The Internet has transformed how companies relate to employees. Internet-based business-to-employee systems are permitting companies of all sizes not only to reduce costs and improve productivity, but also to create a more satisfying work environment.
That is important to small businesses, which typically depend on a few key people. For any business, the cost of losing valued employees is high. Replacing staff is estimated to cost 1.5 times their annual salary, reports SHL of Toronto, a provider of recruitment, selection and development solutions. Skills shortages are putting more pressure on small businesses to find and keep the right people.
Human-resource professionals advise business owners to treat their employees as customers — developing an understanding of their needs and latent dissatisfactions, and then creating a compelling offering that encourages loyalty and productivity.
Ideas That Can Help You
A summary of modern approaches to employee relations can be found in a book produced by human-resources consulting firm Watson Wyatt, entitled The Human Capital Edge: 21&bnsp;People Management Practices Your Company Must Implement (or Avoid) to Maximize Shareholder Value. The authors present data showing how specific human-resource management practices, including appropriate technologies, can add to, or subtract from, the bottom line. See highlights from Watson Wyatt's survey report linking human capital and shareholder value.
Another resource can help you find new ideas to stay competitive in attracting and keeping the employees you need. Human Resources and Skills Development Canada publishes ideas on innovative workplace practices in its Workplace Gazette.
One of the best ways to foster good employee relations is simply to keep good records and answer queries promptly. Please see the Administration section for tips and resources.
Key Issues
In this section you will find information on how e-business technologies and resources can assist you to:
- Encourage employee retention;
- Provide appropriate and competitive compensation;
- Ensure effective communications that contribute to a prosperous workplace.
