The document emphasizes the importance of human capital planning for small businesses, highlighting SCORE as a key resource for mentorship and support in entrepreneurship. SCORE, a non-profit mentoring organization, has been assisting entrepreneurs for over 45 years through free and confidential services. It outlines critical human capital principles, such as treating employees as valuable assets and integrating human resource management into organizational strategy.

1. HR Means Higher Returns Human Capital Planning for Small Businesses

2. Now more than ever, mentors matter. In times of uncertainty, building additional skills and capabilities for success are competitive advantages. SCORE provides resources and expertise to maximize the success of entrepreneurs, emerging and small businesses. HR Means Higher Returns SCORE - Trusted Mentors in Turbulent Times - Our Mission

3. SCORE is committed to fostering economic development through the support of entrepreneurship, emerging and existing businesses and employment sustainability. The SCORE Association is the premier free business mentoring and advice service in the United States. SCORE, “Counselors to America’s Small Business”, is a non-profit association with 364 offices across the country. For 45 years, SCORE’s 12,400 working and retired business professionals have volunteered to help new generations of entrepreneurs and businesses. SCORE provides business mentoring as a free and confidential public service. SCORE is a resource partner with the U.S. Small Business Administration (SBA). Each year, SCORE serves over 350,000 clients . Since being founded in 1964, more than 8.5 million individuals have been counseled by SCORE or attended SCORE workshops. HR Means Higher Returns About SCORE

4. HR Means Higher Returns About Jerry Masin Jerry Masin is Founder and Principal Advisor of CompasScale LLC. CompasScale is a management consultancy whose focus is building organizational capacity and capabilities for early-stage and emerging companies through the strategic design and implementation of technology and human capital infrastructure. CompasScale also provides retained and pro bono advisory services to for-profit and non-profit organizations on entrepreneurial development, business acceleration, and venture catalyst programs. Masin has over 30 years experience in building global organizations along with technology and human resources disciplines. He has led business-centric staff functions and has specific interest and expertise in the area of blended resource management. As a small business and venture counselor. Masin actively supports economic development and entrepreneurship through his volunteer work with SCORE, Counselors to America’s Small Business, the New Jersey Institute of Technology’s Enterprise Development Center, the Institute for Entrepreneurial Leadership, Einstein’s Alley, Farleigh Dickinson University’s Sustainable Business Incubator and the Rutgers Business School’s Institute for Ethical Leadership.

5. Secure a better understanding of SCORE and its benefits to those we serve and those who serve with us Meaning and work Human Capital (HCM) Human Resources Management (HRM) HRM alternatives HCM Return on Investment Questions and Answers HR Means Higher Returns Agenda and Goals

6. To paraphrase President Kennedy, when it comes to employment: We all inhabit this small planet; we breathe the same air; we cherish our children’s futures; and we seek meaning in the work we do. HR Means Higher Returns Beginning with the End in Mind

7. Maslow would say – “what a man can be, he must be.” HR Means Higher Returns The “Meaning” Link – Part 1

8. All humans need to be respected, to have self-respect and self-esteem How do we reconcile this with the premise that most people work in jobs too small for their spirits? HR Means Higher Returns The “Meaning Link” - Part 2

9. Building and packaging an identity, from its origins and values, of what a business promises to do in order to emotionally connect employees so that they, in turn, deliver on promises made to its customers . HR Means Higher Returns The Argument for Human Capital

10. As Adam Smith would say, there are four types of fixed capital: Useful machines Buildings as a means of procuring revenue Improvements of land Human capital HR Means Higher Returns The Four Types of Fixed Capital

11. Simply stated, human capital means people. There are, however, two key principles that are central to the human capital idea. First, people are assets whose value can be enhanced through investment. Second, an organization’s human capital policies must be aligned to support the organization’s “shared vision.” HR Means Higher Returns A Definition of Human Capital

12. Possess resources that are rare, valuable, non-substitutable and difficult to imitate so as to create a competitive advantage Engage the right people to do the right work at the right time with the right results Brand for talent HR Means Higher Returns Three Human Capital Imperatives

13. Value people as assets rather than as costs Emphasize mission, vision, and organizational culture Hold managers responsible for achieving results instead of imposing rigid, process-oriented rules and standards Choose an organizational structure appropriate to the organization rather than trying to make “one size fit all” Instead of isolating the “personnel function” organizationally, integrate human resource management into the mission of the organization Treat continuous learning as an investment in success rather than as a cost to be minimized Pursue an integrated rather than an ad hoc approach to information management Provide sustained leadership that recognizes change as a permanent condition, not a one-time event Source: GAO Study on HCM HR Means Higher Returns Delivering on the Human Capital Imperatives

14. Human resource management (HRM) practices need to be constructed to meet strategic human capital goals. David Ulrich, a renowned educator and leading HR scholar, would cite the fundamental HRM roles as: Strategic business partner Change champion Employee advocate Administrative expert HR Means Higher Returns Constructing HR Roles to Meet the Human Capital Imperatives

15. Information management and basic transactions ▼ Provision of functional services ▼ Coordination of efforts to improve productivity ▼ Development of competitive advantage through talent ▼ Development of solutions to strategic business opportunities and problems HR Means Higher Returns The Evolution of HRM Roles

16. Treat human capital management as being fundamental to strategic business management Integrate human capital functional staff into management teams Leverage the internal human capital function with external expertise Hire, develop, and sustain leaders according to leadership characteristics identified as essential to achieving specific missions and goals Communicate a shared vision that all employees, working as one team, can strive to accomplish Hire, develop, and retain employees according to competencies Use performance management systems, including pay and other meaningful incentives, to link performance to results Support and reward teams to achieve high performance Integrate employee input into the design and implementation of human capital policies and practices Measure the effectiveness of human capital policies and practices HR Means Higher Returns HRM Guiding Principles and Practices

17. Every organization of 2 or more people needs a human capital strategy; not every organization needs a human resources function In-sourcing Co-sourcing (vendor management) Out-sourcing – PEO, etc . HR Means Higher Returns Delivering HRM Services

18. HR Means Higher Returns The ROI of Human Capital Best Practices

19. SCORE New Jersey Small Business Development Centers Society for Human Resource Management – national and local HR Means Higher Returns Resources in Building HCM Policy and HRM Practices

20. HR Means Higher Returns Volunteering with SCORE Making Dreams Come True SCORE volunteer counselors enjoy a variety of personal rewards. As a SCORE volunteer you: • Provide leadership in the business community • Gain recognition and respect as a business mentor • Enjoy the satisfaction of contributing to the success of the communities you serve • Share in a great experience with other SCORE volunteers • Grow professionally and personally • Participate in lifelong learning • Make new friends To learn more about volunteering with SCORE, visit www.score.org/volunteer.html