COO at Orpheus Cyber, Cyber Security Awards and American Cyber Awards Judge, Industry Speaker.
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Since I started working in HR, the way HR is viewed by the business community has changed for the better. The growth of our role as business partners means the department is less often seen as the "department of no" (that accolade is now held by security it seems). It has been exciting for me to see this transformation, but I feel businesses could still be getting more value from their HR teams, which in many places are underutilized when it comes to business growth.
In a period of growth, especially after a funding round, there is often a large increase in hiring. And while HR is often responsible for those hiring processes, I have seen that many times other aspects of HR take a back seat. Increasing headcount can be made significantly harder if the company has to replace employees at the same time as it adds new ones. This also makes recruitment harder, as well as onboarding, training and team formation. In these instances, HR professionals can be tasked with the multifaceted goal of retention as much as they are charged with hiring. Here are three ways HR can enable business growth by going beyond its basic function.
Retention For Business Growth
There are a number of reasons why retention enables growth. The cost of replacing employees is significant, especially when considering onboarding and lost knowledge. Companies that can retain their employees will find that onboarding and upskilling become quicker. It is also important to factor this in during a period of significant growth as replacement hires will put hiring teams under additional pressure.
However, new hires or periods of growth can cause some existing employees to feel unsettled. If a company doubles in size, it becomes a different company. Those who enjoyed working there when the business was small may not enjoy it so much as it grows. They may feel less valued, like their influence becomes smaller, or they may disagree with new decisions. These things can often be avoided with strong communication, and HR can add enormous value by working with the leadership team on this.
Retention touches on many areas of HR. Compensation is a key area; ensuring that existing employees continue to be remunerated in line with market conditions as well as with new hires is important. Strong communication and involvement in the business is also important—ensuring employees understand their role in the company and how they can continue to develop. And leadership is perhaps most important of all. It is often said that people leave managers, not businesses, and this is a key area where HR can enable business growth.
Leadership Skills For Business Growth
If HR can create and develop a strong leadership team, this can contribute significantly to the success of a business. Supporting and developing the existing leadership team is important for retention and hiring, as well as delivering on business goals. The existing leadership team is often overlooked for personal development despite their importance to the business and despite the need every individual has for continued personal development.
Leadership development is also important for those who are not yet people leaders within a growing business. Firstly, this enables a business to hire people for their potential, developing them alongside the business. This can be a key way that HR can help businesses grow, by growing their people. And this contributes to retention by demonstrating that people have a career path with the company, and importantly, that the business will support them in that development.
Hiring For Business Growth
Hiring is what many growing businesses think of when they think of HR. But all hiring is not created equal. Cost and speed are key components of a strong hiring process and as they are tangible, this is often what we target hiring teams on.
The logic that better hiring processes result in hiring better people and better people lead to better business outcomes may seem obvious. And yet without utilizing HR teams to their fullest, it's easy to overlook. It is important to make strong processes part of the hiring strategy and have leadership buy-in to delivering these processes. This could include many things from interview training to preparation for candidates and even swag. But the most important thing is feedback. Ensuring that thorough feedback is provided to candidates at any stage of the process can set a company apart. If HR can ensure all members of a business understand the importance of this, the company will see results in their brand and business growth.
Final Thoughts
Each of these areas can be developed even further, but they require skilled HR professionals who understand the business's goals. By focusing outside of their basic function, HR professionals can offer significant value to the wider business and become a key part of how a business delivers on their objectives.
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