4 decisions Human Resources can make to affect your Business


Many Human resource heads and business owners have said their employees are the most important commodity their organization has to offer.

Although that may sound cliché, each employee brings its own collection of skills and qualities into the dynamics of the organization. That can be either a positive or a bad thing.

Not only is it important who a company chooses to hire important but also who does the hiring.

The following is a list of the types of decisions taken by HR managers which can affect the business, according to People HR.

1. Deciding whom to hire

This will cost quite a bit of money if a new recruit doesn’t work out and either leaves willingly or needs to be fired.

With more money going on the track to attract the next candidate, the resources expended on the recruiting and training processes are wasted.

These are not the only expenses. Morality and efficiency suffer as many workers have to set aside their own jobs to perform the duties of the absent worker.

Unless the fired employee treats clients poorly, some of those clients can never return.

Just because you like them, you can’t recruit anyone just to find out that they don’t really have the expertise and experience you thought they had.

In the other hand, if you employ someone who has all the requisite credentials, there might be a lack of other sections of the equation.

They may lack so-called “soft skills,” like critical communication or expertise for individuals, and may simply be a poor match for the culture of the business.

2. Deciding how you intend to hire them

To find someone who is genuinely a good match for the role, you need to make a series of decisions to set up a system that will identify that person.

If the recruiting process is structured to fill vacancies quickly rather than carefully, you will be recruiting again and again for the same job.

If your job descriptions are too generic and you don’t explain exactly what skills and features you’re looking for in depth, you can be bombarded with resumes from all the wrong people.

Overall, the extra costs of using appraisal testing or even hiring a recruiter can save money, especially for higher-level jobs.

3. Deciding what incentives you should give

The part of choosing the best people for the job is to provide the kinds of benefits that the best applicants attract.

What is most relevant will depend on the population in which your employees find themselves.

For example, for younger employees who enjoy flexible hours and the opportunity to work from home, work-life balance is becoming more important.

But all candidates are involved in their own bottom line while during an interview they can be subtle about it.

They are interested in anything that can give them more money, or save them some money. It has become common to provide healthcare coverage, but workers, particularly those with families, find value in life insurance.

Holiday incentives or performance-linked rewards are also very appealing and can raise the morale of companies.

And don’t underestimate the appeal of items as seemingly insignificant as the annual picnic service.

4. Deciding what the business rules should be

The rules regulating company HR may make workers working lives efficient and smooth or interrupted and unhappy.

In some cases, a working environment may be totally hostile to the well-being of somebody. A good guideline for workers clearly outlines the rules of the market for professional behaviour.

Putting the rules and repercussions into black and white for not following them sets the foundations for a positive corporate culture, which might even avoid any litigation down the road.

Decisions on laws regulating the fraternization of corporations must be taken with great care. Although romances may have devastating effects between staff and their bosses, not all office romances do.

Decisions on human resources will impact the business at all levels. Keeping all such decisions under close consideration will only boost both the atmosphere of the company as well as its balance sheet.

Komolafe Timileyin is a passionate entrepreneur that loves to solve entrepreneurial issues. He is also a blogger and an upcoming Engineer.

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