The document discusses ad hoc HR managers (aHRMs) in small businesses. aHRMs are employees who take on HR tasks in addition to their regular roles because HR duties are not formally assigned. The document states that aHRMs spend 20% of their workweek on HR tasks and lack confidence in handling HR, taking time away from their primary jobs. It recommends that while not every small business needs a dedicated HR manager, they should be aware of risks like legal and compliance issues from untrained aHRMs and consider partner options that can provide strategic HR support and guidance.

1. Learn how you can get more out of your work week.
Break free from the
burden of ad hoc HR.

2. 2
Over the years, the HR role
has evolved.
When you look at small
businesses in particular, you’ll
notice an interesting phenomenon.

3. 3
It’s what happens to HR duties
when they’re not actually written
into anyone’s job description.
(Hint: The duties don’t just go away.)

4. 4
We’re talking about the people
who take care of HR tasks in
addition to their primary roles in
the company.
They’re called ad hoc HR
managers (aHRMs).

5. X
X
X
X
5
20%of the workweek.
That’s how much aHRMs,
those not dedicated to HR,
spend on HR- related tasks.
All of which pulls them away from
their day jobs. That’s a massive
opportunity cost.

6. 6
Who does the burden fall on?
CEOs, office managers, business
owners. Maybe it’s you.
70%
of businesses with
between 5 and 49
employees have
an aHRM.
businesses in the United States.
That’s 1.5 million

7. 7
It’s a necessity of growing
businesses — but it can also be
stressful and confusing.
81%of aHRMs lack confidence
in handling their HR tasks.

8. 8
So what kind of tasks are distracting
aHRMs from their primary jobs?

9. 9
Tasks like:
• Hiring
• Compliance
• Performance and engagement
• Payroll and tax processing
• Medical and health benefits
• Employee development and training
• Retirement plan administration

10. 10
Pretty much everything a
dedicated HR manager does.
So what’s the big deal?
For thousands of small businesses,
it makes sense to work this way.
So we’re not suggesting
you need to hire a dedicated
HR manager tomorrow.

11. 11
But there are risks businesses
need to be aware of when they
entrust such important duties to
someone who lacks the proper
training and tools.
of aHRMs have no
formal HR training.82%

12. 12
And it could be bad for business.
Businesses with aHRMs are far
less likely to offer health and
retirement benefits, which could
impact their ability to attract and
retain top talent.
And not everyone is happy being an aHRM —
only one in 10really enjoys this stuff.

13. 13
Not to mention the distraction from
critical leadership tasks. If you’re a
business owner, you could end up
with the worst of both worlds:
• Key business tasks get neglected because
you’re tied up in HR red tape
• You struggle to gain confidence in
HR compliance

14. 14
Ad hoc HR managers will continue
to pick up HR duties in most small
businesses, which can potentially
lead to:
• Higher incidences of significant HR-
related issues
• Working longer hours to handle secondary
HR tasks
• Difficulty dealing with headcount growth
• Challenges with navigating compliance
rules associated with hiring, firing, and
performance management processes

15. 15
We’re here to figure it out together.

16. 16
With dedicated teams and proven
processes, we can provide the
strategic support and guidance
your business needs to help
minimize the risk of ad hoc HR.

17. 17
And free you up for opportunity.

18. 18
Learn more about how to solve the aHRM
dilemma, allowing your business to grow.
Get the complete guide at adp.com/aHRM.

19. 19
Embrace HR for a new day.
Imagine the possibility of doing more with your day and
growing your small business without added burdens.
ADP is here to help you do all that and more.
It’s time to rethink your approach to HR management.
Visit adp.com/RethinkHR or call 844-520-9667 for details.

20. 20
We wanted to learn more about ad hoc HR managers, the tasks that keep
them in the office late, and the stuff that keeps them up at night. Most
important, we wanted to learn how we can help them get the support they
need. So we spoke to them. More than a thousand of them.
The ADP Ad Hoc Human Resource Management Study was a blind online
study among 1,054 businesses with 5-49 employees (December 2016).
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Study methodology