Why do I need HR?

As a small business you might ask ‘why do I need HR?’ if you have a small headcount and everything seems to be going well.  An HR Consultant is often engaged to support and advise when there are employee related issues or problems. That might be a situation involving redundancy, a disciplinary, grievance or dismissal.  Of course, ensuring that these situations are dealt with correctly is very important.  We do our job, help you to resolve the issue and that’s that.  All good.  But there IS more to HR than troubleshooting of this kind, and it’s important even (or I would argue especially) for small businesses. The way your people are managed will have a direct impact on their success, and by implication the the success of your business.  In a small business where the headcount is under 50, each employee has a greater proportional impact on the working environment, the team, the success of the business and how well it functions.

What do I need to know about HR?

The Chartered Institute for Personnel and Development (CIPD), states that Human Resources Management (HRM) is:

“…the function within an organisation that focuses on the recruitment, management, and direction of the people who work in the organisation. HRM can also be performed by line managers.”

There are multiple stages in an employment relationship, some of which are included in the definition above.  If we look at this in more detail, the stages are:

Employees experience these activities during their journey with you, their employer. But you won’t positively impact the success of your people and your business without considering the ‘how’ in each of these areas. Let’s look at each stage in more detail:

Attraction

What skills, knowledge and experience do you need, and how will you attract these people in a competitive recruitment market?

Recruitment

What are your recruitment methods, and do they successfully identify if the candidates have the skills, knowledge and experience you need?  How many of your new starters leave before they finish their probationary period with you?

Onboarding

How can you ensure effective onboarding of someone into their job and the company, enabling them to become productive quickly and begin making a positive impact on your business?

Development

How do you develop your onboarded employees? What development and progression can you provide so that your people become better and better at their jobs and become the experts, managers or leaders of the future?  Or do people leave to get that development and progression?

Retention

How do you treat your employees while they’re with you? What can you offer them that will keep them loyal and engaged?  Or might they always be on the lookout for the next opportunity elsewhere?  How do you make sure you keep all the knowledge, skill and experience you have supported and developed from walking out of the door, reducing your ROI, and increasing your costs?

Separation

How do you treat leavers? Does that change depending on whether they’re a voluntary or involuntary leaver? What do your current employee population observe when others leave, and does that process feel dignified, respectful and make them feel glad they still work there?  Could your leavers be employees of the future, once they’ve gained other experiences, and would they want to return to you?

And the cycle continues…..

What should I do?

In short, the first stage would be to look at what you currently do.  Ask yourself and selected others 5(ish!) key questions:

  1. Are your people processes efficient and effective for the business and your people?
  2. What kinds of experiences do your employees have at the various stages of the employee lifecycle?
  3. What kinds of behaviours do you value? Do you see these demonstrated by your managers and employees consistently in their interactions with each other?
  4. What kind of employer do you want to be?  How does that link in with your brand marketing and PR?
  5. How high is your employee turnover? How successful are your attempts to recruit new talent?

This is just the start of the process, and it will lead to further conversations and questions, no doubt.  Maybe this next year is the year you start to take a strategic approach to your people management practices?

If you’re asking yourself “Why do I need HR?” and you’d like more information, or if you would like support to look at any or all of these areas to make your business even more successful, get in touch.

Successful hiring

Obviously, employers are always keen to make successful hiring decisions. However it is common for a new hire to be unsuccessful in probation. This is often because it transpires that they don’t actually have the skills and experience needed for the job.

Why does this happen?

There are two potential answers to this question:

  • The criteria for the job was not correctly defined at the start, and / or
  • The questions during the selection process did not successfully establish the skills and experience of the candidate.

A great deal of management time and effort (and often direct cost) goes in to recruiting and onboarding a new employee, so when it doesn’t work out, more management time goes in to dealing with the problem. There are often direct costs in paying notice in lieu and untaken holiday when the leaver is processed.  You then end up doubling the recruitment costs and time for filling that role, when you repeat the process to recruit a better replacement.  So, getting the selection process right, makes business sense.

Tips for making successful hiring decisions:
  • REALLY think about the job you need to fill. Consider the skills and experience that person needs to have.
  • Create a job ad and job description which clearly articulates the qualifications, skills and experience you’re looking for. This will enable potential applicants without the skills you need to self-select out of the process.
  • Involve more than one person in the shortlisting and interviewing process and spend time preparing together.
  • Devise interview questions which are open and based on the candidates’ experiences. Plan to have a two-way conversation with them about it, so you can assess them against what’s required.
  • Probe the candidate on their experience to ‘drill down’ in to the detail.  This will eliminate any potential embellishments, assumptions or misunderstandings about the experiences they have actually had.
  • Ensure all candidates are interviewed in the same robust way, regardless of whether they are recommended by a contact, or you have worked with them before.
  • Ensure one of the interviewers is taking notes of the candidate’s responses (the content, not their opinion about it). This will serve as an accurate reminder about the candidates, so you can discuss your thoughts about them effectively afterwards.
  • If you’re in doubt about a candidate, ask them back, or meet them for coffee so you can ask them more about the areas where you feel less convinced. Or involve a third interviewer to do this – prepping with them about the areas of focus/concern.
  • Do not appoint someone just because they are the best in an unsatisfactory group of candidates. If they do not have the essential skills and experience, and these areas cannot easily be developed or trained upon joining, do not appoint them.

Not everyone has a natural ability to interview well, but training or coaching can help your managers run an effective selection process, so they can find the right person for the job.

If you or your team need support in making more successful hiring decisions, get in touch.

Droughts, drains and talent

The post-Covid ‘Great Resignation’ has received a lot of coverage, as employees re-evaluate their priorities decide to make life-changes.   Employers are definitely experiencing challenges in hiring, due to low unemployment rates and high inflationary pressures. Undoubtedly the impact of Brexit is in the mix, adding to the difficulties in certain sectors.

Earlier this year, the FT reported that in Q1 2022 UK unemployment rates fell to their lowest in nearly half a century.  In August 2022 People Management reported that the number of job vacancies rose to a new high of 1.85m in the last week of July 2022.  We are now experiencing much higher rates of inflation, with the Consumer Price Index exceeding 10% in July 2022. This increased inflation is putting pressure on employers to increase wages.

With inflationary pressures affecting employees and employers alike, many employers are undoubtedly feeling the ‘squeeze’. Their challenge is to balance the organisation’s need to retain and recruit talent in a competitive market, with the increasing demand for high salaries.

People Management also reported in July 2022 that 80% of employers are hiring for ‘potential’ skills and capabilities, with a view to developing their own talent.  In order to address the skills shortage, maintain low attrition rates and ensure the organisation’s capability is developed, 60% of employers are providing employees with learning resources to support organisational capability. Employers are having to take a more creative approach to retaining and attracting talent. It’s no longer feasible to rely on the draw of a high basic salary, to ensure the organisation’s costs don’t escalate.

What are the practical steps employers can take to aid retention and resourcing?

There’s no one panacea, as organisations in different markets will experience the current climate in different ways. But a good place to start is for leaders to ask themselves 10 challenging questions:

  1. Do you have leaders who motivate and inspire their teams and lead with compassion?
  2. How capable and effective are your people managers at managing in the Post-Covid era of hybrid working?
  3. How healthy is your organisation’s culture?
  4. Are benefits aligned with employee priorities, and do you know what your people value?
  5. Can you offer career progression and development opportunities?
  6. Does the organisation have a sense of community, where employees are truly invested and engaged in the organisation?
  7. Is good performance rewarded with valued benefits?
  8. Do you have a long-term talent strategy, for example a pipeline through relationships with education establishments, or apprenticeships?
  9. Are your recruitment processes efficient and effective, and do good candidates ‘disappear’ during the process?
  10. How successful are your new hires and what are the retention rates during the first six-12 months?

Once you have answered these questions, you may be able to identify areas of focus. These areas can then help you to develop a retention and attraction action plan for the short and long-term.

If you’re finding the current labour market challenging, or if you’re experiencing the ‘Great Resignation’ first hand in your business, get in touch with Helpful HR.

Supporting through Furlough – Communication

Many companies have furloughed employees due to the significant impact of the coronavirus. We’re not going to attempt to advise on the Coronavirus Job Retention Scheme for the purposes of this blog, but if you do need support on this click here, for information provided by the government. Instead this blog post is about supporting through furlough with regular communication.

Why?

While your employees are furloughed you need to consider how you can keep them engaged with the business. There’s a danger of them being out of sight and out of mind. If this is how they feel, it will undermine your relationship with them. Any lack of proactivity in communicating with your furloughed employees could have a detrimental impact when they return to work.  Negative feelings about how they were treated during furlough could translate into a lack of motivation and productivity. Good levels of productivity when your employees return to work will undoubtedly be essential in keeping the business going, so anything you can do now to keep them engaged can only be a good thing.

How?

For small businesses with a handful of furloughed employees it may be easier to stay in touch on a 1-1 basis. A regular individual phone / video call or email may suffice and be manageable. If you’re a larger employer with more than 10 furloughed employees it may be more challenging. It might take a whole day to call or email each employee individually. Employee communication is important and individual contact will be appreciated, but currently that might not be the best use of your time. You will need to ensure you spend time on the operational aspects of the business and adapting to the industry landscape. Employee communication should not be to the detriment of the business. If time is an issue, this individual communication is likely to happen less frequently, and that may leave your furloughed employees feeling forgotten and disengaged.

Top tips for keeping in touch

If you do have a larger number of furloughed employees, here are some ideas for communicating with your furloughed employees:

  • Weekly update emails, outlining what’s happening in the business commercially. In addition you could communicate any further changes that have occurred as a result of coronavirus. You will also want to remind employees that if they have concerns they can contact you directly.
  • Regular Zoom meetings for teams to help them feel connected. No work should be done during these meetings, but there’s no reason why you can’t enable colleagues to catch-up.
  • Create a WhatsApp group which is available for everyone to engage in.  It can be used for chat and also for sharing any business information.
  • Create a Facebook group for employees. It can be a group for all employees, so that furloughed employees can engage with working employees.
  • Set up some online training sessions for furloughed employees which will enable them to keep their skills up-to-date.
  • Create a wellbeing communication channel. This should be separate to the business updates. You could send out emails with useful links, or create a Facebook page so employees can share resources to keep them healthy in body and mind during furlough.

These are just a few examples of what you can do. Whatever you decide to do, it’s important to monitor what your employees are saying so if there are any posts or messages of concern, you can address them proactively.

If you need any support in supporting through furlough, please do get in touch

Coming soon: More on managing through COVID-19

How flexible are you?

Parents and carers were given the legal right to make a flexible working request in 2002. From 2014 any employee with over 26 weeks’ continuous employment with their employer has the right to request flexible working. However according to a recent CIPD report, Megatrends: Flexible Working, the number of employees working flexibly has flat-lined since 2010.

Why not be flexible?

Apprehension and at times downright negativity about flexible working is not unusual. Requests to work fewer hours, compressed hours and/or working from home often provoke this response. This is particularly the case if the employee making the request manages other employees. Employee visibility is the issue and managers think if they can’t see their staff, they don’t know they’re working. Managers question their employee’s honesty, convinced they will be ‘out shopping, or walking the dog when they should be working’.

Where does this lack of trust come from? Employers need consider if they expect employees to deal with work outside of their contractual working hours. If they expect flexibility but don’t reciprocate due to a lack of trust, employee goodwill will wane.

Reciprocal flexibility works

Perhaps this is a bit extreme, but trusted flexibility can work both ways to the benefit of everyone. It just requires a bit of extra thought about how it can work. If employees want flexibility and their employer gives it to them, their engagement, loyalty and commitment will increase. If employers refuse requests, employees will ask why they should go the extra mile when the company isn’t prepared to do the same for them. They will be less motivated and may begin to ‘work to rule’ or look for a job elsewhere. I don’t think any employer would want that outcome, especially at a time when the ‘war for talent’ seems tougher than ever.

Managing flexible employees

It’s a reality that some jobs really can’t be done flexibly, but every requests need to be considered properly, to see if it can be accommodated. Managers are often concerned about managing less visible employees. But if outcome-based objectives are set, it should be easy to identify and address a dip in performance levels. It’s entirely possible that managers feel overstretched and feel they don’t have the time or energy to consider how it might work. But companies that provide flexibility will benefit from increased talent retention, engagement and productivity. At a time when there are reported skills shortages, surely it’s worth the effort?

If you would like help managing flexible working in your company, or support in dealing with a request, please do get in touch.

Recruiting the best

Having the best talent in your business is key to its success. Whatever your business, if you don’t have the right people in the right roles, you may find achieving success difficult.

If you do hire the wrong person, the cost can be great. Of course there’s the financial cost of replacing people through the usual channels i.e. recruiter fees or advertising costs. It could also result in decreased productivity, decreased employee morale, not to mention the cost of management time and potentially, damage to your employer brand.

By introducing a sound recruitment process you stand a much better chance of hiring the people your business needs.

Our top tips for recruiting the right people
  • Make sure you have an up to date job description outlining the responsibilities of the role you need to fill, and what skills and experience needed.
  • Use the job description to shortlist applicants for interview by identifying relevant experience and skills.
  • Use the job description to create themes you would like explore at interview.
  • Prepare some welcoming questions, to put the candidate at ease, and smile!
  • Use the candidate’s CV to create questions in the themes you have identified.
  • Consider and prepare some probing questions to follow up.
  • Keep the questions on point, and avoid asking any personal questions. ‘Getting personal’ can potentially get you in to a world of trouble, so just avoid those questions altogether.
  • Interview in pairs, so you can really listen to the candidate and develop a rapport without worrying about taking notes, and agree with your interview partner who will ask which question in advance.
  • Allow time for the candidate to ask you questions, and think about how best you can ensure you’re presenting an attractive and authentic impression of the company.
  • Make sure you take notes of the actual answers given, rather than your thoughts or feelings about the candidate’s answer.

Nothing is guaranteed when it comes to interviewing and selecting the right person, but by adopting this approach you stand a better chance of recruiting someone who can actually do the job you need filled, and do it well.

If you would like help with your recruitment processes, please do get in touch with Helpful HR

Love is in the Air

Valentine’s Day is less than a month away, so our thoughts are turning to ‘romance at work’ and the questions that subject raises. During a working week we spend up to half of our waking time with our work colleagues, so it’s not surprising that close friendships and romantic relationships form.

We all know people in long-term relationships with partners they met at work. Whilst personal relationships can cause issues, it’s probably unrealistic to ban personal relationships at work. If you introduce a ban, it would inevitably force budding romances and friendships to become covert. This would lead to an environment of mistrust, deception and fear. However it would be unwise to stay silent on how you deal with relationships as an employer. So, what is the best way to approach them?

Developing a policy

Here are 6 top tips for a developing a policy:

  • Be Realistic. Focus on transparency and create a working environment where your employees can be open with you.
  • Be Specific. Define the point employees need to declare a relationship beyond that of a good working relationship – be it a close friendship or a romantic relationship.
  • Be Cautious. Include clients, suppliers and customers in the policy.
  • Be Fair. Ensure you are clear about the possible outcomes of declaring a relationship. For example in a management relationship, allow for a change to reporting lines.
  • Be Professional. Clearly communicate expectations about professional conduct, i.e. public displays of affection and favouritism.
  • Be Prepared. Accept that sometimes relationships don’t work out, and this too will need to be managed appropriately.

Following these top tips will ensure your policy is realistic and practical, and will ensure your business isn’t compromised by relationships at work.

So, while things can go wrong and issues may arise, having a clear policy will make it easier to take a fair and consistent approach, with the least disruption to your business.

If you would like help developing a policy about managing personal relationships at work, please get in touch.

Blue Monday?

Apparently this coming Monday, 15th January 2018, is ‘Blue Monday’, the most depressing day of the year.  January can be a tough month after the (hopefully) joyous Festive Period and a welcome break from work. But can we really pick one day out of the 31 in January, or the 365 in the year, and say that this coming Monday 15th January 2018 is the most depressing of all?

The science bit

The term Blue Monday was, so we’re told, invented by the marketing team at Sky Travel in 2005 in an attempt to encourage people to buy a holiday at a quiet time of year. There’s even a formula for calculating the date, which includes weather, debt, days ‘til payday, time since Christmas, resolutions broken. It also includes some feeling factors which somewhat compromise the ‘science bit’.

Resistance is not futile

There’s definitely a case for rebellion here. January is tough, but we shouldn’t be told how to feel on a particular day, should we? There are enough challenges to face in this fast-moving world, so let’s all resist this phenomenon! To help us, there’s even a website dedicated to encouraging positive acts on Blue Monday.

Blue at work

The Blue Monday phenomenon does have potential implications for businesses. There may be many people who believe the hype and expect to feel blue on Monday 15th January 2018. And purely for this reason, they may succumb to the negative feelings Blue Monday is designed to exploit.

Be part of the solution

What can employers do to counter these negative feelings? We live in a time when businesses are struggling and ‘austerity’ feels like it has become part of our culture. So how can you motivate a workforce who are feeling the pinch and maintain positivity at work?

There’s no easy, one-size fits all answer. People are motivated in different ways, whether it’s hitting advertising targets and achieving bonus, or receiving accolades for good performance.

Top tips

Here are 5 top tips that should support the rebellion against Blue Monday:

  • Spend time getting to know your team as individuals. Find out hat they enjoy, what motivates them, how they like to be recognised.
  • Make sure you diarise regular 1-1s with your team for the year. Show your commitment to them through the giving of your time.
  • Give thought to what you can do to help them achieve their career aspirations. It may be development, training, work-shadowing, job swapping, coaching and/or action planning. There are many possibilities to consider.
  • Start the year with a team meeting to share ideas and make a plan for the year ahead to which everyone can contribute.
  • Consider a physical activity, to get those endorphins flowing, maybe a team walk at lunchtime, or a sponsored activity which everyone can engage in.

These top tips should help to create a positive working environment where employees can flourish at any time of year. Developing an open, inclusive work place where everyone feels valued will definitely help to build this positivity.

So, while these top tips won’t necessarily stop people from being conned into feeling Blue on this coming Monday, it might help in the longer term.

If you would like to find out more about what you can do to build a positive working environment, we can help, so do get in touch with Helpful HR.

The Season of Goodwill

As the festive season approaches, business leaders have probably been thinking about goodwill gestures they could make, to show their employees they recognise the value they bring to the success of the business. This might be an additional day off, or an end of year bonus and both or either of those options would obviously be very welcome, I have no doubt.

Is it reciprocal?

But how many business leaders approach the end of the year and consider goodwill from a different perspective; that of the employee? How many business leaders will question the goodwill their employees feel towards them as an employer? And how many employers have been pro-actively creating goodwill throughout the year, through their everyday working practices?

Why does it matter?

As Linda Ray commented here, employees who feel appreciated will have a positive attitude towards their employer. As a result they will be much more engaged and loyal, which will help to keep employee turnover rates low. This will lead to reduced recruitment and on-boarding costs, both in terms of money and time. Ultimately this employee engagement, when coupled with structured performance management processes will increase employee productivity and performance, making a direct contribution to the success of the company.

We can help

If you would like to find out more about how to gain or grow the goodwill of your employees, and discover how engaged your employees are, we can help, so get in touch with Helpful HR.

What does being a ‘Manager’ mean?

I’ve come across several situations where a team, or individual members of a team, are suffering with low morale and poor performance. They’re on a downward spiral as not enough care and attention has been paid to the management of that team and the individuals within it.

Some managers genuinely think their Human Resources department are there to line manage each employee in the business. They don’t feel HR is part of their role and concentrate on providing functional business leadership.

Managing people as well as a function is not easy. As a manager you have several things to think about and probably several people, all with different needs and abilities. The role of HR is to help and guide managers through this aspect of their role and it’s a constant learning curve.

Top tips for successful management

I’ve come up with some ‘top tips’ for managers to help them flourish as a truly good manager:

GET TO KNOW YOUR TEAM.   You may think you know them, but have you spent any quality 1-1 time with them?Do you really know who they are, what they do, what they want to do and what they think of what they do? Regular 1-1s are invaluable and should be in the diary at least monthly.

ADAPT YOUR STYLE.   Remember that as the manager it’s your responsibility to adapt your management style to get the best out of your team. It’s not their job to adapt to you.

MANAGE PERFORMANCE.   Make sure you ask people in your team what they think of their performance. Ensure  you discuss and agree with them what their specific objectives are, and when they are expected to achieve them.

COMMUNICATE.   Ensure you communicate any non-confidential management and financial information to your team. This can include any information you think is relevant, useful and of interest. No-one really complains about being given too much information.

CELEBRATE DIVERSITY.   Accept and ENJOY the fact that you have people in your team with different goals, skills, experience and beliefs. Provided you’re all working to the same departmental goals, it’s a benefit to have such diversity within the team, so draw on it.

PROVIDE CLARITY.   Ensure that everyone in your team knows what their role is, what the boundaries are, where they have authority and what you expect of them.

This isn’t a definitive list, but it should set you up for success as a manager. If this doesn’t work, or you have a more specific need then that’s what your manager is for, to provide you with guidance.

If you advice and support to grow and develop to become the best manager you can be, get in touch. We can’t do the job for you, but we can definitely help!