At what point in its growth does an SME require a shift to more formal HR processes? SMEs reach tipping points because of a growing number of employees and the tradeoff between the perceived costs of investing in HR staff versus the potential benefits of having better individuals and processes managing the growing workforce.
'At what stage does the management of talent transform from one of the many
things you have to do as a functional jack-of-all-trades
to something requiring more expert attention?'
When Albatross Group reached 80 employees, the time had come for the CEO to hand the reins to a colleague with more than just a passing responsibility for people in the business. This report looks at the experience of this SME and explores balancing cost and benefit and the five stages of SME HR life.
This is the second Research Insight in the Valuing your Talent programme, in which three professional bodies representing the HR and finance professions and management – the CIPD, Chartered Institute of Management Accountants (CIMA) and Chartered Management Institute (CMI), together with the RSA, are collaborating. The work, which is being supported and sponsored by the UK Commission for Employment and Skills (UKCES), is designed to help employers understand how to measure the impact their people have on the performance of their organisation and as a result make better people management and workforce investment decisions. This report was written by Dr Anthony Hesketh, Senior Lecturer at Lancaster University Management School.
Visit our Valuing your Talent web area to discover more about the project and measuring the impact people have on the performance of their organisation.