Edmonton Business Consultant | Why Should Not Businesses Keep Employees Forever
Business owners should understand when they are hiring people in their business, that the goal is to hire great employees and keep them as long as possible says Edmonton business consultant. However, entrepreneurs should also keep in mind that they are never going to keep employees forever, and that they should be always working to ensure the continuity of staff in the workplace. The worst thing that an entrepreneur can do is start to doubt themselves or their business when they start losing staff. Even if the relationship between staff and entrepreneurs is amazing, attrition is bound to happen, and business owners should be prepared for it in order to minimize the cost that transition has in the business.
There are several things that entrepreneurs can keep in mind when operating their business that can help them ensure that they have the right employees in their business and not the wrong ones. Edmonton business consultant says the first question that business owners should know the answer to is what makes losing employees expensive? There is essential to different reasons for this, is the cost of recruiting and new employee as well as the cost of training that new employee. That adds up to the transition cost of losing oneís staff and hiring another and those expenses can add up. It is more cost-effective for business owners to keep staff members then to lose them.
The second question that entrepreneurs need to know, is why keeping the wrong employee is even more expensive than losing one? This is a tough one for a lot of entrepreneurs to understand says Edmonton business consultant. However when the wrong people stay in a business, it is unfair to everybody because subpar performance from employees drives away good people. So not only did they do poor work, but they are also demotivating other staff. It is far better for entrepreneurs to realize that they need to let the wrong people leave their business even at the cost of having to train new ones.
The third question that entrepreneurs should consider when they are recruiting in their business is it realistic to keep an employee for life? Edmonton business consultant would have a resounding no on this question. No matter how great an employee is, and how healthy the employee and employer relationship is, business owners are going to lose staff through no fault of either the business or the employee. Therefore, business owners need to focus on increasing the retention rate of good employees all while working to ensure they are not doing things to encourage the wrong people to stay. With all that being said, employee transition in business is always necessary.
By understanding these things, entrepreneurs can ensure that they are not taking it personally when staff leave, and that they are working to ensure that the transition between one employee to the next is smooth as possible says Edmonton business consultant.
One of the most difficult lessons that employers can learn about staff according to Edmonton business consultant, is that they are going to leave the business regardless of how much an entrepreneur needs them, or how good the relationship is, or when it is convenient. Once statistic that business owners should keep in mind as they are hiring in business these days, is that the average millennial employee only stays with their employer for 2.3 years. Because of the statistic, entrepreneurs need to understand that transition is just a natural part of business ownership, and there are several things that they can do in order to ensure that that transition is as smooth and least expensive as possible.
Edmonton business consultant recommends that entrepreneurs keep the following things in mind when they are recruiting in their business, to help ensure that they are recruiting the best people for their business. One of the most important things that an entrepreneur can do is communicate their corporate values during the interview process. The reason for that is because it allows the entrepreneur to clearly state what is most important to them so that any potential employees can get an extremely clear idea of who the company is, what they stand for and if they want to work there.
Edmonton business consultant also suggests that business owners ensure that there corporate values are accurate but also polarizing. The reason for this is because corporate values should not appeal to everybody. This is to ensure that there deterring the people that are not a good fit for the business from applying. If people read the corporate values and decide there is no way they want to work there, business owners should consider that a success because that means they have deterred a person who is not going to fit in at that business from applying.
When entrepreneurs open their business for the first time, one important thing that they should be doing when it comes to looking for staff is always be recruiting. Edmonton business consultant recommends that even when a business owner has a full complement of all of the right people in their business, they still need to be looking. The reason for that is because when it is the right time for employees to leave, they are going to do so. Whether they get sick, when the lottery, or move out of the country, an entrepreneur needs to have good people already identified in order to minimize the transition between one employee leaving and another employee starting. By understanding that transition is a natural and normal part of business ownership, entrepreneurs can ensure that they are not taking it personally, and doing what they can to attract the best people, always be recruiting in case employee needs to leave, and allowing themselves the best opportunity to have the best staff they can on hand even in an uncertain market when they can only expect to get two years out of each employee.