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Quick Tips for Starting an HR Department

May 14, 2018

Everyone knows that starting a small business is never easy. Between hiring new employees and keeping up with payroll - owning your own business can get hectic if you don't have everything in order.

A functioning Human Resources department is perfect for preventing this kind of chaos.

It's no secret. Behind every successful business is a solid human resources department. A good HR department is able to set the moral, find the right candidates, and set the culture for your small business.

But what does it take to develop a solid HR department structure? What steps should you take when wanting to implement an HR department in my small business?

Here the ultimate list of what it takes on starting an HR department.

1. Be Deliberate With Your Descriptions

Job descriptions are everything when it comes to your human resource startup.

A job description is going to be a list that describes the general tasks and duties that inform applicants and current employees what skills are required in order to successfully complete the job. This going to be the main foundation when recruiting quality candidates for your open positions and maintaining quality performance.

The good thing about creating job descriptions, you can be as detailed or as vague as you want to be. But keep in mind that including more information can aid in sifting out the underqualified from the overqualified.

2. Compensation And Pay Structure Is Essential When Starting An HR Department

When it comes to starting an HR department, creating a hierarchal structure will help keep things organized. At the end of the day, the compensation structure will let all parties know ahead of time what the company is willing to pay for the services rendered.

Similar to any other company who wants to be known for their low turnover rate - associates are always looking for a company they are able to grow with. And a structured compensation/pay structure can help do this.

3. Let's Talk About The Benefits

Starting an HR department for your small company will be successful with the right benefits package. Associates who are searching for long-term employment are often looking for benefits that will make them feel secure about their future.

Think outside of the box. There are more to benefits than just medical, dental, and vision. Employees are going to want to know about their 401k plan, vacation days, and paid time off.

Also, be sure to include things like doctor's note policies, permissions, and schedule trades. The more specific you are, the less confusion there will be the future.

*Bonus* Have you considered what holidays your company observes? Is it going to be paid? Because people are proactively planning trips and family vacations- this is something you would want to look into clarifying when constructing your human resources startup.

4. Travel And Expenses Tracking

When it comes to perfecting the HR department structure, there are so many resources available to help you track expenditures.

Phone applications like Xpenditure and Replicon make it easy to put together expense reports and reimburse employees for any expenses they might have incurred. What's even cooler is that apps like Divvy actually offer a $100 special just to demo their software.

When it comes to your human resources department structure, this is going to be perfect when maintaining the budget. Knowing your expenditures ahead of time will help avoid future problems when it comes to billing.

5. What's The Dress Code?

Whether your company requires minimal customer interaction or not, an implemented dress code policy is going to be extremely important when starting an HR department.

Even though modern offices are learning more towards a casual dress code policy, having the right apparel for the job can really set the tone for what is expected.

As the HR department, you play an essential role when it comes to maintaining a good work culture and morale - and addressing and establishing proper work attire will be key.

6. Training

How are you going to train your employees? For those who beginning their own business, this is something that needs to be considered for the near future.

As your company begins to expand, you'll realize that certain training strategies will work for startups but not for seasoned businesses and vice versa.

Sites like Lessonly and Versal provide exceptional online training material for those looking to bring their team up to speed on the functionalities of the office.

7. Give Credit Where Credit Is Due

Don't get so caught up in the normalities that you forget about the simple things. Just like any other department, a reinforcement system should be in place.

Think about it. How did you feel when all your boss/teacher would tell you was what you were doing wrong? Reinforcement systems are essential for bossing office morale and enthusiasm. And when associates have something to work for, it keeps things fresh and exciting.

Award the employees for their work and think about developing a system that encourages them whenever they do their part to represent your company well.

8. Job Performance And Attendance

It's no secret. The more millennials we hire, the more lax the workforce is becoming when it comes to performance and attendance. Reinforcing a strict and clear policy will help avoid any confusion in the future.

Because everyone's standard of a "good job" is different, the human resources department serves as a liason between the associates and the services rendered by the associates.

Set goals and help the new hires reach them. Measure each person's success as well as their attendance. Hold weekly meetings discussing the ways they can improve.

Let Us Be Your Number One Source For All Your Human Resourcing Needs

Every small business owner knows that starting your own business sometimes requires you to wear many hats. And it's not always easy we being an account manager, human resource agent, and everything else at the same time.

So let us help you! We will help guide you in the new hire, onboarding, and recruiting processes and help put your mind at ease. Starting a new business doesn't have to be overwhelming.

For Colorado employers, becoming an HR Branches member will keep you compliant with state-specific employment laws and give you access to an on-site startup that is included in our Platinum package. Please visit the HR Branches Store to learn more.

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