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Human Resource Planning for Small Businesses


Posted on November 25th, by Goldbeck Recruiting in Recruitment. Comments Off on Human Resource Planning for Small Businesses

Small Business HR PlanningHuman Resource planning is often one of the trickiest and challenging part of the business plan, especially as small business owner. It will often fall upon you to make decisions regarding positions needed, candidate hunting, conducting interviews, recruiting and retaining employees. Human Resources are one of the most valuable resources a company has, it is the team that will make or break a small business. It can prove to be very cost efficient or very costly. As such, it should be approached with care and finesse. In this post we’ll give you few tips on how you can make this easier and help select a team that will grow with you and nurture your business.

  • Planning

In this stage, as a business owner you will have to build a staffing plan and understand your immediate personnel needs. You will have to understand how these needs evolve into future personnel needs. At this point, it is very important to build an organizational chart as this would help visualize the tasks, duties and need of personnel in departments. Planning at this stage can also include salaries, benefits etc. Good research goes a long way, so it would always be advisable to see what the current offering in the market is and what your competitors are offering.

  • Searching

Now that you have laid your plan, it’s time to begin searching for your candidate that would likely fill the positions listed in the plan. Believe it or not, one of the best ways to a successful search is being organized. This way, you know and understand what the job requires. A successful search is always accompanied by an accurate job description. This helps you, as a business owner to stay on top of the game and identify any inefficiencies if they may arise. This will also help understanding the skills required for the job even as they grow and evolve with the company. Typically you want to search for candidates through a method that is least time consuming for both you and the candidate. Avoiding lengthy applications can increase disinterest by the candidate. Remember, if the question can wait – it is best to wait.

  • Conducting Interviews

Once you have sorted the list of applicants, it is preferable to reach out to the applicants and use simple questions on the phone to get a better feel for the candidates personality. This would help eliminating those that don’t fit well with the job and skill set required. When you have honed down on few candidates, you will have to set a time and date to have them come down for a face to face interview. In a face to face interview, it is often recommended to have a neutral party or a business coach attend. This way you have access to a more valuable feedback. Meanwhile, you could have a business coach interview your current team as well, this will give you excellent feedback about where your employees stand. These encounters often give way to great new ideas that could be of prospect to the company.

  • Hiring/Laws

When hiring, it is very important to note the laws and regulations of the labour board in the location that you operate and even the rights of an employee especially if they are foreign. Labour laws are often complex can get the business in trouble if they weren’t followed. Abiding by the law also ensures that your employees are happy, this promotes a happier and healthier workplace with lesser employee complaints and lower rate of turn over. Which brings us to the next point, retaining employees. Here is a good list of Canadian Labour Laws to get you started.

  • Retaining

Retaining employees is as important as hiring a candidate. In today’s fast paced world, we all have to be on top of our game. If an employee feels that he/she isn’t satisfied with their job or isn’t getting the appreciation they need – they will move on to better prospects. As a small business owner, it is much harder to keep the top talent and as such you will have to be on your toes to ensure nothing goes wrong and your employees are happy. If you’re not able to retain employees, you’ll be spending more time and resources trying to replace those that leave. Remember Lower Turnover = Lower Costs. Some of the top methods you can use to ensure employee retention are:

  • A growth oriented workplace culture
  • Employees treated with respect
  • A competitive pay with benefits – believe it or not, sometimes benefits are one of the deciding factor for employees.
  • Team building exercises are great too.
  • Alternatives

Hiring a recruiter is a fantastic alternative, while it not just reduces your work load and lets you focus on other important aspects of your business but also gives you access to candidates that you may not have access to otherwise. Most recruiters keep a database of candidates. This is just one of the many benefits of hiring a recruiter. It is also in your best interest to select a recruiter and be in touch with them; keeping them informed about your goals and growth even while not actively searching for an employee. This helps build a long term relationship with the recruiter and helps them know your firm, culture and find you the right fit if the need arises even if the hire was on a short notice.

We always love comments and questions, so please leave your thoughts below. Additionally, if you would like to contact us for our services, you can fill the form right here.

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