Human resource management in small business often taken for granted. Small business has an important role in the economic development of a country. Small business is defined as businesses carried out by individuals or business entities and are not subsidiaries or branches that are owned, controlled, or part of a medium or large business and certain criteria. Small business has a fairly large role for a country’s economy, including: expansion of job opportunities and employment, the formation of Gross Domestic Product (GDP), providing safety nets, especially for low-income people in order to carry out productive economic activities.
Given the crucial role of small business as one of the pillars of the economy, small business must be able to demonstrate quality both in terms of products and human resources. Even though your small business is still relatively new and small, there is no reason not to override the quality and role of human resource management in small business. The contribution of good human resources will have an impact on the success of your trademark, competitive ability and the sustainability of your small business in the future. To build quality human resources and be able to contribute optimally, planned human resource management steps are needed. Here they are
Determine the Founding Team
Since the beginning of establishing a business, you need to take into account people who have the potential and ability to build a business that you are running for the first time, they can be called the founding team.
The founding team is a group of people who start a business with different abilities so that they can complement each other. Determine a maximum of 2 best people you know, choose colleagues who have the same goals, commitment, passion and strong determination, to trust each other.
Recruiting New Employees Selectively
The second aspect after you form a founding team is to build a work team. When there are many fields that must be done to run and develop a business, it is necessary to carry out a new employee recruitment process. Make a selection by adjusting the needs of your company, both in number and position.
Selection is done not only by assessing aspects of competence but also the attitude of prospective employees. Choose prospective employees who have good skills and character, the combination of these two aspects will produce employees who are able to contribute greatly to your small business.
Provide Human Resource Training
Large capital is indeed an important thing to build a business, but no less important is the presence of employees as the driving force of your small business. Equip your employees with training to improve work competencies, produce trained and educated human resources. That way they will be able to produce products and innovations that support the development of your small business.
Develop Company Operational Standards
Instill the principles and beliefs that your business will grow and develop in the future. Make rules, procedures and policies that apply to all employees in your small business. Operational Standards aim not only to regulate operational activities but also to be guidelines for maintaining consistency and employee discipline related to aspects of production, human resource and marketing.
Build Workforce Engagement
Employees spend more of their daily time in the work environment, so give them comfort in addition to their mandatory salary. Companies that provide opportunities for their employees to be actively involved, listen to their problems and aspirations tend to last longer and be loyal. HR management by involving employees in every company activity has an impact on work efficiency and productivity.
Reasonable Remuneration
It is undeniable that wages or salaries are things that support employee satisfaction, even being able to affect work results. Give salary according to the standard in the same position or according to the minimum wage. If you want to pay more, first consider the performance and contribution to your small business.
Conduct Human Resource Management Evaluation
The final step taken as part of human resource management in small businesses is performance evaluation. This process is target to know the performance of each employee during a certain period, the form can be of discussions or direct reports. Your task is to study the work of each employee. Give appreciation to employees who have reached or exceeded expectations with the aim of motivating their performance to be even better.
By developing good human resource management, you will have loyal and high-quality employees to work together to bring your small business forward.
