Protect your assets

By Carolyn Cohen
Illustration: Cathy Pentland

If you value the people who work for you, it's time to invest in someone to take care of them

Who is looking after employee matters in your organization? The CEO, the CFO or controller? Are the tasks divided amongst a number of people? There are many reasons organizations consider creating a human resources department. First, problems are evident: some bad hires or poor performing employees are not getting their work done and are even "infecting" others with their indifference or boredom. Second, managers might re-alize they are not making the best use of their skills and expertise. Someone who is successful at and loves bringing in new business for an organization should not be forced into dealing with people problems. Finally, it is obvious some things are not getting done. Management may know the value of regular performance appraisals or training and development opportunities but don't have the time or inclination to do them. If any of this describes your organization, familiarize yourself with what human resources professionals do, the benefits they bring and how to take the next step. Contributions made by human resources professionals vary widely. We'll look at some of their duties, but these are not the only ones.

Recruitment and selection of staff 

• Help decide the qualifications needed for a position
• Decide how the target audience can best be reached
• Screen résumés and arrange interviews
• Conduct interviews ensuring appropriate questions
  are asked
• Help decide which candidate should be offered the job
• Check references and negotiate salary and benefits
• Provide an orientation when new employees begin work

Compensation and benefits

• Help develop an organizational strategy with respect to compensation and benefits
• Analyze salary surveys to maintain awareness of competitors' strategies
• Research benefit providers to obtain competitive rates
• Administration of a benefits plan
   
  Training
• Assess the training needs of the staff in an organization. This may be done by analyzing performance appraisals, conferring with senior management about the strategic objectives of the organization and talking with managers about new technology, safety standards, etc.
• Coordinate the acquisition and delivery of training materials and workshops
• Design and deliver workshops on various subjects related to his/her expertise
• Evaluate the training effort to ensure a proper return on investment

Staff retention 

• Ensure that salary and benefits are competitive
• Ensure the organization has an appropriate rewards and recognition program
• Provide assistance when an employee is having a difficult time with another employee, a boss or something personal
• Provide assistance to managers when everyday employee relations become a challenge
• Ensure that employees move in the direction of their professional goals

Performance management

• Develop and/or maintain up-to-date job descriptions
• Coordinate the performance review process
• Help to implement disciplinary measures when appropriate
• Consult regarding continuous employee development

Information 

• Maintain data in an organized fashion for each individual employed by your or-ganization. These personnel files might contain salary history, training received, performance appraisals, goals for the future, disciplinary documentation, etc.

Policy development 

• Maintain and update personnel policies manuals

Career development

• Ensure that all employees get personal attention regarding the direction in which they want their work life to progress
• Arrange for applicable testing or other professional consultation in special cases

Consultant and liaison 
Perhaps the most important function a human resources professional can perform is to give support to employees and management. Advising on legal matters (although an HR professional is not a substitute for an employment lawyer) regarding discrimination or harassment, coaching managers on how to coach their staff, providing referrals to employees regarding personal problems or knowledge of current employee trends in your industry are just a few questions that would require his or her assistance.

Benefit of HR departments
Save money — Hiring a human resources professional will mean spending money, but it can also mean saving money. For instance, with someone whose main responsibility it is to look after staff, there's a good chance there will be more stability in your office. You will also avoid the costs associated with high turnover.
Standardization — Having an HR department ensures standardization in staff evaluation, hiring and discipline. This is important as most individuals put a high value on being treated fairly.

Specialized expertise — Having someone on staff who brings expertise in a particular area is valuable. Someone with training and experience can do something more effectively and efficiently than someone who does not have the right training.

Send a positive message — A human resources department tells your staff, clients and the public that you value the people who work for you and that you are willing to invest in their development.

If an organization creates a human resources department, will other executives/ managers/staff still have responsibilities in this area? It's important to recognize that hiring a human resources profession-al does not mean others will never have to deal directly with potential or existing staff again. Senior management decides upon a direction for the organization and this must continually be communicated to staff. It is most effective if that communication comes from those responsible for it. Often, managers are role models to em-ployees. These individuals must be available so those rising through the ranks can learn from them.

What if there are not enough tasks and responsibilities to justify a full-time position? First, acknowledge that getting some assistance with human resources matters would benefit the whole organization. Brainstorm with senior managers about things a human resources person could be involved in. If after you've made this list of duties you are unsure whether a full-time position was warranted, consider hiring a consultant to help with the decision. If you've taken time to think about the issue and to put those thoughts down on paper, this should not be a very expensive undertaking. After careful consideration, you may conclude that the optimal solution in the short to medium term is to use a consultant to handle human resource matters. The benefit of consultants is that you pay only when their services are needed. However, if it looks like a full-time employee could be kept busy, you would have the advantage of having someone whose advice is based on first-hand knowledge of the firm's culture and staff.

The next step
If you've decided to hire someone full time, consider engaging a consultant. You'll need to write a job description (including reporting authority), determine a salary range and decide where you will look for the individual. Because this is likely not your area of expertise, help with the search and selection process would probably be beneficial.

If your decision is to use a consultant, consider the one who helped you make the decision. If this is not satisfactory, ask friends and colleagues who they have had positive experiences with. Interview several consultants. Look for a personality fit between the consultant and members of the organization they would be involved with. If you take the time to think about it and get help, there's no reason this decision shouldn't be as productive as all your others.

Carolyn Cohen CA, MSW, runs a training and human resources consulting practice in Toronto. She can be reached at: c.cohen@sympatico.ca. She is also the technical editor for People management