Handling HR Risks for Company Success

HR recruiter interviewing candidate for companyThere are several risks that the human resource department has to deal with to ensure the organization runs smoothly. Without the help of a staffing solutions provider, sometimes of these risks remain challenging to identify and handle. This article will tackle a few of these common risks and offer the appropriate solutions.

Risk 1: Shortage of Critical Skills

The lack of skilled staff can significantly hamper the growth of an organization. Having an unqualified workforce will not only attract a lot of incompetence but will also drive away customers. Having aged staff is another cause for concern. To address this issue, the HRD should raise the issue with the relevant department for it to be among the agendas to discuss.

Risk 2: Succession Plan

There is nothing that throws a company off balance like a sudden change of guard. Very few companies have embraced the need for having a complete succession plan for the CEO in place. An unexpected departure of the CEO can affect the financial aspect of the business. It also can subject the company to a probable hostile takeover. An HR officer should deliberately make some effort to determine the future of the company by taking up this issue with the CEO.

canditates for employment waiting for HR interview

Risk 3: Insurance & Data

A large number of employees might not have insurance and may not even know it. That exposes them to making unnecessarily large payouts after having insurance claims rejected. The HRD must ensure that each employee’s benefits are in order. In instances where data is incorrect, it will be the fault of the employer and by extension, the HRD. Ensure that you keep your data updated and available for the insurer who will mostly come knocking once per year. If anything happens, adjust your records accordingly.

Risk 4: Behavior and Ethics

Most of the workplace scandals in most companies are as a direct result of unethical behavior. Unethical breaches are very hard to revert and can cause irreparable damage to a brand. With the HR department being the chief custodian of a company’s values, s/he should provide an environment to encourage ethical behaviors. Ensure that there is damage control if there has been any unethical behavior to cushion on the impact. Forming a committee on ethics and defining your codes of conduct can reduce or eliminate instances of unethical behavior.

Risk 5: Loss & Violation of Intellectual Property

This risk is especially for organizations that deal with data belonging to customers. Losing the data or having the data defrauded from within the organization is something that should never happen. Every customer’s data should remain confidential. If data gets exposed, it can ultimately damage a brand, resulting in huge loses. The HRD should ensure that all staff responsible for handling sensitive data receive proper training on data handling. Be careful not to hire fraudsters. Vetting your employees again can help in curbing the vice.

Conclusion: HRD, Mitigating Risks, Outsourcing Help

As the HRD, the responsibility of staffing squarely rests on you. That means that you take the blame when things happen the way they shouldn’t. So, do everything in your power to ensure that the organization keeps growing, remains safe and productive. You also can consult or hire a staffing solutions provider to help you keep these risks at bay.

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