Does Your SME Need a Full-Time HR Manager or HRMaaS?

For many growing businesses, there comes a point when managing people can no longer be an informal
responsibility shared between the CEO, Finance team or Administration.

Employees are increasing. Recruitment is taking more time. Performance conversations are becoming
more complicated. Policies and contracts need attention. Employee issues are taking up management
time.

At this stage, one question often comes up:
Do we need to hire a full-time HR Manager?
The answer isn’t always yes.
For some businesses, hiring an internal HR Manager makes sense. For others, HR Manager-as-a-
Service (HRMaaS) can provide the HR expertise they need without immediately building a full internal HR
department.

What is HRMaaS?
HR Manager-as-a-Service is an outsourced HR solution where a business gets ongoing access to
professional HR management and support without necessarily employing a full-time senior HR Manager
internally.

Instead of bringing an HR Manager onto your payroll, you work with an external HR partner who supports
your organisation based on its needs.

This can include areas such as:
● HR policies and documentation
● Employee relations
● Performance management
● Recruitment support
● HR compliance
● Employee onboarding
● HR processes and systems
● HR strategy
● Organisational development

The exact support can be structured around the needs and size of the business.

When might HRMaaS make sense?
HRMaaS can be particularly useful for a growing SME that has employees and increasing HR
responsibilities but isn’t yet ready to build a large internal HR function.

You may be experiencing situations such as:
● The CEO is handling HR alongside running the business.
● Finance or Administration has become responsible for employee matters.
● HR documentation isn’t properly organised.
● Managers need support dealing with employee issues.
● Recruitment is taking too much management time.
● Performance management isn’t structured.
● The business is growing faster than its HR systems.
● You need experienced HR guidance but don’t require a full-time senior HR Manager.

What about hiring internally?
An internal HR Manager can be the right choice when a business has reached a size and complexity
where having a dedicated HR professional on-site or within the organisation every day is necessary.

However, the cost of hiring is not limited to salary.
There are recruitment costs, benefits, workspace, technology, training and other employment costs to
consider.

For a smaller business, the question isn’t simply:
“Can we afford an HR Manager?”
It is:
“What level of HR support do we actually need right now?”

HRMaaS gives growing businesses another option
Instead of waiting until HR becomes a major problem, businesses can access professional support while
building their internal structures gradually.

The objective isn’t to avoid building a strong HR function.
It’s to build the right HR function for the business at the right stage of growth.

Is HRMaaS right for your business?
If your organisation is growing and people-related issues are taking more management time, it may be
time to consider additional HR support.

Alternate Doors’ HR Manager-as-a-Service provides growing businesses with ongoing HR expertise
without necessarily having to build a full senior internal HR function.

Not sure what level of HR support your business needs? Book an HR Consultation