How To Attract and Retain Superstar Employees

As a small business coach, I have found that finding and retaining good employees is crucial for the success of any small business. The performance and productivity of your workforce have a direct impact on your bottom line. Employees interact with customers, develop products and services, and represent your small business's brand and values. Having a talented pool of engaged employees can give your small business a significant competitive advantage.

On the other hand, high turnover from poor hiring and retention practices can be extremely costly. Recruiting and training new employees requires a substantial investment of time and money. Plus, there is a loss of productivity as new hires get up to speed. When employees leave, your business loses their institutional knowledge and expertise. This brain drain can significantly impact performance. Developing an effective hiring and retention strategy needs to be a priority for leaders looking to build a thriving small business.

This guide will provide valuable insights and proven tips on how to find, motivate, and keep top talent over the long term. We’ll share strategies for sourcing and selecting the best candidates. You'll learn best practices from the best small business coach in Oklahoma City for onboarding new hires and techniques for fostering an engaging company culture. We'll also discuss the role of professional development, work-life balance, and competitive compensation in retention. Follow these recommendations, and you'll be on your way to assembling a skilled and dedicated workforce that drives business success.

Define 'Good Employee'

When hiring, it's important to first define what makes a good employee for your specific company and role. This will help guide your recruitment and retention strategies. Some key attributes to consider:

Skills and Experience - Ensure candidates have the required hard skills, education, and experience listed in the job description. Also, look for related transferable skills.

Cultural Fit - Hire people whose work styles and values align with your company culture. Seek motivated self-starters who work well in teams.

Strong Work Ethic - Look for responsible, dependable, and proactive workers who consistently meet deadlines and expectations. They take initiative rather than waiting to be told what to do.

Positive Attitude - Choose optimistic go-getters with passion for their work. They handle stress well and focus on solutions.

Good Communication - Effective verbal, written, listening, and interpersonal skills enable collaboration. They openly share ideas and provide constructive feedback.

Desire to Learn - Eagerness to continuously expand skills shows ambition. On-the-job training and education builds talent.

Problem-Solving Skills - Analytical and creative thinkers who troubleshoot issues and uncover innovations help drive business.

Defining ideal employee criteria sets qualifications to screen candidates for the best hires. It also gives current staff a model for success to develop their skills and value.

Recruitment Strategies

Finding and attracting top talent is crucial for building a strong team in your small business. Here are some effective recruitment strategies that I’ve discovered as a small business coach working with numerous small business owners:

Leverage Employee Referrals - Encourage current employees to refer qualified candidates from their networks. Employee referrals tend to yield higher quality hires. Offer referral bonuses to motivate employees.

Network and Build Relationships - Attend industry events, conferences, and seminars to meet potential candidates. Connect with professional associations related to your industry. Build genuine relationships over time to establish your company's reputation.

Optimize Your Job Listings - Craft compelling job descriptions that communicate your company mission and culture, not just responsibilities. Highlight opportunities for growth and development. Advertise openings on niche job boards related to your industry.

Search LinkedIn - Leverage LinkedIn Recruiter to source passive candidates. Search by skillsets, experience, education, and other criteria. Reach out directly to qualified prospects.

Partner with Universities - Build relationships with nearby colleges and universities to recruit graduates. Host info sessions on campus. Offer internships and mentorships to attract young talent.

Modernize Your Employer Brand - Showcase your company culture on social media and your careers page. Highlight unique perks, values, and community engagement. Spotlight employee testimonials and stories.

Consider Diversity - Prioritize diversity and inclusion in your recruiting. Seek candidates from a variety of backgrounds and demographics. Remove bias from your hiring processes.

Move Quickly - Respond promptly to applicants and schedule interviews rapidly. Make hiring decisions decisively. Top candidates tend to get snapped up quickly.

Interview Best Practices

Conducting effective interviews is crucial for identifying and hiring top talent for your small business success. Here are some best practices:

Ask the Right Questions

• Focus on questions that reveal the candidate's skills, experience, work ethic, problem-solving abilities, and cultural fit. Avoid personal or illegal questions.

• Ask mostly open-ended behavioral questions like "Tell me about a time you had to deal with an unhappy customer" rather than simple yes/no questions.

• Inquire about their interest in the role and company to gauge engagement.

• Ask follow-up questions on their resume and past work. "I see you increased sales by 30% in your last role. Walk me through how you achieved that."

Evaluate Candidates Thoughtfully

• Look beyond credentials to understand their true abilities. Have them demonstrate skills with role-playing scenarios.

• Assess their communication skills, analytical abilities, and emotional intelligence, not just technical skills.

• Consider whether they would thrive in your company culture. Look for motivation, work ethic, and team orientation.

• Develop a consistent rubric and rating system to fairly compare candidates. Take detailed notes during interviews.

• Check references to verify past performance and fill in any gaps in your understanding of the candidate.

Taking time to properly screen applicants through insightful interviewing leads to making job offers to the very best candidates who will become engaged, productive employees.

Onboarding New Hires

Onboarding is a critical time to set new hires up for success. A strong onboarding process helps new employees learn their role, understand the company culture, and feel engaged from day one. Here are some tips for effective onboarding:

Training

• Provide job-specific training on systems, processes, and responsibilities. Make sure they have the hard skills to excel in their role.

• Assign a mentor or buddy who can answer questions and provide guidance.

• Create a training schedule or checklist to ensure all bases are covered.

• Offer ongoing training opportunities for continuous learning and growth.

Orientation

• Give an overview of the company history, mission, values, and culture.

• Review organizational charts, reporting structures, and key contacts.

• Tour the office space and facilities. Introduce the new hire to team members.

• Explain company policies, procedures, and resources available.

• Set goals and expectations for the role. Provide job descriptions and performance metrics.

Resources

• Set up equipment, email, building access, and other logistics ahead of time.

• Provide guides, manuals, or FAQs on company processes.

• Create quick reference sheets with important contacts, tools, and systems.

• Assign a peer buddy as a go-to resource for questions.

• Check in regularly to see if any other resources are needed.

Following best practices for training, orientation, and resources helps new hires feel supported. This leads to greater productivity, job satisfaction, and retention.

Company Culture

Company culture refers to the shared values, attitudes, standards, and beliefs within an organization. It affects every aspect of the workplace, from how employees interact to how decisions are made. Developing a strong, positive company culture is crucial for attracting and retaining top talent for your small business success. Here are some tips:

Define your values. Determine 3-5 core values that represent what your company stands for, like integrity, collaboration, innovation, etc. Make sure leaders model these values and they are incorporated into policies and Standard Operating Procedures.

Create an engaging environment. Design workspaces to facilitate collaboration and relationship building. Provide recreational spaces for employees to relax and recharge. Host social events, parties, team building activities.

Encourage open communication. Maintain open door policies. Provide anonymous feedback channels. Hold regular all-hands meetings for updates and Q&As. Foster transparency at all levels.

Promote diversity and inclusion. Value diverse backgrounds and perspectives. Prohibit discrimination and harassment. Accommodate different needs and work styles. Seek input from all groups.

Support work-life balance. Offer flexible schedules and remote work options. Provide generous time off and leave policies. Respect employees' personal lives and responsibilities outside work.

Recognize achievements. Celebrate wins and milestones. Reward outstanding contributions. Give praise and appreciation for good work. Highlight employee accomplishments.

By nurturing a supportive, engaging culture centered around shared values, companies can increase employee satisfaction, boost retention, and attract top talent. The company culture sets the tone for the entire employee experience.

Professional Development

Professional development opportunities are essential for retaining good employees. Employees want to continuously learn new skills and advance their careers. There are several effective professional development strategies that I’ve found as a small business coach working with hundreds of small business owners:

Training Programs

• Offer internal training programs and workshops. These allow employees to expand their skills within their current role. Provide a training budget so employees can take external courses too.

• Cross-train employees in different departments. This exposes them to new areas while diversifying their skills.

• Bring in expert guest speakers or host "lunch and learn" sessions for employees to learn new concepts.

• Send employees to industry conferences and events to stay on top of the latest trends and innovations.

Mentorship

• Develop a formal mentorship program that pairs junior employees with more experienced mentors. The mentors can advise them on career growth and developing new capabilities.

• Managers should provide coaching and mentorship through regular one-on-one meetings with their direct reports. This gives ongoing guidance tailored to the employee's strengths and interests.

Growth Opportunities

• Create clear pathways for advancement, so employees can see options to get promoted and take on more responsibility over time.

• Support employees' goals for upward mobility by providing training for new skills needed in more advanced roles.

• Offer stretch assignments and special projects so employees can gain experience and showcase skills outside their daily responsibilities.

• When appropriate, promote from within and fill higher-level positions with existing employees. This demonstrates opportunities for upward mobility.

By focusing on professional development through training, mentorship, business coaching, and growth opportunities, companies can retain their best talent over the long-term. Employees who feel supported and see a path forward are more likely to stay engaged and committed.

Compensation and Benefits

Offering competitive compensation and benefits is key to attracting and retaining top talent. Here are some best practices:

Fair Pay

• Research pay rates in your industry and geographic region. Pay employees fairly based on their role, experience, and performance.

• Consider paying above market rate for hard-to-fill roles.

• Offer annual raises to keep up with cost of living and reward performance.

• Conduct compensation reviews regularly to ensure pay equity.

Insurance

• Provide quality medical insurance. Consider covering a portion of the premiums.

• Offer dental, vision, disability, and life insurance.

• Allow employees to customize plans to fit their needs.

Retirement Plans

• Offer matching 401(k) contributions.

• Provide education about saving for retirement.

• Consider profit sharing plans.

Time Off

• Offer ample paid time off for vacation and sick days.

• Allow employees to purchase additional vacation time if desired.

• Provide parental leave for new parents.

• Allow flexible schedules when possible.

Providing strong compensation and benefits shows employees they are valued. It promotes loyalty, satisfaction, and better performance. Evaluate regularly to remain competitive.

Work-Life Balance

A healthy work-life balance is key for retaining good employees long-term. Offering flexibility shows you trust your employees and value their personal lives. Consider implementing flexible schedules, remote work options, and time off policies that support work-life balance.

Flexible Schedules

Allow employees to have flexible start and end times for their workday. As long as they complete their required hours, let them choose when those hours fall. For example, one employee may prefer to work from 7am-3pm, while another works 10am-6pm. Accommodate individual schedules whenever possible.

Remote Work Options

With today's technology, many roles can be done remotely for some or all of the week. Offer work-from-home days or telecommuting options. Employees appreciate the ability to avoid commutes and work from home when needed. Set clear expectations and have employees report on tasks completed when working remotely. Video calls and collaboration tools keep remote workers engaged.

Providing schedule flexibility and remote work shows employees their personal lives are valued. This contributes to work-life balance and higher job satisfaction. Employees who feel supported are more loyal and motivated.

Measuring and Improving Employee Retention

Monitoring employee retention metrics and gathering feedback are critical for identifying issues and opportunities to improve. Here are some best practices:

Conduct exit interviews when employees leave to understand why they are choosing to go elsewhere. Look for any themes or recurring issues that need addressing.

Send out engagement and satisfaction surveys regularly to gauge how happy and fulfilled employees feel in their roles. Anonymous surveys can elicit more honest feedback.

Track turnover rates across teams and positions to identify problem areas. Set goals for reducing turnover. Investigate spikes or high rates.

Calculate retention rates at various milestones, such as after 3 months, 6 months, 1 year, etc. This indicates where you may be losing people and can prompt further analysis.

Monitor absenteeism and sick days as potential signs of disengagement or burnout. Check if certain teams or individuals take more unplanned time off.

Gather feedback during one-on-one meetings with managers about what employees enjoy about their jobs and what needs improvement. Managers can surface themes.

Conduct stay interviews to learn what makes employees want to continue working for you. Understand their goals and motivations.

Analyze exit data to identify what types of employees are leaving - high performers, disengaged workers, long timers, new hires, etc.

Set retention targets as key performance indicators and measure progress. Share results across the organization.

Continually monitoring metrics, soliciting feedback, and acting on insights will lead to higher employee retention over time. The goal is to uncover issues early and implement solutions quickly.

Does this sound overwhelming?

Consider hiring a small business coach who can provide in-depth guidance and support for you and your small business to succeed.

Click Here to schedule a FREE consultation with one of the top small business coaches to help you plan your growth strategies.

Or call 405-919-9990 today!

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How Standard Operating Procedures Can Help Your Business as It Grows

Put an End to Chaos with SOPs

As your business grows and scales, it's easy to lose sight of the little things that made you successful in the first place. The chaos that can emerge as your company begins to add employees, incur costs, and take on new clients can leave you unable to know which way is up.

As a business owner and entrepreneur, you may feel that you’re drowning in the details of your day-to-day operations. Thankfully, there are tools at your disposal that can help you stay in control and grow your business successfully. The first tool you should add to your business toolkit and master quickly is the standard operating procedure.

What is a Standard Operating Procedure (SOP)?

If you’re going to be the long-term, successful business owner that you know you are, you’ll need to invest in the right tools for the job.

One of the essential tools at your disposal is standard operating procedures (SOPs). These are documents that formally outline both what needs to be done on a day-to-day basis and how to handle more complicated tasks such as accounting, payroll, hiring decisions, and more.

By following the guidelines listed in your business SOPs carefully – even when they may not feel like 100% perfect solutions right away – you'll find yourself saving time by grooming repeatable processes into habits. 

Turning SOPs from documents to standard practice will allow you to spend less time worrying about minutiae while focusing instead on things only a CEO can do: building long-term strategy and ensuring growth continues apace!

Common Types of SOPs

There are many different types of SOPs that businesses need to create and maintain. The most common ones include:

• Marketing Procedures

• Sales Processes & Contract Guidelines

• Financial and Accounting Procedures

• Credit & Collection Procedures

• Expense Policy for Travels & Supply Purchase

• New Hire Orientations

• Employee Handbooks

Creating your own standard operating procedures is an integral part of long-term success as a business owner. Your SOPs should align with your specific business type and operations and should be designed to help streamline your processes – not add layers of complexity to your day.

What are the Benefits of an SOP?

You must invest in developing a standard operating procedure for every part of your business. SOPs should be developed and implemented for every vital aspect of your company – from hiring decisions to accounting procedures, payroll, HR, sales contracts, you name it!

While it may seem like a big task to create SOPs for your business operations, doing so will pay off quickly. The following is just a small sampling of what can be accomplished by implementing a practical set of standards:

Increased Employee Productivity

Standard operating procedures are usually particular about completing tasks and outline what must be done and when down to the smallest detail. The SOPs structure helps your employees become more efficient and productive because they know what to do, when.  This will have the added benefit of making them feel valued for their contributions, which will keep them on your team and create a more enjoyable work environment.

Less Wasted Time and Money on Repeated Mistakes

You’ll find that your employees are much more efficient when they know what to do. This is because they're not spending time trying to figure out what to do next. The result? Fewer mistakes and less time and money spent to correct them!

Fewer Conflict Situations with Customers or Employees

By implementing clear and concise Sop's into your business, you’ll avoid those awkward situations where someone is unclear about what they should be doing or how to do it.  This will lead your employees and customers to spend less time talking about what should be done, leading them both to feel satisfied.

Higher Customer & Client Satisfaction

By following proper procedures in your business, you’re more likely to please customers with a consistently good experience. They'll be happier because they know what to expect, and you'll grow your business as they come back for more.

Increased Employee Satisfaction

When it comes to job satisfaction, a feeling of being empowered to make a difference is often the first thing that an employee cites as essential. Standard operating procedures give employees more of these feelings, which will lead to higher morale.

Lowered Cost of Doing Business

The more efficient your employees are, the less time they will spend on tasks.  The less time they spend on tasks, the lower your costs will be to complete them.

Reduced Stress For Leadership (You!)

Standard operating procedures allow you to step back from day-to-day operations and focus on the higher-level things that need your attention. For example, your SOPs may allow you to delegate many day-to-day tasks to other employees and team leaders with confidence, knowing that the SOP clearly explains the process and expectations.

How To Write An SOP

Once you begin to see the benefits of a robust set of SOPs, knowing how to start building one can bring those benefits to life. Each SOP will require its own design and implementation based on your unique company. However, there is a basic outline that many SOPs follow in their development:

1. Write down all of the tasks that need to be completed in your business.  For example, for a restaurant, you might include "preparing food" and "cleaning tables."

2. Group together related tasks into sections based on function (i.e., marketing vs. accounting).

Remember to keep the lists and descriptions as simple as possible! The key is to maintain ease-of-use so your employees can quickly reference what they should do next without having to wade through pages of instructions or sifting through lists filled with vague terms like 'filing'.

3. Begin drafting individual SOPs by working from top-to-bottom, using the following format:

Headline > What needs to be done? > Who should be doing it? > Steps to complete the task.

You can also include instructions for how to deal with exceptions, such as what should happen if a specific situation arises that is not covered in the SOP (i.e., a customer walks out without paying).

The following illustrates an example of an SOP for purchasing goods from vendors:

Headline: Purchasing Goods from Vendors

What needs to be done: Identify vendors and contact them about pricing and availability.

Who should be doing it: The owner or manager will need to do this part of the process alone or delegate responsibility based on experience level.

Steps to complete the task: 

1. Locate vendors using reputable sources such as websites, publications, and trade associations. 

2. Contact the vendor to identify prices and availability for goods or services desired. 

3. If appropriate, arrange a meeting time with them in person if possible. 

4. Place an order from this first vendor when you have found suitable pricing and inventory for your needs. This will avoid unnecessary backtracking through steps that were already completed!

With an SOP in hand, anyone in your company can take on a delegated task and follow it through to completion with success.

How A Business Coach Can Help You Develop and Implement SOPs For Growth

When your business is just starting or still relatively small, developing SOPs for your entire operation may not be an overwhelming task. However, the day-to-day leadership responsibilities of your company make it easy to procrastinate and put off creating SOPs.

Unfortunately, without SOPs in place, you add unnecessary obstacles to your own success and growth. The sooner you can create SOPs for your business and implement them across your teams, the faster the benefits will begin to arrive!

One way to build and implement SOPs for growth is to work with a business coach. An experienced business coach can help you develop and implement SOPs that will work best for your specific company and offer insights and guidance into building them to encourage growth and scalability rather than just handle tasks.

As your business grows and changes, your SOPs need to adapt as well. With a business coach on your side, you can successfully navigate any business or market changes and build momentum with your streamlined processes.

Not only can a business coach help you design and adapt your SOPs, but they can offer insight into how to build a competitive advantage through your operations. Knowing what sets your company apart from competitors can come into play when developing unique procedures that suit your needs precisely. If your SOPs raise awareness of any potential issues or obstacles, a coach can help you develop solutions.

Unlock the Power of SOPs with MDM Enterprises

Are you ready to bring the power of SOPs into your business? Working alongside a skilled business coach can help you build and put your SOPs to work in a way that frees you up to build your business and enjoy your margin space as a leader.

To learn more about SOPs and other business leadership tools, contact MDM Enterprises today at 405-919-9990. Michael Morrison and our team of experts is dedicated to helping business owners increase their sales, reduce their costs, and save their marriage by reducing the hours they work "in" their business.