When Does Common Sense Stop Working?
- Kelly Murphy
- Jul 14
- 3 min read
Growing businesses do not suddenly need HR because they reach a certain number of employees. They need structure because growth creates complexity.
A few weeks ago, someone asked me a question that stuck with me.
He asked,
"What makes you different from other HR consultants?"
I answered his question.
Then I drove home thinking about it.
I realized something.
I think he was asking the wrong question.
Actually, I think I was answering the wrong question.
Business owners should not be asking,
"What makes you different?"
They should be asking,
"What value do you bring to my business?"
That simple shift completely changed how I explain what I do.
I Used to Say Businesses Need HR Around Five Employees
If you have heard me speak before, you have probably heard me say that businesses usually need HR around five employees.
There is still some truth to that.
But I have refined my thinking.
Five employees is not the point.
Neither is ten.
Or twenty.
Or fifty.
I have worked with very small organizations that desperately needed structure.
I have also worked with larger organizations that operated surprisingly well with very little formal HR.
Employee count is not the best predictor.
Complexity is.
Growth Changes Everything
When a business is small, common sense works remarkably well.
Everyone talks every day.
The owner answers questions.
New employees learn by watching everyone else.
People know what is expected because they work side by side.
Then the business grows.
Someone becomes a manager.
Hiring speeds up.
Schedules become harder to coordinate.
Employees stop working with the owner every day.
Nothing is wrong.
The business has simply become more complex.
That is when common sense starts breaking down.
Five Signs Your Business Has Outgrown Common Sense
You may be reaching that point if:
Managers handle similar situations differently.
Employees receive different answers depending on who they ask.
Hiring and onboarding feel different every time.
The owner becomes the person everyone goes to with employee questions.
The same people problems continue happening.
None of these are signs of failure.
They are signs that your business has grown beyond informal systems.
This Is Where Many Owners Get Stuck
One thing I have noticed over the years is that business owners are incredibly good at what they do.
They know their customers.
They know their industry.
They know how to build a business.
What they usually do not have is unlimited time.
Eventually, people issues begin taking time away from growing the business.
That is not because they are bad leaders.
It is because growth eventually requires clearer expectations, more consistent decisions, and practical systems that everyone understands.
So What Does Lean in HR Actually Do?
People often assume I help businesses with compliance, employee handbooks, investigations, or recruiting.
Sometimes I do.
But those are the tools.
The value is helping organizations build enough structure that leaders can spend more
time leading and less time reacting.
My goal is not to create bureaucracy.
It is to make running the business easier.
Start by Understanding the Business
One thing I have learned is that the best recommendations come after understanding the business.
That is why I built the HR Health Snapshot.
Instead of assuming every organization needs the same solution, the Snapshot helps
identify strengths, opportunities, and the areas that deserve attention first.
Sometimes the answer is an updated handbook.
Sometimes it is manager coaching.
Sometimes it is hiring.
Sometimes it is simply confirming that things are healthier than the owner realized.
Every business is different.
That is exactly why every recommendation should begin with understanding the business first.
