Personnel(ly) Speaking

A Monthly Newsletter from

Personnel Management Systems, Inc.

January 2010

Do What You are Good At

Most of us are only good at few things.  I’m a decent tennis player but horrible golfer, decent plumber (around the house) but terrible electrician.

At work, I’m a reasonable sales person but lousy accountant.  We learn, often by trial and error, our strengths and our weaknesses.  If we are smart, we take advantage of our strengths and find ways to overcome our weaknesses (I will do some plumbing but don’t even think about asking me to do electrical).  At work, we usually overcome our weaknesses by hiring people who are better at those things than ourselves.  I wouldn’t even consider trying to do my own taxes!

Well, in all my years, I’ve never heard any business owner to tell me he or she is good at Human Resources.  In fact, for many businesses, the Human Resources function is a nightmare.  And for good reason - businesses pay out millions of dollars every year in fines, penalties and lawsuits.  We all hear about it, read about it, and unfortunately many have firsthand experience.  Why anyone would want to do HR themselves is like me doing electrical work.  I risk burning down the house to save $500.  It makes no sense.

Now, large companies have an advantage.  They can afford to go out and hire an HR Director who can create a department to take care of all the HR stuff.  But what do small companies do?  They have to comply with all the same employment regulations and contend with the same issues as the large companies do.  We are certainly biased here, but we think a great solution is to hire a firm like ours to help you.  Outsourcing the HR function has tremendous benefits:

• It is much less expensive than hiring someone.
• Your business benefits from all the products and services that the HR provider has to offer, giving your business an HR function that can compete with much larger companies.
• Because it is the HR provider’s expertise, they are going to be quicker, more efficient, and just plain better than you trying to do it yourself. 
• Your employees benefit from having a real HR function, and you benefit from having happier and more informed, loyal, and productive staff.
• You sleep better knowing that the compliance issues are being handled correctly. 
• You can focus on running your business and the things that you are good at.
• You don’t sweat the every day business headlines regarding Cobra extensions, fines for discrimination, immigration raids, etc.

Next steps:

Ask yourself what kind of company you could have if you invested in your “employee infrastructure”.  The way to do this is by creating a fully functional, high quality, HR function.   Would you be a better company if you had:

· Better screening and hiring procedures;

• Clear personnel policies and procedures;
• A quality performance management system;
• A safety program that really prevented accidents;
• A management training program that improved your managers’ skills;
• Realistic job descriptions;
• A meaningful employee relations program that improved communication and effectively resolved employee issues?

High functioning companies embrace all these things and more.  They understand that they can’t do HR alone and need help.  These companies turn to firms like ours.  Call us.

Personnel(ly) Speaking is a monthly comment on HR issues of importance.  It is intended to provide general information and must not be construed as legal advice.  Reproductions are allowed as long as credit for this information is given to PMSI.  We welcome your comments, questions, and concerns.  © PERSONNEL MANAGEMENT SYSTEMS, INC., Corporate Office, (425) 576-1900

www.hrpmsi.com.