What is Your Employee Onboarding Plan?

Employee OnboardingHow much thought has your company put into its employee onboarding process?  What kind of employee onboarding programs do you have in place?  A simple orientation on an employee’s first day?  Or a complex, in-depth process which starts out during the recruiting process, and continues beyond orientation?

Companies often fail to realize why employee onboarding is important.  It isn’t just about orienting a new hire with the tasks associated with his or her job.  It’s about assimilation into the workplace.  Onboarding is a gradual transition, and may take as long as a week or even a month following a new hire’s first day.  This process fulfills a number of important functions.  Not only does it reduce misunderstandings and mistakes, but it also helps the new hire to feel comfortable and perform well.  This is just as important for the new employee as it is for the company.  It makes a long-term difference by boosting employee retention.  During the recruiting process, it may even help you to attract more qualified job candidates.

When you are creating an onboarding program, ask yourself some of these questions:

  • What objectives should this program accomplish?
  • How can we paint a clear, informative picture for potential job candidates during the recruiting process?
  • How should a new hire feel at the end of the first day?  How can we make the first day experience a positive, memorable one?
  • What would be helpful for the new hire to know about the company culture and work environment?
  • Should mentoring play a role in our onboarding process?
  • How can other managers and co-workers get involved in employee onboarding?
  • How can we prepare the employee’s new workstation in advance?
  • What can we do to make the transition easier for the employee’s family, if applicable?
  • What does our program need to achieve by the end of the first week and first month of training?
  • What are our long-term goals for this new worker?
  • How can we solicit feedback on the recruiting process, and/or measure success based on objective results?
  • Is there any way to adjust the program to improve it over time?  How should it be adjusted for each individual employee to make it more effective?

What are some common onboarding mistakes which you should seek to avoid when you are putting together a program?

  • Narrow goals.  The company’s HR team confuses the goals of orientation with the goals of onboarding and collects and provides limited information during the hiring process.  The human resources department is concerned with integrating the employee as quickly as possible, not necessarily as well as possible.
  • Information overload. Because HR departments are frequently in a rush, they tend to overload new hires with far too much information on the first day.  Instead of streamlining their integration into the workplace and making their first day an enjoyable experience, they overwhelm new hires and make them uncomfortable.
  • Short term mindset. Another common mistake is to fail to look at the long term.  Onboarding shouldn’t be over in a day, and generally it shouldn’t be over in a week, either.
  • Inefficient training. Using presentation materials only to onboard an employee is a mistake.  Employees need interaction.  So do managers.  If all you do is show videos and slideshows to your new hires, how can you learn anything about them and gather feedback?  Another error is to try and conduct the entirety of the onboarding process in person.  This is time consuming, and it also doesn’t make information accessible for later.  Consider uploading your onboarding materials online for easy research and access.  Don’t eliminate face time, but strive for a balance instead.
  • No manager on day one. This is a common mistake that makes new hires feel as if they are unimportant or unwanted.  When management is absent, the message it sends is this:  “We want you to work for us, but we are not interested in your progress, and we do not appreciate you enough to tell you in person how you are doing.”  When management seems “too busy” for new hires, new hires feel neglected and unhappy.  It also sends the message that your managers consider themselves unaccountable for the new hire’s experiences.
  • Delays in onboarding.  Another mistake is to wait until you have hired a number of new employees before you conduct group onboarding.  It may seem like a lot of extra time and work to onboard employees individually, but if you hire an employee and fail to onboard him or her until there are half a dozen others, you will fail your employee and the company as a whole in numerous ways.  Imagine if you were one of those new employees and nobody took the time to make sure you were assimilating to the workplace until days, weeks, or even months had gone by!  Not only would it be irritating and lead to mistakes and misunderstandings, but it would also tell you that you had no individual value to the company.
  • No measurement for success.  Employee onboarding is part of your business plan.  As such, there should be a way to measure its success in terms of employee satisfaction and productivity.  Also come up with long term measurements that examine employee retention.

Why Do So Many HR Departments Make These Mistakes?

Why are these employee onboarding mistakes so common?  Ironically, the problem often comes about because the company’s own HR department is left to create the onboarding plans.  Since the HR department has numerous responsibilities, they focus on making the process as quick as possible and reducing administrative hassles.  They should be focusing on how to make the process as effective as possible, so that new employees can comfortably and productively integrate into the organization.

Your current employee onboarding process may be quick, fast, and generic, but your employees are individuals, and each of them deserves extra time and attention during the recruiting process and after.  You will see fewer employee errors and you will retain more qualified employees if you have a comprehensively structured onboarding process in place.  Those results will be measurable and will help your company to succeed.

The Solution:  Hire a PEO for Employee Onboarding

A professional employer organization, or PEO, can handle many different aspects of HR for your company.  When you contract with a PEO, one of the many tasks you can assign your new partners is employee onboarding.  Since the PEO specializes in HR tasks, including onboarding, they have more time and energy to put into the process.  Since they are familiar with your benefits plans and may even be involved in making your employee handbooks, they are in the perfect position to provide thorough information and training to new hires in various departments and positions.  Your human resources department then is able to free up resources to work on other projects.

Your managers and the new hire’s co-workers will need to stay involved in the onboarding process, but a PEO can provide guidance to members of your team.  With an improved HR process, you will start attracting better candidates during the recruiting process, retaining superior employees, and enjoying the productivity boost which comes about with more effective integration procedures.

Human Resource Management – What Every Business Owner Should Know

Good HR ManagementWhether you are managing your own human resources internally, or you are contracting out to a professional employer organization (PEO) or other human resources management (HRM) group, there are a number of functions your HR department needs to be able to fulfill. Your human resources team is responsible for recruiting new talent as well as providing for your existing team.  Your HR department needs to be able to prepare payroll each week, calculate and submit taxes, arrange for benefits and retirement options, and much, much more.  Here are some essential tips for running a tight operation.

Hiring

When hiring, remember that quality is more important than quantity.  This is a suggestion often given to job candidates when submitting their resumes.  Just as job candidates achieve better results with precision, so do hiring managers.  Your hiring managers need to know exactly what they are looking for, and where to look for it.  If your human resources staff does not include experts in hiring, you may want to consider outsourcing this operation.  Expert recruiters and headhunters can actually save your company money by locating better talent.

How much time and effort have you invested into your employee onboarding process?  Employers commonly neglect onboarding procedures, not realizing how critical they are to avoiding misunderstandings later and orienting new employees comfortably as part of the team.  Have a clear book of rules for new staff members, provide orientation activities and one-on-one time with management staff, and make sure that new employees understand their role in the corporate culture.  Also remember to provide ongoing training for staff members who have been in their roles a long time, and to conduct regular employee evaluations.

Corporate Culture and Conflict Resolution

One way to retain your employees is to ensure that they are happy while at work.  Come up with ways to bring together the team and forge strong working relationships among co-workers.  Organize corporate parties, awards ceremonies, and other events that provide recognition to individuals and project teams for their efforts.

The best HR practices go beyond the day-to-day tasks and also encompass an attitude of fairness and balance.  Do your human resources staff treat all employees in a fair, objective manner, or do they give preferential treatment to management staff?  Human resources managers need to be taught to see other management staff members as employees like all others—this is the only way to ensure that everyone is doing their part and the workplace is a level and fair environment where everybody can thrive.

Human resources is often looked at as a “touchy-feely” department by other members of an organization’s staff, but the reality is that HR employees make many challenging decisions each day, and they need to be able to handle those hard choices.

Benefits

Have a wide array of benefits plans available to your employees to choose from.  This can be a tricky legal area to navigate, and is one aspect of HRM where outsourcing can be particularly useful.  Outsourcing to a PEO gives you the benefit of legal expertise on issues like worker’s compensation and healthcare plans.  Find ways to effectively communicate with your employees about the health insurance and wellness options which are available to them, as well as different retirement plans they can choose from.  Healthcare in particular is going to be an increasingly complex area to navigate in the coming years with healthcare reform on the horizon, so put special emphasis on working out this aspect of HR.

HR Outsourcing

There are a wide range of human resources outsourcing options.  Before computer software became as advanced as it is today, outsourcing your HR department traditionally meant partnering up with employees HR staffing agencies.  While some PEOs still take this form, many payroll outsourcing companies offer you the chance to continue managing your operations internally, but provide you with the software to make it fast, easy and error-free.  This software can be used to prepare your payroll for your employees and calculate and send in your taxes each year.

Employee leasing is accessible to large and small businesses.  There are many different pricing schemes out there, so be sure to investigate your options thoroughly before you make a decision to partner with a PEO.  There are also a wide range of services.  Watch out for hidden fees, and make sure you understand where the responsibility lies for human resources management decisions.

Outsourcing Checklist

Before you choose to sign a contract with a PEO or some other staffing organization, you should run down a checklist of requirements to make sure you are making the most suitable choice for your company.  There are many different types of organizations providing a wide variety of services, so it is essential to put some careful thought into this aspect of HR planning.  Remember, outsourcing isn’t the right choice for every company.  It may be something you want to do now, or it might be something you should consider for the future when you are ready for it.

  • Research the reputation – Any PEO or employee leasing firm which you are thinking of using should be able to provide you with references, tell you how long they have been in business, and provide information concerning financial resources.  How good is the customer service?  If you call them up or go into their office to speak to them in person, are you treated with respect and patience, and are your questions quickly and transparently answered?
  • Figure out all the services you need – Services such as payroll, taxes, worker’s compensation, benefits selection, recruitment, onboarding, and so forth.  Make a comprehensive list before you start your search, and then check to make sure all the services you need are included before you sign any contracts.  Some employee leasing firms can handle all of these, while others specialize in just one or two services, like payroll and taxes.
  • Check the software – Check to see if the software used by the outsourced HR department will be compatible with your existing solutions.  If not, how long and difficult will the upgrade be?
  • Know the details – Will the PEO be a “co-employer”, or will you be outsourcing to an HR organization which simply provides you with some services on a contracted basis?  Who will assume liability in various situations?
  • Understand the costs – How much will the outsourcing cost your organization?  Will it fit within your budget—will it save you money, or ultimately cost you more?  Are you billed once a month at a flat rate, or are you charged a fee for each of your employees?  Are there other hidden fees and costs?

Perhaps the single most important thing to keep in mind about HRM is that human resources management is never a “set and forget” solution, no matter how you decide to structure your organization.  On the contrary, your human resources department is the heart of your company.  Whatever products or services you create or sell, your company’s success ultimately depends on the human element.  If your staff members do not perform or you cannot retain them, your revenue will suffer, and that is the fault of your human resources team.  If your employees are talented, efficient and happy, you will be successful, and it is your HR department that is responsible for making it happen.

Why Human Resource Planning is Critical to Small Business Growth

Importance of HRWhen you’re just starting a business, there is so much to think about that it can be overwhelming.  Many new business owners work overtime and weekends for many months or even for years when they are starting out just to get the day’s work done.  Odds are you spend most of your time and energy working on the products and services which you offer to your buyers, but there is much more to running a business than that.

How much time do you dedicate to administrative concerns like human resources?  HR responsibilities can be challenging to balance along with other aspects of business, but how you handle your human resources planning is vital to the growth of your company.

A Company is Only As Strong As Its Employees

One basic fact of business, no matter what sector you are in, is that a company is only as strong as its weakest link, and all the links in your company are employees.  The human element is the single most important factor in business—not the technology you work with or even the product you develop.  It is human beings who are responsible for quality control, customer service, innovation, and adaptability.  Running a great company starts with top-notch recruiting and is an ongoing process.  How your human resources department handles employee benefits and other aspects of administration determines how happy your employees are and how long you can retain them.

Human Resources Planning Checklist

Here is a rundown of the different elements of human resources management.  You may be able to handle all these responsibilities internally, but if not, it can help to hire a professional employer organization (PEO) or another human resources outsourcing company to help you take care of your small business planning needs.

  • Recruiting procedures – Knowing where to look for the most qualified candidates and how to reach out to those potential employees and screen them with the best hiring questions and interviewing strategies is step one in running a great company.  That’s how you hire the cream of the crop.  Hiring productive employees ultimately saves your company money since those employees will provide you with the highest level of value.  Some of that value can be quantified in a dollar amount, and some of it is qualitative and can never be measured or replaced.
  • Employee training and development programs – Once you have actually hired employees, you need to provide training to those new hires as part of effective employee onboarding.  Some professions will require periodic training and updates as your procedures change (this is common with sales teams).  Others may require continual specialized training in technical subjects.  Your human resources department will be responsible for setting up these training programs in a manner that is cost-effective but also leads to maximum retention.
  • Retention and layoffs – You will also need your department to manage resizing, layoffs, and firings as necessary.  These decisions are difficult and often painful, but sometimes you have no choice but to downsize.  Just as important, you need to search for ways to retain the employees you do want to keep.  Employees often deal with dissatisfaction in the workplace and may search for better opportunities elsewhere if they do not feel you are looking after their best interests.
  • Employee performance evaluations – Not all companies implement an employee performance improvement plan, but doing so is beneficial not only for you, but also for your employees.  Touching base regularly with your employees helps them to enhance their strengths and curtail their weaknesses, and also demonstrates that you are involved and care about their progress.  Promotions are another important area where human resources staff are involved with making key decisions that can impact your entire company.
  • Employee compensation and benefits – Your human resources staff are responsible for managing payroll and also for structuring benefits plans and options which cover your employees’ needs.  There are many legal requirements governing benefits programs, and you will need to also ensure that you are conforming to your area requirements.
  • Taxes – Most employers withhold their employees’ taxes and send them off to the government.  This can be an extremely complex and time-consuming task, and one which can become expensive should your accounting team make errors.  It is essential that you do every step correctly so that your company can save money each year and avoid penalties and fees.
  • Developing an employee handbook – It is up to the human resources department to clearly communicate the rules and regulations of the workplace to employees.  An employee handbook is a comprehensive manual which covers issues relating to overtime, safety, dress code, behavior, hours, and more.  This is another aspect of employee onboarding.  By communicating clearly at the onset with new employees, your human resources department can prevent conflicts from arising later.  The employee handbook can also be useful to long time employees when issues arise.
  • Legal issues – Legal hassles do arise in any workplace from time to time.  Your human resources department needs to be experts in workers’ compensation and other legal matters so that you can avoid lawsuits or resolve existing ones with minimal financial and legal damage.
  • Conflict management and counseling – Not every business is going to run like clockwork all of the time, and even in the most cohesive corporate communities, personal and professional conflicts are going to arise.  Human resources staff members can help by coaching and counseling employees and recommending resolution strategies which can ensure the best outcome for everyone involved in a situation.
  • Corporate culture – HR staff members are responsible for ensuring that employees are happy and comfortable in the workplace, and one of the best ways to do that is by monitoring the corporate culture and setting the tone for day to day interactions and appearance.  Human resources departments can also set up corporate parties, awards ceremonies and other events that assure employees that they are valued members of the organization.  Trips, discounts, transportation, and many other little benefits may also be relevant, depending on the type of company you run.

Should You Outsource Human Resources?

Human resources management becomes more challenging the more employees you bring on board, so if your company is growing quickly, it’s going to become a pressing concern.  Your company can only continue to grow if you are able to effectively manage your human resources while not draining resources away from other important projects and administrative tasks.  If you are still able to juggle your responsibilities, taking care of all of the tasks outlined above, then maybe you do not need to outsource.  Maybe you will even hire your own specialized in-house HR team.  Those will be some of the most important employees you will ever hire.

Maybe you are struggling to handle all of your tasks, though.  If that is the case, you can free up employee time and resources and return your staff members to the areas where they excel by outsourcing HR.  There are a wide range of solutions available that are suitable for small businesses.  Employee outsourcing firms which provide the most comprehensive services and which assume the most control are PEOs.  If you prefer to retain more of the responsibility and control associated with HR tasks but still desire assistance, there are other HR outsourcing companies which can accommodate you.

There are also outsourcing solutions that largely take the form of software that can be used to streamline and manage your payroll and other tasks.  Your staff still handles everything, but the software makes tasks which were once time consuming and complicated fast and easy.  A customer service team is available on standby to help you out should you have any questions or concerns.

Human resources planning is a complex task which encompasses many different responsibilities, and it can be a daunting one for a small business owner.  As your company grows, so do your responsibilities.  The more effort you put into it, though, the more value your company will be able to provide to your customers and the more revenue you will make.  An effective HR department can recruit the best talent and provide for those employees so that they stay with your company for many years.  The human element is the most critical in any company.  No matter what business you are in, you will be able to grow your company more quickly and effectively if you allocate resources to strategically manage your employees.

5 Ways Outsourcing HR for Small Business Can Increase Productivity

HR OutsourcingHow much time does your staff dedicate to HR related work? Ten percent? Twenty? How much of your budget is currently going toward this work? And how much are you spending on employee-related expenses like health insurance? For many small businesses, managing HR-related costs is a major challenge. It’s not unusual to dedicate a tremendous amount of time, money and effort to managing employee paperwork, only to lose even more money paying high insurance premiums and other unnecessary costs—costs you can save if you outsource your HR. Note that outsourcing HR isn’t right for every business. You have to decide based on your own business needs whether it’s a good decision for you. Here are 5 ways that human resources outsourcing can save you money.

1. Redistribute Your Employees’ Time

When you’re outsourcing human resources instead of giving it to your own staff to deal with, you can give other tasks to your professionals. Small businesses often do not have an employee on staff who is dedicated to human resources management. Instead, other staff members are forced to spend their valuable time handling tasks they do not excel at. This in turn causes their other work to languish and productivity to suffer.

Who is currently handling your human resources? An office administrator? Another managerial staff member? You? Your time, and your employees’ time, is valuable. Imagine how much more productive your employees would be if they were focusing their time and energy on tasks you actually hired them for. An office administrator may do an excellent job organizing the office, but may not do well with HR since he or she is not an HR expert. When you waste your employees’ time, you waste money. Outsource your human resources department and let your employees get back to their job descriptions. Ultimately it will save you money.

2. Reduce Your Liabilities

Another area where you may not be as well versed as a human resources expert is the arena of law. Employee lawsuits are expensive, and unfortunately even when you make your best efforts to avoid them, legal issues may still arise. State, local, and federal laws governing employment are complicated and change regularly. Instead of struggling to keep up with the shifting regulations and the complexities of employee lawsuits, why not hire an expert to help you avoid legal hassles and resolve them when they do come up? Consider the cost of a single lawsuit, and then think how much money outsourcing your HR department could save you on lawsuits alone.

3. Recruit Better Talent

By choosing to outsource staffing jobs, you can find better talent in the process. One of the many responsibilities allocated to your HR department is to bring new talent on-board that can bring value to the workplace. Finding the best candidates is often a slow, tedious process, and if you don’t have an expert on your staff, your recruiting staff may struggle to reach out to the right population of job candidates.

When you outsource HR services, you hand over your job candidate search to experts who know exactly where to post job listings and how to reach out to the most qualified professionals. Recruiting can be a time-consuming process, but you can actually cut back on your recruiting budget by merging it with your HR outsourcing budget. Another way recruiting that can take a financial toll is if you have a position that remains unfilled for an extended time period. During that time, you lose functionality and other members of your staff are forced to compensate. Cutting down on your recruiting time can enhance your company’s productivity.

4. Reduce the Cost of Labor

Another way that a professionally outsourced human resources department can help you is by reducing the cost of maintaining your employees. HR experts can look over your payroll, your benefits plans, workers’ compensation, and other aspects of your employment plan. HR professionals can spot areas where your plan could be improved and cuts could be cost without reducing the value you provide to your employees and the value which they return to you. Even for a relatively small business, this can translate to savings totaling thousands of dollars per year.

5. Reduce Employee Turnover

Employees turn to HR departments as much as employers do for solutions to their problems. If your human resources department is unhelpful or incompetent, employees can be come frustrated when they are unable to resolve issues. This can increase turnover as employees leave your company to find a company which looks after their needs. By outsourcing your HR administration, you can bring experts onboard who will have the time, resources and know-how to see to your employers’ needs and ensure that they are happy. Happy employees stay on with their companies and don’t jump ship the first chance they get.

When the human resources administration knows what it’s doing, your employees will have clear expectations regarding their duties and perform more efficiently. The HR department can also take the time to organize team building exercises and other employee activities which create a more cohesive and enjoyable workplace for everyone. When you’re relying on other members of your staff to turn away from their own duties just to manage payroll, benefits and other necessary aspects of HR management, they often lack the time they need to arrange these extras.

Are You Ready to Outsource HR?

First, take some time to learn about human resources outsourcing agencies, administrative services organizations, and Professional Employer Organizations. These are all related but different types of agencies. PEOs provide HR and other administrative services, but create a co-employer relationship, whereas with ASOs and human resources outsourcing agencies, the control over the employees rests solely with the contracting company. Figure out how much control you want over your HR functions before you hire out to another company. Also decide which services are important for you to outsource so that you can find a company which can cover your needs.

Usually it’s time to consider outsourcing your HR services once your administrative concerns become a drain on your employees’ time and reduce your overall productivity. For very small businesses, this is rarely a problem, but once you reach about 10-15 employees, you may start to notice productivity issues. Sometimes even very small companies will contract out for their HR needs, though—even companies with just a couple of employees. It really all depends on the specifics of your company’s situation. Every company is unique, so every decision will need to be made accordingly. There is no one-size-fits-all solution. You have to figure out what is best for your company.

The Final Step to HR Outsourcing

Research the cost of HR outsourcing and do a cost-benefit analysis. Most HR outsourcing firms will cost about $500-$1500 per employee per year. Very small firms may be charged a flat monthly rate for services instead. Try and figure out exactly how much money you are currently losing because of the drain on your employee resources. If you discover that the increased productivity you can expect by outsourcing your HR will outweigh the outsourcing costs, it may make a lot of sense to outsource. Even if you discover the move wouldn’t be advantageous in your present circumstances, it may be something to consider and plan for in the future.

Human Resources Outsourcing Infographic

HR Infographic

The Difference Between HR Outsourcing & HR Management

Human Resources (HR) outsourcing is a viable choice for businesses who can’t handle the cost and time involved in internal HR management, or for organizations who simply want to have their employees focus more on growth, while hiring a professional to handle their Human Resource department. Handling the selecting, hiring and training of personnel, as well as motivating and compensating them can be a hard task for a company with a small number of employees. That’s when it makes more sense to outsource your HR.

Outsourcing your company’s Human Resource management or handling it in-house depends mostly on your financial situation. Either way, Human Resource management should be a priority in your company. Ignoring it or handling it poorly can result in serious financial or legal repercussions.

Advantages of HR Management

Managing Human Resources in-house is losing a lot of ground to HR outsourcing nowadays, but it still has its advantages. One of these advantages is the fact that, by handling HR internally, employees are more motivated to do a good job. Outsourced employees may not treat this job with the same dedication, or put as much effort into it as hired staff.

Another advantage is that the employee can be controlled easier if he or she is hired by your company than if the employee is outsourced and is only required to report to the HR outsourcing company.

Having an internal HR department means more jobs for more people, and that the employees who handle that aspect of your business can keep their jobs, which is not always the case when outsourcing HR. When a company chooses to outsource its HR, employees who can’t be used in other areas of the company will lose their jobs.

Advantages of HR Outsourcing

Outsourcing your company’s Human Resources frees up some of your employees who can be used to the benefit of other aspects of your business. By having an outside professional deal with your company’s HR, the employees that would normally handle that can now concentrate on growing the business through other, more important activities, such as developing new products, attracting new business, or improving customer service.

Another advantage to HR outsourcing is that your employees will enjoy benefit packages that are normally offered by larger companies, these packages being outsourced from the Human Resources outsourcing company.

Most HR outsourcing companies consist of people with great expertise in the legal and business field, so you can rest assured that your employees are positively influenced and receive qualified advice that will help them make the best decisions and help your business.

Final Thoughts

Deciding whether to manage your own HR or hire an HR outsourcing company depends on a few individual factors. Based on the advantages described above, you should take the time, do the research, and find out if doing the HR management in-house or hiring a company to do it is the best choice for you. But keep in mind that, just by having a Human Resources department, you are already saving your company money and a lot of hassle.

The Importance of Good Human Resource Management

Human Resource Management involves the recruitment and management of the people who work in an organization. The focus of Human Resource Management is to attract, select, train, motivate and compensate employees, while making sure that they comply with employment and labor laws. A team of professionals cannot be built by an organization without good Human Resource Management. As a result, businesses with good Human Resource Management (HRM) have higher profits than businesses without or with poor HRM.

Benefits of Good Human Resource Management

Research shows that the human part of resources in an organization makes up for approximately 80 percent of the organization’s value, so good Human Resource Management is very important. Let’s take a look at the main responsibilities of an HR team, and how good Human Resource Management can affect them:

  • Hiring personnel – HR representatives have to devise rules and criteria for hiring people who are right for the job. They also have to formulate the obligations and rights of the future employee. A contract for an employee is prepared based on these two factors. Recruitment is done through an educational and psychological evaluation, where the applicant’s skills and character are assessed, or through interviews, where the applicant is evaluated by the answers that he or she gives to a set of questions asked by the HR manager. Good Human Resource Management will make sure that only the most skillful people are hired for the job, increasing the organization’s value.
  • Training workers – Besides hiring people, another responsibility of the HR managers is to train employees by organizing training programs and determining the easiest and most appropriate way of introducing these training programs based on the employee’s needs. By doing this, Human Resource reps help employees gain additional sales and customer service skills, helping the organization’s interests, as well.
  • Appraising performance – Good Human Resource Management also involves motivating employees by encouraging them to work to their full potential, and offering them information regarding their job performance from time to time. A good HR manager’s goal should be to constantly develop and improve employees.
  • Conflict resolution – Whether the conflict is between two or more employees or between management and employees, a good HR manager is required to help settle any conflict. Employees whose rights have been violated, or who experience harassment or discrimination can contact their HR managers for assistance. HR managers should use anti-discrimination and anti-harassment laws to assist employees in resolving their legal matters, as well as to avoid litigation.
  • Improving compensation packages – Rewarding employees who have good work results is very motivating. Good Human Resource Management means compensating those who have exceeded expectations, which serves as an incentive for them and other employees to continue doing great work. Compensation packages can include holiday bonuses, end of year bonuses, holidays, awards, promotions and more.

Effective hiring and training practices, creating employees who are motivated and rewarded for their hard work, and maintaining a good relationship between employees and the company are all results of good Human Resource Management. Even for small businesses, managing the human resource aspect of the business is very important, and can only be done through good Human Resource management.