Employing the right people for your business can prove vital to its success, and can give you a competitive edge over other businesses. Human Resources is a hugely important element of any business, but are you clear on exactly what role it provides?
What is HR?
A businesses HR department should be a source of expertise and knowledge on the issues faced by employees, and their role is to formulate policies and practices that tackle these issues and protect the individual worker. They are also there to give advice and guidance on any aspects of a business that may affect its employees, and should try to view each issue or challenge faced, through their employees’ eyes. This then enables them to identify appropriate solutions, and better face any challenges that workers may be facing.
An effective relationship between HR and the management team, is far more conducive to the translating of business goals and values into practical policies and actions, and they should be far better equipped to communicate these to the entire workforce.
What other functions do HR perform?
A good HR department will have the necessary tools to manage and pay employees, and they should take care of new intake and those who wish to leave employment. They will also manage the recruitment process from beginning to end, and keep on top of any changes within the company that may impact employee wages.
Whose side are HR on?
There can be a fine line between a HR department standing behind the company’s employees and championing their rights and demands, and being a strategic partner to the management team. HR practitioners may find themselves in the unfortunate position of neither party being certain of their support, and when the outcome of an issue or grievance doesn’t go in one
parties favour, they may be scapegoated.
Resolving the potential for such an occurrence, lies primarily in the business owners and/or management team making the role of the HR department clear to everyone, and establishing when they should tackle issues themselves, and when they should seek input from HR.
Why do businesses need a HR department?
Some business owners - particularly those with a smaller workforce - may be tempted to tackle HR themselves, and often the PA to the CEO or the Office Manager will take on a HR role. They will handle mainly administrative or transactional functions, such as preparing contracts of employment or dealing with payroll matters, but as there are many other issues which can negatively affect both of those functions, they may quickly find themselves out of their depth and facing legal actions from disgruntled employees. Not having a HR department can prove highly detrimental, if relationships between owners or managers and their employees, turns sour.
It’s rare that business owners and/or managers never experience issues with their employees, so, having a department of individuals who can help to tackle the issues without the need for costly lawsuits, makes perfect sense. Their experience and knowledge should enable them to mediate between higher management and employees, limiting the need for personal arguments to escalate among managers and their workers.
A good HR team is vital for the success of any business, large or small, since they can build bridges between management and employees, and ensure that the legal obligations are fulfilled, and disputes are settled without the need for costly lawsuits. If your business needs a professional solution for HR from an outside source, then there are many companies offering such services at competitive prices, and doing so will always be a sound investment. business' improve your business' performance and that improve your business' performance and profitability. profitability.