3 HR Fundamentals Every Small Business Needs to Get Right
On August 27, I partnered with the Small Business Center at A-B Tech to lead an HR fundamentals workshop for local business owners.
Small business leaders wear many hats, and HR can often feel like one of the most challenging.
Whether you have 2 employees or 20, having a strong HR foundation helps you minimize risk, stay compliant, and create a thriving workplace.
My overall HR framework provided the structure for my presentation and focused on four areas: Envision & Align, Attract & Select, Onboard & Develop, and Inspire & Engage. During the workshop, we covered a variety of topics, with an emphasis on three key fundamentals that are especially important for small businesses.
4 overlapping circles: Envision and Align, Attract and Select, Onboard and Develop, Inspire and Engage
1. Create Clear Role Descriptions
Think of a role description (also called a job or position description) as your business plan for each job. It sets clear expectations and creates alignment from their initial hiring to performance growth throughout their career.
A strong role description should outline:
Why the role exists
Who the role serves (customers, team members, etc.)
Key responsibilities and outcomes
Qualifications needed on day one
Overtime status
Work location expectations (on-site, hybrid, remote)
Supervision given and received
When done well, a role description guides everything that follows:
Job postings and ads: These should reflect the same information clearly and concisely so candidates can quickly answer:
Do I want this job? and Can I do this job?Interview questions and evaluations: Align your interview and reference questions and related forms with the role description to accurately and consistently assess candidates’ knowledge, skills, and abilities.
Onboarding and performance management: From new hire orientation and learning goals to performance expectations and development goals, everything ties back to the role description.
This alignment creates consistency, saves time, and ensures every decision supports your business strategy.
2. Understand Your Compliance Requirements
Employment laws can feel complicated, especially as your business grows. The federal and state laws that apply to your business change depending on how many employees you have.
Certain federal and state laws apply at thresholds such as 1, 5, 15, or 50 employees. Staying informed about these thresholds helps you remain compliant and avoid costly mistakes.
Pro tip: If you’re unsure which laws apply to your business, consult with an HR professional or employment law expert before making key decisions.
3. Develop a Right-Sized Employee Handbook
An employee handbook is an essential tool for setting clear expectations.
Your handbook explains these mutual obligations: what you expect from your employees and what they can expect from you as their employer.
However, employee handbooks are not interchangeable from business to business. If you only have 5 employees, don’t copy and paste a handbook from a company with 15 or 50 employees. The laws they need to follow will be very different from your requirements. The policies and processes they have may also be significantly different. Plus their values, culture, and performance expectations likely won’t be the same as yours.
Your handbook should be customized to reflect your business size, culture, organizational goals, and compliance requirements. A well-designed handbook goes beyond supporting compliance to reinforce your company’s values and culture.
Build a Strong HR Foundation
These three fundamentals -- role clarity, compliance, and clear policies -- are a great starting point for creating a strong HR foundation. They represent just a piece of a bigger picture.
When all elements of HR are aligned -- from attracting and selecting the right people to onboarding, developing, inspiring, and engaging your team -- your business can thrive. When each step in your HR practices is intentional and aligned, you create a stronger foundation for your team and your business. By focusing on clarity, compliance, and policies that fit your organization, you set the stage for growth and long-term success.
If you’re ready to simplify HR and set your business up for success, let’s connect. Together, we can explore how I can support your organization in building strong, sustainable practices. I make HR fun and easy to understand so you can focus on growing your business and making a difference in our community.
Nicole Norian is the founder of Chrysalis HR Consulting, an experienced HR leader, and a certified executive coach. With over three decades of HR expertise and a deep commitment to helping individuals and organizations thrive, she has dedicated her career to empowering leaders and fostering dynamic, mission-driven cultures.