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Key insights
- Human resources is essential for helping franchises and small businesses steer clear of problems and lawsuits, save time and money, and improve employee satisfaction and performance.
- Numerous, and costly, risks may come with not having an HR presence — including high turnover, reputation damage, and excessive legal fees. Outsourced HR can provide benefits like strategies for employee development, compliance with employment laws and regulations, and avoiding the cost of hiring and training an in-house HR team.
Franchises, like any other business, make a multitude of managerial decisions to prioritize profit goals and cost-effective business strategies. One often-neglected element of the complete business picture is human resources (HR).
HR is a complex field requiring deep knowledge in employment law, benefits administration, and employee relations. The cost of finding someone with that experience is often mistakenly seen as a luxury many small businesses can’t afford.
Learn how HR can save you time, money, and legal headaches, while also improving employee satisfaction, retention, and performance.
Why HR is a critical role
There are numerous, and costly, risks that may come with not having an HR presence — like high turnover, reputation-damaging online reviews, and excessive legal fees and lawsuits.
Franchises often experience payroll complexities ranging from multiple locations to accurate timekeeping to inconsistencies when business operators choose decentralized over centralized payroll — all issues that may be alleviated by a strong HR function.
Specific issues HR can help resolve
When it comes to the day-to-day franchise operations and managing their employees, many franchise owners report these challenges:
- High turnover
- Employee motivation
- Changing employment laws and regulations
- Customer service and satisfaction
- Ongoing reputation of poor employee management
Conversely, employees frequently have their own list of challenges that come with working in a franchised establishment:
- Lack of training — particularly with handling irate or abusive customers
- Unpredictable shift schedules — making a work/life balance highly unlikely
- Working in a fast-paced, high-stress environment
- Workplace discrimination, harassment, and safety
- Overall culture
HR outsourcing can help franchises and other small businesses increase employee satisfaction and mitigate risks to their business while simultaneously protecting their bottom line.
Outsourced HR can be a viable and affordable option
Outsourced HR provides franchise owners with a strategic resource to strengthen their business while helping improve employee experience.
Save on in-house costs
By outsourcing the HR function, franchises can avoid the cost of hiring and training an in-house HR team or manager. Instead, they can rely on the experience of a credentialed human resources professional, who can handle these tasks efficiently and effectively.
Navigate the changing legal landscape
Relying on outsourced HR can help franchises stay compliant with employment laws and regulations. As businesses grow and expand, an experienced HR professional can help navigate relevant laws and regulations and significantly mitigate the risk of costly legal obstacles.
Develop an engaged and productive workforce
Outsourced HR can also support franchises with developing and implementing recommended practices in areas such as recruiting, onboarding, and employee development, motivation, and retention. These strategies can help franchises attract and retain top talent, which is essential for long-term success.
How CLA can help with your human resource needs
Whether you need policy documentation, an employee handbook, a workplace safety program, training programs, strategic recruiting and retention plans, or payroll processing — having an HR professional in your corner is simply good business.
Not sure what your HR needs are? Consider a full HR assessment to determine the next steps in strengthening your business with professional HR support. CLA’s talent solutions team consists of SPHR/SHRM certified director-level HR consultants ready to assist businesses and franchises with their HR needs.
Contact us
Learn what outsourced human resources can do for your franchise. Complete the form below to connect with CLA.
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