Your Informal HR Approach Won’t Work Forever

In the last 15 years of being an HR consultant, I've worked with 200+ businesses, and there's always a moment when informal people management stops working.

The warning signs:

- You're having the same conversations with different people
- Decisions feel inconsistent across your team
- You're second-guessing yourself on people issues
- Simple requests become complicated discussions
- You're avoiding difficult conversations

The tipping point? Usually around 8-12 employees.

Below that, you can often manage with good communication and clear expectations. Above that, you need systems.

But here's what most SME owners get wrong: They think "systems" means bureaucracy.

Actually, good HR systems give you freedom:
✅ Clear processes mean faster decisions
✅ Documented policies mean consistent treatment
✅ Proper procedures mean legal protection
✅ Regular check-ins mean fewer surprises

The goal isn't to become corporate. It's to scale your values and maintain your culture as you grow.

Question for SME owners: What people challenge are you facing that keeps recurring? Often, that's your signal that it's time to systematise.

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HOW WE HELP

Building a sustainable business shouldn't mean growing your headaches. 

Here at The People Consultancy, we help owner-managed businesses handle everything that comes with employing people—properly and professionally. 

From £500 per month, our Fully Outsourced HR Service delivers expert support without the full-time cost.

Email us to discuss how we can support your growth journey.