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HR is the connective tissue between employees and management. According to a study by Deloitte, organisations with effective HR practices are 3.5 times more likely to report better business performance than their peers. However, even well-intentioned small businesses with few to no HR & People practices can fall into common traps that undermine their company’s overall success. Ignoring Employee-Reported Concerns When business leaders disregard or downplay employee concerns, it can lead to a cascade of negative consequences. Think of that small niggle which just grows and grows until it explodes…. When something doesn’t get addressed early on, we’ve seen there can be a spike in internal strife and hostility, leading to either issue becoming formal and/ or harder to address or (in a worst-case scenario) team members leaving. From office or manager changes to (heaven forbid) concerns involving harassment or discrimination, ignoring issues when they’re flagged won’t make them go away and instead could potentially lead to hot water and serious legal issues. Proactivity is the name of the game here. You need to demonstrate empathy and genuine concern when employees raise issues, acknowledging their concerns promptly. It’s crucial to outline a clear plan to address and investigate the reported problems. Follow up with your employee to ensure the issue has been resolved satisfactorily. Inadequate Management Training Gallup found that managers account for at least 70% of the variance in employee engagement scores, underscoring their critical impact on teams and the company overall. Yet at some point, we’ve all seen that one untrained manager placed into a key position they’re not qualified for with results that are less than perfect! It’s great to be able to promote someone in your business who has been a fantastic individual contributor and just because someone has not managed before, it doesn’t mean they won’t turn into a stellar people manager. However, without proper training and support, those new to people management may mishandle conflicts or sensitive employee issues, fail to motivate and engage their team effectively or even implement biased performance reviews or salary decisions. Over the past 10 years, we’ve supported and trained hundreds of managers through our Management Essentials Program, which we developed to help with this very issue. In fact, a study by the Association for Talent Development found that companies that offer comprehensive training programs have 218% higher income per employee than companies without formalised training. Lack of a Clear Onboarding Process Many businesses underestimate the importance of a structured onboarding experience, which can result in serious issues from the get-go. New hires may feel lost or overwhelmed, leading to decreased productivity as they struggle to understand their roles or get the much-needed feedback to thrive during this period. This can result in higher turnover rates due to poor job satisfaction. A weak onboarding process also represents missed opportunities to reinforce company culture and values. According to LinkedIn’s 2023 Workplace Learning Report, companies that excel at internal mobility are able to retain employees for an average of 5.4 years, nearly twice as long as companies that struggle with it. HR should develop a comprehensive plan that extends beyond the first day or week. This should include providing an in-depth overview of the company, its culture and the new hire’s role. Offer job-specific training, assign mentors to help new employees acclimate and schedule regular check-ins during the first few months to address any concerns. Remember, a proactive approach to these issues can save your company time, money and valuable resources in the long run. Of course, you can always outsource your HR to qualified professionals too and save yourself the headache. Drop us a line via hello@thehrhub.co.uk or give us a call on 0203 6277048. Don’t want to speak to anyone but would like to read more? Read my book The MAGIC of HR.
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