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Three Important Points For
Effective Employee Management



From time to time I hear business owners express concerns about managing their employees effectively to encourage top performance.

Although effective employee management is a complex topic, here are three basic points to consider.


Point 1:

People are different. And the degree to which they are different is astounding.

This point is fundamental to effective employee management. It is simple and basic, but it is frequently overlooked.

Too often, business owners mistakenly assume that employees see the world as they do, and assume that employees, therefore, will respond as they would in various situations. This, however, is usually not the case, and these owners are frequently disappointed and confused when actual employee behavior differs from the owner's expectations.

* Action Item: As a business owner, always remember that each employee sees the world through his or her unique (and sometimes surprising) lens, and this unique perspective affects all aspects of the employee's performance.


Point 2:

As your business grows, its success becomes less dependent upon your own production and more dependent upon the production of your employees. Your role in the business must adapt to this evolution.

If, when you started your business, you were the only worker, your own productivity was the sole determinant of your success. As you add your first employee or two, the success of your business may remain largely dependent upon your own performance, but this responsibility begins to be shared with others. At some point as you add additional employees, you cross the threshold to where the success of your business is dependant mostly upon the performance of others, and not you.

As the success of your business becomes more and more dependent upon the performance of your employees, your responsibility evolves to creating a supportive working environment for your employees so that they can perform to their fullest. This responsibility can be demanding and time consuming for business owners.

This second point ties directly into the first point, because creating a supportive working environment requires appreciating the uniqueness of your various employees. This is not a "one-size-fits-all" matter.

* Action Item: Remember that, when managing employees, you should not apply the Golden Rule. Do not treat your employees as you wish to be treated. Instead, get to know your employees, determine how they each wish to be treated, and treat them as they desire (which will be somewhat different for each of your "unique" employees).

* Action Item: Before hiring your first employees, consider whether you are ready, willing, and able to adapt to this new role. Some business owners, for example, simply don't want to take on the responsibility of managing employees and the workplace. Business owners who want to focus exclusively on the productive aspects of their business, or who possibly feel that they don't have the talents needed to manage employees, might be better off continuing to operate solo. Alternatively, such owners might consider whether another person, such as a trusted partner or office manager, should handle the employee management responsibilities.


Point 3:

Employees perform best when a close connection exists between the aims, purposes, and values of the business and the aims, purposes, and values of the individuals.

One of the primary motivating factors for employees is enjoyment of their work activity. Such enjoyment most readily results when employees believe that the business is pursuing a worthwhile purpose and that their efforts are making a valuable contribution.

* Action Item: As you consider employee prospects, take care to evaluate whether these individuals will feel a personal commitment to the aims and purposes of your business. Do not look at skills alone, but consider whether the prospect is likely to commit his or her energy and skills to what your business is trying to achieve. Various employee evaluation tools and services are available to help you with this process.

* Action item: Once hired, make sure you nurture the link between the aims, purposes, and values of the employee and the aims, purposes, and values of the business. Regularly communicate to your employees what the business is trying to accomplish, as well as how the employees' work contributes to the firm's progress and success. Whenever possible, create opportunities for your employees to utilize their specific interests and talents on behalf of the company.




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