Micheal started his company about a year back; he hired a brand designer, a web developer, and a software developer. They all worked tirelessly for a couple of months till they had a viable product. He brought a business developer, content creator, and sales expert on board, and they began to make sales. Throughout this period, he has been bootstrapping his team and managing his small staff members. His product is receiving recognition and funding, and he has to expand his team to serve a wider audience. Do you think it’s time to get a Human Resource Manager or set up a human resource team?
In this piece, we’ll explore the role of a human resource manager and whether your business needs one.
Who is a Human Resource Manager?
A human resource manager is someone who manages a company’s administrative functions, especially those related to employees. Although a resource manager is an employee, their job is to act as an intermediary between the management and the staff of a company.
Often, HR is responsible for hiring and firing, employee compensation, receiving and addressing complaints, and more. A Human Resource Manager is an important part of a company, and as long as there are employees, a human resource manager will always be needed.
What does a Human Resource Manager do?
In small companies or startups, the founder often plays the role of a human resource manager, but because they are not always fully suited for it things could go wrong. While, as a founder, you might know what a human resource manager does and might even do those things, here is a more comprehensive look at what a human resource manager does and how they function in a company.
Hiring and Recruitment
When Micheal started out, he handled all of his hiring. He jumped on calls, conducted interviews, and decided who was best for what job. This might be all well and good until he gets more responsibilities and has to hire more hands.
Essentially, hiring staff is a core part of a human resource manager’s job. The entire process, from sending out calls for applications to conducting interviews and tests to the final hiring stage, needs the steady hand of a professional who knows how to manage it, and that is what hiring a human resource manager can do for you.
Onboarding new employees
Hiring new staff might be tasking, but getting them up to speed and integrating them into your established processes is a different story. While Micheal could have a one-on-one with each recruit to show them the ropes and help them adapt to the tools of their trade, repeating this process over and over again can take away valuable time from other important duties.
A human resource manager is trained to recruit new employees and onboard them. They often have better administrative and organizational skills and knowledge that can help them get new employees up to speed and integrate them as soon as possible.
Talent scouting
There are various ways to recruit talent. You can either call for applications or scout for possible fits for your available roles. Scouting for talent is not an easy task. Constantly keeping tabs on multiple fits before approaching and proposing employment opportunities is a delicate affair requiring the best hands. A great human resource manager is adept in this art and skilled in talent acquisition.
Training and development
Human resource managers manage new employees as well as the existing company’s staff. One key function they carry out is ensuring employees are equipped to do their jobs well.
A key way to do this is by organizing training and development programs to help employees improve their skills. Human resource managers can do this formally through company-wide upskilling training sessions or informally by pointing out areas of improvement for each employee and encouraging growth in those areas.
Helping employees grow is an integral part of retaining your employees, as 45% of employees have noted that they would be willing to stay in a position if they received training.
HRMs can foster employee growth through workshops, seminars, senior-to-junior work style training and mentorships, online courses, and more.
Inculcating company culture
A company’s work culture is vital to running a successful business, and the human resource manager is responsible for ensuring that employees know and project a company’s values.
An employer could have his own set of work values and culture he wants to implement, but the human resource manager and the HR team can get the staff aligned with the company culture.
Managing relationships between employees
Assuming Micheal’s brand designer and software developer disagree, it would be out of place for Micheal to step in at every turn. The human resource manager is responsible for settling issues, conducting internal investigations, and maintaining cordial employee relationships.
The human resource manager is responsible for keeping employees in check and fostering friendly relationships between employees and departments. When issues arise, the first point of call is usually the human resource manager, and rightfully so, as they are well-trained to handle conflict and manage interpersonal relationships.
When enforcing disciplinary actions, the human resource department also creates and enforces the necessary procedures to ensure discipline and punish bad behaviors.
Intermediary between employees and management.
Human resource managers essentially bridge upper management and the general staff. Depending on the company structure, they act as spokespersons for both employers and employees, carrying instructions from management to employees and taking feedback to management from employees.
This delicate task requires tact and skill, which most human resource managers are equipped to handle.
Compensation and reward management.
Everyone wants to get paid on time, and while the founder is doing his best to push his company forward, someone has to manage the financial obligations to employees effectively.
Human resource managers are often skilled at payroll management and calculations. They can easily take stock of tax, holidays, pension payments, and other factors and affect these in employee payments and benefits. A dedicated team to handle these tasks often produces efficient and prompt salary and benefit payments with minimal errors.
Compliance with labor and tax laws and regulations.
It matters little if you are a small or large business; no company wants to be plagued with fines and suits, which is an essential duty of human resource managers.
Complying with known laws and researching existing regulations are part of the human resource team’s duties. They can better help a business comply with laws that govern employee management, taxation, and other key indexes relating to the company’s staff.
Managing employee satisfaction.
Employee satisfaction is a big deal when it comes to running a business. Employee satisfaction can determine how effective your employees are at their duties and how long they are willing to stay with you.
A good human resource manager knows employee engagement tactics to maintain employee satisfaction and increase company morale.
Offboarding employees
Many factors can cause a company to part with its employees, such as resignations, layoffs, retirement, etc. Letting go of an employee is never an easy task. Besides emotional attachments, there is usually a lot of paperwork to handle, accounts to disconnect, and final payments or severance packages to make.
A human resource manager manages this entire process, ensuring everything runs smoothly.
What should you look for when searching for a human resource manager?
Now that you know how much help a good human resource manager offers, how do you get the right fit for your company? While it’s a great idea to get an HR manager with a degree in human resource management, here are some must-have skills to look out for when choosing a human resource manager.
- Leadership skills—HR managers should be able to lead and guide employees and motivate them to carry out their duties.
- Interpersonal communication – HR managers need to know how to handle conversations and relationships with other people.
- Conflict resolution – This is a non-negotiable skill, as conflicts are bound to arise in every company.
- Strategic thinking – HR managers must be able to see the big picture and adequately position employees for this picture.
In-house HR or Outsourcing services.
When the chips are all down, it becomes imperative that every growing company with sustainability plans needs a human resource manager and a human resource team. Should you get one from within your company or outsource all your HR concerns to a third-party agency? This is usually a matter of preference, although factors such as company size could be considered when searching for HR services.
While in-house HR teams give you complete control, external teams usually have a high level of expertise based on multiple experiences.
There is no one-size-fits-all, as some companies opt for a hybrid solution. Here they have their in-house HR manager and also hire or outsource some specific tasks to external agencies like recruitment.
In Conclusion.
The bigger your company gets, the more engaged you’ll be as the head of the company. You don’t have to wait till things start getting complicated before you get a human resource manager.
An effective human resource manager and team benefit the entire company, including the customers, and also creates a positive brand image for a company. While the decision is up to you, if you want to keep employees happy and productive, you need a human resource manager and team. At SalarioPay, we provide you with great insights into the world of HR and payroll.