Common HR Problems and Solutions (and how to solve them)

It is essential to understand the common HR problems and solutions in the context of contemporary business environments. HR is not only an employer's gatekeeper and a company's payroll department; it is much more. Human resource departments play significant roles in determining the organizational culture, improving the level of engagement of employees, and addressing the legal requirements of employment. They are also involved in decision-making for the formulation of strategies that will help in the realignment of the workforce to achieve the company's vision and mission.

However, the practitioners themselves encounter various problems that can negatively impact the organization's productivity as well as the satisfaction of workers. Some of the issues that are typical for HR are: how to motivate and control a diverse and remote workforce, how to provide and sustain clear communication between departments and managers, how to deal with constantly changing legal requirements, and how to address the issues related to employees' performance and engagement. These challenges require creativity and flexibility in order to maintain the morale of the workers and order in the working environment.

That is where AgilityPortal comes into play. That is why, as an all-in-one platform, AgilityPortal has the tools to solve such common HR problems. From the recruitment of employees to internal communication and compliance, AgilityPortal provides HR professionals with the tools that can be used to address these issues effectively.  AgilityPortal and different modern HR System can help you overcome complex workforce challenges with innovative solutions.

Modern HR systems not only automate routine tasks but also provide insights that help in strategic decision-making. 

Through implementing such solutions, it is possible not only to address the typical HR issues but also to enhance organizational performance and resilience. 

What Are HR Challenges?

HR professionals face various challenges in managing and optimizing their workforce. These challenges arise from internal and external factors, including changes in labor laws, evolving workforce demographics, technological advancements, globalization, and cultural dynamics, such as managing a diverse workforce across regions.

For example, the COVID-19 pandemic presented a unique challenge for HR departments: establishing efficient remote workforces and ensuring business continuity.

Addressing HR challenges requires strategic planning, proactive measures, and innovative solutions. By proactively addressing HR challenges, HR professionals can build a robust, engaged workforce that drives organizational success.

The Importance of Addressing HR Issues

 Unresolved HR problems can have severe consequences for your company, putting your most important resource – your human capital – at risk. 

Here's how neglecting HR issues can negatively impact your organization:

Loss of top performers and high-potential employees: Unhappy employees may seek opportunities elsewhere, leading to a talent drain that weakens your organization's competitive edge. High turnover rates disrupt operations and increase recruitment and training costs.

Difficulty attracting qualified candidates can hinder your ability to fill crucial roles, leading to a talent shortage and skills gap. This gap can stymie innovation and slow down projects, significantly impacting your organization's productivity and growth.

• Decline in employee morale and motivation: Frustration and lack of appreciation can lead to disengaged and unproductive workers. A demotivated workforce often results in lower quality of work, missed deadlines, and a hostile atmosphere that can spread throughout the organization.
• Employee conflicts and disputes increase: Ineffective communication and unresolved grievances can breed conflict, hampering collaboration and teamwork. This environment can create a toxic workplace culture, leading to further dissatisfaction and turnover.
• Higher costs and liabilities: Employee complaints, grievances, and lawsuits can be costly for your organization, both financially and reputationally. Legal battles and settlements can drain resources and distract from your core business activities.
• Loss of customers and market share: Disengaged employees often fail to provide excellent customer service, negatively impacting customer satisfaction and loyalty. Poor employee performance can lead to declining product quality and service standards, causing customers to turn to competitors.

By proactively addressing HR concerns, you can foster a positive work environment, retain top talent, and ensure your company's long-term success. Implementing effective HR policies and practices not only mitigates risks but also builds a culture of trust and engagement, which is crucial for a high-performing workforce.

4 HR challenges and solutions

Here are four common hr challenges and solutions that your company needs to address, along with some tips on how to solve them:

#1. Recruitment Challenges 

Recruitment continues to be a fundamental aspect of HR management, as it is one of the most crucial factors that determine the long-term success of any organization. A familiar challenge is that it is often hard to find the right people for the job. Lately, it is not enough to just advertise job vacancies in the market and expect a pool of applicants to come knocking.

Employers require a way to capture the attention of prospective employees with the right skills and experience. In this respect, AgilityPortal offers integrated recruitment tools that not only help solve the problem of efficient hiring but also support employer branding. The ability to tailor career pages gives a company an opportunity to provide a professional and friendly first impression of the company to the candidate, as well as the company's culture and values, which are important in the recruitment of human resources.

Another important issue is to be able to process all the applications effectively. This is especially true for HR departments that receive hundreds if not thousands of resumes for a given job position. AgilityPortal has a solution for this problem that is quite effective due to features such as resume screening and applicant tracking. 

These tools help to immediately shortlist the best candidates by using the search algorithms to compare the skills and experience listed in the resume to the job description. This not only accelerates the recruitment process but also guarantees that there will be no qualified applicants missed due to manual filtering.

Through the use of AgilityPortal's integrated recruitment services, organizations can be in a position to increase their recruitment process and come up with a system that will enable them to identify the right candidates in the market. 

To solve this problem, you need to:

Utilize AgilityPortal's integrated recruitment tools to create tailored career pages. Here's how:

• Professional Career Pages: Design visually appealing and informative career pages that reflect the company's culture and values. This helps create a strong employer brand that attracts the right talent.
• Employer Branding: Highlight the company's strengths, work environment, and employee benefits to capture the attention of prospective employees.
• Targeted Job Postings: Use the platform to advertise job vacancies in strategic locations online, ensuring they reach the intended audience.

#2. Employee Engagement and Retention 

Engagement and retention are two of the most important measures of organizational health since they determine the productivity of the workforce and employee turnover. Another common problem that HR departments struggle with is low levels of employee engagement which leads to increased turnover. Employees who are disengaged are usually the ones who are less productive and are always looking for better job opportunities. AgilityPortal directly addresses this challenge by utilizing effective feedback tools and engagement surveys available through the program. These tools allow the HR teams to collect feedback of great practical value on a regular basis, which helps them to know the sentiments and requirements of the employees immediately. Thus, by engaging with this feedback, companies can gain valuable insights and improve the satisfaction and productivity of their employees, thus decreasing turnover levels.

One of the main challenges in ensuring high levels of employee engagement is the absence of proper communication lines. In today's world, where work can be done from anywhere, and people are connected through various means of communication, it becomes difficult to have proper and effective communication. , AgilityPortal has its internal communication tools as a way of addressing this issue. These tools enable effective communication across the different organizational structures so that all employees, regardless of their hierarchy, feel in touch with their counterparts and are on the same page as the organization. Tools like message boards, built-in chat options, and organizational announcements are useful in creating a more connected and motivated workforce.

Through the use of engagement surveys in AgilityPortal and internal communication, organizations can enhance workforce engagement, productivity, and retention and hence lead to an improved organizational culture. 

To solve this problem, you need to:

• Determine the specific metrics you need to track for engagement and retention. Standard metrics include employee satisfaction scores, engagement levels, turnover rates, and productivity measures.
• Use AgilityPortal's feedback tools to collect employee feedback regularly. This can include pulse surveys, engagement surveys, and feedback forms.
• Ensure surveys cover critical areas such as job satisfaction, work environment, management support, career development opportunities, and overall well-being.
• Regularly analyze the collected feedback to identify trends, joint issues, and areas for improvement.
• Use the data to segment employees by department, role, or tenure to understand specific needs and challenges.
• Utilize AgilityPortal's internal communication tools to improve communication across the organization.
• Set up message boards for essential updates and discussions.
• Implement built-in chat options for quick, informal communication.
• Make regular organizational announcements to keep everyone informed and aligned with company goals and changes.
• Based on feedback analysis, create targeted action plans to address specific issues.
• Involve employees in action planning to consider their concerns and suggestions.
• Regularly track the progress of implemented changes using the same feedback tools.
• Continuously monitor engagement and retention metrics to assess the effectiveness of your interventions.
• Encourage communication tools to foster a sense of community and collaboration among employees.
• Organize virtual or in-person team-building activities to strengthen relationships and enhance teamwork.
• Ensure transparency in communication by sharing feedback results and action plans with employees.
• Foster an inclusive culture where every employee feels valued and heard.
• You can use tools like Eddy HR value chain template to emphasize a wide range of subjects. For example, you can focus on career development, retention, and recruitment, among other areas of HR operations. It also facilitates the use of analytics in various aspects of the HR value chain. These templates save time, effort, and money by removing the need for the HR staff to create a framework for adopting the HR value chain model.​
  

#3. Compliance and Regulation Management 

Managing employment laws and regulations is always a daunting task for HR departments as they have to deal with the laws and regulations that are changing with each passing day. To avoid legal consequences and maintain organizational integrity, it is important to stay up to date with these changes. Compliance management is one of the most important areas that AgilityPortal helps in through its features. It is intended to provide the necessary information to HR teams on new laws that impact their sector and region. The feed of legal changes and the alerts are incorporated within the system so that the organisation is always in compliance. It also provides resources that can be used in documenting compliance activities, making audits easier and minimizing the possibility of incurring fines for non-compliance.

Another critical issue that HR departments face is the issue of security and data breaches in relation to the data they hold. As a result of the rising threats in data, it has become crucial to protect the employee's information. The following are some of the ways that AgilityPortal has ensured that the security concerns are addressed; Security: AgilityPortal has enhanced its security measures to meet the current technological standards. End-to-end encryption and multi-factor authentication are used to ensure that the platform is secure when accessing the data. Security audits are conducted frequently and AgilityPortal follows international policies on data protection such as GDPR to ensure that all the data of the employees is safe and cannot be accessed by unauthorized persons.

With these advanced compliance and security measures, AgilityPortal not only helps organizations to stay updated with the current employment laws but also guarantees that the organizations' important information will be safe from cyber risks, which will maintain the integrity and security of organizations and enhance the reliability of employment information. 

To solve this problem, you need to:

#4. Performance Management 

It is important to note that performance management is a critical component of the development of employees and the growth of an organization. However, a lot of organizations face challenges in performance measurement and management, and as a result, employees are not certain of what is expected of them or fail to meet the set standards. AgilityPortal has provided a solution to this by providing performance management tools. They are tools that are used to help in systematically setting, monitoring and reviewing employees' goals and performance. Features that enable the setting of quantifiable and tangible goals provide the employees with much-needed direction on what is expected of them and how they can work towards achieving the set goals. Daily/weekly progress meetings through the platform also assist in maintaining the necessary accountability and addressing any problems in real time, making the process more fluid.

The other problem that is usually associated with performance management is that of bias in performance appraisal which makes employees demotivated and dissatisfied. AgilityPortal resolves this by applying clear and systematic feedback systems. It also has sample feedback and policies to follow to ensure that the feedback given is fair and balanced. Also, it facilitates 360-degree feedback whereby the employee receives feedback from colleagues, juniors, and seniors. This approach is useful in ensuring that one gets a balanced view of performance, avoids prejudices and enhances the reliability of performance evaluations.

Through the use of AgilityPortal's sophisticated performance management system, organizations can be assured of a more efficient and impartial method of assessing and improving employees' performance, which will then promote organizational improvement and fairness.

To solve this problem, you need to:

• Evaluate Current Practices: Assess existing performance management practices in your organization to identify specific challenges and areas for improvement.
• Implement AgilityPortal: Introduce AgilityPortal's tools and systems to address the identified challenges. This includes setting up clear goals, scheduling regular progress meetings, and using their feedback mechanisms.
• Training and Adoption: Ensure employees and managers are trained on how to effectively use AgilityPortal to maximize its benefits. Adoption and buy-in from all levels of the organization are crucial for the system's success.
• Monitor and Adjust: Continuously monitor the implementation of Agilityportal and gather feedback to make adjustments as needed. This iterative process ensures that the performance management system remains effective and aligned with organizational goals.

Big companies with hr problems

Here are examples of some well-known Big companies with hr problems they might be facing in 2024 

Amazon Employee Turnover

Employee turnover remains a persistent issue for Amazon, particularly among its warehouse workers and fulfillment center employees. 

The company's rapid expansion and the intense demands of its operational model have contributed to high turnover rates. Employees often cite physically demanding work conditions, concerns about safety protocols, and issues related to burnout as significant factors influencing their decision to leave. 

Despite efforts to improve working conditions and implement safety measures, turnover rates continue to be a concern, impacting both employee morale and operational efficiency. Addressing these challenges requires ongoing investment in employee welfare, proactive management of workload pressures, and fostering a supportive workplace culture that prioritizes both productivity and employee well-being.

Tesla​'s Labor Relations​

Labor relations have been a contentious issue for Tesla, drawing scrutiny due to allegations of unfair labor practices and workplace safety concerns. 

As Tesla strives to maintain its ambitious production targets and rapid growth trajectory, tensions with its workforce have occasionally surfaced. Reports of long working hours, challenging working conditions in manufacturing plants, and incidents involving workplace injuries have underscored the complexity of managing labor relations amidst rapid expansion. These issues have prompted discussions about employee rights, unionization efforts, and the company's approach to fostering a safe and equitable work environment. 

Tesla's ongoing efforts to address these challenges involve continuous dialogue with employees, regulatory compliance enhancements, and initiatives to improve workplace conditions to align with its innovative and high-performance culture while ensuring employee welfare remains a priority.

Google (Alphabet) Diversity and Inclusion

Despite Google's sustained efforts in this area, diversity and inclusion remain significant challenges for the company. One of the primary concerns has been gender pay disparities, where women reportedly earn less than their male counterparts in similar roles. This issue has raised questions about equitable compensation practices and highlighted broader gender equality issues within the tech industry.

Additionally, Google has faced criticism for the need for more diversity in its leadership ranks. The underrepresentation of women and minorities in senior management positions has been a recurring issue despite initiatives aimed at increasing diversity at all levels of the organization.

Beyond representation, concerns about workplace culture have also been prominent. Allegations of discrimination, harassment, and a perceived lack of inclusivity have surfaced, challenging Google's reputation as a progressive employer. These issues have sparked internal discussions and external scrutiny regarding the effectiveness of Google's diversity initiatives and the company's commitment to fostering an inclusive work environment for all employees.

Addressing these challenges requires ongoing commitment from Google to implement robust diversity and inclusion strategies, improve transparency in pay practices, accelerate leadership diversity efforts, and cultivate a workplace culture that values and respects diversity in all its forms. By actively addressing these issues, Google aims to enhance its reputation as an inclusive employer and create a more equitable and supportive environment for its diverse workforce. 

Uber Employee Relations and Culture ​

Uber has encountered significant HR challenges related to employee relations and company culture. These challenges have been marked by allegations of workplace harassment, the existence of toxic work environments, and controversies surrounding management practices. These issues have tarnished Uber's reputation and led to widespread criticism and legal challenges.

Reports of workplace harassment have been particularly damaging, prompting investigations and legal actions against the company. Allegations have ranged from discriminatory behavior to instances of sexual harassment, raising serious concerns about the effectiveness of Uber's HR policies and practices in fostering a safe and respectful workplace.

The company has also been accused of fostering a toxic work culture characterized by intense pressure, cutthroat competition, and a lack of accountability among some employees and management. Such conditions can contribute to high turnover rates and negatively impact employee morale and well-being.

Controversies surrounding management practices, including allegations of executive misconduct and inadequate responses to employee grievances, have further compounded Uber's HR challenges. These issues have underscored the importance of leadership accountability and transparency in addressing internal conflicts and fostering a more positive organizational culture.

Addressing these HR challenges requires Uber to implement comprehensive reforms in its HR policies, strengthen mechanisms for reporting and addressing workplace misconduct, and prioritize creating a supportive and inclusive work environment. Uber aims to rebuild trust among employees, stakeholders, and the public by committing to these initiatives while fostering a culture that values integrity, respect, and accountability. 

Walmart Labor Practices

 As one of the largest employers globally, Walmart faces continuous scrutiny regarding its labor practices, which encompasses concerns over wages, benefits, and working conditions. The company has been a focal point of criticism for its treatment of hourly workers, ranging from allegations of low wages that are insufficient to meet living costs in some regions to reports of inconsistent scheduling practices that affect work-life balance.

Also, Walmart's stance on unionization has been contentious. The company has faced accusations of anti-union tactics, including alleged intimidation of workers interested in organizing. Critics argue that Walmart's opposition to unionization undermines workers' rights to collective bargaining and representation.

In response to these challenges, Walmart has made efforts to improve its labor practices over the years, including raising its minimum wage, offering more comprehensive benefits packages, and implementing initiatives to enhance workplace conditions. However, the company continues to navigate complex dynamics related to labor relations and public perception, balancing the need to maintain operational efficiency with addressing the concerns of its workforce and external stakeholders.

Moving forward, Walmart's approach to labor practices will likely remain under scrutiny, with ongoing calls for transparency, fairness, and accountability in its treatment of employees. The company's ability to effectively manage these issues while fostering a supportive and inclusive work environment will be crucial in shaping its reputation and relationships with employees, customers, and the broader community.

HR problems and solutions case study

Employee engagement and retention are critical measures of an organization's health, directly influencing workforce productivity and turnover rates. 

HR departments often face significant challenges, such as low employee engagement and high turnover, which can severely impact overall performance and morale. We are going to present 3 case studies on common HR problems that companies frequently encounter and provide practical solutions to eliminate these issues. By addressing these challenges effectively, organizations can foster a more engaged, productive, and stable workforce.  

Keep reading to get an understand of those HR problems and solutions case study.

Case Study 1. Low Employee Morale and High Turnover in a Tech

• A young tech startup is experiencing low employee morale and high turnover. Employees feel overworked, underappreciated, and lack clear career development opportunities. This leads to a revolving door of talent, hindering the company's growth.

Case Study 1. Solution: 

• Employee Engagement Survey: The HR department conducts an anonymous employee engagement survey to understand the root causes of low morale. The survey identifies workload, need for recognition, and limited growth opportunities.
• Improved Communication and Feedback: HR implements regular one-on-one meetings between managers and employees. This allows for open communication, feedback discussions, and goal setting. Additionally, company-wide town halls are held to keep employees informed and engaged.
• Career Development Programs: HR creates career development programs that allow employees to learn new skills and advance their careers within the company. Mentorship programs are established to connect senior employees with junior colleagues.
• Work-Life Balance Initiatives: To promote a healthy work-life balance, the company introduces flexible work arrangements, remote work options, and wellness programs.

Case Study 1. Outcome:​ 

• Employee morale improves significantly. The turnover rate drops, and the company retains its top talent. With a more engaged and motivated workforce, the startup experiences increased productivity and innovation.

Case Study 2. Unclear Performance Management at a Retail Chain

• A large retail chain struggles with inconsistent performance management practices across different stores. Managers lack proper training on conducting performance reviews, leading to confusion and frustration among employees. Unclear expectations and a lack of feedback hinder employee development.

Case Study 2. Solution: ​

• Standardized Performance Management System: HR develops a standardized performance management system with clear evaluation guidelines and rubrics.
• Manager Training: Managers undergo training on effective performance management techniques, including setting SMART goals (Specific, Measurable, Achievable, Relevant, Time-bound), providing constructive feedback, and conducting fair and objective performance reviews.
• Regular Performance Check-Ins: The system encourages regular performance check-ins between managers and employees throughout the year. This allows for ongoing communication and course correction if needed.
• Performance Management Software: The company implements performance management software that streamlines the review process, tracks progress, and facilitates data-driven decision-making.

Case Study 2. Outcome:​ 

• The implementation of a standardized performance management system leads to more consistent expectations and evaluations across the company. Employees receive clear feedback and understand how their performance impacts the business. This creates a more motivated workforce and facilitates talent development.

Case Study 3. Unhealthy Workplace Culture at a Manufacturing Plant​ 

• A manufacturing plant experiences a high number of employee complaints about a hostile work environment. There are reports of bullying, harassment, and a lack of respect between colleagues and supervisors. This leads to low morale, decreased productivity, and safety concerns.

Case Study 3. Solution: ​​ 

• Workplace Culture Assessment: HR conducts a workplace culture assessment to identify specific issues. This can involve surveys, focus groups, and interviews with employees.
• Anti-Harassment Training: All employees, including managers, must undergo mandatory anti-harassment training. This training educates employees on identifying and reporting harassment, promoting respectful communication, and fostering a positive work environment.
• Clear Communication and Reporting Procedures: HR establishes a clear and accessible process for employees to report harassment and bullying. This ensures complaints are investigated promptly and fairly.
• Disciplinary Action: A zero-tolerance policy for harassment is implemented. The consequences of violations are clearly communicated, and appropriate disciplinary action is taken against offenders. 

Case Study 3. Outcome:​ ​

• The focus on building a respectful and inclusive work environment leads to a significant improvement in company culture. Employee complaints decrease, and morale increases. This fosters a safer work environment and improved productivity within the plant. 

Enhance your employee engagement, efficiency, and productivity with AgilityPortal's powerful employee engagement platform.

Employee engagement is crucial for overcoming significant HR challenges, enhancing the employee experience, increasing adoption of HR software, improving productivity, and unlocking the full potential of your workforce.

Platforms like AgilityPortal enable you to:

• Drive user adoption of enterprise software and applications to maximize ROI.
• Provide personalized onboarding and training experiences with customized pop-ups, intelligent tips, and interactive walkthroughs.
• Elevate the employee experience by reducing support tickets and eliminating frustrations across enterprise applications.
• Empower employees to find answers independently with a self-help knowledge base.
• Simplify business transformation with in-app pop-ups highlighting and explaining new processes and application changes.

Overcoming HR challenges in 2024

 In the current landscape, it's essential to leverage the latest HR trends to reimagine your HR strategy and reshape the fundamental aspects of work within your organization.