Avoid these common HR mistakes

If you need a clean, lean organisation, you need to get any sort of HR dilemma sorted. How do you go about it? Read on...

There is no denying the fact that with a visible growth environment, startups are working efficiently to reach their potential by aiming to convert their growth plans into reality. But the Indian startups still have a number of challenges especially when it comes to handling and managing their employees and the overall human resource development.

The HR Dilemma:

Most startups as well as older organizations face HR dilemma when it comes to finding the right talented people for the enterprise. Since most small businesses operate on a tight shoe string budget, the core management team often focuses its attention to managing the day to day affairs of the company.

While important aspects such as finance, supply chain management, logistics and branding are actively managed, the human resource module takes a back seat. It’s not a surprise then that most of them are often faced with the dilemma of work force shortage especially skilled workforce. Even many businesses do have a dedicated HR module, they often underplay the role by not giving due attention or by making some common mistakes that result in average functioning of the company’s human resource goals.

No Employee Appreciation Program:

Most startups lack a proactive employee appreciation set up not walking the talk by making their workforce a part of the company’s prized assets. Even a small pat on the back for good accomplishments, positive feedback and encouragement from the top management not only makes the broader workforce feels a part of the company’s growth strategy, but also make them more inclined to play a more proactive role in the day to day assigned functions.

Offering incentives other than fixed financial remunerations like stock options in the future or profit sharing could be incorporated as a part of not only making employees a part of the growth of the organization but also grooming them for future management roles making them feel a part of the decision making process.

Lack of Role Clarity:

Most startups in order to avoid costs and salaries for dedicated workforce usually try and multi task various functions using the same employers. But no dedicated assignments for staff create a vacuum between the management and the workers.

Dedicated role functioning also allows employees to think out of the box and provide solutions to answers in their specialized fields rather than doing errands for all tasks within or outside their main area of expertise.

No Social Security Provisions for Employees:  

Many startups often fall into this trap of offering decent salaries to their workforce with no provisions of any social security in the long term. Companies offering social security benefits like insurance plans for the employee as well as his or her immediate family, provident fund, superannuation or gratuities or even retirement benefits for the dedicated employees often find it easy to retain their dedicated workforce even riding against any possible poaching activities from rival companies.

Lack of Feedback Mechanism:

Most startups do not have an open door management policy that could allow a two-way feedback mechanism between the management and the employees. A two-way feedback policy not allows the management to reach the last end of the employee in the organizational structure. It also allows employees to get directly involved with the core management for a better functioning.

HR decisions may have both short-term and long-term repercussions for your business. Please share your views on this.

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