The role of HR in scaling your business

A Human Resources department at a startup will look very different than an HR department at a large, established corporation. In fact, the startup’s HR department may just consist of the company’s owner. So, when it’s time to grow, how does HR figure into the equation?

First and foremost, make sure to grow human resources as the business grows. Human resources can play a crucial role in scaling your business, so ensure that department has a voice, no matter how large it is. Check in and have a plan for the human aspect, and incorporate it into your business plan. Hiring, organization, compensation, promotion and culture must align and be internally consistent as the business grows. Your employees will be your most important asset and a good Human Resources plan will help you avoid issues down the road if the department scales as the business does.

How to plan and use HR to successfully scale a business:

Plan for a growing staff. As job responsibilities increase and evolve and new roles emerge, create job descriptions and parameters. An employee handbook can help navigate growing different levels of staffing.

Establish an employee review process, disciplinary processes, and firing processes. Establish the right way to do things as your business grows or even before.

Research other companies. How are their HR departments structured? What makes their departments seamless and helps them manage risk?

 Envision the future of your company. Then think about the programs you should have in place to help you get it there. Would a tuition reimbursement program make sense as you grow? What training programs will you need to establish to foster the types of employees you’d like to keep and attract?

 Streamline hiring. As you grow, you’ll want the hiring process to be seamless. Think about what you’d like to improve upon and what current employees think could be done better. Then implement changes before scaling up.

Have a go plan when it’s time to create a more robust human resources department. Have an idea of when you think the need will warrant the resource, and then be ready to identify that before the time comes, not after you really need one.