From Founder to Bottleneck
When an organization grows without a clear people strategy, predictable problems arise. New employees receive inconsistent onboarding, causing them to take longer to become productive. The lack of clear goals and development paths leads to uncertainty and turnover among the talent that is so desperately needed for the next growth phase.
Additionally, it becomes increasingly difficult to consciously shape the company culture. Without an active approach, subcultures and unwanted behavior take over. Legal risks increase because processes surrounding performance, absenteeism, and contract management are not standardized. Ad-hoc solutions are no longer sufficient: a foundation is needed.
The First Permanent HR Role
The step towards a mature HR or people & culture function can be taken in various ways. The traditional route is to hire a permanent employee, but for a dynamic scale-up, there are often smarter alternatives that better fit the phase the company is in.
Hiring a full-time Head of People or People & Culture Manager is a serious investment. The big advantage is that they become fully part of the company and the culture. They can develop a long-term vision and deeply embed the people strategy in the organization. The downside is that recruiting the right senior candidate can take months and the costs can be significant, while the need may not yet be consistently at that level.
Targeted Expertise at Peak Moments
Scale-ups often do not need a full-time, all-round heavyweight, but rather specific expertise at crucial moments. A flexible layer of specialists can then provide a solution. This can range from strategic guidance to temporary operational support. For example, think of setting up a performance management cycle, professionalizing the recruitment funnel, or developing a leadership program. For such defined projects, targeted HR advice is often a more efficient solution than a permanent appointment.
Temporary Capacity During Pressure or Absence
Sometimes the need is very acute and operational in nature, for example, during the maternity leave of a key figure or during a major reorganization. An organization may then temporarily need extra capacity and experience to ensure continuity and manage projects effectively. In such situations, bringing in HR interim directly provides the right experience. Another modern form is the deployment of a people partner who fulfills the strategic role for a fixed number of days per week, combining the benefits of continuity with flexibility.
Questions That Provide Direction
To determine which form of support fits best, a management team can ask themselves the following questions:
- Do we lack a clear, overarching vision for people & culture?
- Are our managers sufficiently equipped to lead and develop their teams?
- Do we have an acute project that requires specialist knowledge (e.g., implementation of HR tech, setting up a payroll system)?
- Is there a temporary capacity problem due to leave, illness, or a peak in workload?
- Do we want to actively steer and safeguard the culture and values of our company?
- Is our current approach scalable for the next phase of our growth?
The Foundation for Sustainable Growth
The transition from an informal, founder-led approach to a professional people function is a critical milestone for any scale-up. Whether you choose a permanent employee, an interim solution, or a fractional partner, the most important step is that you no longer leave it to chance, but actively manage it. A solid people strategy is the engine behind sustainable growth, a strong culture, and the retention of top talent.
