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Personnel management 'vital for companies of all sizes'

25 June 2012

Personnel management is just as crucial in small businesses as it is in fast-growing organisations, a new report from the Chartered Institute of Personnel and Development (CIPD) has concluded.

Research conducted by the body based on four case studies revealed people management is key at all stages of growth for an organisation.

It highlighted six key areas for managers and human resources at small and medium-sized enterprises to focus on, including ensuring anticipation, keeping structure as simple as possible, focusing on preservation and evolution to ensure long-term growth, and ensuring staff are keeping to the founding vision of the company's owner.

Recent research by employee survey specialist ETS revealed there is plenty of scope for improvement in these areas, as 43 per cent of staff believe they could be a better manager than their boss.

The CIPD intends to publish a practical tool aimed at human resources staff on the back of the study and research adviser at the institute Dr Jill Miller said performance is likely to improve if enterprises stick to HR guidelines.

"It is through anticipating and responding in a timely way to the people management opportunities and challenges presented at different stages of growth that an organisation can achieve competitive advantage," she remarked.

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Categories: Functional Practices, Human Resources

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