If you’re anything like many other business owners, the thought of going through your recruitment process leaves you feeling drained. Needing to hire a new employee is like being stuck between a rock and a hard place: you need the position filled to keep your business running smoothly, but the time it takes to fill the position with a qualified candidate keeps you away from ensuring your business runs smoothly.
What makes matters worse is that even after you’ve hired a suitable candidate, as much as 25 per cent of new hires leave within 45 days of their start date. When businesses express their frustrations of how much time they spend recruiting whenever there’s turnover, I always suggest practicing continuous recruitment.
Continuous recruitment is simply being open to recognizing talent when you see it, even if you’re not currently hiring. This often takes the form of welcoming resumes and regularly reviewing them in order to stockpile potential candidates as “back-ups.”
Here are just a few reasons why I suggest you consider ongoing recruitment for your business:
Shorter Position Vacancies
Acquiring job applications from candidates with the right qualifications can take weeks – weeks you save by keeping your application channels open at all times. You can save even more time by using an Applicant Tracking System to help you filter out unfit candidates.
Finding Unexpected Talent
Even if you don’t currently have a vacancy, what if a resume comes across your desk that defies all reasonable expectations? Do you risk missing out on possibly one of the best candidates you’ve ever had or see if there’s some way to work with this person? Consider keeping around such exceptional talent as a freelancer until you can find a permanent place for them on your team.
When it’s time for you to hire a new employee, there is no harm in contacting an applicant that applied weeks or even months ago. If they are no longer looking for employment, perhaps they might know someone equally or even better fit for the position. Was it their education or involvement with an association that appealed to you? Consider connecting with the school or association to look for other candidates.
Although there are steps you can take to prevent turnover or ensure you hire the right candidate the first time, it is best to always be prepared for turnover. Practicing continuous recruitment can be as simple as having a message on your website’s “Careers” page that states something like this:
“Please note that we are not hiring at the moment. However, we are always looking to recruit top talent. For general consideration, please send your resume to email@example.com and we may reach out to you should a relevant position become available.”
To find out how other businesses carry out their continuous recruitment efforts, contact me today to discuss joining a TAB advisory board!
As your business becomes increasingly successful, certain aspects of your business will need to change and/or grow to keep up with your demand. Through TAB meeting discussions, I’ve seen this growth take the form of increasing your inventory to meet local demand, expanding to another location to meet national demand, providing more offerings to meet client interests, or outsourcing or hiring more staff to meet all of the above. If you keep hiring more employees, there will come a time when you need to reorganize your reporting structure or even your departments.
In anticipation for future growth, I encourage all business owners to create an organizational restructuring process to ensure your business expansion goes as smoothly as possible. Here are just a few topics you may want this process to cover:
Promoting vs. Hiring
When your business requires a new department, you will need to decide if it’s best to promote an existing employee or hire someone new to manage it. It may sound ideal to promote someone who already knows your business, but it could be best to hire someone from outside your business with a more precise set of skills. For example, your highly skilled and dedicated salesperson may not have the right qualifications to lead a new marketing department.
If you do hope to promote from within, how will you prepare your employee for the tasks and responsibilities that come with a higher-level position? If you anticipate expansion in the coming months, I have seen many business owners see success with managers mentoring talented employees to prepare them to take on the same or similar position. An outside hire can learn the ins and outs of your business this same way.
To ensure everyone in your business is on the same page at every step of growth, you may also want to detail how to communicate to staff that the growth may affect their roles within the company. If big changes are coming and your employees aren’t aware of what they are, they may jump to the conclusion that their jobs or the business may be in trouble when in fact the opposite is true. Your success is their success, and clear communication of any changes in roles or responsibilities can greatly help the progress continue.
Once your organizational restructuring process has been developed and implemented, I encourage you to regularly monitor and reassess its effectiveness. Perhaps there’s an area that can be improved or wasn’t ideal for the type of growth your business experienced. Did you actually need to hire more in-house staff, or should you consider hiring contract workers in the future? It’s important to be flexible and allow your processes to grow and improve with your business.
If you would like to discover how other business owners have restructured as a result of growth, contact me today to discuss becoming a member of a TAB peer advisory board!
You may have a firm grasp on how to run your business, but if you left the company today, would someone else know exactly how to fill your shoes? I have seen many business owners make the mistake of storing an abundance of knowledge in their head and overlook documenting company processes and procedures for others to reference in their absence.
As a business owner, it is understandable that the needs of your business can consume a substantial amount of your time, which sometimes means documenting your processes takes a backseat on your priority list. If you would like to improve your business’s organization but are unsure where to start, here are a few procedures to consider documenting first:
- Customer relations
- Product development
- Organizational restructuring
Once presented with a list, I’ve noticed that many TAB members don’t seem to have problems identifying which processes they use, but they do often question exactly which details they should write down. Again, this may differ from business to business, but I encourage every business owner to describe as much about their processes as they can.
Once you have prioritized your business’s processes and decided which to detail first, here are the next steps you can take:
- Choose a name. What will you and your employees call this process so that it can be easily referenced? Consider a name that is clear and concise yet informative enough so as not to accidently be confused with other processes.
- List the steps. What event triggers the start of this process, and what has to happen to reach the desired end result? For example, the need for a new employee would trigger your recruitment process, and writing a detailed job description would be one of many steps that must be taken to reach the end result of a qualified hire.
- List the roles. Who is in charge of which step? Continuing with the recruitment example, your HR manager may pass along the job applications to the applicable department head, who then conducts the interviews and hiring negotiations.
- Organize the document. How will you and your employees ensure the process is being followed? You can create a summarized version of the process in the form of a checklist or flowchart that can easily track completion of steps.
This may seem like a daunting undertaking, especially if you have a lot of processes that need documenting. However, you may find some employees are equipped to document the processes of certain tasks that only require your final approval.
If you would like to discuss how to organize your business processes, contact me today to join a TAB peer advisory board.
It’s a standard business practice among large corporations, and even smaller businesses: annual performance evaluations. Many businesses hold on to the tradition of conducting annual performance evaluations to review employee progress and goals. However, 30% of performance reviews decrease employee morale rather than improve it.
To ensure your employees receive constructive feedback in a receptive manner, here are a few other options for providing feedback you can consider:
I encourage business owners to provide constructive criticism as soon as their employees experience difficulties within their role. This way, they can take appropriate steps right away to improve their actions rather than continue down a slippery slope of poor performance, which can in turn negatively impact your business. For example, if one of your employees seems slightly too blunt with a client, consider speaking with them immediately after the meeting to discuss how to better communicate with clients.
This suggestion of providing timely feedback applies to providing praise as well. Although it may be appreciated at any time, your employees will have a precise image of how to continue their good work if they can clearly remember the work you’re commending.
Clearly Define Expectations
Before we hire employees, we have an idea of the tasks they’ll perform and the role they’ll serve in the business. Sometimes, especially in smaller businesses, the roles and responsibilities of an employee can shift quite quickly based on the needs of the business. If there’s been any change in the roles or responsibilities of an employee, it’s important that you communicate any changes in expectations that arise as a result of a shift in responsibilities.
You can improve your employees’ performance even further by discussing with them how to meet the expectations of their role rather than to simply assign the expectations. Much of business success is rooted in two-way communication.
Ask for Their Feedback
Although intimidation isn’t your intention, some employees believe receiving feedback to be a daunting ordeal. To help them be more receptive to feedback, try asking them to comment on themselves first. If they are already mindful of their workplace struggles, this allows them the opportunity to inform you of the steps they are already taking to improve. You can then offer further guidance, as needed. The goal of this method is for your employee to have a conversation with you rather than feel they’re being criticized.
To find out how you can better provide employee feedback or learn how other businesses approach it, contact me today to discuss joining a TAB advisory board!
Have you ever patted an employee on the back to praise them? Or, have you ever asked them a deeply personal question simply because you care about their well- being? While your intentions may be good, your staff may perceive these gestures in a completely different way than you would like them to. Sometimes we work so closely with our staff that the boundary between employee and friend can become blurred. Despite having the best intentions, as a person of authority, you should be cognizant about how you interact with your employees.
In order to protect yourself and your brand’s reputation from unsavoury allegations, I encourage all businesses, no matter their size, to implement a workplace harassment policy. In fact, all employers are required to have a workplace harassment policy under the Occupational Health and Safety Act.
The purpose of a workplace harassment policy is to ensure there are procedures in place to prevent and handle employee harassment complaints. If there aren’t documented procedures that you and your employees can easily reference as needed, you potentially open yourself up to legal repercussions. To avoid any grey area, there are template policies you can use to create your own.
Your workplace harassment policy can cover as little or as much as you deem necessary for your business, but here are a few subjects to take into consideration:
I strongly suggest mulling over every comment in your head before sharing them with employees, because carefree comments from a superior can easily be misunderstood as inappropriate or intimidating. Some employees may give you the benefit of the doubt over simple mistakes, but there may be others who take offense. The same goes for jokes; a joke that went over well at a friend or family gathering may not be appropriate for the workplace.
You may have the most innocent of intentions when you pat an employee on the back or place a hand on their shoulder, but not everyone will realize this. If you have a habit of casually touching people when you speak to them, I would suggest trying to break it. If you’re unaware of any such habits, I would recommend taking a day or week to be particularly conscious of your actions around employees; you might have a habit you didn’t know about.
Décor such as calendars, posters, paintings, statues, and any other form of decoration brought into the workplace should be chosen with a purely professional mindset. Where possible, I suggest choosing pieces that won’t cause debate over the definition of “tasteful.” And similarly to being cautious of jokes you share with employees, satirical images may not be as well received among employees as they can be among friends.
For specifics on what topics should be avoided in the workplace and to ensure discriminatory or offensive remarks/actions don’t take place, consider reviewing the Ontario Human Rights Code.
If you need help manoeuvring around this delicate subject and want to discuss how to implement an effective workplace harassment policy, contact me today to join a TAB peer advisory board.
Have you ever considered running a family business? Perhaps you’re enticed by the convenience of working with people you already know, or maybe you’re seeking to leave a family legacy for your children and theirs. While there are many benefits to working with family, it can also have its downsides. Although many families succeed in business, sometimes the stress of running a business can get in the way of family relationships and vice versa.
I have worked with dozens of family businesses over the years, and through TAB meetings I have noticed several pros and cons family business owners seem to experience. Here are a few pros and cons you may encounter if you decide to work with family:
- Kick-Start Your Succession Plan. Your business may be your pride and joy right now, but if you ever plan on retiring or starting another venture, you may need to consider eventually passing it along to someone else. Partnering with or hiring a family member can be a great way to show them the ropes so they can one day run the business.
- Gain a Valuable Marketing Angle. Consumers prefer purchasing from family businesses. Although this doesn’t mean you should partner with any family member for the sake of owing a family business, hiring a qualified sibling or child can improve your business’s image.
- Trust Who You’re Hiring. Hiring can be a convoluted process, and it can become discouraging if your business experiences a high turnover. By hiring a family member, you likely already have a strong sense of their work ethic and whether they’d be a good fit for your business and team.
- Taking Work Home With You. Many business owners I know are guilty of this, but you may find it difficult to keep business discussions within business hours. For the sake of continued positive family relationships you may not want business to be at the forefront of every family gathering.
- Concerned Employees. Unless your entire staff is family, some of your non-related employees may worry that they won’t be treated equally. I encourage you to communicate to your staff that all employees are held to the same standards, and are subject to the same policies and codes of conduct.
- Maintaining Professionalism. Regardless if you’re working with relatives, a certain level of professionalism should still be maintained in the workplace. Keep family gossip out of the office and treat each other no differently than you’d treat a normal co-worker.
If you truly believe that one of your family members would be a valuable asset to your team, I encourage you to hire them. If, on the other hand, you are considering working with family solely out of convenience or family pressure, I suggest standing firm on the decisions that are in the best interest of your business. There can be substantial benefits to partnering with or hiring a family member, but it takes a strong, communicative family to make it work.
To discuss the ups and downs of your family business with a TAB peer advisory board, contact me today!
Since profit is essential for longevity and overall success of a business, it can be difficult to not obsess over your business’s numbers. As a passionate business owner, you may find yourself spending a lot of time worrying about unmet sales goals, overspent budgets, or unforeseen expenditures. These are all valid concerns, but is fixating on them benefitting your business?
Probably not. Instead, I encourage you to look at your business’s big picture. I believe that numbers are better used as a point of reference for the future rather than as an immediate source of panic. To help free you of the burden that numbers place on many business owners, here is what I suggest:
Build a Detailed Plan
You may have annual or quarterly financial goals, but are they included in an in-depth plan that includes steps and strategies to reach those goals? It’s generally easier to reach a destination with a map. Consider implementing KPIs into your business plan to help you recognize that a poor financial quarter doesn’t necessarily mean your business isn’t growing in other relevant areas.
Re-evaluate Your Existing Plan
If you already have a detailed business plan, it can be understandably frustrating if you are not meeting your goals. You have big ambitions for your business, but every business moves at its own pace. Consider that perhaps some goals may be currently out of reach and can be postponed until next year. Aim for greatness, but ensure your goals are realistic for your current means.
Communicate With Staff
Part of re-evaluating your business plan may include confirming that individual staff and departments are aware of the specific part they play in achieving the company’s goals. Perhaps your employees are doing their best to play their parts, but their best could be better if offered the right motivation. Budgets are often tight, but there are ways to keep employees motivated without giving pay raises.
Remember, going over budget on one item or for one quarter rarely means that you need to stop everything. Businesses have their ups and downs, but you will remain on the path to success as long as you treat everything as a learning opportunity.
If you would like to discuss how to build an effective business plan, contact me today to join a TAB peer advisory board.