Managing Humans
This is the second in a series of articles about business operating fundamentals. This one is about human resources, specifically, those issues that typically can use a little extra emphasis.
Remember the test we introduced last week? Well, here’s another question for you: Write down what your business’ annual training budget is, and outline how it will be spent.
While you’re chewing on that answer, let me point out that one of the important HR lessons we should take from big business is in training. Far too many small firms conduct training after a fashion, if at all, and more’s the pity.
Historically, big businesses have had an advantage in this area because they have the resources to pay for structured training programs and to give their people time away from their assignments to acquire training. But in the 21st century, things have changed.
Thanks to the Internet, and thousands of companies that develop and distribute convenient and affordable online training programs, small businesses can acquire training in a wide range of fields without breaking the budget and with a minimum of lost production.
Training is an excellent example of how technology has leveled the playing field for small businesses.
So, how are you coming on that training budget answer? If you’re having trouble with it, perhaps we’ve found a good place to focus your attention.
Next HR question: Explain how your employee motivation strategy contributes to your company’s success.
Does this sound like a trick question? Well, it is only if you don’t know that the best way for your business to be outrageously successful is for you to have a strategy that helps your employees to be successful in their individual assignments and then recognize their progress. And if this requires subordinating your ego and personal recognition to that of your employees, do it.
Remember Blasingame’s First Law of Aggregation: Your employees’ success in their assignments ultimately aggregates for, and accrues to, you, the owner.
Next question: In one word or less, identify the key employees in a small business.
Yes, it’s another trick question, because the answer is everyone. Every member of a small business must be competent and versatile and have a good attitude. You company’s ability to compete will be diminished by the same factor as the percentage of your employees who don’t fit this profile.
Identify the keepers, praise them, equip them, train them, and pay them well. Get rid of everybody else! Any questions?
What about acquisition and retention? Whether the unemployment rate is zero or 10 percent, good people are always in demand. The best way to make sure you can find, hire and keep valuable employees is by making sure your company is a great place to work.
Write this on a rock… Find and keep the right people; invest in their training, and help them to be successful in their assuagements.
Jim Blasingame
Small Business Expert and host of The Small Business Advocate Show
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