Starting HR from Scratch in a Small Software Company: What Essentials Should I Focus On?

Dear All, I have recently joined a newly started software company. Currently, there are only 8 employees. Could you please suggest the basic HR activities that need to be set up or followed?

Thanks & Regards,
Padma

Hi, as the organization is new, you can plan for activities such as recruitment, attendance, payroll, policy, training & development, etc.

Thank you.

I suppose you are the one in the HR department. Just see the main requirements of your company. In my view, you cannot start from Performance Management / T&D. Obviously, it will be required but later on. You can start from the personnel file, then its MIS. Design the leave policy, Time Office, and design the holiday list for 2013 as this year is about to end. Establish policies on Recruitment, Payroll, etc. Later on, you can create a Policy Handbook for the company. Also, try to create MIS for almost everything. It will make your work easier later on. Based on the situation and time, you will have to adopt what you need to do. All the very best!

Regards,
Gunjan

Besides what others have stated above, I suggest the following:

(a) Start documenting your policies related to the following:
(i) Leave Management
(ii) Working Hours & Attendance management
(iii) Discipline & management of disciplinary cases
(iv) Salary Fixation Norms, increments & bonus (i.e., compensation policy)
(v) Separation from the company (Notice Period etc.)
(vi) Recruitment Process

(b) Prepare a standard format for 'Offer Letter' & 'Appointment Letter'.

(c) Prepare an 'Excel Format' to maintain employees' data (based on the information contained in the resumes).

Keep reviewing the above from time to time, but always take approval of the management for all the policies prepared by you.

Go through the links on the right side of your computer screen. All these links on citeHR provide you with enough guidelines on the matter. Are you free to decide and act upon whatever is necessary and essential as per the legal provisions of various Acts applicable to you? Or do you need to consult someone higher up and follow their orders? Much will depend on what is practically necessary to do.

Firm Structure

Is your firm a Proprietorship firm, a partnership firm, a Company, or something else?

Administrative Support

Do you have anybody else in the administration to take care of other matters, Finance, or Accounts?

Growth Plans

Does your firm have plans to grow much bigger from now on?

As things stand now, it appears that your firm should get registered under the Andhra Pradesh Shops & Establishment Act within 30 days of commencement. First, carry out and follow other necessary steps. Keep posting your doubts for guidance from seniors and experts.

All the best.

Regards,
Kumar.S.