Johnny C. Taylor Jr. provides answers to your HR inquiries in this ongoing series for YSL News. He serves as the president and CEO of the Society for Human Resource Management, the largest HR professional organization worldwide, and is the author of “Reset: A Leader’s Guide to Work in an Age of Upheaval.”

Question: I recently started working as an HR manager at a small construction firm that has been making policy decisions without HR for nearly five years. Everything has been handled on a case-by-case basis, so upper management doesn’t see a need for formal policies. How can I persuade upper management that having current policies and systems is more beneficial than a case-by-case approach to employee concerns? ‒ Ellen

Answer: Congratulations on your new position! Shifting a company away from case-by-case management to a structured policy framework can be challenging, but it presents a great chance to implement meaningful changes. Here’s a structured approach to tackle the issue:

Stress the importance of consistency.

◾ Fairness and transparency: Established policies promote equitable and consistent treatment, building trust and morale among employees. For instance, clear guidelines regarding promotions or disciplinary actions minimize perceptions of bias.

◾ Scalability: As the business expands, handling issues on an individual basis will become impractical. Implementing policies now can help prevent disorganization in the future and serve as a strong base for operational growth.

Underscore legal and financial safeguard.

◾ Compliance: Explain that well-defined policies can help the organization adhere to labor laws and decrease risks associated with allegations of discrimination, harassment, or wrongful termination. Discuss potential costs related to noncompliance, such as legal expenses, fines, and reputational harm.

◾ Documentation: Policies provide a documentation trail that can assist in case of disputes or audits.

Frame policies as time-saving solutions.

◾ Efficiency: Addressing each issue separately consumes time and resources. Policies function as a framework that allows for quicker resolutions, enabling leaders to focus on strategic and high-level tasks.

◾ Simplified onboarding: Policies clarify expectations for new hires, leading to reduced onboarding time and confusion.

Utilize data and case studies.

◾ Practical examples: Share instances of how other companies in the construction sector have gained from having clear policies. Mention stories that showcase cost avoidance or improvement in employee retention rates.

◾ ROI for updated systems: For tools like HRIS (Human Resource Information Systems), present data that demonstrate the return on investment and long-term savings. You can mention that modern HR systems enhance efficiency, minimize errors, and improve employee experiences, which overall lead to better business results.

Adopt a collaborative strategy.

◾ Engage leadership: Involve upper management in discussions about priorities and goals. Position policies as instruments to achieve business objectives instead of restrictions.

◾ Pilot initiatives: Recommend implementing one or two critical policies initially—like those related to safety or performance management—to showcase their efficacy before expanding further.

Offer visual aids and documentation.

◾ Develop a comparison chart: Contrast the existing case-by-case approach with a policy-driven model. Emphasize the benefits concerning fairness, legal compliance, efficiency, and employee satisfaction.

◾ Use presentations or reports to present your suggestions clearly, detailing potential risks of lacking formal policies.

By framing policies and systems as mechanisms to boost efficiency, safeguard the company, and foster growth, you’re more likely to win support from leadership. Remember, they hired you for your HR knowledge—confidently share your expertise and illustrate how these changes align with the company’s long-term vision. Emphasize that effective workplace strategies can drive productivity and enhance employee performance.

Wishing you the best of luck in this exciting new phase!

The perspectives shared in this column are those of the author and do not necessarily represent the views of YSL News.