When do you build in HR?

sofih·Mar 25, 2021

Posted in:Compensation Management and Leadership Startups

I manage a company that will soon be ~16 people. As we scale, I'm trying to establish more levels of management, but now I'm encountering the valid question of "what does it mean to be a manager here?" It's a great question and at the pace we're moving, I'm wondering how to create space for someone/some group to address it. Do I need to start advocating for an HR person or is there any other advice out there for how to prioritize setting new managers up for success as a company scales?

AYoungman·Mar 26, 2021

I think you build in HR as early as possible. I'm a big believer in carving it out early but I'm probably coloured by the fact that I have a strong diversity and culture focus and I see a lot of companies building diversity debt as they scale. If it really is just a question of org structure and definition though there are some fantastic consultants out there - especially the ones who have personal experience in scale ups. I'm UK based but could recommend a couple here that are great and would be happy to chat. I'm sure there are lots of them in the US too though!Good luck!

CourtneyYoung·Mar 26, 2021

Hi @sofih, I agree with @AYoungman, you are definitely on the right track to bring someone with HR expertise in as early as possible to get everything started off in compliance with Federal and Local Employment Law. A LOT has changed over the last few years and some legal requirements are for all employers (including less than 50 employees). I am happy to chat with you and help determine a plan of action. I love helping build things from scratch! ~ Courtney (504-312-1226)

KateLGrant·Mar 26, 2021

I think having HR in your team as soon as possible is quite benefiical. Usually the teams I work with I tell them once they start hiring employees who are not co-founders then it's a good time to bring in a fractional HR person or someone who can manage that process. When brining someone in as well ensure that you aren't just giving the role to the office manager or EA to handle. I see this happen a fair amount in early-stage teams where it often gets sent off to that person. While they can handle some of the paperwork unless they have expereince or their designation in HR there are some things that just don't get handled correctly. In terms of setting up managers for success as you scale, I'm a big believer in setting OKR's (objects and key results) for your teams ASAP. This ensures that everyone is rowing in the same direction and everyone knows what needs to get done to succeed. I'd also advise to empower your managers to be able to make decisions on their own and have those decisions respected. As a CEO/Founder the reason you promote people to be managers is to off-load some of the management duties you have previously had to deal with. While your input and your okay may still be needed on larger items by empowering these individuals to make strategic decisions will save you a lot of trouble and growing pains in the long run.