Today’s working environment is challenging for a lot of SME employers. Work may not be consistent, challenges finding the right staff, retaining your staff, IR issues, OSH issues are just of a few of the headaches I hear from business owners and managers.
The most common problem is the time taken to resolve issues that have arisen as a result of not knowing what can be done in a situation when dealing with and employee. The top 3 issues are;
- Redundancy -when it applies, how it is applied and the best way tot deliver
- Workers Compensation – how to manage effective and efficient outcomes for the employee and the company
- Employee Engagement – maintaining morale and productivity in tough times, dealing with the expectations of incumbent employees
I could write a separate blog on each of these circumstances and the honest mistakes being made by managers and employees. Managing Human Resources (HR) is a complexity of compliance, knowledge, process, delivery and most importantly communication. When a business owner or manager is engrossed in the operations of the business the simple things like communication, transparency and leadership tend to be put to one side in order to produce and keep the company moving. In a lot of SME’s this is a necessity, but at what price?
“94% of business issues are systems related and 6 % are people related.”
Having the right systems in place for your HR is imperative. The ability to act quickly and decisively can make the difference between a resolution and a disaster. The basics for good Human Resource management include;
- Recruitment, selection, screening and on boarding process
- Employee Contract/ Letter of Offer/ Job Description
- Keep good Employee records
- Employee Handbook – communicate company policies and procedures in compliance with relative legislations
- Remuneration – ensure compliant with Fair Work, pay wages on time.
Remember, the time you invest in these HR basics will pay dividends for years to come. Today, you may not be required to comply with laws that larger employers are subject to; however, it is a best practice to embed these HR basics into your culture from the start. As your company grows and you take on more employees, you will rest easy knowing that you have set up fair, consistent and legal employment practices that ultimately protect you and your business!