.
Finding the right people
As your company grows and you need to hire more employees to manage the workload, it’s important that you bring in the right people. The hiring process can be daunting if you’re not trained to know how to best do it, but HR professionals often have extensive training in how to hire. Studies have shown that hiring the wrong person can cost a company more than $50,000 per position. Don’t make that mistake with your small business!
Keeping those people
Employee engagement and morale throughout the company can make the difference between good companies and great companies. Being a place where people are valued and respected, and want to work is key to finding and keeping the best employees to do the best work for you. Human resource directors, who are able to influence company culture, especially as it comes to hiring and retention, can have a huge impact on this. 57 percent of companies think that employee retention is an issue to be addressed. Address it proactively by hiring a great HR director.
Another area of HR that is often forgotten is talent development within the workforce. With a good program and the right people involved in HR, you’ll be able to take the employees you already have and improve them through training. Nearly three out of four employees think they could do better jobs with more training.
Managing your resources
HR stands for human resources, but people often don’t stop to think about what that phrase actually means. Businesses often allocate financial resources to different areas in the budget, but understanding how to best use your people to reach greater results is something many HR directors excel at. In line with maintaining employee satisfaction and high morale, 25 percent of employees report that they would be happier with their jobs if they were assigned to do what they’re best at, and those job assignments will also help your bottom line through increased efficiency.
This article was written by Gillian Kruse of Examiner.com for CBS Small Business Pulse.