For small to medium-sized businesses (SMBs) without an in-house HR function, an external HR consultant can provide essential expertise to support business growth and workforce management. Rather than viewing them as a temporary resource, businesses can benefit most by integrating them into both strategic and operational activities. Here are some ways to create a successful partnership.
Without an internal HR department, an external consultant can act as an extension of your leadership team. Including them in discussions on workforce planning, company growth, and operational challenges ensures that HR strategies are aligned with business objectives. Clear expectations from the outset will help them provide targeted, high-value support.
Before work begins, it’s helpful to define key priorities together. Whether the focus is on improving hiring processes, reducing turnover, or ensuring compliance, a shared understanding of business needs will guide HR initiatives effectively. Regular check-ins can help adjust priorities as the business evolves.
To be effective, the consultant should be integrated into the day-to-day workings of the business. Encouraging them to engage with managers and employees will provide valuable insights into company culture, workflows, and operational challenges. Their involvement in areas like hiring, performance management, and policy development can bring structure and efficiency to HR processes.
Good communication is key to a successful partnership. Defining how and when updates will be shared—whether through leadership meetings, reports, or informal check-ins—ensures alignment. An open-door approach, where employees and managers feel comfortable reaching out for HR support, can also strengthen engagement.
In many SMBs, managers take on HR tasks in addition to their core responsibilities. The consultant can provide guidance, tools, and training to help managers handle employee relations, performance discussions, and compliance matters more effectively. When managers feel supported, they can make better HR decisions and contribute to a positive work environment.
A well-defined company culture is crucial for employee satisfaction and retention. The consultant can help reinforce company values, introduce engagement initiatives, and establish policies that foster a healthy work environment. Their role in addressing workplace concerns and supporting conflict resolution also contributes to a more cohesive team.
To assess the effectiveness of HR initiatives, it’s useful to track key metrics such as employee retention, hiring efficiency, and overall workforce satisfaction. Reviewing these regularly can provide insights into what’s working and where adjustments may be needed to better support business goals.
If the business plans to eventually establish an internal HR function, the consultant can help lay the groundwork by setting up efficient processes, documenting best practices, and training key staff. Even if a full HR department isn’t in the immediate plans, a structured approach will ensure continuity and long-term value.
By taking a collaborative approach, SMBs can make the most of an external HR consultant, ensuring they function not just as an advisor but as a key player in achieving business success.