No matter how long you are running your business- be it a month, a year or a decade you surely know the importance of Human resource management (HRM) operations. It is impossible for an organisation to create and build a great team of excellent working professionals without great Human resources. This team looks into various needs of the company such as recruitment, training, motivating employees as well as encouraging workplace communication, appraisals according to performance and many more. Your company won’t last long if your employees aren’t receiving their paychecks on time or getting the benefits according to their hard work or lack training to handle the technology.
However, you can avoid all these and we are here to help you identify the most common mistakes companies make concerning the HRM operations. Proper research and analysis of various companies have led us to these most common mistakes and we know it is going to be extremely beneficial for you. Doesn’t matter if you are just starting out with your company and planning to have an efficient HR team or wish to bring reforms in your company management. These tips must be followed before you take any decision. So, here are the 5 most common mistakes made by companies concerning the HRM operations:
Obsolete employee Handbook All the businesses must have an up-to-date employee handbook, no matter how small or big the organisation is. This book can be viewed as the corporate bible. Therefore, it is extremely important that the handbook is complete and up-to-date. If your employee fails to follow a certain rule that is of utmost importance to you and it’s not present in the employee handbook written in plain English, you lose your chance of legal recourse. Be sure to write them all down in the company bible in order to guide your employees properly to what are the things that are acceptable and what is completely unacceptable.
Incomplete Employee files
If you want no compliance issues later, it is advisable and utterly important to keep records of all the documents and files attached to your employees’ working career. It must be ensured that all the documentation has been done correctly, successfully and succinctly. Certain things that must be kept in mind while creating the files are
Information on social security
Documents containing personal information such as the disability form or the leave forms must have a separate folder whereas it is considered good practice to ensure that the proper documents related to the performance of the employee are kept in the employee performance file.
Properly trained employees enhance the efficiency of the company as a whole. Providing your employees with proper training is very significant and is considered as a valuable investment for the future aspirations of the company. A training procedure during the onboarding of the employees will help them identify their strongholds and use their skills to perform better and enhance the performance of the company. They shall learn how to make use of their skills to bring maximum benefits to the company. The organisations that invest in training their employees have an added advantage of making their employees feel valuable and capable of putting in the best effort for their company. The employees must be told about their strengths and weakness through their performance report in order to bring the best out of them and ultimately benefit the organisation.
Improper Job description and impulsive hires
Recruit the best, to become the best! Employers must avoid impulsive and hasty recruitments and promotions. You must conduct an analysis of the exact skills you are looking for in the person you wish to hire and the reason behind the recruitment must be clear. The numerous hours of future hassle can be easily avoided by spending a few valuable hours in preparing a proper job description. The candidate you are interviewing might have some amazing skills however, it is significant to remember the skill set you are looking for. A detailed analysis of the job description helps you remain focused on the actual requirements you are looking for in the ideal candidate.
You must remember that vague job descriptions are a death sentence for business operations. If the job description is not proper the functioning of the company will go haywire because the employees will be utterly confused with their prescribed job roles, ultimately bringing down the company along with themselves. Some of the details that must be kept in mind while creating a job description are :
Certifications or skillset required
Physical requirements (Standing, sitting, lifting heavy weights etc)
Hours of work
The structure of the organisation (The person who needs to be reported?)
Poor HR policies
Dare to overlook at the internal HR audit, congratulate yourself for an added burden to run your business. It is highly recommended that proper time and effort must be given in auditing the HR policies and you must make sure that they are complete and in compliance with the current rules and regulations.
It is quite common among organisations to ignore the vacation pay-out policy or the disaster and violence in the organisation in their handbook. This might lead to employees quitting with unused vacation time. If they are not informed beforehand about the treatment of that time, they are sure to complain.
Unfortunate events are most likely these days. If thorough guidelines are provided regarding the steps that must be ensured during such situations, it saves a lot of time for the company and the employees when the disaster strikes. It will not just help the company bounce back in no time but shall also help the employees and the customers. Certain points that must be kept in mind while creating disaster plans are:
Evacuate or shelter in place during such situations?
How will communication be established between the employee during the disaster?
Who shall be the in-charge?
What are the pre-established responses?
Do the company possess an off-site place for the people to gather?
These plans will not just reduce your liabilities and stress but shall also save the company from extra loss to the already disaster-affected business.
Precaution is better than cure. These are certain points that must be kept in mind to avoid the mistakes that most companies make. A thorough and complete analysis has been done before coming up with these top five common mistakes. We care about your company and want only the best for your organisation. We are the best HR management software that you can look for not just in Bangalore but in the entire nation. We want you to avoid these common mistakes and get the most out of your company. If you have any trouble managing your payroll, we are always there to help you with our cloud-based HR and payroll software. Let’s stay collaborated and plan, organise and achieve together.