HR Strategies that Make a Difference

Human Resources can be mis-understood. I hear all the time that its “fluffy”, “administrative” and “lacks substance”.

What I’m really hearing in these conversations is a business not making decisions based on desired outcomes and not using metrics to track their progress.

Building HR Strategies to make effective operational decisions is what leads to a company’s sustainability and growth.

 Always make decisions based on Desired Outcomes.

At Catalyst HR Consulting, we offer three levels of support:

• Strategic HR Planning;
• Operational HR Delivery; and
• Transactional HR Processing.

In the HR Framework there are five (5) key pillars. Choosing certain HR strategies will make a significant difference to the operational decisions you make within your business.

Here I give my recommended HR strategies for every small and medium business, and how to convert these into operational decisions.

 1. Talent Planning

Strategic: Workforce Planning looks 3 to 5 years ahead and considers the external influences on your company that may affect the supply and demand for key skills within your business.

For example, although the building industry has slowed, this is expected to pick up in the next 5 years. As a business owner, you would consider whether you need additional trades and how you would fill these roles. Do you need to bring on Apprentices? Or will there be enough trades people available in the market?

Plan to meet Future Demand.

Operational: Headcount Planning then considers the next 12 months and how to incrementally deliver your longer term strategy.

For example, if you decided there would be a shortage of electricians in the market in 4 years, you may have decided to develop this skillset within your own company. Therefore, you budget to bring on an Apprentice now to fill a demand need in 4 years.

Transactional: This is the actual delivery of a business decision and will often fall within the Employee Lifecycle process. In this instance, you would recruit the Apprentice.

Why is this so important? Without thinking ahead, you may not have recruited the Apprentice today. By working strategically, you ensure you can meet your businesses future skill demands and continue to deliver on work requirements.

 2. Talent Acquisition

Strategic: There are several elements to a Talent Acquisition Strategy which can include branding, sourcing and profiling. Here I am going to focus on culture and profiling. It is important you know the type of company you want to build and the type of employees you want to hire.

For example, you decide you want a down to earth culture based on respect and integrity where employees are empowered to problem solve and make innovative decisions.

Determine your desired Culture &

employ people who fit this Profile.

Operational: Implement a Recruitment strategy to locate your desired candidates, attract them to your company and hire them. This considers all the practical steps and mediums to achieve this.

For example, when looking for an Apprentice, you decide to advertise through Seek and Facebook rather than LinkedIn. You then develop interview questions targeted at how the apprentice might solve a practical problem in the workplace.

Transactional: Once determining the approach to recruiting, you advertise the role, short list candidates, interview and select the right person for your company.

Why is this so important? Cultural fit is critical to retention. A misalignment of values is draining on the new employee and often leads to performance issues. Deciding the type of employee you are looking for, where to find them and having a targeted recruitment strategy, ensures you save money, time and continue to build your business.

 3. Talent Retention

Strategic: Retention Strategies are endless but only effective if applicable to your workforce. Before getting targeted, ask your employees through coffee catch ups or engagement surveys to find out what their thoughts are. One strategy every organisation should implement is Objective Setting & Performance Management.

For example, ensure you are clear on your company’s objectives and consider how you will translate this to your employees. For the apprentice, you are thinking longer term so for the individual you want them to achieve all their competency units and learn the business, helping to deliver 2 projects for the year.

Provide Direction &

Create a Sense of Belonging

Operational: Once objectives are communicated, regularly check-in and provide feedback on performance. I’m an advocate of monthly 1:1s as this provides ongoing support and allows you to adjust in line with business needs as required.

For example, by meeting with your new apprentice, you realise he hasn’t understood a core concept of his qualification. Instead of being a future performance issue, you provide additional training now and the apprentice successfully completes the assessment.

Transactional: Simply, this is the process of documenting expectations. Ensure every employee has a Job Description and a clear understanding of what they are expected to achieve. Document monthly 1:1s and provide records to the employee if required.

Why is this so important? To feel like they belong and contribute, an employee needs to understand how they fit within your company and what they deliver. This need when fulfilled, leads to a more engaged and productive employee and workforce.

These are just a few examples from 3 of the pillars in the HR Framework. When applied effectively, every pillar links and supports the overall HR Strategy.