Responsibilities Of An HR Consultancy Business
“Human, and not financial capital, must be the starting point and ongoing foundation of a successful strategy”, and these are the right words to highlight the importance of ‘humans’ at any and every workplace. The workforce is the main ingredient that shapes the future of any company and therefore this workforce must be appointed carefully. The task of selecting the right candidate and nurturing them in the right manner to help the business grow is the responsibility of an HR consultancy business.
HR Consultancy In Times Of The Pandemic
The responsibilities and role of an HR business partner, who partners with organisations to solve their HR needs, have grown significantly in times of the covid-19 pandemic. As an increasing number of organisations are encouraging their staff to work from home (wherever possible), the onus is on the HR consultants to streamline the process, ensuring it is effective for both the organisation as well as the employees. As the need for remote working grows, there is a greater demand for automation and for collaboration tools along with cloud computing and the enablement and implementation of this needs to be overseen by the HR consultants. Also it is imperative for the HR business partner to ensure the organisation’s workforce is enthusiastic and motivated to work towards the growth of the organisation.
Responsibilities Of An HR Business Partner
An HR business partner, or an HR consultant, has the main responsibility of helping other businesses with their employee related issues such as hiring, handbook maintenance, benefits program implementation and many more. Large organisations can hire their own HR personnel but medium and small businesses can always seek the help of HR business partners, or consultants, to help them with the ‘human’ aspect of the business.
The various responsibilities handled by an HR consultancy business are discussed in detail here.
- Hiring and selecting
The main responsibility of an HR business partner is to help businesses with their employee selection process. The consultancy has to identify the right candidates with the necessary qualifications who will remain at the job and help achieve the goals of the organisation. This involves filtering the suitable candidates and then conducting interviews to select the ones possessing the appropriate skills, experience and knowledge as revealed by the interviews.
- Job design and analysis
This responsibility is as important as selecting and hiring the right workforce for an organisation. The job design and analysis involves describing the position, it’s duties, operations, roles and responsibilities. It is imperative to describe the job first in order to know what skills are needed in candidates in order to hire them.
Job analysis involves describing the requirements of the job, such as skills, qualification and work experience to help recruit the right candidates.
- Training and development
Once the recruitments are done the next responsibility of an HR business partner consultant involves training the employees to acquire knowledge and skills that are specific to the organisation and to the job profile. The training further helps in the development of an efficient workforce that has opportunity to grow along with the growth of the organisation.
- Benefits and compensation
An HR consultancy business can help set the compensation and benefits policy for the organisation. The benefits and compensation establishes fair remuneration for all the employees. The HR consultants need to formulate benefits that are attractive and efficient to encourage more employees into the workplace, working with dedication. The right compensation and benefits policy positively affects the employee satisfaction rate too and therefore must be designed meticulously.
- Performance management
Another responsibility handled by an HR business partner is the performance management of the employees in an organisation. To ensure that the recruited candidates are living up to their selection must be evaluated via a performance management and evaluation program. The performance of an employee further reflects on the team, the department and in turn on the entire organization and therefore evaluating the performance and further taking steps to manage it is vital to the business.
- Employee engagement and communication
The HR business partner, that is, the consultants, also oversees the employee engagement and communication within the organisation. The employee engagement programs help retain the employees. Further communication and engagement helps the employees feel connected to the organisation and motivates them to work more willingly towards its growth.
- Labour and management regulation
Most businesses usually involve the task of regulation of the labour as well as of the management. The labour regulation involves ensuring cordial relations between the actual workforce and the organisation while the managerial aspect involves the regulation of the various relationships within the organisation on a managerial level.
Regulation of the management involves the responsibilities of allotting jobs to the workforce according to their qualification and capabilities, along with managing their work schedule.
Regulation of labour responsibilities for an HR business partner or consultant includes establishing rules, regulations and policies to ensure cordial relations between the workforce, that is, the labour. These policies also act as a protocol for the employees to follow, making it easy for them to understand what is expected. This in turn helps create a harmonious work environment.
- Health and safety regulation
The health and safety regulation is another important responsibility handled by an HR business partner for its clients. A standard set of rules are set-up for every organisation regarding health and safety that the employees need to follow. Some regulations are even stipulated by the Government and related health and safety authorities. It is the responsibility of the HR consultancy to ensure that these policies and regulations are implemented accordingly.
- Personal support
Along with the regulation and management of the entire workforce to ensure that the operations are being carried out effectively and efficiently, an HR business partner also needs to be available for personal problems of the employees too. This is especially true post the pandemic when the situation is different and difficult for the employees to adjust to and they need the support of the HR whether while applying for medical leaves, or during claiming insurances, or for other personal reasons.
These are just some of the responsibilities that an HR business partner handles. Small organisations who cannot afford to have an in-house HR department, benefit greatly from these HR business partners and consultancy services that handle all their human resources or workforce related tasks.
Responsibilities When Starting An HR Consultancy Business
Now that we are aware of the responsibilities of HR consultants, we now need to know of certain responsibilities that need to be fulfilled in order to start an HR consultancy business and work as an HR business partner for organisations.
- Being Qualified
The first criteria to be fulfilled by an entrepreneur in order to successfully start an HR consultancy is to be qualified for the firm. A degree in human resources management, preferably a Master’s degree, is a must to be able to operate a human resources firm. Along with the qualification, it is necessary to have certain experience which will help while dealing with the various issues and responsibilities. Being qualified, in terms of degree along with experience, will also impress potential clients, giving them the confidence to place their human resource issues with the firm.
- Creating A Name
Another important aspect to remember when starting an HR consultancy business is to create a name for the business. Entrepreneurs often forget to pay attention to creating a brand name which is well thought out and which will help clients recognise the business.
Along with an identifiable business name, it is important to have the right legal structure and name for the business. This can be achieved by incorporating the business. As entrepreneurs, consultants have the option to register the business as any of the following business entities-
- Sole Proprietorship
- Limited Liability Partnership
- One Person Company
- Private Limited Company
Entrepreneurs can always get Private limited Company formation service or for any other legal structure and can incorporate their HR consultancy business easily.
- Fulfilling Legal Formalities
Along with opting for a legal structure and name for the business, it is equally important as HR business partners to address and fulfill legal responsibilities pertaining to the business. These include obtaining a GST registration for the business to make it compliant with the existing uniform taxation laws of the country. The common Goods and Services Tax registration is applicable for all businesses that provide goods or service, and an HR consultancy business being a service provider must register for GST.
- Addressing Capital Requirements
The next vital responsibility that an HR business partner needs to address is the arrangement of capital for starting and operating the business. It must be taken into account that an HR consultancy will pick up pace gradually, once it establishes a network and other organisations slowly look to outsource their human resources related job to the consultancy business. While business might take time establishing itself, expenses and salaries within the business will continue, and to make these business related payments, entrepreneurs need to arrange for capital. This capital can be obtained via loans for which entrepreneurs need to create a funding proposal. To ensure the proposal is thorough, entrepreneurs can always Download funding proposal creation checklist and subsequently obtain funding quickly to start the HR consultancy business.
These are some of the responsibilities that entrepreneurs need to take into consideration while starting their own HR consultancy business and assisting organisations to solve their human resources related issues as their HR business partners. For any other entrepreneurial queries entrepreneurs can always consult deAsra Foundation for support and guidance.