I love to ask the following question to business owners, what is the greatest asset your company has? I hear all sorts of answers and sometimes I even get the answer I’m looking for. Sometimes the answer is what I consider correct, but it’s just lip service and the person who is saying it doesn’t really act like it’s true.

You see, the biggest asset your company has is your employees, and that’s what today’s video is about. Today I’m going to give you seven ways you can make sure your employees start and stay your best assets.

Transcript

I love to ask the following question to business owners, what is the greatest asset your company has? I hear all sorts of answers and sometimes I even get the answer I’m looking for. Sometimes the answer is what I consider correct, but it’s just lip service and the person who is saying it doesn’t really act like it’s true.

You see, the biggest asset your company has is your employees, and that’s what today’s video is about. Today I’m going to give you seven ways you can make sure your employees start and stay your best assets. So let’s jump in.

  1. Number one, the obvious is that without great employees, there is no way to have a great business. You have to start there. Jim Collins talks about right person, right seat and that’s something which I think is really important for us to have and right seat is really important. You have to have the person in the right seat, but if it’s not the right person for your company it’s not going to work out and the right person is also hiring that match the values your company has.
  2. Now, here’s the second thing I want you to think about. A great employee is not always a star. Yeah, we want a few stars in our company because stars are really important to have, but the majority of the time we want solid team players who love what your company does and want to work with your customers who love what you do also and they love the values that you have at the same time. This is a really important thing. If you have 50, 100, 200 employees, you can’t have all stars. You can have all stars in their position and what they’re doing, but they’re not going to reinvent the wheel. They’ll want systems and they want to follow through and know what excellence is.
  3. Third thing is great employees want to know what it takes for excellence. Now, this is where systems and more systems and more systems come in. As an owner of a company, you may not like systems yourself because they sort of box you in and make you act in a certain way. But we do want systems for our people because they need to know what path they are on to provide a consistent quality of service for your people. And frankly, the better your systems are, the happier employees will be.
    And I learned this the hard way is that when I had a food service and vending company, we used to let our drivers really kind of go shopping for everything they wanted to put in the machines. So it was really up to them. And the truth was they hated it. The more we systematized a whole process for how we fill the machines and what we put in what place in the machines, the happier our employees got, the more consistent service we provided for our customers and our people just really liked it because it fit in with who they were and what they wanted to do.
  4. Here’s the fourth thing, and this might be one of the most important things I’m going to say today. You have to treat your employees better than your best customers, or at least as well, but better is better. Here’s the truth. If you’re not treating your employees well, how can you possibly expect them to turn around and treat your customers well? The whole thing with having great employees is the way you treat them with respect and allow them to be the best they can. And when they do make mistakes, don’t blame them. Look at the system. Because in my experience, when I’m treating my employees well, they’re not going to try to get back at me. They really do want to do a great drop job.
  5. The fifth thing, and this is again something that I had in our food service company, which I thought was really important, is you want to treat your employees like they’re experts at their jobs, because the truth is, they are experts at their jobs. The people doing the job know more about their job than anybody else in the company. So instead of telling people what to be doing, why don’t we start asking instead of telling? Why don’t we ask them, say, “How can I make your life easier? What can we do better? How can we serve our customers in a better way?” And I’ll promise you, your employees have really good ideas about this. So in my experience, when you’re talking about a specific job, the employees, the expert at it, and our job is to ask good questions to find out how we can help them do that job better.
  6. Number six is your compensation system. Too often I see like the employee of the month or people who can win contests, and the problem with that sort of a recognition program is that when you do that, you’re making one or two or three winners and everybody else in your company becomes losers. And on top of that, if you have like a monthly thing that you do, and there are people who get the bonus every month, there are people who never get the bonus and frankly don’t even try. Then there are the people who sometimes get a bonus, but most of the time don’t and about a week into the contest, if they see they’re not going to win, they stop trying. So instead, have a profit sharing company that covers everybody in the company and you split the profits based on sonority or job or there’s lots of ways of splitting it. But the truth is, when you have a company-wide profit sharing program and some people aren’t holding their end up, I will promise you that your other employees are going to say, “Hey, get in line. You’re taking money out of my pocket.” I don’t like that.
  7. And finally, we want to be making sure that we’re practicing what I call open book management. Open book management is about transparency in your company. It means you’re sharing all the numbers in your company and I know you may be thinking, “I can’t do that. They’re going to figure out how much money I’m making.” My guess is if you were to go around and ask the first four employees you ran into how much money your company makes, they’re probably going to say your bottom line is somewhere between 40 and 60%. Now, there are very, very few companies I’ve ever seen to have profit margins at 40 to 60%. Most of the time it’s five, 10 if we’re really lucky, 12%. So doesn’t it make sense that you want to have your employees really understand what’s going on in your company so they can be part of your team? Now the thing is when you’re doing open book management, you want to make sure that you don’t put what everyone’s salary is out in the open. You just have salaries as one number.

So now that we’ve gone over how to make sure your employees are your most important asset, I wanted to just say a few words about the false statement at too many companies around their employees. I don’t really care whether you say your employees are your most important asset. In fact, I would prefer you don’t say that and the reason is simple. Too many companies say their employees are their most important asset and then act in just the opposite way. I don’t want you to do this. I want you to just treat your employees as the most important assets. After all, knowing your company really listens to what you say, they watch what you do.

So there you are. What are your thoughts about the importance of your employees? Why don’t you scroll down to let me know what you think in the comments below.

And while you’re at it, DOWNLOAD our Free eBook on Hiring for Unique Abilities. You’ll find a simple system that allows you to attract the type of people you want in your company.

Hey, this is Josh Patrick, and you’re at the Sustainable Business. Thanks a lot for stopping by. I hope to see you back here really soon.

Topics: employees, Video, Sustainable Business, importance of employees management, employees treatment, greatest company's asset, compensation system, open book management, great employees, profit sharing

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