Business Succession Pros and Cons

High employee turnover is practically normal in some industries. These are mostly entry-level positions, where people only stay for a short time. But, since the global pandemic outbreak and shutdowns, followed by the reopenings, more and more companies have experienced unusual amounts of employee turnover. Although it’s easy to simply blame this abnormality as the source of the problem, there are sometimes underlying issues. It’s just that these remarkably unusual sets of circumstances have finally brought those festering problems to the surface. High Employee Turnover Usually Underscores Underlying Issues High employee turnover may in fact highlight problems within the workplace and not be a reflection of the departing team members themselves. Put another way, it’s not the employees’ faults necessarily, but something in the way the business is run. This isn’t to say it’s always the corporation’s fault, as mentioned above, some industries experience high rates of employee turnover regularly. However, if you’re running a business that does not hire nearly exclusive entry-level workers, and people are quitting after short periods of time, there are probably some good reasons. Companies often thrive based on the talent provided by their employees. Yet, if a company is faced with frequent turnovers, the efficiency and effectiveness of business operations could suffer. Similarly, those companies that maintain a consistent workforce may be able to grow as a result of their employee base performing consistently. Understanding the causes and effects of turnover can help your company develop strategies and policies to increase the odds of keeping the staff members you value. —Houston Chronicle Small Business One of the most difficult things for owners and entrepreneurs alike to see and understand is where their businesses are falling short when it comes to their employees. Ensuring that employees are well taken care of is just as important as serving customers to the best of your abilities. Since employees are the very lifeblood of your business, they should not only be compensated fairly but treated as vital components of your company. 3 Key Reasons Businesses Experience High Employee Turnover Fortunately, high employee turnover usually comes as a result of at least one of three reasons. If any of these are persistent in your business, it’s probably what’s driving your employees to quit after very short tenures. Here are the most common reasons that businesses experience high employee turnover: Compensation. This is the most obvious and is definitely among the top reasons employees don’t stay with their companies. Unfortunately, this doesn’t just apply to hourly workers, but salaried personnel as well. Paying at the bottom of the industry will practically guarantee that new hires become disaffected in short amounts of time and abruptly quit. Paying at the mid to high level of the industry is one of the best ways to avoid this problem, but that might not be applicable to all situations. Businesses already paying well might also consider little perks and incentives outside of pay, such as extra time off, gifts for meeting goals, and other types of incentives. Management. There’s just about nothing worse than bad management. Even people who are compensated very well will not tolerate bad managers for very long. If management does not treat their staff with the respect and professional courtesy they deserve, individuals will simply find other places to go. Bad management not only drives people to leave but also causes them to perform poorly while they’re at the company. So, take a deep look at the management’s style and execution and make changes if necessary. Culture. Company or corporate culture is also a very important factor in employees staying put. Just like bad management, individuals will not tolerate a toxic culture for very long. Even if management treats them well and they are compensated near or at the top of the industry, toxic culture will eventually erode their loyalty and they will leave the company. Although this is one of the most difficult factors to identify, it is essential that businesses foster a positive company culture in order to get the highest level of camaraderie and productivity from employees. What other suggestions do you have for dealing with high employee turnover? Please take a moment to share your personal experiences and relevant thoughts — it could greatly benefit someone else! Interested in learning more about business? Then just visit Waters Business Consulting Group.

You may have some terrific employees who always deliver on their promises and go above and beyond expectations. They intuitively know where to pick up on certain projects and how to get the job done right. You wish that all your employees delivered the same high quality work, but you’re content that you have enough to really help make your company stand out. There’s just one problem — they don’t get along. It’s a real shame, because when teamed up, they ostensibly could do so much more. However, putting them together in the same room sets off a series of bickering and arguments and the whole thing becomes counterproductive. So, how do you deal with employees who don’t get along but are otherwise great assets to your company? Disagreement Can be a Good Thing While you’d like everyone to get along and work in harmony, you’ve got to remember that differences of opinion can be quite helpful. Call it devil’s advocate or thinking outside the box, but whatever it is, it can help you see certain things you would not otherwise consider. After all, different perspectives can help stir creativity and lean to solutions that you wouldn’t have thought of before. Managers face a sticky problem when confronted with two adults in the same office who won’t get along. The tension between the two employees affects their work as well as the work of others in close proximity to their conflict. Employees become stressed because just coming into the office feels uncomfortable. —The Balance Careers Disagreement can even lead to resolving issues that previously could not be solved. Sometimes, revisiting old problems can help people see others points of view and they become friends as a result, with a good working relationship. Of course, this magical moment doesn’t always happen, and it’s much more common than employees hold on to their differences instead of putting them aside to work together without strife. How to Deal with Employees Who Don’t get along The one thing you can’t do is ignore it and let the conflict fester. It will only worsen and that will eventually cause it to spread to other people. It could easily destroy company-wide morale. So, deal with it right away, by doing the following: Meet one-on-one. This is a great way to learn about the conflict from each person’s perspective. It will also give you a sense of where each individual is coming from. Plus, it will help you identify the real source of the problem. Meet together. After you have a better understanding of what’s going on, then you can meet together. Then, take the time to go over what each said to you separately and ask if what you recapped is a fair assessment. If so, you can work out one or more solutions. Follow-up regularly thereafter. Of course, you can’t just assume that will fix the situation for good. You’ll need to follow-up with both parties and do so routinely (at least for the foreseeable future). Be prepared to take additional action. It’s quite possible you’ll need to take more action. (It could even result in dismissing one or both of them. Or, some form of discipline, if necessary.) Should you need to devote more time, then it is definitely worth asking yourself if it’s worthwhile or descending into an unnecessary distraction. What other suggestions do you have for dealing with employees who don’t get along? Please take a moment to share your thoughts and experiences by commenting and giving others something to consider. Interested in learning more about business? Then just visit Waters Business Consulting Group.