Human resource management practices and procedures have been researched in small and medium sized enterprises (SMEs). Some common human resource management (HRM) functions that reflect operational and pragmatic needs: record keeping, staffing activities (i.e., recruiting and selecting staff), motivation and retention activities (i.e. compensation and reward practices). Although HRM practices are characterized as informal in small and medium sized enterprises (SMEs), research reveals there are more sophisticated HRM systems in small and medium sized enterprises than expected (Barrett and Mayson, 2007). Strategic HRM allows with an internal capacity to adapt and adjust to their competitive environments by aligning HRM policies and practices (i.e., recruitment and selection and training and development) with business strategies (Barrett and Mayson, 2007).
The resource based view of the firm suggests HRM can be a source of competitive advantage. Writers argue a firm’s ability to develop unique and distinct bundles of inter-linked HRM practices aligned with business strategy are a source of sustainable competitive advantage (Barrett and Mayson, 2007). A strategic approach to managing employees is essential to the growth and development of all organizations, including small ones. This strategic approach is especially important in small growing organizations in wake of the growing complexity associated with a growing workforce. Small firms are known to utilize informal HRM practices for recruitment by word-of-mouth and newspaper ads. However as the workforce of the firm increases, a firm can exhaust its leads making it difficult to locate employees that are reputable and depending and fit within the firm’s culture.
Retention is an area of concern for small firms. HRM tools such as Compensation Salary Surveys are critical when determining competitive salaries http://www.payscale.com.
Performance appraisals are another inexpensive tool that is very important in the growth and development of your firm’s workforce performance appraisal form (pdf) sample/template. Performances appraisals are for the growth and development of your workforce, as opposed to utilizing for monitoring purposes. Aligning your firm’s HRM practices with your business strategy is essential to organizational growth.
We will discuss how to assess your firm’s HRM position as well as align your HRM practices with your business strategy. Until Wednesday, be STRATEGIC in all you do!!!!!!
April,
Information assisting in this Blog was retrieved from:
Barrett, R., & Mayson, S. (2007). Human resource management in growing small firms. Journal of Small Business and Enterprise Development, 14(2), 307-307-320. doi:10.1108/14626000710746727
On demand access to world class advice and consultancy regarding employee issues. As a business owner, there are several areas of business that are constantly challenging. All-4-HR & Business Solutions is ready to assist with your business issues; assess your business strategy, handle your paperwork. Let me know how we can help your business. Review the website: www.halliburtonsupportsu.com to see a list of services, seminars, etc.
Monday, October 17, 2011
Monday, October 3, 2011
HR challenges and schools small business owners for a new day!
HR challenges and schools small business owners for a new day!
HR challenges facing small business owners can be vast. There are some challenges, not that all challenges are not significant; however some challenges can be detrimental to your business’ growth.
Challenges include accounting for tax and insurance considerations. Small business owners must remember to register for an EIN (Employer Identification Number) as well as register for payroll taxes.
Employers must be critical in hiring staff that are a good fit for the organization. In small businesses, organization members wear many different hats. Accordingly, employers should hire members who are committed to achieving organizational goals and not worried about being expected to do “too much”. Employers must also be careful to acknowledge jobs well-done and appreciate the hard work of all organization members.
All-4-HR & Business Solutions can handle your talent scouting and hiring process.
We Are Here to Help You Deliver Great Human Resource Services!!!!
HR challenges facing small business owners can be vast. There are some challenges, not that all challenges are not significant; however some challenges can be detrimental to your business’ growth.
Challenges include accounting for tax and insurance considerations. Small business owners must remember to register for an EIN (Employer Identification Number) as well as register for payroll taxes.
Employers must be critical in hiring staff that are a good fit for the organization. In small businesses, organization members wear many different hats. Accordingly, employers should hire members who are committed to achieving organizational goals and not worried about being expected to do “too much”. Employers must also be careful to acknowledge jobs well-done and appreciate the hard work of all organization members.
All-4-HR & Business Solutions can handle your talent scouting and hiring process.
We Are Here to Help You Deliver Great Human Resource Services!!!!
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