An Effective HR Governance framework and strategy reflects on the relevant industry economics, workforce dynamics, desired culture as well as leadership preferences. The successful execution would generally require an effective risk management and performance measurement practice combined with effective communication with management personnel.
Very important pillars:
- Developing human resource policies;
- Implementing and adhering to all policies;
- Review and revise policies;
Regular reviewing of policies should be built into the culture of the company to guarantee that both policies and procedures remain aligned with the vision, mission and goals of the company.
There are various types of HR leadership teams. For the best results:
- It should represent employees from all sectors of the business, each should have equal say in company HR matters and be unanimous;
- Final decisions should be made by the CEO as to whether recommended changes should be implemented or further reviewed;
- Participation should be encouraged from the team;
- Keep all meetings to point so that “strong personalities” cannot use this time to ‘fix/complain’ any other problems within the company but to schedule a more appropriate time.
Every small business should manage:
- Compensation and benefits: It’s critical to stay current on salary trends to attract and keep top employees.
- Recruitment and Staffing: Finding the right employee for your business is a long and tedious process but when the right one is found; work will flow smoothly.
- Training and development: Training employees is integral to any business. Employees need to learn important things like company culture, their job duties and the procedures. Employees should also be trained to grow within the company when opportunities arise.
- Employee Relations: Engaged employees have a higher link to increased productivity and improving the bottom line. Effective conflict management can ease any tension in the office. Employees who enjoy working at an office also have increased productivity. (Read our blog posts; Fun motivates work, Recognition and rewards, Treat well for motivation for more information)
- Employee Satisfaction: By monitoring employee satisfaction it is easier to see how well the company is managed as they have a unique perspective of how things are done, also how clients view the company. So like Richard Branson once said “Clients do not come first. Employees come first. If you take care of your employees, they will take care of the clients.”
- Labour Law and Legal compliance: There are many laws and restrictions that regulate how companies are run in all their divisions. It is always advised to stay current with any changes within your industry and with regards to employees, financial and safety regulations/ laws.