Why Undervaluing HR Is Costly

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Why Undervaluing HR Is Costly
With the influx of new technology, it seems a few companies are slimming down their HR departments. While HR software is certainly becoming advanced and self-sufficient, there is no doubt, no replacement for great HR professionals. In fact, the human aspect of human resources has always been a vital element in a workplace. Here is why undervaluing HR may cost you:

Employee Turnover
This is especially prevalent in new businesses where the CEO may not include an HR department right away. The new business owner or other leaders may end up micromanaging employees, if only because no HR policies are fully enforced. New employees may become frustrated with the disorganized workplace system, and instead they may leave the company.

Lack of HR Expertise
So say you do implement an HR manager, yet you decide to employ someone with little to no background in the field. Unless you have a higher up who can train this employee, you’re looking at a lack of HR expertise. This is a problem because someone needs to be an expert in HR policies in order to keep your business a float. Otherwise, changes to workplace laws, or corrupt leadership can lead your business down a bad path. If anything, make sure your employee has adequate training.

Poor Hiring Process Organization
Now, depending on the size of your company, hiring can get tricky. A small company without an HR or Talent Acquisition head will not only result in a disorganized hiring process, but it’ll also cause more stress on company leaders. If a manager has to take care of project management, plus employee relations, and now hiring, there will surely be some disorganization ahead. Instead, a designated HR manager with a well-planned talent management system will do wonders for your company, its management, and it’s future employees.

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