Owning a business is about so much more than selling products and services. It’s a dynamic journey filled with countless moving parts – a complex balance of people, processes, and ideas. Exciting? Yes. Overwhelming? Yes!… but it doesn’t have to be this way. With systems and processes, you can make your HR business run like clockwork. And with the help of this article, you can get started on the right track to operational bliss.
But what exactly are systems and processes? When do you need them? And what stage of business creation and growth should they appear? Join us as we answer all these questions and more!
The team at MindAbility exists to help you build your HR business your way. We are committed to providing real, practical advice on how to grow your business – after all, we’ve made all the mistakes, so you don’t have to.
First, What are Systems and Processes?
In a business, systems and processes refer to the organised and structured methods, workflows, and procedures put in place to streamline operations, enhance efficiency, and achieve consistent results. These well-defined systems and processes serve as a framework for various activities, from client interactions and project management to financial record-keeping and employee onboarding.
Does This Apply to New HR Founders?
In a word, yes.
As an entrepreneur and HR founder, you’re not merely a seller; you’re a visionary, a leader, and a problem solver. Your success hinges not only on the quality of what you offer but also on how well you can navigate the intricate web of operations behind the scenes. And, while HR may be your expertise, business operations will be your bedrock, that strong foundation that will drive success as a consultancy. Helping you create the best possible business is why MindAbility exists – and you don’t have to get a business degree to get there!
One of the key factors that separate thriving HR consultancies from struggling ones lies in their ability to develop effective processes and systems. These crucial frameworks act as the invisible hand that guides and orchestrates the inner workings of a company, ensuring smooth operations, optimum productivity, and exceptional customer experiences.
From the moment your business takes its first breath, to the stages of expansion and beyond, the development of processes and systems is an ongoing, transformative process that directly impacts your bottom line.
A 10-Step Guide to Build Your HR Business
If you’re at the beginning stages of your business journey, you might be wondering where certain things appear. When do you need an accountant? When is it time to hire? Below is our 10-step guide that gives you a basic overview of how to build your business from the ground up.
- Understand Your Audience: The first and essential step to building a successful HR business is to thoroughly comprehend the needs, preferences, and pain points of your target clients so that you can tailor your services to meet their specific requirements. Who are they and what do they really want? How can you practically help them with their everyday needs? Get this clear from the beginning and you’re setting yourself up for success.
- Know Where to Find Your Audience: Identifying the platforms, events, or channels where your potential clients are present will enable you to focus your marketing efforts and engage with them effectively.
- Build Revenue: Establishing a steady stream of income is essential for the growth of your HR business. This involves securing clients and projects, ensuring timely payments, and maintaining a healthy cash flow.
- Increase Prices: As your HR business gains recognition and provides high-quality services, don’t hesitate to raise your prices to reflect the value you bring to your clients. This can lead to increased profitability and the ability to invest in further growth.
- Outsourcing: Recognise your strengths and weaknesses. Initially, consider outsourcing tasks that are outside your expertise, allowing you to focus on your core competencies and deliver exceptional services. Try to outsource what you’re bad at first, then you’ll have more time to focus on your strengths!
- Create and Fill Your Sales Pipeline: Develop a systematic approach to generating leads, nurturing potential clients, and converting them into paying customers. A well-managed sales pipeline is fundamental for sustained business growth – so don’t skip this stage!
- Build Systems and Processes: Building systems and processes fits in here! Implementing efficient systems and processes ensures smooth operations within your HR business – more on that next.
- Accountant and Bookkeeping: Hiring a competent accountant and establishing robust bookkeeping practices are essential for maintaining accurate financial records, staying compliant with tax regulations, and making informed business decisions. A great finance team can also support you with planning, forecasting, and decision-making – leading to a stronger business overall.
- Hire a VA: A Virtual Assistant (VA) can provide valuable administrative support, freeing up your time to focus on strategic aspects of your HR business and improving overall efficiency.
- Invest in Marketing: Allocate resources to various marketing channels, such as digital marketing, content creation, social media, and networking events, to expand your reach, attract new clients, and build a strong brand presence in the HR industry.
The Benefits of Systems and Processes
So we know what systems and processes are and where they fit in, but why do you need them?
What happens if you, or another employee, were to become sick and unable to work for days or even weeks? What happens if a vital employee leaves unexpectedly or before you’re able to find a replacement? Or if you got run over by a bus tomorrow. Would your colleagues be able to pick up where you left off? Does your business stop performing at its optimal level?
Processes and systems prevent this from occurring.
There are five significant benefits of implementing business systems and processes:
- It helps to create a valuable asset (investors could buy your business with the knowledge that there’s a set way of doing things, etc.).
- It allows you to more rapidly leverage and scale your business more (as you can focus your time on creating new products or services).
- It allows you to deliver a consistent experience (so whenever a customer interacts with your business, the experience is the same).
- It can lower your labour costs (as you’ll be able to have fewer staff members and let technology handle the more repetitive tasks).
- It can improve efficiency (your employees will be more productive, as they’ll have complete clarity on their deliverables).
New HR Founders – We Have an Opportunity for You
Have you joined the MindAbility Business Clinic yet? For less than a cup of coffee per day, you can get access to an abundance of resources PLUS weekly coaching calls and our amazing community!