HR Challenges and Solutions for Start-ups

HR is not necessarily the first thing that comes to mind to those that launch start-ups. These entrepreneurs tend to go with the flow, and at high-speed, whenever that is possible. To build an HR department, is often time that they think they don’t have. However, having an HR strategy is a must, if the business doesn’t want to end-up failing in the future. Here are some of the HR challenges that start-ups face, and solutions to think about.

Start with an HR Software

Start-ups are usually up-to-date on everything that has to do with technology. Therefore, it shouldn’t be too hard for them to look into installing an HR Software, inside the company. From there, most of the tasks that are usually handled by this department, can be taken care of, including: Training management, scheduling time-off, acquiring new talents, managing expenses and much more. This will save a lot of time to the management team, but most importantly, it will create order, even if a full HR department is not yet in place. This is definitely the first step any start-up business needs to take, in regards to HR.

Why do Start-ups need HR Strategies?

The answer to that question is clear. When you look at global statistics, you will find that 23% of start-ups fail because they don’t find the right people to join the company. To maximize efforts in recruitment, you need strong HR strategies, right from the beginning. To be able to hire competent managers, you have to implement solid business practices, just like they have in the best companies around the world. Otherwise, you will never be able to retain the services of the people you need to grow rapidly.

How to define Priorities

That is another issue that start-ups have to deal with, that can cause a lot of damage, right from the start. Priorities can often be defined by the will of the management team. However, there are rules in business that need to be followed, if a company aims to be successful. These rules can be better defined by the HR Department. Why? Because they are the ones that connect all the dots, by keeping an open conversation with all parts of the business. If people at the top make decisions that are not productive for the employees that produce, then the risk is that everyone’s efforts will be in vain. 

Start with a Realistic HR Plan

Start-up cultures are strong. It makes it that much more important to define it clearly and to clarify the guidelines for all. Everyone on board should be involved in the definition of the values, and that is a task best handled by the HR Department. This will enable the construction of a solid plan, moving forward, which will help to find the right solutions and calm concerns and issues that can plague a start-up, if the vision of the company is not well-defined, right from the launch. As Start-ups grow fast, they should make sure to go back to the strategy every 90 days or so, just to fine-tune it. It is better than to face a major block on the road, later on.