Your Business With James Caan 2017 - 224
Ignore human resources at your peril. Three experts
explain the importance of getting HR right first time
uman resources may sound like
an unnecessary expense when
you're starting out. After all, it's just
recruiting and salaries, right? Wrong.
Getting your HR correct from the start
can save you money, stress and legal
problems in the long-term. We asked
three specialists how HR can help your
new business run smoothly.
WHAT IS THE PURPOSE
OF HUMAN RESOURCES?
SUE TUMELTY, FOUNDER,
THE HR DEPT: HR is
about getting the best
from your people and
preventing problems. Staff
are usually your biggest investment but
often aren't maximised. For someone
setting up a business, 'compliance' -
contracts, policies, health and safety,
fair recruitment - is a must. You also
need to manage and support your staff,
including one-to-ones, appraisals
and staff development. If all staff
are performing to the vision and
values of your business, it leads to
success and profitability.
grows. However, many fail to grasp
their legal responsibilities.
WHAT ARE THE MOST
COMMON HR PITFALLS
FOR NEW BUSINESSES?
SUE: Recruiting properly. Don't rush
and cut corners - you'll regret it. First
make sure you're recruiting for the
right roles. A business owner may
recruit a salesperson when in fact they
are the best person to sell their
products and what they really need is
an administrator to free up their time.
You need to define the role and have a
person specification to find someone
with the knowledge and skills required.
Compliance is essential. Issue a
contract within eight weeks, establish
health and safety policies and decide
how you'll manage your team - taking
into consideration working hours,
holiday entitlement, absence rules and
ANGELA CLAY, MANAGING
Employers often don't
obligations to staff. Policies
and procedures enable you to set the
standards of behaviour, conduct and
performance you expect, and what
action you'll take if they fail to meet
That lack of knowledge is
understandable - many business
owners start out as a sole traders, then
need additional staff as their business
WHICH AREAS ARE MOST
IMPORTANT WHEN STARTING
WORDS: CATHERINE FRANCIS