How to Become an HR Consultant

September 24, 2024
Understanding how to become an HR Consultant begins by acquiring relevant qualifications, such as a CIPD Diploma, and gaining diverse HR experience across various roles. Focus on building a professional network and continuously updating your knowledge to serve clients and enhance your consultancy effectively.
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How to Become an HR Consultant

Understanding how to become an HR Consultant begins by acquiring relevant qualifications, such as a CIPD Diploma, and gaining diverse HR experience across various roles. Focus on building a professional network and continuously updating your knowledge to serve clients and enhance your consultancy effectively.

What Are the Main Types of HR Consultants?

What Are the Main Types of HR Consultants

HR consultants are independent service providers who help businesses perform their human resource functions more efficiently. They offer advice on day-to-day HR issues, assist in formulating workforce management strategies, and provide specialist services such as recruitment, compensation, employee care, compliance, and organisational development. There are two main types of HR experts: internal and external.

The External HR consultants can be categorised into various broad groups depending on their area of specialisation:

  1. Recruitment Consultants: These HR consultants help businesses hire the right talent. Their services include designing recruitment strategies, conducting interviews, and assisting organisations in fine-tuning the hiring process.
  2. Employee Relations Consultants: Employee relations consultants help organisations resolve employee issues and disputes, such as grievances, disciplinary matters, and other problems faced by staff. They also assist businesses in managing the human aspects of employment pathways.
  3. Organisation Development Consultants: These HR consultants work with clients to improve the effectiveness of their organisations. They help 
  4. more efficient organisational design processes, organise change management initiatives, develop leadership programmes, create problem-solving strategies for performance, and facilitate team-building activities to enhance workforce productivity.
  5. Compensation and Benefits Consultants: Compensation and benefits consultants assist organisations in designing attractive pay structures and reward systems that enable them to compete for talented employees. This may include advising on pension schemes, bonuses, and other perks to benchmark against competitors.
  6. Learning and Development Consultants: HR consultants specialising in learning and development design programmes to help employees grow professionally and feel motivated, ensuring that the organisation’s human resources are trained, equipped, and capable of competing effectively.
  7. Compliance and Employment Law Consultants: These consultants specialise in compliance and employment law, advising organisations on legal matters and helping ensure that they stay up-to-date with the latest UK employment law. They assist in drafting contracts, policies, and employee handbooks to ensure adherence to legal standards.

What Does an HR Consultant Do?

An HR consultant is a business expert who can help an organisation manage its human resources more effectively, efficiently, and strategically. The professional acts as a consultant, advising clients on issues or projects and devising HR strategies tailored to the specific needs of the organisation. The responsibilities of an HR consultant encompass a wide range of tasks designed to enhance HR practices and support organisational goals. Below are the main tasks of such a professional:

  • Advise on HR Policies and Procedures: HR consultants assist businesses in developing and implementing HR policies and procedures that support organisational goals and ensure compliance with employment legislation and best practices.
  • Conduct HR Audits: When organisations engage HR consultants on a retainer basis, they often conduct audits of the company. This can involve examining HR practices and reviewing employee records to determine whether they meet standards and whether the compensation and benefits structure is appropriate or needs adjustment. Auditors may also review the company’s adherence to relevant employment laws.
  • Improve Staff Relations: HR consultants help manage employee relations by addressing work conflicts, responding to employee grievances, and advising on disciplinary matters. They ensure that employee relations remain positive and that issues are dealt with fairly and in compliance with legal requirements.
  • Recruitment and Talent Management: HR consultants assist companies in improving their recruitment processes, enabling them to hire the right employees more effectively. This includes creating talent acquisition strategies, conducting interviews, and providing insights into the onboarding process.
  • Structural Organisational Setups: HR consultants often handle organisational development projects, helping businesses reshape teams, improve communication, and implement effective leadership practices.
  • Provide Training and Development Solutions: HR consultants plan and execute training programmes that enhance employee competencies and develop leadership skills through workshops, coaching, or e-learning.
  • Compliance with Law: They ensure clients remain compliant by providing sound advice on UK employment laws and regulations. This includes drafting legally sound work contracts, protecting employee rights, and helping resolve disputes.
  • Change Management: HR consultants assist organisations in navigating significant changes, such as mergers or acquisitions, restructuring ahead of a sale, or maximising efficiency by allowing healthcare professionals to focus on patient care rather than administrative tasks.

Average HR Consultant Salary

Average HR Consultant Salary

HR consultant salaries in the United Kingdom can vary based on their level of experience, the type of consulting they specialize in, and whether they work independently or with a consulting firm. Below is a summary of typical HR consultant salaries:

  • Junior HR Consultant: Entry-level HR consultants, who are just starting their consultancy career, can expect to earn between £30,000 and £40,000 per year.
  • HR Consultant: With several years of experience, HR consultants can earn between £40,000 and £60,000 annually. Those who specialize in areas such as employee relations or organizational development can command higher fees.
  • Senior/Independent HR Consultant: Senior HR consultants or those who run their own consulting businesses can earn upwards of £60,000 to £100,000+ per year, depending on their clientele, specialization, and reputation.

Essential Skills of an HR Consultant 

To be a successful HR consultant, you must possess relevant HR expertise, as well as the ability to think critically and plan strategically. The skills of an HR consultant are vital for success, particularly for those who work independently, as strong communication skills are essential alongside these strategic thinking abilities.

The following are key skills necessary to progress in your career as a human resource consultant:

  • HR Expertise: Providing strategic HR advisory and support services is founded on solid core HR theory, employment law, and a generalist knowledge of recruitment, employee relations, organisational development, and HR systems. A competent HR consultant should be able to advise and counsel on a variety of HR issues.
  • Strategic Thinking: HR consultants need to think strategically to help businesses improve their HR practices. They must understand the organization’s goals and create HR strategies that support long-term success.
  • Problem-Solving: HR consultants are often called in to resolve issues, whether they relate to compliance, employee relations, recruitment challenges, or opportunities for organisational restructuring. Strong problem-solving skills are essential to find solutions that benefit both the business and its employees.
  • Communication Skills: Excellent verbal and written communication skills are necessary for explaining complex HR concepts to clients, drafting reports, and presenting analytical results.
  • Project Management: HR consultants frequently juggle multiple projects alongside audits and training programmes. Effective project management skills are crucial for keeping all initiatives on track and within budget.
  • Interpersonal Skills: Building good relationships with clients is essential, and HR consultants need strong interpersonal skills. They regularly work with individuals at all levels, from frontline staff to board members.
  • Flexibility: As generalists, HR consultants work with various types of businesses of differing sizes. This requires flexibility and the ability to adapt their approach to meet the specific needs of each client.

HR Consultant Tips

HR Consultant Tips

Here are some practical tips for budding HR consultants looking to build a successful career as an HR consultant:

  • Earn Broad HR Experience: Starting your journey as an HR consultant while still relatively junior may not provide you with the credible background needed to advise clients effectively. Ensure you gain experience in as many HR functions as possible for your CV—recruitment, employee relations, compliance, and so on.
  • Get Another HR Qualification: Pursue an advanced HR qualification, such as the CIPD Level 7 Diploma in HR Management, to develop the expertise necessary to be a consultant and earn the respect of potential clients.
  • Build Your Business Sense: The effectiveness of an HR consultant is closely related to an understanding of how businesses function. Unfortunately, little attention is often given to developing this skill among those entering the HR field. Gaining insights into finance, operations, distribution, service delivery, and strategy will help ensure that HR interventions align with business goals.
  • Create a Professional Network: Networking is essential for HR consultants. Build relationships with fellow HR professionals, business leaders, and other consultants to enhance your visibility and attract new clients or projects.
  • Keep Up to Date with HR Developments and Employment Law: HR is a fast-moving field, so it’s crucial to stay informed about developing trends and changes in legislation. Attend conferences, take courses at Chamber of Commerce meetings, and read journals that provide news and insights in the field.

HR Consultant Requirements

Becoming an HR consultant typically starts with studying, followed by accumulating HR experience, and finally upgrading to professional qualifications. There is no standard path to becoming an HR consultant; however, employers and clients generally expect candidates to possess specific qualities that enhance their competitiveness. The following summarises the standard qualification requirements for hr consultants:

  • HR Certifications: HR qualifications, such as the CIPD qualification, can be essential, as many HR consultants hold a CIPD Level 5 or 7 Diploma in HR Management. These qualifications help demonstrate their knowledge of HR theory and practice.
  • Relevant HR Experience: Crucial for developing the expertise necessary for advisory work, you will need several years of experience in various HR roles—ideally as an HR Manager, HR Advisor, or a specialist, such as a recruitment consultant or an employee relations generalist.
  • Business Knowledge: As an HR consultant, it is important to understand how businesses operate so that your solutions align with the overall business context. Experience running a business or general exposure to how different companies function can be a valuable asset.

How to Become an HR Consultant

How to Become an HR Consultant 2

Here’s a step-by-step guide to becoming an HR consultant in the UK:

  1. Get a Degree (or a Qualification in HR): To work in HR, you should obtain a Bachelor’s degree in Human Resources, Business Administration, Organisational Development, or International Management. If you are yet to study for a degree, there are many high-quality qualifications in Human Resources that can help you progress from ‘junior’ to ‘officer’ and ‘associate’ levels. For example, the CIPD qualification (the Chartered Institute of Personnel and Development), the UK’s professional body for HR and training, offers a highly endorsed Level 5 Diploma in HR Management.
  2. Build HR Experience: Gain experience in various HR roles, such as HR Advisor, HR Manager, or Talent Acquisition Specialist. This will provide you with a solid understanding of core HR functions, positioning you well to advise on and implement HR interventions.
  3. Further Qualification: Consider completing the CIPD Level 7 Diploma in HR Management to deepen your knowledge of HR strategy, organisational development, and related areas. This will enhance your credibility and enable you to offer more strategic consultancy services.
  4. Develop Business Competence: As an HR consultant, it’s essential to understand how businesses operate. Seek experience within a company or pursue training in business management through courses or further education.
  5. Build Your Client Base: Starting in 2015, it’s time to elevate your HR consulting efforts by networking and marketing yourself to potential clients. Join local professional organisations, such as small business groups and employment-focused associations like chambers of commerce, women’s organisations, and groups that support minority and non-profit businesses. Position yourself as the go-to person for HR solutions by attending relevant networking events and establishing a strong online presence through blogging, community discussions, and social media.
  6. Stay Informed: Continuously update your knowledge of HR trends and employment law by attending workshops, reading industry publications, and participating in webinars or HR conferences. Staying current will enable you to provide clients with up-to-date HR solutions.
  7. Build a Professional Network: Networking within the business community is vital for growing your consultancy. Attend HR-focused events in your local area, join professional associations such as the CIPD, and connect with other HR professionals. While it may be tempting to focus solely on your practice, building connections across your industry is crucial; referrals can lead to more clients.
  8. Market Your Services: If you plan to work as a freelancer or start a consulting business, effective marketing is essential to showcase your HR expertise. Create a professional website that highlights your services and expertise, including client testimonials. Use social media and content marketing to build your brand; consider writing blog posts or white papers on relevant HR topics to position yourself as an industry expert.
  9. Personalised HR Offerings: Providing personalised HR solutions is key when working with clients. Some clients may only need assistance with compliance, while others require training, succession planning, and performance management. Understanding your clients’ needs and offering tailored solutions demonstrates your commitment to their unique situations, fostering long-term relationships.
  10. Keep Learning: As an HR consultant, continually seek to add to your skill set through additional certifications. Areas such as Project Management, Change Management, or specific HR specialisms (e.g., learning and development, diversity and inclusion) can help you expand your service offerings to clients.

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Frequently Asked Questions

Why Should You Become an HR Consultant?

For a diligent and eager aspiring professional, becoming an HR consultant offers a flexible and rewarding career with the potential for lucrative income. One of the main attractions of this profession is the ability for HR consultants to work on their own terms, tailoring strategies to the unique circumstances of each business client. Additionally, consultants have the opportunity to make a direct impact on how organisations recruit, manage, and develop their most valuable resource: their people.

Is Being an HR Consultant a Good Career Choice for You?

Do you enjoy solving problems, working across multiple businesses, and providing strategic HR advice? If so, a career as an HR consultant could be the right choice for you. It’s also an excellent option for HR professionals seeking more autonomy and the chance to specialise in certain areas of HR. Typically, successful consultants are highly adaptable, self-starters with strong interpersonal and business skills.

HR Consultant Salaries

How much does a career in HR consulting pay? The answer depends on your level of experience, whether you specialise, and whether you work for a mainstream consultancy or run your own business. Starting in the industry, you can expect to earn between £30,000 and £40,000 per year. With 3-4 years of experience, you could earn between £40,000 and £60,000. Senior consultants or those with their own consultancy can earn between £70,000 and £100,000 or more.

Which Qualifications Can Help with a Career as an HR Consultant?

If you’re looking to advance your HR career, a CIPD Level 5 Diploma in HR Management or a CIPD Level 7 Diploma in HR Management is highly regarded in the industry. These qualifications can open up career opportunities in HR consultancy. Additional qualifications in employment law, organisational development, or leadership coaching can further enhance your skill set and employability.

Do I Need Experience to Get Started as an HR Consultant?

Yes, most HR consultants have worked in some HR role before entering consultancy. Typically, you would need to have spent five to ten years in an HR department before advising others, especially if you plan to provide strategic advice. Specialising in a particular area of HR practice, such as recruitment or employee relations, can help you establish yourself as an expert consultant.

HR Consultant Career Outlook

The demand for HR consultants is rising as companies seek external support for managing talent, developing employee relations, and complying with changing employment legislation. Consultants are needed for projects such as organisational redesign, diversity and inclusion initiatives, and leadership development programmes. The career opportunities are vast, with the potential to specialise and grow in areas such as HR strategy, executive coaching, or compliance.

HR Consultant Hierarchy and Progressing Within the Role

HR consultants can specialise and progress into more senior consultancy roles, such as Senior HR Consultant or Principal Consultant, where they lead senior projects and manage teams of other consultants. Some may transition into HR Director or HR Business Partner roles within larger organisations, while others might establish their own HR consultancy, focusing on a particular niche and serving various clients.

HR Consultant Exit Options and Opportunities

After gaining significant experience as an HR Consultant, you may transition into related fields such as management consulting, executive coaching, or organizational development consulting. Some HR Consultants also move into leadership roles within organizations, such as HR Director or Chief People Officer (CPO). Others may choose to continue growing their consultancy practice, expanding their client base, or offering niche HR services.

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