HR takes root at gratterpalm

Purpose – The purpose of this paper is to examine how HR can help an organization to meet its business goals. Design/methodology/approach – Reveals that a UK retail‐marketing agency that set up its HR department five years ago now has HR representation on the board of directors. Explores the various stages in HR's development at the business. Findings – Contends that six years ago, with a team of 70 people, changing employee legislation and large corporate accounts, the company was at risk through not having an HR function in place. Argues that, operating in the creative industry where high employee‐turnover rates, burnout and job dissatisfaction are common issues, it was missing out on using its human resources and strong culture to gain a competitive advantage and facilitate growth. Practical implications – Advances the view that putting in place an HR strategy requires buy‐in from the senior management team, and introducing HR for the first time is made easier by involving employees and management early in the process. Show that, in this case, an employee survey, supported by a strong communication programme, proved to be a key tool in highlighting the issues that needed to be addressed by the new HR function and in providing an ongoing tool for continuous improvement and engagement with employees. Involving clients and taking into account the needs of external stakeholders further boosted the effectiveness of people policies. Originality/value – Demonstrates how investing strategically in HR can result in cost savings, enhanced productivity and improved customer service.