Running a successful business involves more than just making money; it also means being able to manage the people that make it all possible – the employees. Having a well-defined set of Human Resources (HR) practices in place makes this an easier task to accomplish. Practices that are legally and ethically sound will produce greater results in business than attempting to manage employees in a haphazard fashion.
The best human resources practices create the most effective and efficient method of achieving any objective or task for a business. When aligned with the company mission statement and goals, these practices can address many of the personnel issues that can come up for a business. It is far better for a company to move forward towards meeting goals as one unit, collectively working towards a common goal and having a plan to get there.
The most effective human resources practices include capable leadership in the form of a human resources manager or team with experience in employee matters, legal requirements and organizational development. A successful human resources manager will have both the on-the-job experience and education to effectively lead the personnel efforts of a company. In addition, it is important that the company leadership allow an equal place at the table for human resource operatives to best fall in line with company goals.
One general example of HR practices is human resources planning, which entails paying attention to performance levels by department and evaluating growth so that additional development or recruitment can take place. This aids a business in keeping up with new campaigns and expansion efforts. Failure to conduct human resources planning can result in low performing departments, employee dissatisfaction and added strains on existing resources.
Another example of human resources practices are outsourcing efforts, especially when a company experiences financial challenges or employee shortages. In times of need, the company can work with the human resources management to formulate a plan for a portion of operations to be handled by an outside service such as a temporary staffing firm or an overseas provider. Knowing how and when to suggest this is up to the human resources team that will be monitoring changes in the company and evaluating divisions that may need additional support.
Some companies use the services of an outside human resources consulting firm because it is more cost-effective than having an internal personnel department. Many of the functions and planning that go into the human resources practices can be managed by a human resources consulting provider. This can also be a good way for a company to gain an edge in human capital management and legal compliance because the professionals at the consulting firm often have years of experience in helping companies through their growth periods.