Due to the tight labour market and the constant growth of companies in SMEs, we see many fast-growing businesses looking for new talent. The company is growing rapidly in number of employees, which also brings new challenges. Your role suddenly changes from entrepreneur to manager, as you need to arrange many things for your employees and deal with HR processes. So there are many HR challenges that come with rapid company growth, but with our tips you can prevent these challenges from becoming problems. We’re happy to share a number of tips on how to best tackle HR challenges in a fast-growing company!
From entrepreneur to manager
When your company goes through a rapid growth phase and changes from a start-up to a scale-up and eventually into a medium-sized organisation, your role as an entrepreneur will change significantly. Instead of the entrepreneurial role you had in the early days, you now take on the role of manager and owner of the company. Your team carries out the work, while you focus on managing the team and may be less involved in the day-to-day tasks.
With a rapid increase in the number of employees in your organisation, it’s important that you adopt the right role as a manager. It’s also wise to ask yourself whether the role of manager actually suits you. One entrepreneur is a perfect manager, while another may struggle with that role. For example, you might be used to making all decisions yourself, or you may find it difficult to guide and manage a team.
The entrepreneur isn’t suited to be a manager; what now?
If you feel that you’re not the right person to take on the manager role, it’s definitely recommended to look for the right manager. Choose someone with experience, but also someone who knows how to work well with people and provide clear direction. If an unsuitable manager is appointed to make decisions, it could lead to poor decisions over time. Results may fall behind and the manager might want to continue with the current way of working, while tension builds within the team. The biggest challenge here is keeping the team together. As an entrepreneur, you must always ensure you have a suitable manager to maintain a positive working atmosphere with enthusiastic employees – whether that’s you or someone else!
Prevent confusion; ensure a complete and well-organised digital personnel file
The biggest HR challenges for fast-growing companies are the tasks you need to arrange for your employees. You draft contracts with specific retention periods, contracts or documents need renewing, and without structure and an organised way of working, you’ll quickly lose overview. Fortunately, at HoorayHR we have the perfect solution for this!
Contracts for employees
Employee contracts are a very important part of your HR administration. Contracts state the employment duration, the number of hours an employee works and much more personal information. As a starting entrepreneur, you might manage with paper contracts for just a few employees, but this quickly becomes a challenge when your company grows rapidly and the number of employees increases. Moreover, privacy becomes an issue with paper contracts or contracts stored in an unsecured cloud. You can’t prevent unauthorised people from accessing them.
To keep a clear overview and never miss a contract renewal, we recommend using the HR software from HoorayHR, where you can securely store employee contracts. You’ll never forget a contract renewal again by setting up reminders, and you can easily comply with retention periods.
Store documents
As an entrepreneur, you’re required to follow different retention periods for documents relating to your (former) employees. Some documents must be kept for a minimum number of years, while others may only be kept for a maximum of one year. After this period, you must delete or destroy them. A cover letter, references, certificates or a Certificate of Conduct (VOG) must be destroyed one year after the end of employment.
Prevent dissatisfied employees, choose personal development!
Your company is growing, the number of clients is increasing and you’re welcoming more and more new employees to your business! Everything shows that your company is growing and you’re proud to share that. New employees start work full of enthusiasm and motivation. But how do you make sure they maintain that motivation?
With performance management from HoorayHR, you ensure continuous growth in your employees’ development. You and your employee can easily set goals, keep track of performance interview reports, and monitor progress through a structured review cycle. Flexible conversation templates save you time and effort, so you can focus fully on the conversations and your employees’ progress.
Discover HoorayHR!
With HoorayHR, we offer you as an entrepreneur in a fast-growing company everything you need for streamlined and optimised HR administration, so you can easily tackle HR challenges. No more loose papers, Excel sheets or documents stored somewhere in a cloud, but one user-friendly platform with a complete digital personnel file for all your employees. On our Discover page, we’re happy to tell you more!
