How to Think Long-Term About Labor in Your Business

How to Think Long-Term About Labor in Your Business

Making it over the rocky hill of the first year or two is the primary goal for most small business owners. But after that–what’s next? It’s important to think about your company long-term when planning ahead. Here are some of the primary things to consider.

Create a Healthy Culture

Amongst all the many different stressors and demands of starting a business, it likely slipped your mind to consider company culture. Your company culture–in a nutshell–is how you and your employees act towards each other. It’s about the expectations you have for employees, and it’s also a factor in how they get their work done. 

A good culture is a positive one. Employees should feel safe, supported, and appreciated. A negative culture is a toxic atmosphere where unreasonable demands and pressures create a draining environment. While the latter can certainly make people work fast and hard, it also usually has a high turnover rate.

Start Employee Development Programs

If you need to start combatting a negative workplace culture, one of the first steps you can take is to start employee development programs. Such intercompany programs can make a big difference when it comes to new employees feeling comfortable. 

Moreover, it’s just a much more efficient way to get newer employees on board and trained as soon as possible. One way to execute such a program is to have mentors. Mentors can serve an important role for youth in setting and accomplishing goals. It’s a good idea to research what has worked at other companies in similar industries.

Focus on Maintaining and Hiring

A high turnover rate, for whatever reason, can prove deadly to small businesses. It can be an arduous process to train employees. Training them constantly as you continuously cycle through those who leave is often disastrous. A good employee who will stay for a long time is invaluable for that reason. Do whatever you can reasonably do in order to incentivize good employees to stay. If the culture is unusually good, employees will want to stay even if their pay isn’t as high as it could be. Raising wages or adding benefits is another good option if it is affordable.

Hiring should not be forgotten either. Know how to leverage your network in order to find the right replacements. Know where to list your open positions. If you plan thoroughly and well ahead of time, you shouldn’t have anything to worry about. 

Did you enjoy reading this article? Here’s more to read. Major Costs Your Business Needs to Account For

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