Why Investing in your HR Department Makes Sense

by Startacus Admin
We have said it before and we are going to say it again – your people are your biggest asset. Finding and retaining well-qualified and productive staff is essential for success.
High staff retention is vital
Every time you lose a member of your team, you have to spend time and money advertising the role, wading through applications and interviewing people. In addition, you have to put each new member of staff through your induction process, as well as train and assess them.
Add in the fact that a new employee slows down the rate of production while others on the team settle them in and show them the job, and you can see how expensive recruiting a new member of staff actually is. Therefore, you really want to retain your staff. If you want more details and data that proves that a high rate of staff turnover hits your bottom line, click this link, and read some of the studies.
How your HR department helps you to retain staff
There are several ways to improve staff retention, but one of the most important is investing in your HR department. Studies show that the way this team does their job plays a big role in how easy it is to keep employees happy, and encourage them to continue to work for you.
Run an efficient payroll
A good HR team will make sure everyone is paid correctly, and on time. This is more important than most business owners realise. Nobody wants to work for a company that does not pay them properly. Late payments create feelings of uncertainty in a workforce, which can lead to people choosing to work elsewhere.
Monitor productivity
If you set things up properly, you can use your HR team to help you to monitor productivity and absenteeism. Both of which are important for staff retention. If just one employee’s absenteeism gets out of control, other members of staff end up having to take up the slack. This means that the rest of the team are working under almost constant stress. Eventually they end up feeling taken advantage of. Studies show that, in that situation, the chances of them looking elsewhere for work are far higher.
Equipping your HR team to succeed
The first step to enabling your HR team to support your business is to recognise their role in doing so. Just because they are not involved in the actual production or delivery of goods does not mean they are not of vital importance to your company. You need to treat your HR department as an asset, and make good use of them.
If you hold a morning, or team, meeting, make sure they attend. Set the scene for your other managers. Make it clear that if the HR team needs information by a certain point in the day, they get it.
However, it has to be a two way street. If your line managers need something from the HR department, e.g. productivity reports, or timely warnings that members of staff’s absenteeism is getting out of control they need to provide that information.
To make it possible for your human resources to operate efficiently it is well worth investing in some specialist software from a company like CascadeHR. The software they, and some other firms, produce is specifically designed to allow your human resources department to work more efficiently. As a result, the cost of buying the software is recouped in no time.
Subscribe to our newsletter
If you would like to receive our startup themed newsletter, full of the latest startup opportunities, events, news, stories, tips and advice, then sign up here.
Tobin Capital continues to expand its portfolio by investing in pop-up marketplace Sook, the startup on a mission to revolutionise the high street.

Sodexo and L Marks open call for applications from innovative startups and scaleups to join their inaugural Sodexo Healthcare and Seniors Accelerator.

The lowdown on FuturePlus, the startup that's on a mission to make sustainability accessible, achievable and affordable for all businesses.

John McLachlan, author and co-founder of Monkey Puzzle Training & Consultancy examines the differences between action-oriented and reflective leaders and which approach is best.

The fitness app that's not just about physical fitness; GoJoe helps employers to engage, motivate and connect their people across all pillars of wellbeing.

Now in its fifth year, North West England water firm United Utilities opens call for Innovation Lab, its pioneering ideas incubation programme.

Not-for-profit OneTech has spunout from Capital Enterprise to expand its offering and continue its mission of creating a more equitable, diverse and supported startup ecosystem.

London-based startup Deep Render tackles the internet’s data and bandwidth challenges via its innovative AI-powered file compression technology.

The lowdown on Dublin-based startup and NUI Maynooth spin-out Neuromod Devices and its innovative evidence-based bimodal neuromodulation treatment for chronic tinnitus.

With the clear shift towards generative AI, Richard Hayes, search director at digital marketing agency Catalyst explores what it means for SEO...
Published on: 2nd November 2016
If you would like to enable commenting via your Startacus account, please enable Disqus functionality in your Account Settings.







- Startup Sook Receives Investment from Tobin Capital 24th May 2023 Tobin Capital continues to expand its portfolio by investing in pop-up marketplace Sook, the startup on a mission to revolutionise the high street.
- L Marks Seeking Startups and Scaleups for Sodexo Healthcare and Seniors Accelerator 23rd May 2023 Sodexo and L Marks open call for applications from innovative startups and scaleups to join their inaugural Sodexo Healthcare and Seniors Accelerator.
- United Utilities Innovation Lab launches call-out for innovative ideas for fifth programme 18th May 2023 Now in its fifth year, North West England water firm United Utilities opens call for Innovation Lab, its pioneering ideas incubation programme.
- OneTech Spins Out from Capital Enterprise to Support Underserved Communities in Tech Across the UK 18th May 2023 Not-for-profit OneTech has spunout from Capital Enterprise to expand its offering and continue its mission of creating a more equitable, diverse and supported startup ecosystem.