Why Hiring an External HR Specialist is the Key to Maximizing Resources for Small Businesses

Running a small business is no small feat. In the dynamic landscape of entrepreneurship, where every resource is scrutinized for efficiency, the idea of hiring an external Human Resources (HR) specialist might seem like a luxury reserved for larger corporations.

However, let's debunk that myth. In this blog post, we'll explore why, even for small businesses without the luxury of a dedicated HR team, bringing in an external HR specialist can be a strategic move that maximizes resources and drives sustained growth.

1. The Cost-Effective Approach

Small businesses often operate on tight budgets, making every expense a crucial consideration. The beauty of hiring an external HR specialist is that it's a cost-effective solution. Instead of the ongoing expenses associated with a full-time, in-house HR personnel, you pay for the specific services you need. This approach allows you to access expert HR guidance without the burden of a continuous payroll commitment. In my experience, HR responsibilities are frequently added to the overflowing plates of managers, becoming additional duties that demand attention and expertise that they simply don't have the time for.

2. Compliance with NS Labour Standards

Nova Scotia's Labour Standards Code has specific requirements that businesses must meet. An external HR specialist can guide your small business through the intricacies of these standards without the continuous expense of a full-time, in-house HR professional. This cost-effective approach ensures compliance without straining your budget.

3. Strategic HR Planning Tailored to Your Business Goals

While a small business may not have a large HR team, it doesn't mean it should lack strategic HR planning. An external HR specialist brings a wealth of experience and can align HR strategies with your specific business goals. Whether it's workforce planning, talent acquisition, or employee development, they can tailor strategies that contribute directly to your business objectives. My clients tell me that gaining insights from an external perspective, with an outside view, can offer valuable perspectives and fresh understanding.

4. Focused Expertise for Specialized Needs

Small businesses often face unique HR challenges that may not require a full-time HR professional. For example, you might need assistance with hiring, employee relations, or performance management on a project basis. An external HR specialist can provide focused expertise precisely when you need it, saving you from the expense of maintaining a permanent HR role. My clients appreciate the convenience of being able to reach out to me promptly as issues arise, fostering a responsive and supportive partnership.

5. Employee Relations Handled with Sensitivity

Employee relations can be particularly sensitive in a small team. Issues can have a more pronounced impact, and handling them requires finesse. An external HR specialist can step in as an unbiased mediator, ensuring that conflicts are addressed impartially and resolved efficiently. From my perspective, employees often find a heightened comfort level with an external specialist, knowing they operate impartially and lack the direct authority to terminate. This perceived impartiality encourages employees to take calculated risks in sharing more openly. This neutral perspective can be valuable in maintaining a positive workplace culture.

6. Flexible Support During Growth Periods

Small businesses often experience periods of rapid growth, and navigating these transitions requires agility. An external HR specialist can adapt to your evolving needs, providing the necessary support during periods of expansion without the fixed costs associated with hiring additional full-time staff while guiding you through the change management process.

7. Employee Training and Development Initiatives

Investing in employee development is crucial for small businesses aiming for long-term success. An external HR specialist can design and implement training programs tailored to your team's needs. Whether it's onboarding new hires or upskilling existing employees, this targeted approach ensures that your investment in employee development directly contributes to business objectives. With thousands of hours spent delivering training, I believe training achieves its highest impact when it's tailored specifically to the participants' needs and context.

8. Confidentiality and Impartiality

In a small team, maintaining confidentiality can be challenging, especially when handling HR matters. An external HR specialist brings a level of confidentiality and impartiality that might be challenging to achieve with an in-house team. This ensures that employee concerns are addressed professionally, contributing to a workplace environment built on trust.  Through my experience working with employees, I've observed that engaging an external HR specialist creates a space where they are more inclined to share, establishing an added layer of confidentiality and comfort within the employer-employee dynamic.

A Strategic Move for Small Business Success

Hiring an external HR specialist for a small business isn't a luxury—it's a strategic move that maximizes resources, addresses specific needs, and fosters long-term growth. With a cost-effective approach, legal compliance expertise, and focused support when needed, an external HR specialist can be the key to unlocking the full potential of your small business.

So, small business owners, consider the impact a dedicated external HR specialist can have on your organization. It's not just about HR functions; it's about strategically positioning your business for sustained success. Here's to maximizing resources and driving your small business toward new heights!