The hiring of an HR Manager at the beginning of your company’s growth is a crucial step in the development of your business toward success. So, in order for your company to grow and succeed, you must hire an HR Manager early on.
In this article, we’ll take you through the different phases of a company’s growth, and outline the different levels of HR support they’ll require at each stage.
Human resources can help you build the organization of tomorrow, increase profits by cultivating a positive corporate culture, implementing policies and procedures, and establishing the social norms that will make your company a healthy working environment.
When I join a new company as HR Director, I stress the importance of structure. But why exactly do we need a good organizational structure?
Structure and strategy in a business are like the infrastructure of a city. Infrastructure is a crucial component of a city’s accessibility and value. An undeveloped infrastructure makes a city inaccessible and limits both business and quality of life. A similar situation occurs within your organization if you don’t clearly define limits, boundaries, hierarchy and rules. The goal is not chaos, but an environment in which highly skilled individuals and teams can excel and grow.
When implementing structure, we do not mean to act as the ‘police’ within the organization.
The need for structure goes hand in hand with the need for meritocracy and fair processes, which must be clearly communicated. Without these, there is a risk that by implementing structure we simply end up policing the organization, as opposed to helping it self-regulate.
So, in what ways does good structural organization help us? And in what ways, in the computer industry above all, is the traditional approach to HR not meeting the demands of the global market? Among the main problems are inefficiency, unfilled vacancies, internal conflicts and poor communication within the organization. As a result, employers are struggling to retain top talents and the hiring market is becoming fiercely competitive.
Another common mistake is that senior leaders tend to boast about having implemented a flat hierarchy, but a flat hierarchy does not ensure fairness.
Managing people through hierarchy is important if you want to hold them accountable for their responsibilities, ensure that they do not encroach on other people’s functions, and most importantly, create networks of teams that work together like a ‘well oiled’ machine.
Organizational development relies heavily on human resources. As in a human body, your company needs all its vital organs in order to remain healthy and functional.
HR cannot be led by people without HR experience. In this regard, it is also important to clarify that Finance and Human Resources are two quite different functions. A new CEO or COO without HR experience cannot replace this expertise. Unless they prioritize HR expertise, CEOs are destined to lose capital due to high staff turnover, internal conflicts, missed deadlines and a lack of productivity.
An HR department encompasses more than recruitment, payroll, and administrative functions. In order for HR to be effective, all of the following must be covered:
· labor law, employee relations
· the total rewards system
· health and safety
· privacy and GDPR
· welfare and employee wellbeing
· OKRs and performance management, performance appraisals
· career development programs
· recruitment and selection, recruiting lifecycle, onboarding
· top performer retention, outplacement, succession planning
· employer branding, company culture
· diversity, equity, and inclusion
· employee engagement, employee participation and communication
· function evaluation, job design processes
· HR analytics, HR metrics analysis, HR compliance
· ISO standards, stakeholder management
· mobility and relocation, HR staff and expenses
· HR skill matrix model, HR methodologies
· risk management, pre-employment screening, drug testing, background checks and security clearance
· coaching, organizational design and organizational change.
Besides covering all of these areas, HR must also provide the following: an HR roadmap, HR blueprint and HR handbook. Furthermore, a specific methodology should be used for implementing your human resources processes.
Would you be able to tell me if your company’s HR department follows a specific methodology? If I asked you about HR analytics implementation, what would you say?
How would you rate your company’s HR metrics right now?
Do you have a clear recruiting life cycle strategy and salary policy in place?
What about the delivery of coaching programs for managers and employees?
Is managing human capital across the organization a high priority for the CEO?
The HR department is the backbone of your ecosystem. Understand that, and you will never waste budget or fight for talent.
If you are willing to discuss this topic further, feel free to contact us. We can schedule a videocall for leaders who are not afraid to innovate!