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  • Mark Shaw

How HR can help improve productivity.

What impact would a 20% increase in productivity have on your business and the employee experience?

Not only is such an outcome good for any business (i.e., producing more goods and services for a given number of hours of work), it also improves the employee experience through the improved prospects of real wage increases.

While traditional initiatives such as do more with less, work harder, or work smarter, are good, I want to focus on how much productivity could rise if we minimize the amount of time managers and employees currently spend on non-productive activities.

And here’s where HR can help. By reducing the time spent on administrative overhead and compliance activities, more goods and services can be delivered by employees for the same given number of hours worked. The argument that we need complex HR processes to reduce the risk of poor outcomes is irrelevant as long as a simple process achieves the same outcome as a complex one.

Take the performance management process. It is well recorded that this requires up to 10% of a supervisor/manager’s time for what they report as zero benefit. Or the ever-increasing amount of mandatory compliance training that requires days of every employee’s time every year. It all adds up. A third example is the pay review process requiring reports, recommendations, reviews, and assessment that anecdotal evidence suggests the time involved by all parties is measured in working weeks. Also consider Performance Improvement Plans that regularly require up to 30 working hours of meetings over a 10-12 week before a decision can be made.

If we want to increase productivity, we must talk about the fact that while all of the above examples are designed to minimize the business risk of poor outcomes, they negatively impact on overall productivity as they are overly time and administration intensive.

In response, NEOS HR shifts the complexity of such HR processes to simplicity. The result is a significant increase in the time available to produce more goods and services in the same number of working hours.

NEOS HR has already proven it is possible to:

  • Give every line manager back 16 days of productive time per annum through simpler performance management processes.

  • Allow employees to focus on productivity activities by reducing mandatory compliance training to minutes, rather than days.

  • Return up to 80% of the time required to complete pay reviews.

  • Spend more time on good employees rather than poor performing employees by replacing Performance Improvement Plans with a process that generally resolves issues in a single meeting, two at most.

Proving how HR can help improve productivity have been demonstrated since 1999. If I can do it, so can you.

If you want to increase productivity by replacing complex HR processes with simpler ones, while ensuring the risk of poor outcomes is successfully managed, simply get in touch.

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