Is Your Human Resources Department Something You Can Do Without?

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Most medium to large sized companies have some assemblance of a HR department and in our economic heyday, this department recruited, trained, and developed many individuals for their organization. They were considered a valuable part of the executive team. And they were very busy.

But how things have changed. Most organizations are not recruiting or spending much money on education these days. Many positions, when opened up through retirement or attrition are not being filled. And let’s face it, HR doesn’t produce anything that can create revenue for the organization. So what is their real value and why do CEOs feel this particular department plays such a small role in the organization’s success?

Let’s take a look at the typical HR Department’s responsibilities to determine if whether or not they can become a strategic partner in your organization.

  • Recruitment. If they recruit and retain the right people for the organization, the cost savings can be huge. I recently read an article stating each employee costs an organization roughly $50,000 just to bring them on. If they leave in a year or two the organization must start the process all over, costing them even more time and money.
  • Training. Many training budgets have been cut and/or employees are receiving training they don’t want or need. While some training is mandatory, such as safety or policy regulations, much is not. Is your organization crowdsourcing training programs to find out what employee’s want to be educated about?
  • Job Evaluation. Human Resources used to be responsible for evaluations, but now most management teams complete their own process or utilized a Feedback 360 tool. HR now provdes management with information about the possible legal ramifications of firing someone.
  • Succession Planning. Is HR doing this or is it outsourced to a consulting organization? Identifying the right person to lead the company can be tricky and can affect employee engagement and morale if the right leader is not chosen.
  • Wages and Benefits. Setting salaries and determining the benefits package is an important part of this department’s function. Is the organization offering competitive wages and benefits? How do you know? Has any market survey work been completed to back this up?

So, how can HR departments be more strategic and better valued by the organization given there is limited job creation, training budgets are tight, and succession plans are being outsourced? Here are some great tips:

  • Bring data-driven solutions to the CEO through the use of employee engagement research and best practices. Clearly demonstrate how listening to employees, and making changes to improve engagement leads to lower turnover and recruiting costs, increased productivity, and happy customers.
  • Only hire individuals who are in line with the company’s strategic vision and fit your company’s engagement profile. Showing you understand the vision and can “walk the walk”, will go miles with the C-Suite team.
  • Stay on the radar by providing monthly, quarterly, or yearly reporting on the improvements and cost savings you have generated for the company. Low turnover rates, high employee satisfaction, and positive customer satisfaction surveys are all indications of a healthy and profitable organization.

Infosurv, a progressive employee engagement organization based in Atlanta, is here to help your organization with any of your survey needs! If you would like to learn how Infosurv can make your HR department more competitive, contact us at 888.262.3186 or [email protected].

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Kyle Burnam

Kyle Burnam is the CEO of Infosurv and the leader of its sister company, Intengo, where he oversees all client research and R&D projects. Having been in the industry since 2005, Kyle brings a wealth of experience to the table and an innovative eye to every project.
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