It’s tempting to assume that small businesses don’t have to worry about HR, but doing so could put your business in serious jeopardy.
When you’re running a small business, it can be tempting to put HR on the backburner. After all, HR doesn’t directly impact your product or business growth, right?
From hiring the best people to staying compliant with labor laws and insurance requirements, HR actually impacts your business in significant ways. And while it’s tempting to assume that small businesses don’t have to pay as close attention to HR while they’re growing, doing so could put your business in serious jeopardy.
Are you guilty of any of these HR sins?
1. You’re trying to do it all.
You’re the CEO of a small business, but with all the work on your plate, it feels like you’re doing everything–including HR. Though admirable, this isn’t sustainable. And in the case of HR, dropping the ball can have serious repercussions for your business, particularly in the form of hefty fines for non-compliance. The good news is, you don’t have to go it alone. All-in-one HR platforms can help you automate routine tasks, saving time and streamlining compliance for you. One caveat: Not all HR tools are created equal. Make sure the one you select is robust enough to automate all your HR admin work as well as manage complicated tasks like ACA compliance.
2. You’re still using paper to manage HR.
Benefits enrollment, onboarding, time-off requests, ACA compliance. In the past, these HR tasks have required the collection of information from employees via paper forms. End result? A mountain of paperwork and a ton of data entry errors. By managing all of this online via an all-in-one HR platform, you can eliminate paperwork entirely and reduce costly mistakes. And even better, with tools like Zenefits, you can do it all for free.
3. You’re guilty of high-speed hiring.
Finding employees with the right skill set and experiences isn’t something that happens overnight. Still, it can be tempting to hire the first candidate who seems like a good fit. But this can be a costly mistake: just one bad hire can cost a business at least $50,000. So, what do you need to do to make sure a candidate is the right person for the job? Start by crafting a thoughtful and clear job description. Good ones outline both the role as well as how it fits into the overall organization. Include responsibilities, but then also highlight areas of potential growth. High quality candidates can see through shoddy job postings, so don’t skimp. Need more advice? Check out our Ultimate Guide to Onboarding, where we provide detailed templates for job descriptions, offer letters, and more.
4. You don’t have an employee handbook.
Employee handbooks have traditionally served as the repository for important information about company practices and policies. In the past, they’ve also been seen as incredibly boring. End employee handbook boredom by getting creative: instead of just the basics, use the handbook to share your company story, philosophy, and guide your employees to success in an engaging way. (We love this example from the smart folks at Valve Software.)
5. You’re not up-to-date on compliance requirements.
“Compliance” isn’t a one-time activity, it’s an ongoing process. That’s because your workforce is always changing, and there’s always something to account for: new hires, employees that leave or are terminated, people who switch from full to part-time status, and so on. As an employer, it’s your job to collect the information you need, keep track of status changes and stay compliant. Though it’s a challenge for many small business owners to stay on top of this information, you can make it much easier on yourself if you have the right HR tools. Look for HR platforms that allow you to store and manage your employee information all in one place, so that making changes and updates is easy and hassle-free.
6. You’re managing time-off with a (free) calendar.
If you’ve been managing employee paid time off using a printed calendar, email, or some other tool that isn’t designed for the task, you’re not alone. Unfortunately, managing PTO in this way is a recipe for confusion–both for HR managers as well as employees. Look for a PTO management tool that your entire team will enjoy using. Zenefits allows employees to request time off through their HR dashboard and managers can either approve or reject it based on information provided.
7. You’re not sure what the ACA is, or how it impacts your business.
The Affordable Care Act can be confusing, but failure to comply will deliver serious financial repercussions. Fortunately, there’s a wealth of information on the web to help you get up to speed on what the ACA is, and what you need to do to comply by 2016.
Ready to turn your HR around?
Start by looking for an HR platform that can help you manage it all on day one. Zenefits lets you manage all your HR in a single, beautiful dashboard. Get started today.