If you’re an ambitious and smart leader, then you’ll already know that spending money on your HR function is absolutely essential. Your people have the power to drive your business forward and are the ones making sure your big vision comes to life. When you get things right, your HR spending is an investment, rather than a cost and can deliver a return many times over.
It’s important to be realistic here though and recognise that there’s a balance that you have to strike. If times are tough and you’re concerned about your budget, then there are things that you can do right away to ensure that your costs aren’t going to spiral out of control. Let’s take a look at some practical considerations that you can action today:
1. Sort out your admin
It's a myth that HR is all about admin and box-ticking, but like any good and efficient function, having supportive and streamlined processes will you to focuss on the bits which will really add value to your business. It's also one of your responsibilities to ensure your paperwork is in order when it comes to your team and is the easiest way to save money and insure against future pay-outs.
At it's worst case scenario, great admin and record keeping could save your bacon if you happen to face an employment tribunal: if you can prove that you’ve created and collated all the right documentation during the employee’s time with you, it will make any case you have a lot easier to fight. Many business owners, if they’re being completely honest about things, could make instant improvements in this area.
2. Use the power of technology to boost your reach
You might be amazed to hear that there are plenty of business leaders who are still carrying out most of their HR tasks manually. Maybe you’re one of them. But while it might have been true that it seemed easier to do things yourself in the early days when you didn't want to invest in solid systems, the increase in accessibility of many systems now available and the lowering of the cost of these through cloud based delivery, gives no one an excuse anymore in these areas.
Many businesses get to the point though when they’re wasting a ton of time and money by doing things the old fashioned way. It may be time for you to admit that things have to change, and that technology could make your life a lot easier. Payroll is always a key area to have oversight of (after all, your costs here are likely to be a high perecentage of your costs) however manually intervening in preparing this is unnecessariy these days. Imagine how much simpler your role would be if you knew that all of this was taken care of automatically. Fantastic HR software is included comes free with the monthly membership subscription option to theHRhub - find out more here.
3. Audit your practices and procedures to pinpoint problems before they arise
There are a ton of costly HR mistakes that could be easily avoided by just ensuring that you’re regularly reviewing the way that you do things and calling in a little professional help. Legislation, for example, can change often, and you may find it hard to keep up. The truth here is that you could be breaking the law without even realising it. Check out your own HR Health by taking our short survey here: you'll get a written report outlining any risks your business may have & the peace of mind of knowing how to set things right.
If you’re concerned that you’ve let things slide, get in touch today. Investing in some advice is likely to be more affordable than you think - and it can definitely be kinder on your finances than the alternative. We can have an open and honest discussion about where you are right now and what you need to focus on to get the most out of your HR budget.
Call us on 0203 627 7048 or drop us a line at firstname.lastname@example.org.