Hiring & Managing Small Business Employees Training Transcript


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Hiring & Managing Small Business Employees Training Transcript

  1. 1. 1 Hiring & Managing Small Business Employees Training TranscriptNOTICE: You DO NOT Have the Right to Reprint, Re-Distribute or Resell the Information Herein. YouAlso MAY NOT Give Away, Sell, or Share the Content Herein Without Written ConsentCopyright © Baanabaana Business AgencyALL RIGHTS RESERVED. No part of this material may be reproduced or transmitted in any form whatsoever, electronic,or mechanical, including photocopying, recording, or by any informational storage or retrieval system without expressedwritten, dated and signed permission from the author and/or without proper accreditation.DISCLAIMER AND/OR LEGAL NOTICES: The information presented in this report represents the views of the publisher asof the date of publication. The publisher reserves the rights to alter and update their opinions based on new conditions.This report is for informational purposes only. The author and the publisher do not accept any responsibilities for anyliabilities resulting from the use of this information. While every attempt has been made to verify the informationprovided here, the author and the publisher cannot assume any responsibility for errors, inaccuracies or omissions. Anysimilarities with people or facts are unintentional.AFFILIATE DISCLAIMER: Baanabaana Business Agency may receive compensation from some of the entities listed in thisreport for referrals, as their “thank you” for sending you their way. However, Baanabaana Business Agency neverrecommends any service or product solely for the reason of receiving commissions (and neither should you) –Baanabaana Business knows our reputation is on the line. Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  2. 2. 2(Slide 1)WelcomeHello everyone. Thank you for listening in on Week 8 of our Free Business Start Up Trainingwebinar series. We will have two more session after this for the end of the training and I hopeyou are finding the information you are getting is useful and/or helpful.(Slide 2)Training OverviewWe’ve been talking about what it means to own and operate a small business and haveexplored the personal characteristics of an entrepreneur, the business plan, businessregistration, permits, insurance, money matters, location and the tools, technology andequipment for a small business. We will be talking about hiring and managing employees for asmall business today, something that can be quite a challenge for business owner.(Slide 3)TopicsHiring can be a big deal for a small business owner, especially at start up. There is alwaysconcern about getting stuck with a fixed, indirect payroll overhead. What if the business is notsuccessful or success doesn’t last? What if you hire the wrong person? The process of hiring anemployee can also be daunting for a first-time employer. Even seasoned employers can dreadit but arming yourself with some knowledge and plan can help pave the way for success andensure you have the right talents in place to help your business grow and stay successfulOur areas of focus today are going to be: When to hire Hiring Plan Job Requirements Analysis Job description/Specification Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  3. 3. 3 Job posting Hiring Options Full Time Part-time Temp Interns Independent Contractor Leasing Outsourcing Professional Services Family Hiring Process Short listing The Interview Making The offer Managing & Letting Go Managing employees Retention Letting Go(Slide 4)When to HireFor some businesses, the dilemma of when to hire does not really apply because they have nochoice but to hire in order to operate from day one. A restaurant owner for example has tohave at least a chef and a server and these duties cannot usually be performed by one personso unless you have a business partner or two who will be working with you in these roles, youwill have to hire for the restaurant to open for business.Sometimes also, a business owner might find themselves with very little choice but to hireimmediately – during an unexpected spike in business that cannot be handled by the currentstaff for example. Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  4. 4. 4In situations where steady growth is happening and expansion become immanent, one mayhave more time to debate on the question of timing and needs more carefully.Regardless of what the trigger could be, staffing needs and a hiring plan should be addressedat the business plan level and should be aligned with your ultimate business goals - do youenvision yourself creating a business that will provide employment opportunities for othersand perhaps with branches or do you just want a modest, simple business that caters for yourneeds without the added responsibility of managing others?(Slide 5)Hiring PlanWho you hire can make or break your business both in terms of company image and businesscosts. If your employees consistent deliver poor customer service to your clients, they willmost likely go to your competitors and may talk about their negative experience to potentialcustomers who might stay away. The total cost of have the perfect employee can also crippleyour cashflow thus hiring labor requires good and thorough planning.A good hiring plan should start with analysis of the requirements, followed by a job descriptionand specification which will be used to write a targeted job advertisement that will help youattract a pool of suitable candidates.(Slide 6)Job Requirements AnalysisBefore hiring, you should take the time to determine your labor needs and understand therequirements of the job you are looking to fill. Why does the job exist? i.e. what is the outcome of doing the job? What will the employee be responsible for – the duties and responsibilities? How will the job be done – job process or method, systems, equipment, tools etc? What personal qualities, skills, experiences, and education should the potential employee have What physical or mental capacity does the job involve - competencies? Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  5. 5. 5Collecting and analyzing as much data about the position as possible will go a long way inhelping avoid a hiring mis-match that can be fatal for a small business.(Slide 7)Job Description/SpecificationThe job description and specification are created from the job requirements analysis. They arewritten statements describing the duties, responsibilities, required qualifications to do theneeded tasks of a particular job. The job descriptions also include information about workingconditions, tools, equipment used, knowledge and skills needed, and relationships with otherpositions.The job specification on the other hand describes personal requirements expected fromemployee, job title, reporting lines, education and experience requirements, specialized skills,salary range and any physical, specialized requirements or occupational hazards associatedwith the job.If done right, a job description/specification can contribute significantly in your business’ssuccess: as a powerful communication tool that will help establish clarity about your business’s direction by letting employees know where they fit in the big picture by clarifying expectation by involving co-workers resulting in a supportive team by addressing legal aspects of the hiring processOne should be aware thought that a job description can get dated quickly, especially in arapidly growing environment and should be reviewed regularly. A job description can also berestrictive and keep employees from thinking outside the box. A job description can also betendered as evidence against an employer in a lawsuit if it is dated or was too vague or is notused properly. Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  6. 6. 6(Slide 8)Job postingWhen you are ready to start the hiring process, the completed job analysis and written jobdescription, should always be the basis of your job postingA well written job posting will help you attract the right candidates for the position you needto fill and avoid wasting time screening and interviewing unsuitable applicants. To write atargeted and effective job posting: pull the top four to five skills that are essential to do the job write a short list of job duties list any experience, a degrees, qualifications that may be required tell applicants the excitement and challenges of the job they can expect and why your company is a great place to work for. you can may mention the salary or not, it is up to you specify your location and/or if telecommuting is an option. This will weed out applicant who may not wish to commute(Slide 9)Hiring Options Full Time - As a small business owner, you would probably want to reserve a full time position for someone who will be generating revenue or hold leadership position. You’d also want someone who will take initiative and get stuff done, someone. This can be costly however and may be an unrealistic expectation leading to not so happy an ending. Part-time – Part time workers generally cost less and offer more flexibility. Students and retirees can be a good source to tap. The downside could be lack of commitment, sudden change in schedules and a more frequent need to hire because they tend to move on more frequently than full time employees. Temp/Seasonal – Temp or seasonal workers can be a great way to fill an unexpected need, spike in needs during certain periods such as holidays as well a way to try out the new positions. Temp workers, like part time may not be dependable. Other downsides include lack of commitment and motivations, wasted training and inconsistent performance Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  7. 7. 7 Interns – Interns can be a great way to get free labor. University or high schools students can be a great source of flexible help. However, a sudden change in academic or social scheduled can affect their schedule and consequently, our work. The fact that most intern jobs are unpaid can make supervising a challenge Independent Contractor/Freelancer – Independent contractors/freelancers are usually set up and already trained to do the work you need done and without the added cost of benefit payments, this can be a good source of skilled labor. However, because they work for themselves, their own interest may come before yours. Verifying references can be a challenge also Professional Advisors/Consultants – offers expert advice and service that will save you time but can be costly. If you choose the wrong provider, poor quality advice can lead to poor decisions making Leasing Employees – a leased employee is hired by a Personal Employer Organization that then leases them with other business owners. As a lessor, you get to have some control over the employee’s performance without having to worry about compliance issues, payroll, taxes, benefits etc. Outsourcing – outsourcing can free up a business owner from tedious and time sucking tasks so they focus on the things that they do best, love doing or more importantly, revenue generating tasks. Outsourcing can provide highly specialized skills at short notice. If done right with a precise Request For Proposal from the right provider, it can result in a win-win strategic alliance. On the downside, it can cost more than if the job was done in- house and the management and overseeing that may be required to nurture the relationship can be tasking. If outsourcing overseas, cultural differences can significantly impact communication and productivity if not understood. Family – In the USA, hiring family members, children in particular can have tax benefits. Another advantage is that family members may be more vested in your success than a regular employee and may be more supportive. Hiring someone just because you know them or they are related to you however, can cause constraints in your personal relationships if the work relationship does not work out. Having a family member among your staff can negative affect other employees if preferential treatment is perceived Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  8. 8. 8(Slide 9)The Hiring ProcessNow that you have your job description, an eye catching job posting to attract the rightcandidate and have made a decision to hire full time or an alternative, you are ready to putyour needs out there to start getting suitable applicants for the position you need filled.Before buying a classified ad space, contacting employment agencies, list on job banks, oronline job site, a great place to start looking could be your own personal and or professionalnetwork. Word of mouth referrals from a current or past employee who knows you and yourbusiness can be a hiring gold mine.The hiring process would normally involve pre-screening or short listing followed byinterviewing, verifications and making the offer.(Slide 10)Short listingThe job post itself can be the first place to start the short listing process. Asking for a simpleand easy but specific request in the application process can help weed out those that are notpaying attention to the job. For example, if you ask that they NOT send an attachment but tocopy and paste their resumes at the end of an email and someone still send their resume as anattachment, that can be a red flag right there.Your job description should be handy when reviewing resumes to help you focus on the skillsand value the applicant can bring to the job. For example, someone who has held various andseemingly unrelated positions during a recession may not necessary be a sign of fickleness butthe sign of someone who is willing to do what it takes to keep moving. In addition to the skillsyou are looking for, look for professionalism and neatness.Try to narrow your pool of applicants down to the top five to seven contenders and startmaking arrangements for interviews(Slide 11) Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  9. 9. 9InterviewingInterviews can be time consuming and are dreaded by most small business employers so: preparing a list of questions beforehand can ease the discomfort as well as ensure that you cover all that you need to. avoid closed-ended questions that are likely to generate yes/no answers and ask open- ended questions such as “What are you strengths?” allow the candidate to ask questions and don’t forget to let them know what to expect next. be sure to take notes during the interview and take time right after it to note down things that stood out evaluate skills, attitude and personality against what you are looking form. watch out for signs of bad-mouthing previous employers and beware of questions that are prohibited by law.The interview process should result in a list of three to four applicants that you’d now followup on to check reference, verify employments and education, conduct background checks,credit check etc if necessary for the position.If you dread the prospect of screening, interviewing, asking for reference and everythinginvolved in the hiring process, you can outsource the work to a recruiting firm or professionalbusiness support service provider to do the job for you.(Slide 12)Making The offerWhen you decide on the one to hire, make the offer and wait for the applicant to acceptbefore writing to or calling the others you did not choose to turn them down. Ask if it is OK tokeep their information on file. This way, if your hire does not work out or business booms andyou need another person for the same position, you can start you next hiring process by givingthem a call first. Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  10. 10. 10Hiring should not stop at getting an accepting offer. The first days or weeks at work areimportant. A new hire is usually motivated and excited so build on that by prepping for theirarrival. Make sure they have a place set up for them to work and make them feel comfortableand welcomed. Also arrange to send time aside to explain duties and responsibilities,introduce them to their colleagues as well as training that they may need to get started.Building a rapport on the first days can set the stage for a happy working relationship.This whole process may seem a little too much for a small business hiring for the first time butit is laying the foundation that will streamline your hiring process and provide the essentialemployee policies that are vital in a company’s growth. Going through this process will alsomake subsequent hire a lot easier(Slide 13)Managing EmployeesOnce you start managing different people with different personalities, the glamour andexcitement of being a boss will probably start to fade. Management is not for everyone butwith the right attitude and some ground rules, it can be done effectively by anyone.A good manager should: use every opportunity to train, including mistakes encourage and empower employees to take ownership promote teamwork take time to know their employees ask questions prepare an employee handbook(Slide 16)RetentionGood employees are hard and costly to replace so every effort should be made to keep them.Ways to retain employees include: providing opportunities to enhance professional skills Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  11. 11. 11 allowing flexible opportunities for advancement empowering and inspiring employees to make take initiative praising and rewarding extra effort sharing earnings trusting your employees(Slide 17)Letting GoHaving to let of an employee, even the most problematic ones is never an easy thing to do butwhen it has to be done, you should be ready to act quickly and handle it with care. To avoidthe risks of being sued for wrongful termination, you should consult with a legal adviser. Afew things that can be helpful could be: give early warnings and realistic written performance reviews pinpointing specific shortcomings to underperforming employees strive for objectivity help the employee leave with pride and protect your business’s reputation adopt a positive and professional attitude and treat the employee with consideration during the termination meeting and make it short and to the point explain any terminations benefits and severance package(Slide 18)What To Do / What Not To DoDo Don’t  determine your staffing needs  wait until you HAVE to hire  Prepare a hiring plan  ignore the job description  look for motivated candidates  ask closed ended questions  tap your network first  disgrace a fired employee  Prepare an employee hand book  neglect management duties Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com
  12. 12. 12(Slide 19)This completes our session today. Please join us again next week when we will be talkingabout staffing your business. As always, please help us improve this training by giving yourfeedback in the survey at the end of this training.Have a great weekend!Team Baanabaana Free Online Business Training - Week Two - Writing Your Business Plan www.baanabaana.com | Facebook.com/Baanabaana | @Baanabaana | info@baanabaana.com