There are a few core human resource practices that have persisted for decades. They serve as guidelines for human resource professionals, assisting companies in finding the right people for their jobs and helping create efficient, profitable, scalable operations. They’re the best human resource strategies and practices presently known.
What is meant by best human resource practices?
Best practices are a set of human resources management procedures and actions that simply work, that lead to superior business performance. They’re processes that support companies in acquiring a competitive advantage, regardless of the setting or industry. If executed correctly, they add substantial value to a business and its goals. Though every company is unique, these basic HR practices and principles are foundational to every good business.
What are the best human resource practices and strategies?
The following are some of the strategies and practices that have endured for decades due to their effectiveness.
- Undertaking selective hiring: Hiring people who best fit the job enables organizations to add value to the company and creates a competitive advantage. It results in good retention which can maximize company profits by up to 4 times. Selective hiring takes into account qualifications, legal requirements and diversity goals. This type of hiring requires a structured and fair selection process. Selection instruments are used (structured and unstructured interviews, IQ tests, personality assessments, work tests, peer assessments, reference checks). Ability, trainability and commitment are considered.
- Planning for onboarding: Hiring great people is not enough. Onboarding and training employees are crucial as 31% of turnover occurs within the first 6 months of employment. Provide training on your company’s products, processes, mission and vocabulary. Clearly communicate and define your values, conveying how these values dictate how and what you do. Meet with new hires regularly and ensure they understand expectations. Invest the time and energy to keep your good employees.
- Encouraging ongoing training: After recruiting the best people and onboarding them successfully, ensure they remain competent and relevant in the field by providing ongoing learning and development training. Encourage staff to read industry publications to stay current with what’s happening in the industry. On-the-job learning also plays an important role. Consider feedback, coaching, and peer learning. These strategies help your company stay innovative, grow faster and sustain a competitive advantage.
- Providing employment security: Employment security refers not only to the income provided but the sense of being cared for by your employer. This sense of safety enables employees to feel secure about the future and increases retention. In fact, job security is the 3rd most important factor for employees, coming directly after salary and location.
- Establishing effective teams: Teams of diverse people that think differently but are working towards a common goal are crucial for achieving success. Creating and nurturing these high-performance teams is a key responsibility of HR. It’s important for your HR department to measure team performance, reward team excellence and advise management on techniques and tools to facilitate teamwork. Communication software, feedback tools, project management tools and other task and goal setting software are all useful for teamwork. Facilitating cooperation between various teams helps build an efficient and effective organization.
- Providing fair and performance-based compensation: 55% of employees say fair pay is the most important aspect of a job. After you’ve hired the right people, you need to compensate them well, preferably above average. To retain them you must pay them fairly and reasonably!
- Making information easily accessible: Open communication about strategy, financials, and operations creates a culture in which people feel trusted. It encourages employees to share their ideas and discourages hear-say and negative informal chatter.
- Being available: Open communication channels are essential. Make yourself available to your employees. Schedule time for questions and/or discussions. Have open discussions or forums with company leaders/managers on a monthly or quarterly basis. Consider short morning meetings to disseminate information. Ensure that communication is consistent across the entire organization.
- Connecting with and motivating your employees: Find innovative and personal ways to connect to and motivate your staff. Allow employees to leave early on Fridays, encourage one day of volunteer time off per quarter, provide lunch once a month, or give employees the day off for their birthday are just a few ideas!
- Establishing fair and transparent termination policies: Firing is a critical process that takes a lot of time and effort to get right. Consistently evaluate employee performance. Let an employee know that you’re considering their termination. Always give them a chance to change their behaviour. Work with the employee to develop a performance improvement plan. Monitor performance to see if these expectations are met. If you must terminate employment, they’ll know they were given a fair chance to improve their performance and they’ll appreciate the transparency and honesty.
How are HR best practices shifting in 2022?
The events of the last couple of years have had a huge effect on businesses. Remote work, internal communication software, workplace safety, sanitation, air purification and workplace layout have all become important. This has caused some companies to rethink and revamp their best practices, fine-tuning them to adjust to the current situation.
Good HR practices help optimize your business. Some principles are foundational and apply to all industries and eras. Some practices are newer and fit our modern style of work and current situation. From hiring and training to offering job security and the creation of an open culture in which people can share knowledge and ideas, Human Resource strategies and practices add value and support to your business.
Need help with selective hiring and onboarding? Call the Calgary recruiting agency, Equation Staffing Solutions at 1-844-367-9618. We are a reliable, innovative, collaborative agency here to support you in your search for a position and/or personnel. Our experience will assist you! Contact us today.