Human resource management is a key driving factor for seamless management and enhancing performance in the competitive market. It is even crucial in the case of Small and Medium Enterprises (SMEs) as it is considered as the most valuable asset in accelerating them towards economic growth. According to the stats, half of the SMEs end up shutting down their operations in the beginning due to many major reasons, the absence of a proper HR strategy being one of them. Over the time SMEs have done a major makeover with emerging HR trends that have been observed recently –
- Focus on effective training and skill development
To improve employee retention and promote growth, the SMEs are stressing on designing an effective training module to enhance skill set and sense of commitment among new employees.
Some SMEs are engaging employees in mentorship programs in which low-level employees are given exposure by one-on-one interaction with senior level employees.
- Greater employee engagement
The HR managers in the SMEs understand the importance of employee engagement and creating pro-active strategies to do that every month. This directly influences the productivity and keeps the employees motivated.
- Fostering innovations
The SMEs are diverting towards bringing new strategic solutions to evolve rapidly. New innovations are transforming HR policies especially the advent of social media. Around 59% of HR professionals actively use social media channels like LinkedIn to directly contact job seeking candidates.
- Making investments wisely
Any SME needs to manage their finances well in order to make wise investments in the required capacity. Usually, the start-ups have a limited budget. It is crucial that the budget should be well allocated and invested appropriately on training, compensations etc.
- Workplace diversity
The SMEs have been increasingly focusing on the need to have diverse portfolios and profiles of their talent pool. They are investing a great deal of time in the richness of perspectives and bringing creativity in the workplace.
Before recruiting, HR especially considers diversity as a key factor to be implemented right from the start. In fact, these help them creating a talent pool and to secure the best workers for different domains within the organization. Talent outsourcing also comes in play and it’s making its way into HR domain. This ultimately leads to fresh insights from a whole bunch of talented employees leading to a high scope of growth and stability. It also helps in combating the challenges well.
- Strategized talent management
The HR managers are utilizing workforce management strategies to ensure that the employees are not only employed rightfully but also utilized optimally. Some potential benefits are offered to the talented employees and on the basis of how they respond in the company’s growth; they are offered new responsibilities and promotions.
Many monetary and non-monetary benefits are utilized to increase employee satisfaction and accelerate them towards company’s growth.
- Creating a subtle balance between employee’s vision and expectations
The HR managers are now employing strategies to align the company’s vision and mission with that of employee’s. They are relying on various activities like creating leader board, maintain healthy competition between employees and provide fair compensation strategies. From time to time, they are given a fair idea of keeping a vision and the perks in achieving it for the company.
All these up and coming trends in the HRM strategies are used by SMEs to take their operations to the next level. The scope of growth is high with evolving trends and the emergence of new ones.