Blog | Kaizen CPAs + Advisors

Human Capital Management Solutions for Scaling Businesses

Written by Eric Joern | | December 14, 2021

The goal for every small business is to scale, and many are noticing significant potential past their current growth point. This means hiring more employees and generating more revenue. It's also a sign that you need to improve Human Capital Management (HCM) solutions:

  • Growth requires more efficiency: Harvard Business Review reports that large businesses dominate most industries because they are quicker to adapt and capitalize on advancements, including automation. Early adoption secures your small-to-medium size growth as you continue to scale your company. 
  • Fewer errors reduce costs and increase profits: research revealed that more than half (66%) of employees cited automation as the solution to reducing data errors. Fewer errors combined with more tasks completed in less time equals a boost in revenue. 
  • Get matched with the right platform: although there are many HCM platforms to choose from, you don't want to settle for just any platform. Kaizen can connect you with an HCM platform equipped with the best features.

Businesses are expected to face many inherent challenges when scaling rapidly and evolving into a medium/large business. The following solutions will fuel growth more efficiently and reduce the headache of common challenges. 

A SOLUTION MADE TO SCALE

Some businesses may already be aware of their recent growth and are prepared to act, while others continue to ride the wave of increased business without realizing the need to scale. This is likely because 74% of failures happen when companies attempt to scale too soon, but many have yet to consider the risk of not scaling soon enough. 

To ensure you're ready to scale to a medium or large business, consider the increase in the following indicators:

  • Headcount or need for a higher headcount (overworked employees)
  • Revenue growth
  • Investments

Before scaling, however, you will need a solid human capital management solution fit to match this scale and a strong team of workers who are in it for the long term. The truth is that CEOs, executives, and directors can no longer handle these duties when they are focused on scaling a company. There has to be a reliable and secure platform in place to eliminate the potential for error in every way possible and ensure the business can run smoothly despite the anticipated changes. 

HUMAN RESOURCES MANAGEMENT

First and foremost, you will need a solution focused on the efficiency of your HR team. After all, they will be the ones bringing in the best talent to fit your needs and nurturing that talent throughout their career with your company. 

Your HR management software should be full-featured with the following tools and more to free up HR's time and increase their focus more on other matters:

  • Recruitment 
  • Onboarding 
  • Development
  • Engagement
  • Offboarding

PAYROLL & TAX MANAGEMENT

If you're spending all your effort on time-consuming tasks, you're not going to be able to scale your business. Your focus should be only on the growth initiatives that will continue to take your company to the next level without complications. 

You need a payroll and tax management solution that is capable of unburdening you with common tasks. The right partner can help you:

  • Stay compliant and reduce liability.
  • Access business information when you need it with easy-to-use reporting. 
  • Set up self-service portals that allow employees to manage and access personal information and increase satisfaction.
  • Implement payroll integrations to improve efficiency. 

ELECTRONIC ONBOARDING

Since studies confirm a 90% belief among businesses that employees decide to stay with a company within their first year of employment, onboarding will be key to maintaining your growth. To scale, you don’t just need more talent — you need the right talent for the position. 

The more efficient your process is, the more successful you will be in attracting new hires, fully training them for the position, and integrating them into the team without delay. 

You will need an electric onboarding solution that features the following:

  • E-document management and E-signature capabilities
  • Employee portal for self-managing information
  • Integration with payroll and tax software
  • I-9 and W-4 electronic onboarding with the ability to submit changes

RECRUITING

The last problem you want to run into while scaling your business is not having enough staff members to keep up with the increase in sales. You need to quickly attract the right people. Enter automated recruiting. 

When you automate your recruitment process, you improve:

  • The hiring process for both managers and candidates
  • First impressions with an intuitive online experience
  • Access to employee information following onboarding
  • Efficiency with electronic completions 

BENEFITS ADMINISTRATION

Benefits are among the top priorities for existing and potential hires. You want to make sure your staff has easy access to all of their benefits and the details on how to take advantage of them. After all, what's the point of offering top-grade benefits if most of your employees don't know them or aren't sure how to access them?

A benefits administration solution should feature everything from making and sustaining benefit plans and selections to viewing and approving open enrollment benefit elections. It's also beneficial to have a solution that can easily be integrated with other HR solutions to improve user experience by consolidating platforms. 

PERFORMANCE TRACKING

When scaling to a medium or large business, your talent will need to grow with you. Talent management and performance tracking can get much more complicated as your staff grows and the needs of your business expand. 

A secure, cloud-based platform for performance tracking can be extremely helpful since it will:

  • Track licensing and certifications, as well as notify you on upcoming expirations
  • Track and schedule employee performance reviews
  • Record employee performance reviews and documentation for easy reference. 

TAX FILING & MANAGEMENT

Whether you're expanding within your state or taking your business across borders, a solid tax filing and management solution is necessary for ensuring you are compliant and up-to-date with the latest laws and regulations in every location. 

Having a reliable payroll tax management product to depend on for all of your business tax needs is a great way to relieve stress while scaling. You should always have options when streamlining your business since every business is unique in needs and required solutions.

WHAT'S YOUR NEXT STEP?

If you're noticing significant growth and are prepared to scale your company, then you need advanced human capital management solutions. As your company grows, your HR efficiency should grow with it. More employees will be joining your team, and you'll need nothing but the best approaches and processes for finding them, attracting them, and taking care of them throughout their tenure.

Ready to learn more about HCM solutions for scalability. Click the "Let's Chat" button to take the first step.