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.

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.

Keep it civil

Rudeness at work seems to be on the rise. In a survey by Professors Porath and Pearson, 40% of respondents said they had ‘no time to be nice’ and 25% said they were rude because their bosses behaved that way. We live in a busy world and people have many demands on their time. That’s not news, but in the words of Harry Hart (quoting William Horman) in Kingsman: The Secret Service, “manners maketh man”. Something has obviously gone wrong. Is politeness a thing of the past?

What’s the impact of rudeness?

There’s a great opportunity for business leaders and senior managers to have a positive impact on this issue, and ensure everyone in their business is treated respectfully as a result. 48% of employees on the receiving end of rudeness intentionally decreased their work effort and 47% intentionally decreased the quality of their work. Rudeness at work causes commitment to decline, turnover to increase, productivity to plummet and recruitment costs to increase. By creating a polite and respectful workplace, commitment and productivity will increase and your turnover and recruitment costs will decrease, because you’ll be able to attract and retain the best talent.

What can you do?

Small changes can make a big difference, so here are our top tips for creating a respectful workplace.

  • Be friendly, greet people warmly, say ‘thank you’ and ‘you’re welcome’.
  • Give 100% of your attention in meetings. Put your phone down and engage in the matter at hand. The meeting will probably be shorter and more focussed as a result.
  • Listen to your team members’ thoughts and ideas – they may be on to something.
  • Make it clear that rudeness won’t be tolerated and there are no excuses for it. If you make politeness part of day to day interactions, it will be contagious, so the impact could be huge.
  • If you see rudeness, address it directly, and encourage employees to report any incidents to their line manager.
  • Establish a staff forum where employees can share concerns with a nominated senior team member and discuss how the concerns could be addressed.
  • Hire and retain employees who exhibit the ‘right’ behaviours.
  • Lead by example, regardless of who you’re talking to and your own stress levels.
  • Carry out exit interviews to find out what employees really think.
  • Train and coach line managers in respectful people management practices.

If you’re concerned about behaviours in your company and want to discuss ideas on how to address it, get in touch.