More than 30% of SMEs have reported that recruitment is the most challenging part of the HR process, more so than staff training, turnover and maintaining morale
Conference call provider Conference Genie conducted the study that quizzed 500 correspondents in the retail, health and fitness, finances and travel industries.
The report examined various challenges faced by start-ups since 2008’s economic crisis, as well as the conflicting factors that affect specific industries and what successful SMEs have been doing to overcome these issues.
Simon Prince, marketing manager at Conference Genie, said:
“During the initial start-up period, it is essential that those working for the business are passionate about the cause and have experience within the sector. Build the right team with complementary skills so you can all excel in your given areas; your business is a reflection of who you are.”
In terms of productivity within the business, SMEs tend to identify staff morale as having the most impact, with 25% reporting that social outings are the best means of maintaining high levels of motivation and morale.
Just under 25% of SMEs from across the range of industries said that they planned to improve their business by investing the greatest amount of their 2014 budget into People Management and HR. Respondents from the finance sector in particular said that the majority of their time would be used to improve their knowledge of HR and People Management concerns.
At 31%, staff turnover was highlighted as more of a concern for industries such as retail, where the most important reported means of maintaining staff morale was the setting of realistic goals and workloads.