HR in SME s

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How to introduce Human Resource Management in SME and craft sector. Human Resource Management in SME and craft sector. How ? What ? . HOW ? . . UNIZO HR initiatives Tools. ChecklistsWebsite Online seminarsOnline checklistsCompetence management softwareManual competence managementLeadership

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HR in SME s

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1. HR in SME’s

2. How to introduce Human Resource Management in SME and craft sector

3. Human Resource Management in SME and craft sector How ? What ?

4. HOW ?

5. UNIZO HR initiatives Tools Checklists Website Online seminars Online checklists Competence management software Manual competence management Leadership skills Newsletter

6. Checklists Low threshold Professionalize HRM Step-by-step On the basis of analysis Attention for lesser applied solutions in SME’s

7. Checklists Analysis of HR policies Becoming an attractive employer Recruitment What to do when a new employee starts? Training and development Communication Laying-off staff Diversity

8. www.hrmcoach.be

9. UNIZO HR initiatives Training Info sessions Recruitment Motivating staff Wage policies > worker benefits Round tables SME’s & worker unions Diversity within the SME HRM Coach – network

10. HRM Coach – network 10 sessions – competence management 60 SME’s 4 locations Networking Experts

11. WHAT ?

12. Main tasks within traditional HR Pay-roll administration Recruitment Managing people

13. New HR Management of strategic human resources Coupling HR to business strategy Management of transformation and change Creating a new organisation Management of the human resources Listen en react to employees Management of an administration Rethinking administration-processes

14. HR in SME’s Entrepreneur = often HR Manager No background Extra responsibility Not main goal of being entrepreneur

15. Needs of SME’s Research 2001 Not enough tools Time consuming Exaggerated Welfare problems of employees Less and less skilled personnel/candidates

16. The state of HRM in Flanders’ SME’s Very different from SME to SME Differences are not related to size or means Entrepreneur is key-player

17. 1. MSP 2 years ago 50 employees Separate HR Manager > wife of owner plays key-roll in HR Now 150 employees (ICT sector) Harder & harder to find staff Wages are big decision factor Need for structured HR policies and methods Focus on training & development in existing HR Focus on good salary policy

18. 2. Trappen Teck Family Business 20 people Entrepreneur = HR Manager Harder & harder to find staff Skills & attitude Wages are big decision factor Need for structured HR policies and methods Only pay-roll

19. 3. establis 2nd generation Entrepreneur = HR Manager Difficulty with finding staff Focus on training Everybody starts in the same function ISO certificate > basis of HR Need for more focus on coaching and career-planning

20. 4. De Noordboom Expanding > family company and atmosphere is disappearing Young versus old Entrepreneur and employee = HR team Combination accounting & HR Lack of structure is a strain on growth

21. 5. Muyshondt 30 employees Difficult to find staff > work with foreigners > language barrier Focus in HR on pay-roll and recruitment Entrepreneur = HR Manager

22. Introducing HR of the future Competence management as a solution HR of the future Taking into account War for talents Knowledge management Training and development …

23. Competence management Bridges the gap between the mission statement and the strategy of the organisation on the one hand and the necessary competences to be able to exercise a certain job. The success of employees is largely determined by their competences (not only by their IQ, education or personality traits). Technical, social and personal competences are the key for their success within your company.

24. UNIZO-viewpoint on competence management

25. Advantages - employer Being able to assess the value of an employee and use them in the best way to attain the company goals. Evaluate employees on the basis of competences and motivating them. Better recruitment and hiring. Through better view on necessary knowledge, competences and attitudes. Being able to fill vacancies off hard to find profiles.

26. Advantages - employee Career management Objectified evaluation Better informed and structured feedback

27. Conditions to start Clear goals on long and short term with a strategy behind them. Actions to achieve these goals Being prepared to invest in training and development of employees Be prepared to if necessary reorganize certain processes.

28. Starting-point Mission statement WHO ARE WE WHERE ARE WE GOING WHAT DO WE STAND FOR Values

29. 4 elements Why = goal Beliefs = values Position and competences = strategy Policy and behaviour= code of conduct

30. Specific Where are we going? Ambitions, desired situation on long term Ideal image of future Different perspectives : economic, social & society What do we want to reach? Desired and measurable result with timing Direction

31. Why a Mission statement Companies whose employees understand the mission and goals enjoy 29% greater return than other firms Reflecting on the company Creates identity Creates a sense of direction Basis of rules of conduct Inspire people/employees Internal and external use

34. 2. Profile of function

35. 2. Profile of function

36. 3.a Competence profiles Divide competences Competence library Allocate competences

37. 3.b Competence profiles

38. 3.c Competence profiles Mission statement Management

39. 4. Culture Effect of company culture on implementation

40. 5. Recruiting in a new way STAR : Situation (own experience from past) Tasks (responsibility) Action (used method) Result (success, learning result)

41. Hiring people is one thing, keeping them is another.

43. 6. Competence development Training Coaching

44. 7. Communication and participation Sense of urgency Make sure you have a vision, a story Make a plan Look at changes in the past Involve people Communicate and inform Create a broad basis within the organisation Get rid of obstacles Consolidate successes in the system

45. The potential beneficial effects of the use of checklists in order to improve Human Resource Management in the SME and craft sector

46. Professionalize Step by step Aspects which are needed No structural change

47. Contents HOW DO I CHOOSE THE MOST SUITABLE EMPLOYEE FOR MY COMPANY? SELF-TEST LIST ‘ A GOOD INDUCTION MEANS A GOOD START’ A SYSTEMATIC APPROACH TO IN-SERVICE TRAINING CREATING FLEXIBILITY IN YOUR COMPANY TIPS FOR WORKING WITH OLDER EMPLOYEES IN YOUR SME 10 TIPS FOR USING PAY TO MOTIVATE YOUR EMPLOYEES EMPLOYEES PERFORM BETTER IF THEY ARE MOTIVATED INTELLIGENT DELEGATION FOR BETTER RESULTS DEALING WITH ABSENTEEISM CONSULTATION IN THE SME

48. HOW DO I CHOOSE THE MOST SUITABLE EMPLOYEE FOR MY COMPANY? Do I really have a vacancy? Draw up a proper job description Do all requirements have to be met immediately? Interview & testing

49. SELF-TEST LIST ‘ A GOOD INDUCTION MEANS A GOOD START’ A good induction increases the new employee’s motivation, sets the right tone from the start in terms of what is expected, creates a pleasant working atmosphere, and ensures that the new worker settles into your company as quickly as possible. Are you properly prepared for starting the induction on the new employee’s first day at work? • Programme drawn up • Documentation provided (see below) • Supervision arranged for the whole day • ...

50. A SYSTEMATIC APPROACH TO IN-SERVICE TRAINING You must systematically monitor training requirements. There are four key moments at which to do this: • Strategic changes • Recruitment or promotion of employees • Problems and sticking points • Requests from employees When is training necessary? How to prepare a training course properly? How can you increase the benefits of a training course?

51. CREATING FLEXIBILITY IN YOUR COMPANY If flexibility is important to your business strategy, you need to try to work out your flexibility requirements and the market tendencies as far as possible before any specific need arises try to adopt structural measures to promote flexibility in your company Supply Chain Management Keep a close eye on labour regulations Bear in mind that there are certain limits to flexible working

52. CREATING FLEXIBILITY IN YOUR COMPANY Extra hours Flexible working hours Part-time Shifts Temporary contracts Temporary lay-offs Outsourcing …

53. TIPS FOR WORKING WITH OLDER EMPLOYEES IN YOUR SME Age-aware human resources policy begins with the school-leaver’s first experience of work Make working a positive experience Encourage a sense of personal responsibility Work on involving your Develop a diversity policy that eliminates prejudice Some skills get better as you get older Loyalty and stability are additional plus-points Aim for a balanced mix of experience Not everyone gets older in the same way

54. PAY POLICY IN THE SME The strategy and culture of your company Responding to developments on the job market Comply with the wage standard and the collective labour agreement How you remunerate your employees must meet the requirements with regard to taxes and social security. There is a fair pay scale for every job. offer the chance of financial advancement Your pay policy also needs to provide a solution for the difference in performance between employees

55. PAY POLICY IN THE SME Any ‘extra benefits’ you offer need to take into account the opportunities for tax relief and what the employees concerned really want Your pay policy needs to be transparent enough to help motivate your employees You need to explain to every employee the value of his or her salary, bonuses and benefits in a balanced and clear way

56. EMPLOYEES PERFORM BETTER IF THEY ARE MOTIVATED What do I offer to my employees? What makes my company attractive to a potential applicant? Why does he or she want to work for me? • What type of job do you most like doing? Why? • What do you like most/least in your job? • Do you have contact with customers or do you prefer internally-oriented activities? • Do you like to take the initiative or do you prefer to help your colleagues in a more subordinate role? • Do you find repetitive work boring? • How independently would you like to work? • Would you like more/less supervision in your job? • What working relationships and situations do you like the most? • In which department would you most like to work? (admin, production, accounts, etc.) • How, in your opinion, could good performance be rewarded?

57. EMPLOYEES PERFORM BETTER IF THEY ARE MOTIVATED 1. Reward good results and professionalism 2. Discourage unprofessional behaviour 3. Work out what an employee is looking for in his or her job 4. Make sure you know what is going on in your company 5. Work with targets and communicate these to your team 6. Increase the involvement of your employees 7. Work towards variable payment strategies (individual or group-based) 8. Play your role as manager

58. SUCCESSFUL DELEGATION Create the right conditions for delegation. Your company’s objectives have to be clearly and precisely formulated. They have to feel involved and ready to work with you to achieve these objectives. Specific expectations and results for each employee. You should opt for jobs which motivate your employees, require them to be flexible and encourage them to take responsibility themselves and to share their knowledge and experience. You need to have the right person in the right job and give employees sufficient freedom to make decisions. There should be no barrier between thinking and doing and everyone should have a broad range of duties. It’s OK to make mistakes.

59. SUCCESSFUL DELEGATION You can never delegate your final responsibility. Likewise, confidential matters, policy issues, things which have to be sorted out as a team or disciplinary matters can’t be delegated. Your routine tasks might, however, prove interesting for an employee. Look, together with your employees, for ‘interesting work’. Make sure that you have a good picture of the capacities and wishes of your employees. Good ways of arriving at this are performance review interviews, as well as short, informal conversations. Choose tasks and assignments which motivate your employees, but which they are also capable of carrying out. These are the best sorts of things to delegate.

60. SUCCESSFUL DELEGATION Compare the knowledge and skills required to carry out the task with the knowledge and skills that your employees have. Delegate at the right level. Take the experience and competencies of your employees into account. Don’t just throw people in at the deep end. Do the work together. It may be that not everything will go well the first time, but this is to be expected. Provide a lot of supervision. Do the important things together, but let your employee do the rest alone. Be aware of when you need to step back. Employees will decide for themselves how much help they need. Let them decide the control moments. Make sure that your employees have everything they need to carry out the tasks as independently as possible.

61. DEALING WITH ABSENTEEISM Individual factors Personal factors can play a role in absenteeism: the physical and psychological condition of the person concerned, the private-life situation of your employees and their lifestyle outside work. Social factors Broad socio-economic trends also play a part in contributing to absence due to illness: the fact that life and work are becoming ever more intense, the general value which our culture places on work and the developments in legislation and social security regulations. Company factors How work is organized also plays a major role. This means not just the working situation in which your employees are required to perform, but also how your company deals with health and absenteeism. As an employer you certainly don’t bear sole responsibility for the health of your workers, but do have a considerable interest in doing what you can to prevent absence due to illness.

62. DEALING WITH ABSENTEEISM Individual factors Personal factors can play a role in absenteeism: the physical and psychological condition of the person concerned, the private-life situation of your employees and their lifestyle outside work. Social factors Broad socio-economic trends also play a part in contributing to absence due to illness: the fact that life and work are becoming ever more intense, the general value which our culture places on work and the developments in legislation and social security regulations. Company factors How work is organized also plays a major role. This means not just the working situation in which your employees are required to perform, but also how your company deals with health and absenteeism. As an employer you certainly don’t bear sole responsibility for the health of your workers, but do have a considerable interest in doing what you can to prevent absence due to illness.

63. DEALING WITH ABSENTEEISM Short term versus long term Don’t trivialize or underestimate the risks The most important causes of prolonged work-generated invalidity are accidents at work. Ergonomics and stress Attention to ergonomics in the workplace and identifying possible causes of work-related stress offer much more security for the health of your workers. Focusing on reintegration Employees who have been off sick for long periods of time, often find it very difficult to return to work. This means you should keep in contact with them during their sick leave and look, together with your employee, for the best way of ‘easing’ him or her back into work. This can result in a shorter absence.

64. CONSULTATION IN THE SME By consulting the workforce you show that you value how your people do their jobs. Consultation helps your employees communicate better with each other and with you. All employees like to be properly informed about company affairs. Through consultation, employees gain an insight into and an overall vision of what other people are doing, which in turn creates a greater mutual respect for each other’s work. Consultation fosters employee involvement, often referred to as ‘ownership behaviour’.

65. CONSULTATION IN THE SME You can choose various channels through which to communicate : Are your employees sufficiently aware of the business culture and values that you regard as important? Are these regularly repeated and explained? Are they regularly reminded of them? Do your employees have access to your company’s results? Does everyone in the company know what is expected of him or her? Are your employees clear about how far they can participate in decision-making? On what issues can they offer advice and in which areas can they make decisions themselves? What areas do you reserve for rulings from above? Are your employees informed about – or involved in – major changes (important new customers, new products, the arrival of new employees, new machines or methods, etc.)? Do you know if everyone is satisfied with the communication approach in your company?

66. CONSULTATION IN THE SME How to communicate. Points to bear in mind. Limit the consultation to a maximum of 1 hour per time. As far as possible, conduct specific consultation in groups of no more than 6 to 8. This leads to more involvement and provides a better chance for employee input. Some consultation items will come up over and over again Stress the importance of clarity (in agenda items, expectations, structure, follow-up, communication). All the points which the employees bring up deserve your attention. Ask a lot of questions. If employees come to you with problems, encourage them to find their own solutions. • Don’t operate with hidden agendas. If necessary, take a course on meeting techniques, communication or group dynamics. Provide a clear follow-up to the issues which the consultation meeting has raised Keep your employees continually informed and don’t always wait for the next formal consultation meeting. Set a good example: if you want your employees to listen to you, make a point of listening to them.

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