The Importance of HR Practices

Today’s economy has forced business owners to re-evaluate all aspects of their operations.  Internal systems are reviewed, inventory controls are implemented, sales and marketing strategies are revised and overall productivity is analyzed.  With so many areas to examine and fine tune, many companies overlook one of the largest components of their organization-their human capital.  Evaluating human resource practices is essential to the infrastructure, productivity and future success of the company.

When looking at your balance sheet, it’s hard to calculate the value of human resource services.  A solid knowledge of employment laws combined with clear and concise internal policies and procedures are the first steps in creating your human resource strategy. Having proactive human resource policies and practices is one of the best methods to control internal costs.  Solid recruitment practices insure that the right people join your organization and reduce the expense associated with turnover.  Good training programs will clarify job expectations and improve productivity.   An annual performance review process is essential to guarantee that employees and employers are working toward the same goals.  Instituting human resource initiatives can also help protect your company from potential liability.

To guarantee the success of your human resource initiatives, they should be closely aligned with the operational goals and practices of your organization.  A comprehensive human resource strategy should at a minimum include:

  • Developing and defining a candidate pool
  • Recruiting new employees
  • Implementing new employee orientation programs
  • Instituting basic policies and procedures
  • Conducting ongoing training and development programs
  • Coordinating benefits administration
  • Introducing retention and morale initiatives
  • Conducting annual performance management reviews
  • Instituting termination policies and exit interviews
  • Monitoring and adhering to State and Federal employment laws

From an employee perspective, strong human resource practices show your commitment to their success.  For business owners, consistency and documentation of human resource practices will help insure that all employees are treated fairly, positively impacting your productivity and reducing your liability.

Never underestimate the impact that a comprehensive human resource strategy can have on your organization.  For more information on or assistance with your human resource needs, contact us at 630-584-4555.

 
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