Remember calling the mobile network customer care whenever you face any issues with your mobile network? Have you ever thought about how these executives are grouped together to solve all your problems and queries? This is where the Human resource department or most likely known HR department comes into the big picture.

Today, the Human resource department is one of the most important divisions in any organization, big or small. Every employee hired to work with the organization is the ultimate choice of the HR person handling it. Why?

Because these HR guys are specifically trained to pick the diamond out of the lot. According to the recent researches in the field of business and entrepreneurship, 7 out of 10 startups that come into the market, falls off immediately in a span of three to four month because of the lack of employee management.

For any organization to grow, its employees are the key to success. The happier your employees are, the more rapidly you grow in this fast-paced market. And the one who keeps the organization in place and makes the pillar stronger is none other than the HR department.

So, before we jump into the points of successful HR practices that can help you grow your online business, let’s dig a little more into the HR department.

Who are these HR people?

Human Resource department is the core division of any organization, that holds the entire system in place. In most of the companies, Business graduates in Human Resource Management from top class colleges are hired to run the organization. These graduates are trained in organization behaviors, organization structure, business implementations, human psychology and management principles, which makes them highly qualified to run the organization.

Every decision, from hiring employees to grouping the organization into smaller divisions, are taken by the HR department. Basically, in any small organization, the employee to HR resource is 4 to 1, which means that for every 4 employees, there is one HR who takes care of every need of the employees within the boundaries of the organization.

How HR practices functions to keep the organization in place?

HR practices vary from company to company, depending on the size of the organization, demands of the company and many other factors. However, there are some principle functions of the HR department which we will discuss here in details. Understanding the core functions and the current trends of the HR practices will allow you to think about the betterment of your organization in a broader way.

The core functionalities of the HR department are:

• First and foremost, the main function of the HR department is labor cost estimation. Before a financial year starts, the HR department prepares an analytical report of the previous year’s profit and creates a new estimation report to optimize the labor growth and minimize the labor cost. As simple as this may sound, the entire complex body of the organization depends on this factor.
• As an organization grows, the HR team grows. While a small organization may only have one HR person to handle all the labor-related duties, bigger organizations have an entire department of HR with HR team lead as the leader who guides and operates the entire division. Big organizations even have full-time employee recruiters who take care of the vacancies and job openings of the company.
• An HR manager is responsible to hire the best resources from the market depending on the job profiles and openings currently prevailing in the organization.
• An HR manager is responsible for recruiting the employees and train and guide them so that the productivity of individual employee can be optimized.
• In case any employee is proved to be inappropriate or under qualified to perform the task of his or her job profile, the recruiting team which consists of the company HR is held responsible.
• Apart from recruitment, another important function of the HR department is to handle the payroll system, take care that all the employees are paid on due time and all their incentives and benefits are thoroughly calculated.
• In case of any dispute in the payroll management, the leading HR team is held responsible and is answerable to the employee and to the CEO of the company.

So, these were some of the main functions of the HR department that helps the company to grow bigger and stronger. Now, let’s come to the best HR practices that can help you grow your online business.

Best HR practices to grow your online business:

With digitalization coming into the big picture, today online businesses and e-commerce setups have become one of the most lightning deals in the business industry. The stronger the HR practices are, the better the growth you can see inside your organization. Here are some best HR practices listed below that you must follow to grow your online business:

• Be a friend to your employees: While in an organization, you must always remember that your employees are the key to the growth of your organization. Every employee has some needs and wants. Being the HR, you are solely responsible to hear them out and solve their problems. Never be their boss. Always try and be a friend to your employees because a happy employee will always spread good words about your organization. One of the best ways to be friendly to your employees is to have one on one conversation with them. Every organization, big or small, must set up meetings with their valuable employees and figure out their needs and thoughts. Especially when it comes to online business, where things are more spread out, HR must be a communicator to their employees’ need.
• Be fair with employee compensations: It is often said that money can buy you anything. While this statement is completely not true, but in this case, it stands as quite a solution. There are thousands of organization out there, why should a person choose yours’ to worth with? Simple! Because you will pay them better and value their hard work and contribution to the growth of the organization. Apart from fat paychecks, also feature ‘the employee of the month’ on your website. What can be a better recognition for an online business?
• Train your employees like your own: For the organization to function well, it’s important that you train your employees according to the need of the job. The best way to keep your employees up to mark is to introduce online training and certifications for the employees.
• Employee friendly policies: If your organization have employee friendly policies, no matter what, you will never lose them. The best way to make employee friendly policies is to introduce work from home facilities, awards, and recognition for the high performing employees, friendly dress code policies and easy access to the business platform.
• Define their career path: Every employee dreams to highness at some point in their career. When it comes to online business, the scopes are huge. As a part of good HR practices, make the career path transparent and easy for your employees because everybody wants to pursue growth.

Handling an online business can sometimes be tricky as things are not confined into a certain limit but broader networks. But that is a blessing too!

With employee friendly HR practices you will not only be able to choose the best resources but will also attract a broader variety of qualified employees.