Friday, 16 November 2018

HR Significance in start-up organization

Introduction:
Generally start-ups are consists of a founder or founders and small core team members. Majority of core members contributing without specific roles, functions. Normally start-ups policies, procedures, functions & team members roles are flexible. More specifically startup environment demands more innovative human resources to be a part of teams.  

What is startup company/Organisation?
Generally company start with owner or small group of founders with little awareness of employee related issues or Non-HR executive handling employee and employment matters. Some organisation hire outside consultant to for basic needs like payroll process and statutory compliance related matters.


Does HR have roles to play?
Yes, HR has significance role to play, HR Professional has to take care of various activities in the organisation, like HR Consultant to implement best HR practices, statutory compliance advisor to fulfil legal requirements, employee relations counsellor to establish healthy employee-employer harmonious relations, recruiter to hire skilled manpower, trainer to up-skill, re-skills employee to utilise their existing skills, knowledge and abilities to excel in the respective functional area, and compensation administrator to define and design attractive compensation and benefits pay structure etc depends upon size of organisation and nature of business.

Major groundwork activities HR have to perform?

HR plays crucial role in organisation initial stage. As per organisation evolution stage HR has a strategic role to play.

Example: organization is in initial stage then more priority should be given on establishing strategies to prioritise to fulfil legal compliance based on type of business, hiring right skilled manpower, establish & define structure HR policies and procedure in align with company vision and mission.  

HR activities to be prioritised as per nature of business and growth plan.

General overview of HR areas are as follows: 

Statutory compliance – fulfilling applicable legal requirements is must for any business, failing in legal and statutory compliance will lead to huge loss to organisation.  

Staffing Plan – Hiring right amount of talent to smooth running business. 

Compensation and Benefits plan – Design attractive compensation plan to attract and retain talent.

HR policies & procedures – Design and define HR policies and procedure in align with business goals and organisation vision and mission. Preparing employee handbook will serve best communication tool for employer and employees.   

Talent management - Design and define each employee job description, KRA / KPI, Performance indicator, establishing proper feedback process will help to manage employee performance effectively.

Cultural issues – Addressing cultural issued is a basic, it best time to define organisational culture at the beginning of the organisation. Building organisational culture not an event or only HR responsibility, it is a collective effort, but HR can play a role of mediator, facilitator to create an inspiring environment, inspire leaders and employee to establish and enforce.

Conclusion
As organisation grows employee related issues become prominent matter to address employment related issues. Hence having HR onsite will help organisation to handle all issues effectively such as hiring, attendance & leave management, training, discipline, policy enforcement etc.

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