Business Education

If You’re Hiring Based on Skills, You’re Hiring Wrong — Here’s Why

There’s an internet meme going around that makes a profound point, “Hire based on attitude, not skills — because you can always teach skills.” And, it backs up some very interesting statistics. For instance, did you know that 85% of a company’s success is due to the team’s attitude, and only 15% is due to individual skills? That’s why when businesses are looking to hire new employees, they should focus on finding individuals with the right attitude, not just those who have the perfect skill set. So, let’s expound a bit as to why.

Attitude vs. Skill

When it comes to hiring new employees, many businesses focus on finding candidates with the appropriate skills for the job. However, in order to create a successful and productive team, it’s important to also consider attitude. A positive attitude is essential for maintaining a positive work environment and achieving company goals.

Is it better to have someone in a team lead role who has a strong work ethic and is all-around positive and can learn the skills or is it better to hire someone based on skills only? What is most important — the skill set or the attitude and growth potential? It depends on the job. There are some jobs where it might make sense to hire for attitude and teach the work itself when it won’t require a major investment of time to do so. There are other jobs where experience and a pre-existing skill set are essential. —Inc.com

Therefore, businesses should focus on hiring people who have the right attitude, even if they may not have all the necessary skills. With the right attitude in place, employees can be taught the required skills over time. This makes sense, especially when looking at first-time job seekers in entry-level positions. Those individuals often have little to no skills at all. Those are taught through direct instruction and experience.

The Advantages of Hiring Based on Attitude Rather than Skills

There is no question that skills are a critical component of any employee’s toolkit. However, research has shown that an individual’s attitude is a stronger predictor of success than their skills. In order to capitalize on this, businesses should consider hiring based on attitude rather than skills due to the following reasons:

Longevity. Hiring based on attitude will help you find candidates who are motivated and passionate about their work. These are the employees who will go above and beyond for your company. They will be more engaged in their work, and they will be less likely to leave their positions.
Synergy. Hiring based on attitude will help you find candidates who are a good fit for your company culture. This is extremely important, as it can save you time and money in the long run. If a candidate is not a good fit for your company culture, they will likely be unhappy and unproductive in their position.
Flexibility. Hiring based on attitude will help you find candidates who are able to adapt to change. When a company hires based on skillset, they may hire someone who has very specific knowledge and experience in their field. But this person might not be able to adapt when things change in the future.

What other benefits are gained by hiring based on attitude instead of on skillset? Please take a moment to comment and share your thoughts and experiences so others can benefit from your perspective! Interested in learning more about business? Then just visit Waters Business Consulting Group.

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Entrepreneurs Avoid the Top Mistakes that Put New Companies Out of Business

March 30, 2023 No Comments

Starting a new business is an exciting venture, but it’s important to be aware of the risks involved. According to research, about 20% of new businesses fail in their first year, and about 50% fail within five years. While there are many factors that can contribute to business failure, some are more common than others. Big Mistakes New Entrepreneurs should Avoid The numbers above aren’t the only ones that are out there. Other studies reveal the new business failure rate is as high as 75% (depending on how “failure” is defined.) However, most findings agree fewer than half will survive long enough to celebrate their fifth year in business. …being an entrepreneur and founding a successful startup is difficult. It’s a long and difficult road, and you will make mistakes, regardless of how hard you try not to. In fact, there are a few common mistakes that entrepreneurs make, especially during their first time attempting to start a business. Thankfully, the key to mitigating risk from those mistakes, and hopefully avoiding them altogether, is understanding as much about them as possible. —Forbes.com What’s more, of the less than half that do make it to their fifth year, a mere 33% of those entities will go on to celebrate their tenth year in business. So, let’s take some time to explore the most common reasons new businesses go broke and how entrepreneurs can avoid failing. Lack of Market Research One of the most common reasons new businesses fail is a lack of market research. It’s important to understand the needs of your target audience, as well as the competition, in order to create a successful business. Entrepreneurs who skip this step may find that their product or service is not in demand, or that they are unable to compete with established businesses in the industry. To avoid this mistake, conduct thorough market research before launching your business. This may involve surveys, focus groups, or other methods of gathering feedback from potential customers. By understanding the needs of your target audience and the competition, you can create a business that is more likely to succeed. Poor Financial Planning Another common reason new businesses fail is poor financial planning. Entrepreneurs may underestimate the costs involved in starting and running a business or fail to secure adequate funding to cover these costs. Additionally, some entrepreneurs may overspend on non-essential items, such as fancy office spaces or unnecessary equipment. To avoid this miscalculation, create a detailed business plan that includes financial projections and a budget. This can help you estimate the costs involved in starting and running your business, as well as identify potential sources of funding. It’s also important to keep track of your expenses and income and to adjust your budget as needed. Lack of Marketing and Branding Even if your product or service is high-quality, it’s important to effectively market and brand your business. Entrepreneurs who fail to do so may find that they are unable to attract customers or establish themselves as a reputable business. To avoid this blunder, create a marketing plan that includes branding, advertising, and other promotional efforts. This may involve creating a logo and website, networking with potential customers and industry professionals, and investing in online and offline advertising. Poor Management Effective management is key to the success of any business. Entrepreneurs who lack management experience may struggle to make important decisions, delegate tasks, or create a positive company culture. Additionally, entrepreneurs who try to do everything themselves may become overwhelmed and burned out, which can negatively impact the business. To avoid these missteps, hire experienced managers and delegate tasks effectively. It’s also important to create a positive company culture that promotes productivity, teamwork, and employee satisfaction. Inflexibility Finally, entrepreneurs who are unwilling or unable to adapt to changing market conditions may struggle to keep their businesses afloat. This may involve being unwilling to pivot the business model, invest in new technologies, or adjust pricing and marketing strategies. To avoid this foil, remain open-minded and adaptable. This may involve regularly monitoring market conditions, soliciting feedback from customers, and being willing to make changes when necessary. As we all know, starting a new business is a risky endeavor, but by avoiding common mistakes and implementing effective strategies, entrepreneurs can increase their chances of success. What other mistakes would you include and warn entrepreneurs about? Please take a few brief moments to share your experiences and more so others can benefit from your input! Interested in learning more about business? Then just visit Waters Business Consulting Group.

Telltale Signs Your Employees Really Don’t Like You

December 15, 2017 No Comments

Whether you’re a business owner, manager, or supervisor, you’re always at risk from becoming a pseudo-pariah. Different personalities can clash and even those which normally get along can become strained. Of course, no matter what types of business you’re in, you need a well-organized team. But, just because you have assembled the talent doesn’t mean you’re getting the best performance. Because when employees don’t like you, they’ll adeptly conceal their feelings. Best Qualities of a Likeable Boss The fact of the matter is, employees (and customers alike) are fond of certain qualities. For instance, they like people who are well-organized, respectful, and willing to lend a helping hand. They like people who are honest even when it’s not popular and people who are fair. Besides all your accomplishments as a business person, are you sure that you are a great boss? This is because leadership skills play a pivotal role in climbing the success ladder. Unfortunately, poor leadership is one of the most common reasons behind businesses falling back with their entrepreneurs earning the tag of bad bosses. Being a good boss comes with plethora of leadership challenges that every entrepreneur has to go through. —Pocket HCM Likewise, they also treasure integrity, guidance, and humility. What’s more, people love someone who listens and takes genuine interest. Trouble is, you might have many of these qualities but still don’t make a strong connection with your team members. If this is the case, chances are excellent there’s something you’re missing. Telltale Signs Your Employees Really Don’t Like You Some business owners, managers, and supervisors believe that ruling with an iron fist is just necessary evil. Others try to strike a balance, being tough but fair. Whatever the case, if you have a notion that your employees don’t really like you, it’s time to look for the following signs: High turnover rate. This is perhaps the biggest telltale signal. If your organization is riddled with high turnover, you might be the culprit. Solicit feedback from as many team members as possible to learn if you are part or at the center of the problem. Little to no volunteering. Content employees are eager to volunteer because they enjoy working in the environment, with their coworkers, and boss, as well. A lack of volunteering might stem from the way you run the business. Or, at least, because it’s an uncomfortable environment. Practically no small talk. If your employees are short on small talk with you, there’s definitely a reason why. Happy employees are happy to chew the fat with their boss. At least, when they believe there’s a good relationship. Simply put, a lack of small talk speaks volumes. Body language speaks volumes. Speaking of speaking volumes, pay close attention to body language. Eye rolls, crossed arms, fidgeting, no eye contact, no or fake smiling, and more are all telltale signs they’re failing to get their mind and body to agree. What other signs would you add to this list? How can business owners get honest feedback from their team? Please share your thoughts and experiences by leaving a comment! Interested in learning more about business? Then just visit Waters Business Consulting Group.

How To Network during Periods of Instability

October 15, 2021 No Comments

Despite the reopenings across the country, many places have still yet to return to normal, pre-pandemic schedules. Several offices continue to allow employees to work entirely from home, or only require minimal in-office workdays, usually just one or two. Meanwhile, small business owners also continue to experience disruptions in their operations, due to a labor shortage, shortage of materials and supplies, and other abnormalities. Plus, several professional associations are not holding annual meetings, or have greatly altered, meaning mostly reduced, their events and in-person get-togethers. All of these unusual occurrences have likewise lead to fewer opportunities to network, but this form of relationship-building still remains essential. The Importance of Networking Consistently Even during normal times, regular networking is important for career professionals and entrepreneurs alike. It provides them with the opportunity to meet new people and gain a new perspective. Networking also helps them discover other types of opportunities, including career advancement, product innovations, and possible future alternative routes. Networking has always been essential to small business owners because it costs little to nothing and helps them create brand awareness. Small business owners use networking as a means to form relationships with others, in like or related fields, that help to expand their business’s ability to find new customers, partner, and grow. A key element to effective networking is to make you known. The premise being that the more people you meet, the more people there will be to get to know and remember both you and your business. You should use every professional and social opportunity to meet and connect with new people.–Olympia Benefits Networking also offers a few other benefits, such as improving social skills, being exposed to new environments, and forming new relationships, both professional and personal. In other words, networking isn’t just about selling products and services, it also is a prime environment for self-enrichment. Too few people see these qualities and only network purely for the sales aspect. Regardless, this relationship-building activity still remains extremely important, even though there are many abnormalities that persist, even well after the pandemic reopenings. How To Continue to Network during Unstable Times There have been periods in the past that have completely disrupted the entire business and economic landscape. Perhaps the most recent and largest in modern history began in earnest in 2008, continuing for several years and what is now referred to as the Great Recession. Although this was mostly related to the housing sector, its effects reached practically every corner of commerce in one way or another. Both business owners and consumers had to adapt, with people leaving long careers to go in entirely different fields of work. Similarly, business owners changed their models in order to survive and return when economic circumstances permitted. During this time, networking became very important not only to sell products and services but to find new opportunities. Here are a few helpful suggestions for networking during such times of upheaval: Change your mindset. Perhaps the biggest obstacle to overcome isn’t in external factors but is entirely internalized. That is to say, it’s very difficult to not only identify but change one’s mindset. Your attitude and outlook will have much to do with this and it’s critical to understand how your approaching the world as so many people’s lives and other businesses are still in a state of disruption. Be flexible with your schedule. Your old way of networking might still be partly or mostly intact. If so, that’s very good news and you won’t have to make many adjustments. However, if very little has returned to normal or is still in a state of flux, you’ll need to be flexible in order to find the time and places to network. This is also a great opportunity to think outside the box and identifies places where you did not network before. Temper your normal sales approach. Since things are not completely back to normal for everyone, it’s best to pull back on the sales talk. Instead, make it more about building new relationships, whether they are professional or personal. This might not be of big benefit now but could prove very advantageous in the future. What other strategies can be used to network during unusual economic times? Please take a few minutes to share your thoughts and experiences so others can benefit from your input! Interested in learning more about business? Then just visit Waters Business Consulting Group.