How SMBs Need To Approach HR — Even If They Think The Old Way Is Working


“Why should I change something that’s working?”

A business owner recently asked me this question when discussing his company’s approach to human resources. The company, a medium-sized business, has a single HR coordinator responsible for benefits, compliance and onboarding.

“I know we could be doing more to develop our employees, but I can’t justify spending the money to build an HR team when our turnover rates are in line with the industry average. What we’re doing must be working.”

But is it?

It’s tempting for small and midsize business (SMB) owners, like the one above, to follow an old-school mindset to HR. The thinking goes like this: HR is a cost center, not a revenue generator. HR is the realm of tactical thinkers, not strategic leaders. HR is about managing paperwork and benefits, not forecasting talent needs and optimizing the employee experience.

But today’s tight talent market and dynamic business world demand a different approach.

Making The Case: Why SMBs Must Rethink HR

Assuming the status quo is “good enough” can be a costly assumption for SMB owners. Yes, the worst-case scenario of low productivity and talent loss may not come to pass. But settling for good enough means you’re missing out on a truly dynamic work environment that sparks innovation, helps employees reach their full potential and drives business success.


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