Human Resource Department: How Do I Set Up?

If you were given the task of setting up a new Humanhave? Is it meeting the organization's needs? Is it
Resource Department in a small company wheremotivating your employees? Is it competitive and fair?
would you begin? Such a task would be extremelyHow about your benefits? Are you getting the best
daunting, but not impossible, if you follow a few tips. Tocoverage for your people at a price the employees
begin, you need to answer some basic questions:Whyand the organization can afford? Is your total
do you want to set one up? What's changed to makecompensation attractive enough to retain existing
you or the organization believe that an HR departmentpeople and be an incentive to new people?What's it
is needed now? What do you want the HRlike working at your company? Are people productive
department to do? How will this function contribute toand motivated? Are you looking at the indicators of a
the success and bottom-line of the organization? Will itproductive and motivated workforce (absenteeism,
add value?In other words, before you begin the task,tardiness, turnover, grievances, high workers'
you need to have a clear definition of the mission andcompensation rates, poor quality, missed deliveries, and
goals of the department and secondly, what role youpoor productivity)?What about your training? Are
will play as "head" of the HR function. Once you havemanager's and employee's skills current? Is training a
clear direction, there are some key "audit" issues that"way-of-life"? Are you growing your people or do you
you need to focus on.Do you have personnel files onhave to go to the outside every time you need
all your employees? Are they current? Do you have allsomeone with a specialization? Are supervisors
the legally required documentation? Do you have itemseffectively managing their employees?Are managers
in the files that don't belong there?Do you have policiesand employees kept informed? Do they know what's
and procedures? Are they up-to-date? Are theygoing on? Is the grapevine the main source of
followed? Do you have an employee handbook? Docommunication? What are the sources of
you have the right language in it? Have youcommunication?Obviously it is impossible to make a
inadvertently created a contract between you andcomplete guide of things you need to consider when
your employees? Do you have policies dealing withstarting a new HR department in a small company.
ADA, EEO, FMLA, sexual harassment, workers'However, these are some of things you should
compensation, safety, benefits, discipline, etc.?Are youconsider. As you begin the process, get some
in compliance with state and federal regulations? Doprofessional help, whether through networking with
you have a working knowledge of the law? Do youpeers, other organizations, or outside expertise. It is a
have all the required postings, forms, andbig task, but one that is critical to the organization.Rick
documentation required by the respectiveDacri is an organizational development consultant,
governmental agencies? Are all the managers awarecoach and featured speaker at regional and national
of their legal responsibilities and liabilities?Are youconferences. Since 1995 his firm, Dacri & Associates (
recruiting and selecting the right people? Are youhas focused on improving the performance of
aware of the talent and skills needed to move yourindividuals and organizations. Rick publishes a monthly
organization forward? Do you know where to findnewsletter, the Dacri Report ( with the intent to provide
these people? Are you recruiting in a cost effectiveclients and friends critical information on issues that
manner? Are your managers trained in interviewingimpact them, their organization and their employees.
techniques?What kind of compensation plan do you