Small and medium-sized enterprises often lack fully developed human resources departments. They usually have a single HR generalist who, alongside administrative duties, struggles to develop a strategic HR function due to a lack of both financial and human resources. Therefore, attracting new talent and building a supportive organizational culture where employees feel motivated and engaged can be challenging for SMEs. Retaining key talent often becomes the responsibility of managers who lack the time and tools to take a strategic approach to onboarding and employee development. Employee turnover is a particular challenge, frequently linked to minimal investment in HR development.
Besides SMEs, organizations with many employees that open branches or expand into new markets also face challenges in building a quality HR system. Such processes can be complex and demanding, especially due to the need to align internal policies, adapt to different regulations, and manage diverse teams. To successfully overcome these challenges, companies should incorporate an HR department development strategy during the planning phase that provides strong support to leaders at all levels. To ensure long-term success, companies must continuously work on improving their HR practices and adapting them to growth and new challenges. But what if an organization has not yet reached the highest HR system quality standards but is on the right track?
To learn more about the strategic and long-term enhancement of HR quality, we spoke with Mirjana Radić, Head of Human Resources at Prima, which has more than 2,000 employees, its production facilities, and an extensive retail network with nearly 70 showrooms in the Southeast European market.
How did you achieve the “To be certified Employer Partner” status?
In our organization, human resource management is recognized as one of the most important processes, and we continuously strive to improve the quality of all HR processes. Through collaboration with SELECTIO Group, we conducted an in-depth analysis of our HR system, resulting in specific findings highlighting our strengths and providing suggestions for improvement.
We invest significantly in employee development through internal and external training programs and mentoring initiatives. We take pride in ensuring new employees have a detailed onboarding plan. Additionally, all employees have clear guidelines for personal development plans linked to business goals and the reward system. Team leaders regularly undergo training to enhance leadership competencies. We have also conducted an organizational climate and employee engagement survey, which showed that our employees are highly satisfied with their relationships with colleagues and management, as well as with job organization and work-life balance.
We strengthen our organizational culture through various activities aligned with our core values. Our HR department is involved in strategic projects within the organization and actively participates in implementing changes that help us become a successful organization and a desirable employer.
You are currently expanding into other markets. What does this mean for your HR processes?
This year, we began expanding our retail network into the Slovenian market, which has a higher standard, and certification has been very helpful in attracting new employees. The Employer Partner certification confirms that our HR system is already at a high level, and investing in further development with the guidance of HR consultants from SELECTIO Group will soon result in achieving the full Employer Partner certification.
How do you expect the Employer Partner certification to help retain and develop employees? What improvements can current and future employees expect?
Through the certification process, we received valuable suggestions and advice that we will use to enhance our system. We are working on improving communication, introducing an internal communication app, and investing heavily in developing a feedback culture. All managers attend workshops on the importance and methods of providing structured feedback. We are also introducing new training programs, including “Coach to coach” and “The Art of sales.” Additionally, we have allocated an extra budget for team gatherings and celebrations for employees retiring from the company.
Organizations with highly developed HR systems report up to 50% lower employee turnover risk and 56% higher work performance. Considering these advantages, how do you see the future development of your HR system and its impact on long-term stability and business success?
In our existing production facilities, we are simplifying work processes to enable employees to be more efficient, achieve better results, and earn more. Thanks to digitalization, we have enabled our sales advisors to complete sales processes more efficiently and provide better service to customers. Competent and motivated teams, where each member has a clear role and defined goals, are crucial for business success. Creating such teams is the primary focus of the HR department and HR managers.
Employer branding also plays a key role in enhancing the talent attraction strategy. However, this strategy should begin with postings on popular employment portals. Today’s employees expect much more than just a satisfactory financial package. Therefore, mentioning the certificate badge in job advertisements has been an effective method. Employers have long used it to send a message to candidates that they invest in a high-quality work environment. Consequently, good advice for employers would be to actively use certificate badges that signal an organization with a high-quality HR system. So, what does the “To be certified Employer Partner” badge mean in this context?
Small and medium-sized enterprises, as well as large organizations that do not yet meet the highest HR system quality standards required for full Employer Partner certification, can obtain the transitional “To be certified Employer Partner” badge. This status is awarded by SELECTIO HR consultants following an evaluation of the HR system, providing companies with a clear overview of HR areas that need further improvement.
This recognition demonstrates a company’s commitment to investing in HR system development and creating a stimulating environment for motivated and engaged employees. It signals that companies are on the right path toward establishing a quality HR system that bridges corporate strategy and employee needs. Companies that have started HR system improvements based on the Employer Partner methodology often experience higher employee engagement and improved talent retention. For candidates looking for new job opportunities, this status indicates that management and HR are consistently and systematically working to build a high-quality and sustainable work environment.
If you want to strengthen your HR system to attract and retain talent more effectively, contact us.
