5 Ways HR Can Help Small Businesses Grow

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ExecutiveChronicles | 5 Ways HR Can Help Small Businesses Grow | HR departments in large enterprises are widely known for their abilities to drive company growth. These departments are often responsible for training employees, building a team-focused culture, and managing employee benefits.  

But what about HR departments in small businesses? Do they have the same ability to help their companies grow or are they limited to safeguarding employee records and health insurance? The answer is ‘yes’ and ‘no’.  

While small businesses don’t have an HR department, they can still utilize the services of a human resources manager who can help them grow as a company. Here are 5 ways from HR Coach that HR can help small businesses grow:

 Conduct a skills assessment

Corporate cultures can differ greatly between large and small companies. As a result, employees hired for roles in large companies may not be able to fulfill the same roles in small businesses. HR managers can help small business owners evaluate their existing employees’ skills, and identify any skills gaps that may prevent an employee from being successful in the role. 

This information can then be used to inform the hiring process, ensuring that the company hires employees with the right skills for the job. HR can also help small businesses conduct skills assessments for their clients. 

Large businesses often partner with small businesses for specific projects, and HR departments in large businesses can use skills assessments to ensure that small businesses are able to meet their needs. This can help small businesses win larger contracts, which can drive company growth.

Hire the right people

Small businesses are limited in the number of employees that they can hire. This means that the hiring process is critical for the success of small businesses. HR departments can help small businesses hire the right people by guiding hiring managers through the process of writing job descriptions, screening candidates, and conducting interviews. 

HR departments can also help hiring managers identify the best candidates by evaluating resumes and conducting reference checks. HR departments can also help small businesses hire the right people by offering training and development opportunities that help employees grow and meet the company’s needs.  

This can be especially helpful for new hires who may need additional training before they can be successful in the role.

Organizational development

HR departments can help small businesses grow by offering organizational development services. These services include employee surveys, performance reviews, and leadership assessments. HR departments can also help small businesses design and implement talent management strategies that help them grow as companies. 

This can include helping small businesses understand the value of performance reviews, and creating a performance review process that works for the company. Organizational development can help small businesses improve in a wide range of areas, including employee retention, employee morale, and company culture. 

This can help small businesses grow by driving increased productivity, retaining valuable employees, and making employees happier and more engaged. 

Change HR processes to support company growth

HR departments are responsible for a wide range of administrative tasks, including managing employee records, managing health insurance, and managing payroll. As small businesses grow, these departments may struggle to keep up.  

HR departments can help small businesses grow by offering suggestions for improving HR processes and prioritizing the most important tasks. This can include helping small businesses automate record keeping and implement electronic health insurance systems.  

HR departments can also help small businesses as they begin to expand their operations. This may include helping the company choose the best available health insurance plan, and it may include helping the company navigate the administrative processes that come with hiring more employees. 

Celebrating Small Wins

HR departments can help small businesses grow by celebrating small wins. This can include recognizing employee successes and achievements and celebrating milestones, such as receiving a new contract or completing a major project. 

 HR departments can also use company celebrations as an opportunity to recognize and thank clients.  

This can help small businesses grow by cultivating a mutually beneficial relationship with clients. HR departments can help small businesses celebrate small wins by developing an appreciation and recognition strategy.  

This may include holding regular meetings with employees, and scheduling celebrations, such as company happy hours, as needed.

 Wrapping Up

HR departments in large and small businesses have similar goals. They want to help employees succeed, and they want their companies to grow. The key difference between the two is that HR departments in small businesses don’t have the same resources as HR departments in large businesses. They don’t have the same number of employees, nor do they have the same level of budget. 

 This means that the small business HR department will likely focus on more tactical and operational areas. They may not do as much strategic work, but they can still help their small businesses grow by offering services such as skills assessments, hiring the right people, and changing HR processes to support company growth.