When it comes to human resource management, there are various ways and methodologies that startups and small businesses use to nurture and develop their workforce. However, there a few things that have become quite important for organizations, especially with the short supply of good talent.
Practical Talent Management
Time and again, management gurus and experts have cited that having a brand name attracts talent but is not good enough to retain it. The same goes for startups. Being well funded or having a promising product or services doesn’t guarantee that the top performers will stay. Thus, a startup has to practically manage talent, especially the ones who have leadership qualities.
Though most employees in a startup usually have more than a single role, the top performers can be given decision-making tasks. You can also sit and discuss their career path in the company. In addition, you can have clearly defined career paths for all your employees.
Rewards and Appraisals
When it comes to performance appraisals and rewards for managers, things that are taken into account are usually their key performance indicators, targets, growth, etc. Many high-performing managers are given huge monetary incentives. However, that is not just enough for fostering an atmosphere for imbibing leadership.
It is also about offering the right kind of rewards/incentives. In addition, the top leadership should be incentivized to find and nurture the high-potential employees who can be the leaders of tomorrow. At sumHR, we are developing a robust performance management system for startups and small businesses.
Embedding Leadership Development
Be it a billion-dollar company with lakhs of employees or a million-dollar startup / small business with just 10 employees, both need leadership for growth of the business and company. However, leaders these days don't just have to stop at that. They have to ensure that the individuals who run the business are keyed up and enthusiastic as well as develop their leadership skills.
While big corporations are beginning to nurture leadership in talent, small businesses and startups too are showing an inclination towards it. For startups, it becomes ever more so important to imbibe leadership-related functions as a part of the job responsibilities and enable their employees to grow with them.
A company should be profitable and that's what matters. Feel free to share your HR management principles and methodologies with the community in the comments section below.
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