Human resources in a start-up company

Abstract

Some people have the opinion that HR or HR Department is not necessary at a small venture like a starting start-up company. However even the smallest companies should also invest in HR. If a strong HR function is developed by the company, employees may feel valued. Founders should explain to employees what the company does and whom it does it for, and why the company is in this business. If employees see through the processes of the company they are able to work for the company efficiently. In the interest of transparency and to share business information with all of the employees, start-up company should apply an ERPsystem. In the work the author makes a suggestion to introduce S/4 SAP HANA system to see the business processes of the company. The work emphasizes the importance of processes of human resources management especially in the case of start-up companies. The author brings into focus the Personnel Development and Talent Management from the processes of human resources management which are very important recently either by companies functioning in the Hungarian economy or in other European countries. Employers shall select and hire those people who are engaged to the company’s vision and if it is so, then founders and managers shall value, honour them for example with personnel development and talent management (career planning). The work shows those functions of SAP HCM (Human Capital Management) which are able to help in retention of employers hereby raising their commitment to the company.