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Startups have hundreds of essential decisions to make, and they are always at risk of running into HR challenges if they aren’t careful enough. HR for startups is crucial to fight against these challenges that often come in the way of success.

HRMS helps HR professionals by giving solutions with a way to deal with these challenges and provides a proper workplace culture to your employees. In this blog, you will see the basic five challenges faced by HR, and all the challenges get easily solved by using uKnowva.

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5 Challenges for HR for Startups

By knowing these fundamental five challenges that can hinder the growth of your startup, you can plan well and have a solution ready before the problem arises. Let’s dive into the blog and see what it holds for you.

Challenge 1: Providing proper training and development opportunities

When the size of the startup starts becoming bigger, HR professionals find it hard to implement employee training and development programs. Satisfying a multigenerational workforce with a particular training topic can be arduous. 

Employees get disinterested or disengaged when the program is not designed with your employees in mind. It will result in low ROI. 

To help your employees to prioritise training programs in their busy schedules, smart HRMS software is needed for it. It helps to analyse employees' working patterns and the areas in which they are lacking behind. 

According to the result, it helps HRs to plan the topic for the employees, and every employee can get training according to their needs. Also, when firms are using uKnowva HRMS, they have the option to invite their employees to learn on the go with the eLMS feature. 

The course provider uploads numerous courses and chapters there. Employees subscribe to these courses as and when they like. There could be multiple training videos and webinars as well. The content creator and uploader, or subject matter expert, can choose the user group while uploading the course. It shows the subject matter expert is in control of who can view, learn, and consume the training module and content. 

Also, reporting managers can take help from these admins to configure the rules. So, each employee would need approval from their manager to enrol in a course or module to start consuming or learning it. Managers get instant notifications and alerts in their pending requests to approve subscription requests from their subordinates. This chain of approvals increases the transparency between the manager and the employee as far as their training and development opportunities go by.  

Challenge 2: Policy Documentation & Performance Alignment Problem

Startups have limited resources. Thus no documentation of policies happens as it increases the cost. Most of the documentation is made when startups face some personal challenges. The same goes for aligning employee performance in the startup. 

The need for it is not recognised by the small size, but as the size grows, the need for alignment comes into view. 

By using complete HR software, you can deal with all these challenges, as there is a separate feature that contains all the policies and documentation that an employee needs while joining the company.

uKnowva HRMS, as an example, allows startups to view, edit, audit, and store documentation on its advanced document repository. The information about each employee is never lost. HRs do not worry about the documentation to upload and review later. It is always accessible with a click on their smart devices. So, it ends up saving a lot of time, otherwise wasted on endless scrolling and searching. 

Challenge 3: Decreasing employee turnover

Startups are so much into developing their company that they hardly pay attention to employees' well-being and their needs. It can consequently result in higher turnover rates. 

When an employee leaves the company, a lot of resources and time get wasted in recruiting and training new hires. 

To reduce this rate, human resource management software has numerous features that look after employee engagement, provide them with work flexibility, and take regular feedback that keeps employees happy, satisfied, and motivated. 

A noticeable change can be seen in the turnover rate when you opt for innovative and smart human resource management software.

Challenge 4: A Continuous Feedback System

Startups keep their focus on hiring top talent, and they don’t consider any formal feedback system to take input from the employees or to give employees feedback on their performance. 

Things go well in the initial phase, but as time passes, the problem starts, and there is no solution for it. 

Employees quit their job, or the company fires employees who don’t work according to their needs. This challenge can get solved by having a proper and continuous feedback system. 

Our software contains a continuous feedback process to make employees aware of their performances and give them time to improve. It also helps the company to make the right decisions with their employee’s feedback on the plan. It proves beneficial for the company and makes employees feel that their feedback is valued and considered.

Challenge 5: Reducing manual HR administration tasks

The last and the most challenging task in HR for startups is to do everything manually. Managing spreadsheets from hire to retire is very inconvenient. Manual management leads to multiple errors and can cause compliance issues. The manual data gets hard to handle when the number of employees increases. Their modification is also not an easy task to do. 

To help HRs to face this challenge, a smart and collaborative HRMS comes to the market that has various features incorporated. The software streamlines daily tasks and operations of HR, saving a lot of time.


Helping your startup to scale up its operations and recognise the HR challenges is a must. Resolving them is critical and can go a long way. Therefore, you need a well-designed and collaborative uKnowva HRMS that provides the necessary features and modules needed to address the issues. 

uKnowva is a unified platform that solves all your regular HR challenges and helps you to gain overall productivity.

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What challenges does HR face in an organisation daily?

HR faces challenges such as managing employee relations, ensuring compliance with labour laws and regulations, recruiting and retaining top talent, handling conflicts and grievances, fostering diversity and inclusion, maintaining employee morale and adapting to changing workforce dynamics, etc.

What is the role of uKnowva HRMS in these challenges?

uKnowva HRMS plays a crucial role in addressing HR challenges by automating processes like employee data management, recruitment, onboarding, training, performance evaluation, and benefits administration. It enhances efficiency and accuracy and streamlines HR operations, allowing HR professionals to focus on strategic initiatives and employee engagement.

Why does the HR of a startup face challenges?

The HR of a startup faces challenges due to limited resources, rapid growth, evolving organisational structure, and the need to attract the best talent amidst competition from established companies. 

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