If you lead a small firm with half a dozen employees you are probably doing your own human resources work, and you recognize that you do not have people to waste and so you better get the most out of them. If you are a leader in a large firm you probably have an HR department to worry about things for you, but you still really do not have people to waste, so you should consider doing as much HR on your own as you can if you feel that department is not helping you and is not responsive to your needs.

Of course, if all your human resource issues are working out fine, and you have a great relationship with your strategic HR partner, then you probably do not need any of the advice in here, so carry on.

But for those who are still doing hiring and firing as it was done 10 years ago, take note. The name of the game for getting the most out of your employees is not “resource management” or even “personnel management,” but instead, “talent management.” Your focus needs to be on gaining, retaining, and developing your talent to meet your firm’s particular needs and reduce the costs associated with high turnover and wasted ability.

The term “holistic HR” has emerged, getting away from the stovepiped components of managing people and instead integrating those components to maximize the use of your talent. Business Week noted a few years ago that,

Human Resources is no longer about hiring, firing, and managing benefits. Top companies are realizing that a holistic approach to what has come to be called “talent management” — one that aligns a company’s goals with succession planning and employee career objectives — can produce big cost savings.

So, what are some things on which you should focus?

Well, whoever is doing HR for you, whether it is you or a division in another part of the building, needs to be very familiar with the company’s goals and with your particular needs when it comes to meeting those goals. They need to get you the detailed information you need about applicants so you can see if they have the specific talents you need. Keyword-based CV review programs are going to have trouble doing that.

Then you need to consider how to develop the talent once you have it. Rather than always looking outside for leaders, you need to consider growing your own from the inside, and that means identifying career paths for those who want to remain on the purely technical side of things and for those who want to be leaders.

Once you have got talent and you are developing people, you need to keep them. Why spend the time and money on them if they are going to your competitors? Look at what it takes to keep them engaged and satisfied in their work, or you will lose them to someone with a more exciting offer.

Above all, make sure you have people who are adding value to your firm. Hire carefully, and if someone is not developing or if your needs change, look at what you can do to help them adapt. If they cannot, or do not want to, then it may be time to part company.

The bottom line here is that just as leading your employees has its own unique challenges, so does managing them. The HR side of your business adds value just as much as the direct work you do for clients IF you do it right.

So, do it right.

(Learn more about Designing Leaders’ workshop to help you maximize the value of employee development — after all, if you are paying for training, it is up to you to make sure your employees use it. We also offer a workshop for your HR team, to help them work with you as a strategic partner.)