Common HR Best Practices: Definition And Examples

By Indeed Editorial Team

Published 6 August 2022

The Indeed Editorial Team comprises a diverse and talented team of writers, researchers and subject matter experts equipped with Indeed's data and insights to deliver useful tips to help guide your career journey.

The human resources (HR) department of a company manages its employee life cycle, including recruiting, hiring, onboarding, training and firing employees and overseeing benefits administration. The responsibilities of HR also include planning, recruitment, workplace management and staying up to date on policies affecting the company and its personnel. If you want a career in HR, learning more about its practices and importance in the workplace may be beneficial. In this article, we discuss what HR best practices are, explain some best practices and review their importance.

What Are HR Best Practices?

HR best practices are a collection of human resource practices and concepts that help a company achieve its business goals, regardless of the organisational type or industry. The most important and valuable resource for a business is its workforce, which requires skilful management and support. The HR department is primarily responsible for implementing excellent HR policies. There are some fundamental HR practices and ideas that effective HR departments employ universally, although each business has specific requirements.

Most reputable companies generally adhere to these practices to ensure their advancement. By implementing these methods, businesses can successfully develop strategic HR management.

Related: The Functions And Departments Of HR: A Complete Guide

Examples Of HR Best Practices

Listed below are some practices HR personnel typically follow:

Build a supportive workplace environment

As most personnel spend much of their productive time in the workplace, it is important to ensure all team members are content, with their wants, emotional well-being and physical safety seen as a priority. As people sometimes experience frustration and anxiety, an exceptional HR administrator instils confidence in all team members by developing open dialogue and positive connections. If they feel that someone wants to hear their problems and attempts to solve them, they can concentrate on their work more effectively.

Establishing one-on-one routine check-in chats provides everyone with the chance to express themselves. Holding quarterly or monthly meetings with every department or conducting individual anonymous surveys may be successful in determining the most pressing problems and finding solutions. In this way, managers can look for indications of trouble and resolve conflicts.

Related: What Are The Roles And Responsibilities Of HR? (With Skills)

Provide job security

Employment security motivates staff to work for an organisation. This security comprises two parts: The formal part offers direct compensation for labour, whereas the informal section includes amenities, such as incentives, bonuses, paid leave, loan assistance and health insurance. Job security aids in employee retention, which lowers setup, training and educational costs.

When professionals have no fear of losing their source of income, they are more likely to stay with an organisation. The loss of skilled personnel compromises the stability of the business and slows growth. This makes offering job security one of the most important standard practices in HR.

Related: 13 Important HR Manager Roles (With Job Duties And Tips)

Maintain transparency

Maintaining openness and being candid with employees regarding the company's successes and setbacks is an important HR practice. Employees feel trusted, respected and valued in organisations that encourage open feedback and conversation. Concentrating on developing an atmosphere that encourages idea sharing and collaboration can benefit a company. Employees who are knowledgeable about organisational processes can easily express their opinions and may also value the opportunity to participate in choices that might affect their careers.

A company's HR department can foster a culture of trust when transparent with the staff. Sharing data about contracts, sales, new clients, management goals and corporate policies can guarantee the workforce is as optimistic and passionate about the firm as the management. It helps to generate interest in your strategic choices, aligning them with the company's goals.

Related: Top HR Skills And Activities

Employ innovative hiring methods

High-performance candidates are always in demand, so businesses often use unique hiring methods to expedite the process. There are several prerequisites to consider before determining whether a candidate suits the firm as a productive member and a cultural fit. By providing high-performing job applicants with a reason to choose the company, instead of only specifying the talents the company is looking for in an employee, it may attract and retain their loyalty.

The ideal job description includes details about the company, such as the technology the company employs, the types of products it offers and its purpose and vision. More candidates who appreciate the organisation's mission may apply if the HR administrator includes this contextual information. Candidates can potentially gain the abilities required for the job later. It is more important to hire professionals invested in the company's success. Before inviting someone for an interview, HR might use video interviewing as an excellent time-saving technique to assess their level of enthusiasm and commitment to the company.

Related: Interview Questions For HR Executive Positions With Answers

Select the right candidates

As HR personnel typically appoint the best candidates to add to the company's value. They may use digital tracking to monitor hiring indicators, such as offering acceptance rates and the hiring sources that refer you to qualified prospects. Knowing which referral sources provide qualified prospects can help reduce the use of inefficient sources. Understanding the acceptance rate can help address flaws in the hiring process or inadequate pay offers.

HR professionals try to develop an organised and impartial selection procedure. This reflects both corporate diversity goals and regulatory constraints. A diverse staff reflects society more accurately and can help in understanding general consumer behaviour and different client requirements. They also use other tools, such as interviews, peer assessments or reference checks, to further streamline the procedure or make it more selective. This helps them further determine the candidates' dedication, trainability, personalities and qualifications.

Invest in training and development

Investment in training and development opportunities is a standard practice in HR since it helps prepare present and future staff for their roles. HR usually concentrates on skill-specific training and considers the importance of educating new personnel. The staff may remain more productive and engaged in the workplace and the company if they feel supported and motivated to grow with fast-paced industry advancements.

Before hiring new full-time staff members, one of the best techniques for training staff might be to hire skilled interns to lower training expenditures. When they have finished their internship, interns can potentially become valuable full-time staff. Once the company has the ideal team, keeping employees' training current can help develop their professional expertise.

Related: What Is Onboarding For New Employees? Tips And Importance

Offer appropriate incentives

Instead of limiting pay raises to an annual review bonus at the end of the year, some businesses may find it advantageous to reward staff by using commissions or incentives instead. As base pay increases often create a better and long-lasting impact, many employees prefer them over one-time bonuses. There are various incentives that maintain employee motivation, such as a system for employee recognition and rewards or using social recognition.

Office intranet and display boards may feature the top employee accomplishments and performance. This can enhance their morale, inspire others to be more productive and foster a competitive climate within the organisation. By offering the proper incentives, HR can demonstrate that the company values employees' contributions to the business.

Related: An In-Depth Guide To Professionalism

Offer employee benefits and adequate compensation

The best benefits programmes use a strategic approach to achieving business objectives, retaining talented people and ensuring employees are aware of their advantages. The company can gain valuable information and determine where to focus money for employee benefits by studying other HR strategies. This aids its understanding of the advantages that keep talented personnel on the team. It might choose to offer leisure and exercise facilities, daycare facilities, subsidised tuition, medical insurance or any other incentives to demonstrate its appreciation.

High-performing employees deserve great pay. Good perks and pay packages imply the company values its employees and appreciates their contributions. HR can provide other forms of payment than a salary increase, such as extra vacation time, gift cards, company discounts, stock options or profit-sharing.

Related: How To Design An Exit Interview Format (With Template)

Maintain well-developed feedback management and fair evaluation systems

Many workplaces use the 360-degree performance management feedback system for gathering performance feedback. The system involves asking senior staff, peers and subordinates for their opinions. This ensures each team member gives and receives relevant, constructive feedback, creating an evaluation system with a clear reporting line for each employee and connecting employee performance to the objectives and priorities of the company.

Developing a self-rating evaluation method often means self-regulation and empowerment. Evaluation based on the employee's accomplishments throughout the year is fairer. The system may be more equitable if the direct manager receives cross-functional feedback from another manager.

Importance Of HR Best Practices

Here are some benefits of practicing these approaches:

  • Helps boost productivity

  • Aids in the promotion of talent management

  • Helps improve employee satisfaction levels

  • Helps preserve the culture of the company and ensures suitable employees

  • Assists in employee retention

  • Helps in constant professional development and attaining company objectives.

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