When it’s your first time, it’s normal to wear different hats. It’s a must knowing fact for an entrepreneur or a small business owner. If you want to establish a successful and profitable business, you should hand-off all your management-related tasks and issues to a knowledgeable and talented HR professional [this is when the right time arrives].
Why HR is important for small businesses
Below written some reason why entrepreneurs or small business owners get benefited by hiring an HR professional on their team.
- Helps in Company’s Growth
To demonstrate your company’s own commitment to growth and sustainability to your current employees, your future customers, and your finder(investors), you need to hire a talented HR professional.
- Set a tone for your small business
Having a talented HR professional would be ideal, but it is not a possible option on a bootstrap budget. Once you start hiring team members that will work beyond your reach (direct scope of management), it’s very important to hire an HR professional who will help you in scaling the whole business according to the company’s need and will align its vision with its neat practices.
- Helps you in staying one step ahead
A talented HR professional is a most valuable asset to a company, so invest wisely in it. Hiring an HR professional when you need isn’t awesome, like receiving an unemployment claim. But sometimes, it feels awesome, like an employee announcing they’re pregnant. So, just don’t wait for the sweets to settle in your paunch to realize that you don’t have a maternal leave policy in your company.
- Helps in hiring an ideal candidate
The success of any company is its own people (employee). By bringing an HR professional in the company will bring the best talent in the market. They will attract, find and secure the talent who will complement their area of expertise.
Let’s assume, you’re an owner or entrepreneur and you also have an expertise in the technical area; an HR professional will help you in building a lasting all-star team.
- Helps in achieving your vision
There is a saying, ”the early bird gets the worm”, and it couldn’t be less true for a small business that hires an HR professional from the first day. With an HR professional, the vision, mission, and goals of a small business are successfully achieved at a fast pace, while maintaining the image of the small business as “the place to be.” HR professionals are the key element in a strategic plan for any successful company, and hiring them from the day one can only increase the chances of a company to cross their far-away goals.
- Helps in Budget Control
An HR professional develops several methods to trim down the costs related to the workforce management, thus restraining excessive spending and helping the company in saving money for the long run. The methods HR professional develops may include negotiating better rates for employee benefits such as insurance for health. Furthermore, An HR professional will study and analyze the employment trend, the labor market and the salaries based on the job functions to ensure that the company’s wages are totally competitive and realistic. Small businesses have a very strict budget which they must have to follow, this function of an HR professional is particularly helpful.
- Keeps an eye on employee satisfaction
It is an HR’s duty to determine whether the employees of their company are satisfied or not with their supervisors and also from the job and related duties as well. Satisfaction is immeasurable but HR professionals have to do something to improve the relation between the company and its employees; they carefully devise employee surveys. In easy words, HR professionals determine the causes and/or reasons behind their employees’ dissatisfaction whether they are current employees or previous ones, and addresses those issues related to their employees’ dissatisfaction in the best way possible to boost morale and motivation of their employees.
- Resolves Internal Conflict
Conflicts can happen anywhere, but the conflict in the workplace can be small or later it can become a big one, regardless of how satisfied the employees are in the company with their jobs, their supervisors, and their colleagues. With different work styles, personalities, level of experience and backgrounds of all the employees, there is a possibility that arguments and disagreements can happen. HR professionals are trained to handle such relation issues between a manager and employee or two employees; identify these issues and effectively resolve them to keep a positive working relationship throughout the whole organization. Furthermore, an ability to resolve the conflicts between a manager and employee or two employees may increase employee satisfaction and morale of the workplace.
- Rules and Regulations
This is one of the most important functions of an HR professional, it is their duty to ensure that the company is following all the rules and regulations that can put an impact on all the aspects of employee relationships—starting from hiring, to their safety, to benefit the administration and through terminations. If we look at those small companies, with one to 14 employees, must have to follow these rules: hiring and firing, wages and benefits, discrimination and harassment, workplace safety, workplace privacy, and more.