MANY organisations are realising and appreciating the need to have a human resource (HR) function in their businesses however small they might be. How many employees should a firm have before there is a need for an HR department?
HR INSIGHT with Paula Kyabbagu Mukama
MANY organisations are realising and appreciating the need to have a human resource (HR) function in their businesses however small they might be.
How many employees should a firm have before there is a need for an HR department?
As firms grow, there is a need to administer the HR function. If you were given the task of setting up a new human resource department in a small firm, where would you begin? Such a task would be intimidating, but not impossible if you set yourself to doing it.
The following tips could help: One needs to answer some basic questions like: Why do you want to set up the department? What has changed to make you or the organisation believe that an HR department is needed now? What do you want the HR department to do? How will this function contribute to the success of the organisation? Will it add value?
Before one begins such a task, one needs to have a clear definition of the mission and goals of the department and what role one will play as “head†of the HR function. Once one has clear direction, there are some key audit issues that one also needs to focus on. Does the firm have personnel files on all its employees? Are they current? Does the frim have policies and guidelines?
Are they up-to-date? Are they followed? Does the firm have an employee handbook? Has the firm unknowingly created a contract between the firm and employees? Are there policies dealing with issues like sexual harassment, workers’ compensation, safety, benefits or discipline?
Is the firm in compliance with government regulations? Does it have a working knowledge of the law? It is impossible to make a complete guide of things you need to consider when starting a new HR department in a small firm.
Put together a strategic human resources business plan to help you map out what you need to do and how it impacts the firm, plus when you will do it.