Be Promotable, Get a Higer Salary and Be in Demand
There is one single function you can perform to insure your promotability, increase your compensation and endear yourself to the Board of Directors. Skeptical? Don’t be.
Even a superficial review of the most successful companies proves executives who control unwanted turnover contribute to a lowered COG, manage teams more able to handle emergencies and attract the best new hires. All clear wins for any executive. And this single most important success does not go unnoticed by those who promote, increase compensation or hire.
The smaller the company, the more sensitive it is to fluctuations in personnel. Companies forced to replace productive employees incur financial damage due to:
- Recruitment costs, often, three times the salary of the lost employee.
- Time off task.
- Lowered morale for the team who has to pick up the slack.
- Startup and training costs for both the new employee and the people who train.
- Delays in product release or sales cycle.
- Bad publicity and lost opportunities
Companies or departments who control turnover are better able to change direction, handle crisis and, because they are not forced to train new people constantly, they complete their tasks with higher quality and quickly; on time and on budget.
Easy to say, hard to do. Here are basic steps towards maintaining a stable work force.
- Listen. Ask opinions. Ask for solutions. The less you ‘tell’ the better the performance, the happier the employee.
- Recognition. People thrive on affirmation. Let each person and the team know their value to the company, frequently and specifically.
- Flexibility. When employees know the company cares, they are loyal and apt to do more, better. Maternity leave, shifts in working hours, working from home to accommodate special circumstances, contribute to employee’s feeling they are valued.
- Clear expectations. When people know their deliverable and when it is expected, they can execute with minimal oversight.
- Career concern. What is the employee’s goal? How can you help the employee get there?
- Mentoring. Nothing says “I Care” more than offering a path to growth and promotion.
- Celebrations. Mark the successes and major pushes with food and fun.
- Recognize significant others. Each employee needs the support of their significant other. Include them in your celebrations and acknowledge their sacrifices.
Those Executives who pay close attention to maintaining a stable work force are considered to have strong leadership skills and are typically in high demand. Focus on your people and you can count on a lowered cost of goods (COG) and a happy Board of Directors.