Smart ways for SMEs to handle HR activities!

Smart Ways for SMEs to Handle HR Activities

Human Resources is the foundation of every successful enterprise. It is a crucial step for every manager to ensure that they have smart ways for SMEs to handle HR activities.

HR must have a well-planned structure to manage and guide their HR and maintain a healthy work environment.

Human Resource Management is an in-house process. It aims to increase staff performance to achieve the strategic objectives of the organization. The Department of Labor is primarily responsible for managing people within the organization while adhering to the policies and programs of the organization.

Significant HR challenges for SMEs and Startups

Focusing on HR in small businesses and entrepreneurship is not uncommon, which is why HR executives face some critical challenges in trying to make entrepreneurs realize how Human Resource Management can help move their business to higher levels.

Adaptation to Tasks

To maintain high talent and reward them freely, it is essential to provide employees with job flexibility. You can now monitor the performance of employees, or at least offer flexible office hours, to facilitate top talent and satisfy both employer and employer.

SMEs have the opportunity to create a workable, open, and open environment for employees to relax and focus on the work. HR managers working in small companies like these can quickly solve workplace problems by having personal communication with employees and sharing vital information.

You may also like to read : Why HR Management System is beneficial for an Organization?

Exercise Skills

Every employee wants to go far in their professional career, and a company with a few top positions cannot offer many promotions and rewards as a large organization. In such a case, HR managers can refer employees later to enrich job experience by allowing them to learn new skills, a job assignment, or a train crossing.

You can also toss some additional benefits, such as providing high-profile talent the opportunity to visit industry conferences or other value-adding events.

Employee Benefits

Undoubtedly, SMEs and startups cannot compete with large companies when offering great packages and benefits. Make sure you provide a competitive salary and offer benefits such as health insurance, life insurance, retirement plans, etc., benefits such as profit sharing.

Key HR Objectives for SMEs and Startups

The HRM for small businesses and start-ups is different from for large companies because the challenges they face and the goals they want to achieve are different. HR professionals strive to establish effective performance management to identify development opportunities, reward excellent performance, and provide disciplinary or remedial action where necessary.

Some of the critical HR objectives applicable to SMEs and implementation are:

Improve the Skill Model

The primary purpose of the HR department is to recruit the right people for the right jobs in memory of their skills, expertise, and education. This goal is achieved by setting clear job descriptions, establishing job competency models in each department of the company, and balancing roles in similar jobs in the industry.

To ensure business success, HR professionals will analyze studies and data related to hiring, transactions, and costs and create a model of appropriateness.

Explain roles and expectations

To achieve the highest level of profit and efficiency, the HR specialist will align each employee’s work with the company’s strategic objectives and ensure that employees are well aware of the required actions and behaviors by setting clear performance expectations in the job description.

You may also like to read : How HRMS can benefit SMEs and Startups?

Define Organization Size

HR strategies are developed according to organizational characteristics. A company’s existing culture contributes significantly to the planned HR strategies and represents the organization’s style and management.

A description of the organization’s size will give you an idea of how big or small the organization will be – will it be an organization that expects employees to ‘do more with less, or will it work overtime to provide new approaches and evaluations?

Other important factors that directly impact established HR strategies are the type of business the organization has created, the chain of command, and the structure of the organization itself. To effectively employ and retain employees to achieve the organization’s strategic goals, human resource plans, policies, and practices are considered.

Explain the Role of Objectives, Vision, and Values

The purpose, vision, and values of a small business or start-up play an essential role in shaping future HR strategies and objectives for the future. The organization’s work will help you understand why the company exists and to whom it operates. The vision statement gives you an understanding of what the organization aspires to achieve and where it sees itself in the future.

Organizational values are the beliefs that serve as the driving force in the operations and activities of an organization. All three – the purpose, vision, and values of the organization directly affect the type and number of employees needed to meet the organization’s goals.

Perform an Employee Review

Staff analysis is considered a vital component of a staff strategy and focuses on the organization, culture, people, and systems used. Performing employee analysis helps to analyze the company’s current state in terms of the issues discussed above and where they want to be in the coming years.

Identifying vacancies in these areas is a smart way for SMEs to handle HR activities. It will enable HR professionals to identify specific objectives specifically designed to fill these vacancies.

You may also like to read : Benefits of using Project Management System in Startups & SME

Evaluate the Strategy Used

All HR strategies are guided by testing based on specific, measurable factors. A small business or start-up will consider various aspects of building, implementing, and evaluating the effectiveness and efficiency of its HR strategy.

Generally, conducting tests will provide you with accurate facts and statistics on job benefits, several vacant posts, customer complaints, employee complaints, and satisfaction and dissatisfaction with customer and employee standards.

Conclusion

When it comes to HR risk management, an effective strategy will empower you to anticipate challenges at staff levels and practical staff training. In contrast, an effective HRM will propose a solution in the event of a problem.

An effective HRM strategy will provide top talent with plenty of benefits to attract and accommodate them. On the other hand, an effective system will only protect leading employees who apply for a job in the company rather than looking for the best in the entire industry.

Effective HRM strategies are expensive with vital overhead costs, while functional HRM is cheaper and better suited for companies in their early stages.

Top HR Trends That Will Rule in 2021 and Beyond!

Top HR Trends That Will Rule in 2021 and Beyond

HR trends in 2021 have changed remarkably, trying to adapt to the remote work setup. Covid-19 has turned the world upside down. It has affected all aspects of society including the corporate setup. A pandemic that has now taken an even more brutal form, is giving us hints about the future of work and recruitment.

In this article, we will explore some of the top HR trends that are expected to stay in 2021 and beyond.

Top HR Trends in 2021

Some of the trends like work from home and remote working have gained prominence in 2021 but were already practised by some organisations over the past few years. And some of these trends evolved as a coping mechanism for the sudden changes that companies went through and are actively facing.

Given below are some leading HR trends that will rule in 2021-

Work from the safety of your home

Work from home was not an alien concept as there were numerous research based employees, freelancers and many more professional sectors where people worked from home. But there were a majority of organisations, mainstream sectors and large enterprises where the notion of working from home was not much prominent nor did they have policies, protocols and mechanisms to manage their office space in a remote setup.

You may also like to read : 5 Ways To Overcome Challenges Of Remote Work

The pandemic made work from home the only possible option to sustain businesses and this is when companies realised the need to frame a proper discourse with regulations, strategies, work schedule and technical assistance for practical and beneficial management.

Now that acclaimed companies like Facebook, Twitter and Microsoft have presented their views about work from home as the new normal even after the Covid situations, companies will have to address and design their working with respect to the trend.

Purpose-driven management

Remote working brings in convenience but it also gives rise to the possibility of time wastage, distraction and lesser productivity. Now that work from home is here to stay, many companies resorted to purpose-driven organisation. This structure gives a clear understanding to the employee about the work expected from them, the time allotted for each work and the resources that can be allocated to them for the same.

Technical Assistance like project management software has been of great help for both the managers and the admins. Software like Juntrax allows transparent communication to take place within the remote work setup and allows the team to catch an overview of their work progress and updates. This is a great way of creating a purpose-driven workspace that is highly motivated and leads to the overall productivity and profit of the company.

Reevaluating HR practices

Unlike the conservative ways of shortlisting, recruiting and on-boarding, the current remote work scenario called in for a different approach. HR, therefore, had to come up with ways that suit the digital work setup and prove to be equally effective in hiring exceptional talents.

The absence of spontaneous conversations, collaborations and interactions were replaced by online meetings via Zoom and Google meet. With time, managers were able to discover software aids that further simplified the process of recruiting and on-boarding. HRMS setups like Juntrax evolved as the need of the hour.

You may also like to read : The Future of Recruitment

Managers can now easily guide their employees and the employee can engage with the self-service interface that allows them to complete their on-boarding process in an independent manner.

Digital cooperation and communication via online tools like Zoom, Meet, Slack and Trello is a trend that has made its space in the corporate market and is here to stay for long.

Analytical Approach

Maintaining analytical reports is an essential factor that allows companies to assess their performance and work towards improving it. From employee satisfaction to client feedback, companies have been collecting analytical reports as the guiding factor for their work and mechanism

One of the most common ways of collecting employee analytics regarding their absence, presence, performance and pay is through HRMS software. These software automatically fetch information from the respective office management system and formulates analytical reports which can be assessed by the HR to consider raises, deductions, promotions or look into the problems that are causing inconvenience or lesser productivity for employees.

Market Analytics is another way of assessing the industry, studying their trends and implementing the practices within their own enterprise. An analytical approach is a common HR trend that aims at improving the productivity, image and overall growth of the company.

Reinventing employee experience

The change in work scenario caused by the pandemic has taken a toll on the employees and their mental health. An isolated work space often overwhelms the employee and it affects their approach towards their work and productivity. HR managers have therefore worked towards designing a work environment that allows employees to have a comfortable and positive experience.

From virtual team building exercises to light-hearted zoom get-togethers and official work meetings, managers have come up with a setup that ensures an equal amount of productivity and well-being. Many companies have also switched to self-service HRMS applications to allow simplified and transparent communication in order to avoid misunderstandings amongst the team.

Conclusion

Companies like Juntrax Solutions provide an automated all in one business setup which empowers the manager and the company to adapt to the new work structure and keep up with the trends. It further assists the company in streamlining all their office management processes and providing a user-friendly interface to the managers and employees of an organisation.

It is high time for companies to accept and embrace the change that came with Covid-19. Instead of lamenting the loss of good old ways of working, companies need to adapt to the new ways and look at the convenience and cost-effective set up that comes complimentary with the new HR trends.

What is HR Management System?

What is HR Management System- Introduction

HR Management can help you redefine the work structure and productivity of your office space in a commendable manner. From managing company assets to monitoring employees, solving their grievances, generating payroll and assessing employee performance, HR promptly administers many different aspects of the company.

HR Management System is an advanced form of conventional HR management. It assists companies in improving their management system and creating a user-friendly work environment for both the management and the employees. There are numerous well-established companies that have opted for HRMS for adding an advanced and automated Human Resource Management System to their workplace.

Human Resources – the backbone of company management

HR is undoubtedly the backbone of a company’s management.

HR stands for Human Resources.

As the name suggests, Human Resources refers to the employees and staff of a company. They are the most valuable asset for an enterprise and determine the success of the company.

HR, in corporate terms, refers to the Human Resource department that is dedicated to the management of employees, solving their grievances and catering to all the needs of an employee. It aims at providing a comfortable and satisfactory work environment which in turn promotes good quality work and dedication from the employee.

What is an HR Management ?

Now that we understand what HR stands for, we can easily comprehend the purpose of HR management.

Human Resource Management is all about the different processes that are involved in managing the employees of a company.

From documenting their data to regulating their performance, entertaining their resentments to assisting them with skill development and training, Human Resource Management takes care of their entire employee cycle.

HR management is not limited to managing employees that enter the office system, it gets involved right from the initial stages of assessing resumes, shortlisting candidates, organising interviews, hiring employees and guiding them in the on-boarding process.

To know more about HRM read : What is HRM?

HRMS – The Human Resource Management System

HRMS stands for Human Resource Management System.

HRMS is an upgrade to the outdated traditional techniques of managing HR. It comes with a cloud-based interface that permits remote access and network flexibility to the user.

With HRMS, the HR manager can automate all major processes like calculating attendance, generating payroll and monitoring work progress. It engages with all essential data to form an integrated database that can be easily accessed by the team.

It allows real-time data updates and links all HR related data to a cloud. It inculcates ease and convenience to the workplace and provides a user-friendly and hassle-free experience to both the admin and the employee.

You may also like : Importance of HRMS for Digital Marketing Agencies

Advantages of HR Management System

HR Management System has a plethora of advantages that promptly enhance the management of an industry.

Some of these advantages are as follows –

Regular Employee Assessment

There are numerous factors that affect the performance of an employee. These factors can also help the manager in assessing the employee’s performance and detecting areas that require improvement.

HRMS allows managers to come up with transparent assessment reports that can serve as the base for taking decisions for promotions, salary raise and layoffs.

The HR Management System makes it extremely easy to gather individual reports of an employee’s presence, absence and overall performance in projects assigned to them. It simplifies the process of regular assessments and grants a systematic discourse for the same.

You can also read : How HRMS can benefit SMEs and Startups

Transparent communications

Another remarkable benefit of the HR Management System is its capability to infuse transparency in the workspace. It formulates a common space for employees and managers to view basic information of each other. It also allows the employee and the admin to coordinate by providing the status of their leave requests, payroll process and their inclusion in projects and appointed tasks.

Data integration

There are several HR processes that require data from other departments of the company. With manual management, it becomes difficult to filter and share data but with an HRMS this data sharing can be facilitated in a smooth manner.

An HR Management System formulates a common database for all information related to the company and therefore it simplifies the process of sharing and filtering information. In fact, it works simultaneously with other office management systems to share its data with them and fetch data from them when required.

You may also like to read : Why HR Management System is beneficial for an Organization

Access Management

There are different permissions that can only be granted after assessing the job title and position of an individual in the company. For instance, an employee can request for regularising the duration of their work hours for a particular day. This request is made by the employee through their employee portal. But for the manager to view this request and take action on it, they operate through the admin portal.

With HRMS software like Juntrax, access and permission management becomes easy. It provides different portals for admins, super admins and employees, with a distinct set of features and authorization.

Conclusion

Human Resource Management System ensures that the functionality of a business venture is well-balanced and consistent. It looks after all aspects of managing Human Resources and ensures a hassle-free workspace for the employees and the admin. Having a good HRMS software is a necessity for all businesses that aim at outshining their competitors and making their mark in the industry.

From employee self-service to automated payroll processing, leave management and attendance management, companies like Juntrax Solutions provide HRMS software that are laden with tools and features to enhance the productivity and performance of your company.

Click here to Book a FREE Demo today!

Crafted By: Aditi Srivastava

What is an HR Audit?

HR Audits

Every business venture is just steps away from becoming a great name in the market, but covering these steps is not a cakewalk. From admins to the employee, each component needs to be well managed and fulfilled in order to achieve efficiency in the workspace. Human Resource audits assist companies in accomplishing a similar task.

Audits are a detailed study of business processes. They aim at assessing the positive and negative aspects of a venture.

One such audit that is specially dedicated to monitor and review the changes required in the workspace of an organisation, is known as an HR audit..

What is an HR Audit?

The HR (Human Resource) Audit is an audit that is dedicated towards administering the Human Resources Department of a venture. It is a procedure framed to assess all the aspects of HR tasks and concerns of a company. These tasks revolve around company policies, work strategies, protocols, documentation, and office systems.

In order to ensure proper assessment of all aspects of HR, an HR Audit engages with diverse aspects of the human resource department.

To tackle, each aspect of HR audits are divided into more categories.

Some of these categories of HR audits are:

Hiring Procedure
Employee On-boarding
Compensation Plan
Benefits Package
Performance Review
Termination of Tenure
Exit Interview

These HR audits formulate a significant portion of the HR processes in a corporation.

You can also read: Why HR Management System is beneficial for an Organization

Objectives of HR Audit

HR audits assist companies in numerous ways. Some of the objectives of HR audits are :

Assisting the HR Department to comprehend and implement changes for better functioning.
Surveying all data and resource issuance for human resources
Assuring compliance of the company’s working with the governing legislation.
Proposing a strong base for developments and upgrades in future

Varieties of HR Audit

Established upon the several objectives that are served by HR audits, they have many different types.

Some of the different types of HR Audit are :

Policies

Policy audits take care of the existing and future policies of the enterprise. They take care of consistency and ensure that the policies do not violate the legal guidelines.

Salary and Working Hours

Salary and working hour audits monitor the company’s salary structure with respect to the working hours for its employees. It looks after the legal factors related to salary calculations, overtime compensation and benefits.

Legal Compliance Audit

This audit monitors the strategies of the company and ensures that they lie within the outlines of the employment laws. This audit looks into the leave structure, payroll, health assistance, safety measures and HR operations of the company.

I-9 Audit

The I-9 form is a mandatory legal requirement for companies in order to verify that each of their employees has a valid employment authorization. A 1-9 Audit is responsible for monitoring this form and ensuring that it is free from all sorts of errors.

Departmental Audit

Departmental audits are specifically dedicated to a certain department in the enterprise. For example, there will be a separate departmental audit for payroll, timesheets or sales and purchase. It reviews the compliance factors for specific departments of the organisation.

Employee Training

Employee training audits administer the training and development programs of employees. It aims at enhancing the skill set of the company’s workforce by assessing the programs, catching flaws and suggesting upgraded and better programs.

Safety

A safety audit assists the company in taking care of the employee’s health. It ensures that the company takes enough measures in the workplace, to keep away all possible harms that can occur to an employee’s health.

Hiring

A hiring audit monitors the hiring process of a company. It makes sure that the company formulates a consistent, effective, reasonable and non-discriminatory hiring structure.

Benefits & Compensation Package

A benefits & compensation package audit administers the salary and benefits package provided by the company. It ensures that the package takes all legal factors like minimum wage, compensation and employee benefits into consideration.

You can also read : What is HRM?

HR Audit Checklist

There are numerous different types of HR audit as discussed earlier but it is important for the company to keep certain things in mind while implementing them.

An HR checklist can assist the company to monitor these factors while performing HR audits. Here are some of the crucial factors of the HR checklist –

Employee Records

Keeping an updated Human Resource Information System i.e. HRIS is a very essential part of managing the Audits. It allows the company to keep a record of all employees data which makes it convenient to track and search their information. This data is also important for filling the I-9 forms. Both these forms and the data must be kept properly for future requirements.

Employee Handbook

It is important to create an aware workspace. This inculcates satisfaction and work efficiency in the system. Companies must conduct annual checks on the company handbook and inform the employees about all the changes and updates. It is also important to reach out to a legal consultant and get the company guidelines and protocols cross-checked for any violations or flaws.

Compensation

Companies must check with the national pay scale and offer a salary package that is competitive enough to yield dedication and productivity from an employee. A proper understanding of increments must be developed mentioning all factors contributing to the same. Companies also need to ensure that their salary packages fall under the legal guidelines of the country.

Performance Evaluations

Companies must examine their performance appraisal tools and procedures. They need to come up with a structure that will provide a clear duration, requirements, expectations and other criteria that contribute to the evaluation process. Factors responsible for the promotion or demotion of the employees must be presented in a transparent and honest manner.

Benefits

Companies must ensure that their employees are aware of the benefits and advantages that the company is providing them. In order to create an earnest and productive workflow, companies must have a proper assessment of the market and update their benefits package to a more robust package for their employees.

Training

Companies need to propose fruitful training and development programs for their newly hired employees. Depending upon the department of employees, the training plan will also vary. In order to conduct an effective, it is important to view the condition from the employee’s point of view along with the admin’s point of view. Exploring different perspectives will provide better insight and therefore help in coming up with better plans for improvement and action.

Conclusion

An HR audit aims at creating an accurate inspection of all the policies, protocols and practices of a company. It acts as a troubleshooting tool and detects the shortcomings and errors of the system. Along with discovering these errors it also suggests the required action and inculcates efficiency in the workspace and operation of the company. It is a very significant component in the successful working of an enterprise and therefore demands adequate attention.