Strategic HR

Not sure if you need HR yet?  You do.  As a matter of fact, you’re probably late.    Do you have HR on your payroll but aren’t seeing anything from it but red tape and expenses?  Maybe you’re not sure what HR contributes to your bottom line other than a reduction of liability (compliance).    Human Resources is the art of management.  Your company’s future is only as bright as the people working for it.  Does the future of your company, then, only rest on how good you are at identifying good employees in the interview process or is there more to do?    If you buy a machine that is rated to make 100 widgets an hour, do you accept it when you only get 80 an hour?  Do you get rid of the machine and buy a new one?  Of course not, you have too much invested in the purchase of the machine to simply toss all of that aside and get a new one.  By my calculation the cost of hiring an employee is, at a minimum, half of the annual salary associated with the position you’re filling.     Then why is that the approach that so many businesses take when they hire people?  It’s because they don’t understand the power of engaged employees who actively solve problems, find new ways to accomplish company goals, and grow more efficient over time.     That is the role of Human Resources.  You can’t change the oil, reset the gears, or reprogram employees like you can machines, but you can develop their talents and increase their productivity over time.  Human Resource professionals in your organization are there to help managers do that.      All of the areas that HR manages such as benefits, perks, policies, and pay are only tools that HR uses to ensure your employees become more productive over time.  I’m famous for starting speeches with the phrase “most HR people suck”.  If your HR team isn’t actively improving the efficiency of your human capital, you need to reexamine HR’s role in your company.  …And that’s why The Grange is here.