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The Reality of Being an Entrepreneur

reality of being an entrepreneur

It is 7:15 am on a Tuesday. I’m sitting in LAX. I’ve been up for 3 hours, but feel like I didn’t sleep at all. My Uber driver made me car sick, something that rarely happens. A woman is eating, what I can only assume, is onions with a side of burger for breakfast only adding to my nausea. I have 30 minutes until boarding. The woman next to me asked what I did for a living. She then told me how lucky I was to own my own business, make my own schedule and be able to balance life and work.

Except I don’t feel lucky at the moment. I feel guilty.

Guilty because my child lost his mind this morning over me leaving. He got so worked up in fact that he made himself sick. Few things activate mom guilt more than hearing your child crying over you leaving and then walking out that door.

Because while I might be lucky for the reasons airport lady pointed out above, I’m also facing the reality of being an entrepreneur. Sometimes it hits me like a ton of bricks.

Being an entrepreneur is hard. Really hard. And while 90% of the time I love it, there are still days when I think it might be easier to just go back to a normal job. One where I….

Only have to focus on HR, not sales, marketing and finance too.

Can take a legitimate day off, turn off my phone and not worry about what may happen.

One where someone else is footing the bill for supplies, advertising and travel.

One where I work a standard 8-5(ish) and get to call it a day.

While these days of wondering what it might be like to go back into the regular working world are fewer and farther between than they were in the earlier days of my business, they still happen. I guess it’s a little bit of a pity party that I throw myself every once in a while and then move on. Move on because I realize that a normal job wouldn’t allow me to….

Work my work around my life, not the other way around.

Travel to multiple conferences throughout the year and meet amazing people. Most corporate jobs would only allow me to travel to one, if even that.

Be there for my son’s school plays, doctor’s appointments and sick days. Even if being there means he loses his mind the few days that I’m not.

I am lucky, but make no mistake. I work hard for this. As does every other entrepreneur out there. Every time someone asks me what it’s like owning my own business I first tell them how hard it is. Sure there are tons of perks, but it is not all glamorous. I’m guilty of looking at other business owners and thinking they have it so great only to remind myself that they worked their butts off to get where they are too.

And that they have days where they are sitting in an airport with the smell of onions permeating the air wondering if it’s all worth it.

It is. I know it is even if mom guilt is making me think twice right now. He’ll be fine. This is good for him…and me. I know this even if it doesn’t make it any easier.

That’s the reality of being an entrepreneur. If you are considering it, know this. While you will do some of the most rewarding work in your life, you will also work harder in less than sexy conditions than you ever have. You will stretch your mind and your resolve in ways that are hard to understand until you do it.

Enough of the pity party. Who can really complain about spending 3 days in Vegas?

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We Don’t Negotiate with Terrorists or Make Counter Offers…Usually

counter offers

One of my first clients was a small business who was three months from a massive hiring initiative. They were on the cusp of securing their second round of funding and when that happened, they were going to be doubling in size. They brought me in to create a hiring and on-boarding process that would ensure they hired the best they could during this time of growth. During the project an employee who had been with the company since day one and was very valuable to the team gave notice. While sitting with the CEO this employee’s line manager came in the room to share the news. The line manager wanted to make a counter offer as it appeared the motive for the move was based solely on salary. Without hesitation or any further questions the CEO said, “We do not negotiate with terrorists. Please accept the resignation immediately.”

Both I and the line manager were taken aback. The line manager just stared and then turned to me with that look that you know is a plea for help. I asked the CEO if he could help us understand his reasoning. While I agree that counter offers are a tricky thing and generally my thought is that they shouldn’t be made, I do usually like to fully understand and think through the situation before just saying no. I wondered if he might want to do the same.

He didn’t. He was firm on his answer. The employee’s resignation was accepted immediately. I will never forget the bewildered look on everyone’s face, especially the employee leaving, as he walked out.

Later, after the dust settled, the CEO explained his though process. It was his strong belief that people needed to believe in the business in which they worked. They needed to buy into the mission and company goals. They needed to enjoy their work and feel as though they were making a difference. He was committed to doing everything on his end to make that happen, but an employee had to take some responsibility too. Any employee who was willing to leave for money was not bought in. This employee had been with the company from day one. They had helped build something from the ground up and, the CEO thought, was as mission focused as he was. This was an employee who the CEO had spent a lot of time with. He had cast vision and asked for the employee’s feedback which he took very seriously. He was committed to this employee’s success and thought the employee felt the same. If the employee was willing to leave for money, he clearly wasn’t.

There are lots of “buts” that you could throw at this CEO, but ultimately, I agree with his line of thinking. Small businesses, especially those in startup mode, need employees who buy into the vision even if it’s going to take a lot of work to realize it. Someone who is motivated by money may only continue to be motivated by money. Had the CEO countered, there was no guarantee that six months down the road, another offer would be made for even more that would prompt the employee to want to leave again.

Last week a small business client, not in startup mode, had a highly valuable employee give notice in a similar fashion. Her departure would have left the company in a real lurch. Sure, we could replace her, but the time it took to replace her would have put the company behind. The company decided to counter and she stayed. It was the right decision for them at this time in their business.

The situations, although seemingly similar, were quite different. The first story’s employee was an exempt employee on the path to an executive level position. The second is an hourly worker with no immediate upward mobility opportunities, or demonstrated desire for them even if they existed. The first story was not going to experience a great dip in productivity if the employee left. They would need to replace him, but his work could fairly easily be put on others for the time being. Actually his opening left room for promotional opportunities for others and ended up being a win for the company. The second story would have taken a hit. This was their best employee, in a crucial department and the work could not be split as easily. The time it would have taken to regain lost productivity cost more than the dollars to counter.

In general, I don’t like counter offers. I think that if employees are unhappy enough, or motivated by money enough, to entertain other options, then throwing money at them is only a temporary fix. Having said, that, there are times when it may make sense even if it is only a temporary fix. I think what is important is that small business leaders think through their philosophy on this now, before it happens.

As a part of workforce planning, which all businesses should be doing, conversations need to be had about what would happen if employees were to give notice. Beyond just those you know may be looking or on their way out the door, but those who would absolutely surprise you if they said they were leaving, what would you do about those employees?

Waiting until it happens to think about your stance on it could lead to a rash decision. There is no right answer here and even if you take a stand, it doesn’t mean there won’t be times when you have to reconsider, but at some point in your business it is going to happen. Think now about what you might do.

Does your small business have a policy on counter offers? I would love to hear about it in the comments below.

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Simple Recognition that Makes a Big Impact

rewards and recognition

When it comes to rewards and recognition programs, especially in a small business, it is important to not overlook low hanging fruit. With minimal budgets and resources, robust rewards and recognition programs may be out of reach, but often, simple recognition can have a big impact.

Like recognizing a birthday.

Or a work anniversary.

Or an important life milestone outside of work (new baby, new degree, finally paid off student loans).

It may not seem like much to bring in a birthday cake once a month and recognize all employees who have a birthday, but it is. I had a conversation with a client once about how recognizing birthdays felt trite to them. I get how it can feel that way to the employer, but I’ve never heard an employee complaining about their birthday or some other life event being recognized.

I’ve also never heard of them complaining when they get the day off for their birthday. Low hanging fruit, big impact.

The point is we often think we have to implement the biggest and most exciting plans for rewards to actually work. We don’t. Small recognition is enough as long as we are consistent, offer some type of token (food, especially birthday cake, is always motivating) and the intention is good.

Don’t overlook the power of this. Don’t think it’s too small to work. Make it a habit and employees will be appreciative even of the smallest of gestures.

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How to Offer Flexibility for Working Parents in a Small Business

flexibility as a perk

My seven year old is home sick with me today. When I started this business, one of the main reasons beyond just wanting to try it, was so that I could balance being mom and worker. At the time, my husband worked for a company that did not allow working parents any extra flexibility. Had I gone back to work in an environment like that, deciding who was going to stay home when our child was sick would have been a struggle every time. Since I am the sole keeper of my schedule now and I answer only to me, we never have a discussion. B is sick, he stays home with me. It makes times like this a non-issue in our house and we all need things that are non-issues.

When I chat with small business clients about perks they can offer, I bring this up. I explain that working with a working parent when they have a sick child, when that child has a school play they want to attend, when that child has soccer practice that requires them to leave a bit early on Tuesdays, may be the most valuable perk they can give. To a mom or dad trying to juggle work and home, knowing they have a little flexibility to do so without fear of losing their job can relieve a tremendous amount of stress.

It does take more than talk though. It’s one thing to say you allow for flexibility, it’s another to actually give it. It is something that should be planned for, budgeted for (more in a moment) and explained as any benefit would be. It then has to be given, without judgement or angst, in the way the benefit is designed.

Design:
As with any benefit design or perk, the first step is deciding who is eligible. Is this open to the entire company? As much as possible, I would encourage it to be a benefit for everyone. I realize there are some shops, manufacturing firms for example, that at first glance can’t think about letting someone just pick up and leave because their kid is sick, but after thinking a bit harder, there is usually a way to allow it to happen with minimal disruption. The point is to think through these scenarios and ask yourself, how would you adjust for the workload if certain people had to be out or leave suddenly due to a parental issue.

Benefit:
The easiest way to offer this benefit is to let a working parent with a child issue work from home for the day. B is home sick with me today, but I will still work as he is resting. What I can’t accomplish during the day, I will do once his father gets home to take over. However, as in the manufacturing scenario above, I realize not all positions can work from home. In this case, I suggest my clients offer a separate time off bucket that is designated for “need to be a parent time”. This time can accrue and have the same rules that your other time off follows. The reason I encourage a separate time off accrual for parent time is that requiring employees to use sick or vacation time eliminates the idea that this is a separate perk. It tells the employee that while you appreciate their need to be a parent, you aren’t going to give them any special accommodations to do so. If you want this to be a perk, it has to be a separate line item.

Of course, flexibility in schedules works here as well. It may be that the parent does not need any time off, but they need a different schedule a few days a week or once in a while. Building these possibilities in to the design plan and budgeting for time off perks is important to overall success.

Execution:
As I think about how I work, I know that it is a perk I want to give anyone who works for me. I decide when and where I work. I may work 8-5 one day and only work 2-6 the next. I know the work I have to do and I work it into my life. When I’m ready to hire, I want whoever I hire to be able to do the same. If they decide that they want to go to the grocery on a Tuesday at 10am and therefore will do their work later in the day, fine. As long as the work gets done I don’t care when it gets done.

But here’s the kicker. Saying that and doing it are two different things. If I call that employee Tuesday at 10am and find out they are at the grocery, I really can’t be upset. I have to be ok with it because that is how I have designed the work to be. I can only be upset when the work isn’t accomplished.

This may be the hardest part of all of this. If we have designed the benefit and developed a work-around for when employees need to use it, we can’t get upset when they do. We can only get upset when it starts interfering with their work. The problem then is not the benefit, but how the employee is using or abusing it.

The bottom line is, in companies where this perk has been developed as a true benefit, the upside far outweighs the downside. This, possibly more than any other perk, fosters employee loyalty. Loyalty to the company, to the job and to it’s leaders. Knowing that a company cares about how a person balances being a parent with working is worth almost everything to many.

Does your company offer this as a perk? I would love to hear how it works. You can contact me directly or share your thoughts in the comments below.

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Small Business HR Mastermind Group

small business hr mastermind group

I mentioned in my post last week that I was organizing small business mastermind groups to allow for solo HR practitioners or those who are not really HR practitioners but are handling HR, the opportunity to meet on a bi-monthly basis to bounce ideas around, rant about their troubles and generally lend support. I did a quick blurb about it, but clearly you want more as I’ve received 47 emails with questions.

That many emails deserve a long form response. I think it’s easiest to answer them all in a FAQ kind of format. With the table of contents you can jump to whichever question(s) you may have.

Can you explain the purpose in a bit more detail or your reasoning behind starting these groups?

Ninety percent of my blog subscribers, followers on social media and clients are either small businesses with no HR personnel, but someone with other job responsibilities handling HR or they are very small HR departments of typically only one to two people where that second person is usually an admin. They bounce ideas off me, ask great questions and lament about how tough it can be at times to be everything to everyone. I love that they do this. I always say I may not have the largest number of blog subscribers, but I have some of the most engaged for sure.

The problem is, I’m smart enough to know that I don’t always have all the answers. I am a consultant and I can share what works for clients, but I don’t have clients in every industry or who have experienced some of the things I get asked about. I often refer one client or subscriber to another for advice which gave me the idea to start these mastermind groups.

I think in the long run these won’t just be about getting advice on how to get things done, but eventually can be used to challenge and inspire one another to be the best small business HR practitioner we can be. At least that’s my dream.

Why do you limit the size of the company the person can work for?

Great question. The reality is that anything over 250 employees and you probably have a larger HR department than just 2 people. I really wanted these groups to focus on the smallest of businesses from an employee population point of view. Handling HR for a startup working through series funding is different than handling HR at Google. Sure the fundamentals and laws are the same, but the demands on time and the priorities are very different.

An hour and a half seems like a long time for these meetings? Could they be shorter?

Maybe. We may not always use 90 minutes but I do want everyone to have ample opportunities to share and ask questions. I think blocking off 90 minutes is fair and then if we feel we have accomplished what we need to earlier, we can always end the call.

How will the calls be structured?

Oh, HR people, always wanting structure. Luckily I have it for you. The calls won’t be a free for all where everyone is talking over each other. They are limited to five practitioners and one facilitator per group which should automatically help with noise. A few days before the call, I will ask for agenda items and will then share those with the group. This allows for a couple of things. It allows for everyone to have their main topic covered. We wouldn’t want one person with a messed up workforce hogging all the time (we all know someone who could go on forever with how crazy their workplace is). It also allows for everyone else to really think about their advice including any resources they want to point an individual to.

It will be a structured, open conversation if that makes any sense. We will have agenda items, but as the call flows, outside topics can certainly be introduced if they make sense.

Will these calls be recorded so those who can’t attend can listen in?

Baby steps my friend. I’m calling this the beta phase of these groups and want to run a few for a couple of months before adding any other dynamics. I can see where something like this may be beneficial to a larger audience down the road, but for now I want to make sure we have any kinks worked out before adding a larger audience.

Why can’t vendors attend?

Quite simply because it’s not about that. I don’t want one single person on the phone sold too. Even the most well meaning vendor will have a hard time stopping themselves from offering their solution if they feel it would solve whatever the participant is struggling with. This may be something we revisit down the road but for now, these calls are strictly about advice seeking.

I realize I’m a vendor, but I’m also the connector serving as facilitator so I get to participate. I have no doubt that if I use this time to sell (which my introverted self would never do in a format like this) then participants will let me know either directly or by dropping out. I don’t plan on letting that happen.

Are these groups only available during business hours?

No. I have several people who have expressed interest for an after hours or Saturday morning call. Keep in mind it is only once a month, every other month, but I will certainly work to find a group for everyone in the time frame that makes the most sense for them.

Is there a commitment? If I’m not getting anything out of these can I drop out?

Of course. I would never want anyone to feel as though they are wasting their time. However, I would ask all participants to attend at least a few meetings before deciding it isn’t helping them.

I think that hits the main points. Of course you can always email/call/text me with additional questions. My contact info is at the top of this page. If you are interested in joining a mastermind group, please fill out this form and I will send you more info.

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Why Favoritism is Hurting Your Small Business

favoritism

As much as we all know we shouldn’t, we do in fact, play favorites. The most experienced among us do not let it interfere with our work in a major way. But the reality is, deep down, there are those on our team we like better than others and if given the chance we will give preferential treatment. Even if that preferential treatment only amounts to the biggest slice on pizza Friday.

For others though, favoritism is a bigger problem. I find favoritism is more rampant in smaller businesses, especially family owned or where the CEO has called in long time friends to help build the business. I have even had CEO’s say to me that they will always give their sister/father/best friend from high school preferential treatment. They know it’s wrong, but they will do it anyway because it is their business and these are their friends and family.

And we should all take care of our friends and family right?

Even the most well intentioned CEO who hires her brother and has the “just because you are my brother doesn’t mean you are getting preferential treatment” talk can still fall trap to playing favorites. And it can negatively influence the business.

Here’s how.

It’s about the old adage of perception vs reality. I don’t buy into the premise that perception IS reality, but I do believe that a distorted perception can greatly affect reality (that makes sense right). The minute a family member is hired or a certain employee starts spending more time with the boss than the others, every other employees assumes they are getting preferential treatment. Even if they aren’t, the rest of the business assumes it is happening and starts looking for it. When you look for something hard enough, you can find it, even if it is solely perception based. Something from the bosses perspective that isn’t grounded in favoritism can be perceived that way from other employees.

Obviously this hurts morale and productivity. Why work as hard as Joe if he is going to get all the credit, good projects or higher pay anyway? One common perception that seems to rear it’s ugly head is that the favored employee never seems to work as hard, be as qualified or deserve the credit they are getting. Even if that isn’t true, the other employees always perceive that the favorite isn’t really that great and is only where they are because the boss prefers them over others.

For any company trying to build a culture of engagement, having the perception that certain employees are favored, will ensure they continually take one step forward and two steps back.

What’s even more interesting is the effect having a favored employee can have on employees at higher pay grades. If the favored employee is not a manager, other managers can feel awkward or intimidated by that person because they know the relationship gives that person a bit more power. This can become a very hard situation to navigate leading top level leaders who have been with the business from the beginning to think about finding success elsewhere.

The good thing is that these things don’t escalate to irreparable levels overnight. There are often warning signs that employees are disgruntled and believe an employee is receiving preferential treatment. I would encourage any leader to take these concerns seriously and not just brush them off because they don’t believe they are playing favorites. We often do it without realizing it until it is brought to our attention. Catching it early and modifying that behavior before it gets out of hand can save a leader a ton of headaches down the road.

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Conferences, Events and New Resources – Oh My!

Parker the dog

That’s Parker. I talked about him here just before my holiday break. In a few short months he has gone from 9 pounds to 30. He had just been groomed in this photo and was a bit mad at me. He wouldn’t look at me, but is still pretty cute, even when angry.

After my holiday break I have written five blog posts. Five. I wrote a minimum of three per week pretty consistently for the last several years, but so far in 2017 – five.

Because 2017 is kicking my butt…..in a very good way.

Business is good. Lots of new opportunities and new partnerships that are forcing me to shift priorities a bit. Unfortunately, those priorities have been mostly centered around this blog and responding to email (sorry if you are waiting on something from me).

But I’m working on adjusting to a new normal of business and maybe hiring some help. Until then, I thought I would share a few events I’ll be attending and/or speaking at as well as share a new resource for small business HR leaders I’m working on.

Ultimate Software Event:

First up is Ultimate Software’s Connections Conference. It will be held in Las Vegas, March 21st through the 24th. This is my first user conference with Ultimate and I’m excited to see what they have in store. More to come on that event very soon. Back To Table of Contents

DisruptHR Orange County:

Second is DisruptHR Orange County where I’ll be speaking on a yet to be determined topic (I told you I was behind). This will be my second time speaking in OC and I do love these events. Note: if you have any awesome topic ideas for a Disrupt talk that you aren’t going to use leave them in the comments below. I need some help brainstorming. Back To Table of Contents

DisruptHR Los Angeles:

Third will be another DisruptHR event, but this one in Los Angeles. Yes, Orange County and Los Angeles are two separate areas and people from one do not drive to the other. It was news to me when I moved here too. My amazing colleague and friend, James Kinney, is helping me plan another amazing event. (Do I say amazing too much?) Ok, let’s face it, he does all the work and I just hang out, but either way, awesome event! Registration is opening this week so if you are in LA and want to be in the know, join our mailing list. Back To Table of Contents

PIHRA South Orange County:

In May, I will be speaking at the PIHRA South Orange County meeting about Getting Head of the Recruiting Curve – Designing and Executing a Strategy that Consistently Provides Viable Candidates. This will be a condensed version of the workshop I did for ILSHRM last year. Back To Table of Contents

WorkHuman Event:

Right after the Memorial Day weekend I will be heading to my first ever WorkHuman Conference. I am so excited about this one. The buzz around these conferences for the last few years has been tremendous and I’m honored to be able to attend and share updates live from the event with all of you. If you are interested in attending, you can save $100 off registration by using this discount code – WH17INF-SBA Back To Table of Contents

SHRM17:

Finally, at least for the first half of the year, I will be attending the annual SHRM conference in June as part of their influencer team. This is my sixth year being a part of this team and it is something I look forward to all year. If you have not attended a SHRM annual conference in the past, and you have the budget to do so, it is worth it. Will I see you in New Orleans? Back To Table of Contents

So many HR events in the first six months I’m having a hard time keeping track. I’m going to be so much smarter come July.

Small Business HR Mastermind Groups:

In the midst of that, I am setting up something I have wanted to do for a while. My clients who do not outsource their HR to us, but use us for supplemental support are either HR practitioners working in an HR Department of One setting or non-HR professionals who are responsible for the HR function. Regardless of which category they fall into, they are alone with no one to bounce ideas off of (other than me) or ask about how certain things may be handled in other businesses.

This is also true of much of my blog subscriber base.

Because of that, I wanted to create a way for these individuals to connect on a regular basis and share ideas, best practices and even throw out the occasional rant to people who understand what they are going through. So I came up with the idea of a Small Business HR Mastermind Group. The group of 5-7 people will meet on a bi-monthly basis via phone for 90 minutes.

The rules are simple. Everyone in the group must be responsible for the HR function in a small business (250 employees or less). You don’t have to be a certified, card carrying HR professional. You can be the office manager responsible for HR. What you can’t be is a vendor. These groups will have only one vendor, and that’s me because it was my idea and my conference call line. I can assure you I won’t be selling anything, only facilitating. If it ever sounds like I’m selling, participants can call me on it. That isn’t what these groups are about.

If you have been looking for a way to get advice from other people in your shoes, this is it. If you are interested in joining a group, fill out this form and I will give you more info.

Back To Table of Contents

That’s what I have going on for the next few months in addition to every day work stuff. What about you? Anything you are especially looking forward too? Any chance we may cross paths at one of these events?

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Leading Through Small Business Growing Pains

small business growing pains

Businesses usually become clients in one of two stages. Either they are in startup or the very early phase of just beginning to hire employees beyond the founder or they have just experienced a jump in headcount rapidly and are experiencing some growing pains. Inevitably, the leaders of the organization tell me how unique their situation is and wonder if I might be able to help them put, what I call, people structure, in place.

When this happens, I start with the good news first. “You are not a special snowflake. Your business doubling or even tripling headcount in a few months and the proverbial stuff hitting the fan as a result, is actually happening to more companies than you can imagine right now. And it happens to new ones every single day.” It’s called growing a small business and in my almost six years as a consultant, I can tell you that the majority of small businesses who grow quickly, go through it. Things get tough for a while, turnover may spike, employees who were content before change and more questions than answer fill the already strained atmosphere. It is an environment I have walked into many times.

The process through is easy enough in theory, but much harder in application. It often requires major change and tough decisions. It often requires the founder of the business letting go in a significant way, sometimes for the first time in the business’s history.

In the majority of cases the cause of growing pains is due to lack of leadership structure. At least a leadership structure that supports the new amount of employees. People have been promoted, hired and moved around and somehow in the course of all of that, no one knows who reports to who or who is responsible for what. In the spirit of “getting things done” structure was sacrificed for efficiency. While efficiency kept up with customer demand, structure was left in it’s wake leaving an organizational chart that looks more like a winding road sign.

The founder now finds himself in survival mode. He is trying ti grow the business but keep things the way they are. Because the way they are is magic. Magic that helped him build the business and magic he is not willing to let go of. Even if it no longer works. Even if it is creating chaos. Even if it is creating an unhealthy organization that while successful now, will soon plummet. Founders still want to have their hand in everything, but they ran out of hands 40 employees ago. They want to be involved in every decision, but they have stepped outside of their area of expertise too many times to count. They know they need to let go, but it doesn’t feel right so they hold on, sometimes tightly, to as much as possible.

It is at this point that I encourage founders to get out of the business. That isn’t to say leave the company, but simply determine the area of their greatest strength, focus there and let the other leaders in place manage the day to day. It is astounding to me how many founders of extremely successful businesses say that they have no business managing people….and yet they are. It is likely that sales, business strategy, marketing or finance is the strong suit of the founder. Whatever that is, when the company starts going through growing pains, it may be time for them to focus there and let the leaders they have hired focus on the day to day.

During times of business growing pains, the founder may need to take a step back #smallbizhr Click To Tweet

It may sound incredible, but the reality I have watched play out more times than I can count, is that the minute the founder steps back and focuses on his strengths, some pains are immediately alleviated. There is just something about the big boss settling down that changes a tone.

After that, it is imperative that the next level of leaders determine the structure for the rest of the business. Where are the reporting lines drawn? Who reports to who and what department is responsible for what? Even if some structure was already in place, I encourage leaders to start from scratch. Take a look at all current department heads and ask if it makes sense that they continue doing what they are doing. Then that question should be asked of each employee. You are already in a bit of a painful time, if major changes are going to happen, it won’t hurt much to do it now. Better than stabilizing everyone only to shake them up again later.

Once the structure is decided upon and communicated to employees, quite possibly the most crucial part of all of this is to consistently follow it. Leaders jumping rank and communicating down the line while leaving out an important supervisor will only toss everyone back into chaos. Expectations must be set and people must be held accountable and then everyone, absolutely everyone, has to be consistent.

Once a leadership structure is determined, it is important to respect it.....consistently. Click To Tweet

Once these two things have been fleshed out, this is the perfect time to establish core values and behavioral expectations if those haven’t been previously established. I’ve talked before about leadership resets and working through these growing pains are excellent times to embrace a reset.

One final thing that is important to note about growing pains. Not everyone will make it through….and that’s alright. Even if it is someone who was an integral part of getting the business to were it is, it is ok if they don’t make it through. This is almost like a fresh start. A time to regroup and make changes that are necessary. Not everyone is going to like those changes, but if they are the right thing to do, the business must forge ahead without them.

The good news is that growing pains are common and survivable. The better news is that once the business has gone through their first one, the following ones will be much easier. The bad news, as you can guess, is that the first is not the last and growing pains, as in life, will always be a part of business.

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Should You Buy or Build Small Business Leaders?

should you buy or build small business leaders

I love this question. I love philosophizing about these things. Playing out the “on the one hand” scenario. I’m one of those weirdos who enjoys playing out possible scenarios in an effort to figure out which might work out the best. Because with this question as with many others the answer is a frustrating one.

It depends.

This is definitely not a question where one size fits all. What is right for one business may be the worst answer possible for another. Possibly, the most accurate answer that would fit most businesses is that you should mix it up – buy (hire from the outside) some leaders while building (train from the inside) others.

Let’s look at why.

Depending on the stage of the business, leaders hired from the outside may bring much needed and immediate expertise. When a business is in desperate need of marketing or sales for example, they may not have time to groom someone from the inside. Further, experience at other companies and environments proves extremely helpful in a small business or startup environment. Even if the CEO had the time to build leaders from the current staff, if they have only experienced this environment, they may be missing valuable expertise that someone from the outside could bring.

On the other hand….

Nothing says we care about the future of our employees like internal promotions and leadership development programs. The number one complaint from small business employees is lack of advancement opportunities. Any small business who figures out how to offer that is light years ahead of their competitors. Mark my words on that.

What’s more, training existing employees for advancement opportunities eliminates the cultural learning curve. They already understand the business, how things operate and may have even been involved in much of the growth. There will be no time spent getting them up to speed on how thing work. Even showing someone where the bathroom is takes time and existing employees do not need that training.

Growing from within also creates extreme loyalty not found in outside candidates – at least initially. Those employees who have been groomed to take on more responsibility are more likely to stay with the business and not look for those opportunities elsewhere.

When this question is asked of me, I always prefer building over buying if the business has the ability to do so. I think it offers more benefits than hiring from the outside both in the short term and long term.

What do you think? Have you made building talent a priority in your small business or do you find that buying the talent you need for leadership roles is better? I would love to hear about your experience.

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One Word for 2017: Easy

make it easy

Happy New Year! I hope you had a relaxing and fulfilling holiday season. Along with the majority of people, we are back to work today and ready to focus on what new things we can do in 2017. I’ve never been one for resolutions or goals. I am the kind of person who jumps and figures things out on the way down. That has served me well to this point, but I felt like this year I needed a bit more focus.

This business is growing. It is at the point of being overwhelming which is, at the same time, a thrilling and exhausting place to be. As I move from being a ad hoc consultant to owning a legitimate firm, I find myself needing to be more deliberate about purpose. I help companies all the time figure out their vision and values. I help small businesses determine what their driving focus is that is going to help them recruit and train. And yet I have never really done that for my own business.

Until now.

I wanted a word that drove every decision. For every new offering rolled out this year through this consulting firm, I wanted one word that focused the way we shaped that service. As I’ve spent the last few weeks thinking about what it is that small businesses need in the form of HR services, one word kept popping up in my mind.

Easy.

They need it to be easy. Many of them are trying to keep their head above water. They are working on securing funding or finally turning a profit. They are trying to figure out how to hire the talent that they need to grow the business without taking the business under in the process. They are all wearing many hats and need to focus on their core product or service and need all ancillary functions to be….easy.

In the past, they have focused simply on compliance. They ensure they are legally doing what they have to do and little else. Things like leadership development, employee training, robust onboarding and focuses on culture was not something they felt like they had time or budgets for. All of these things were too complicated for businesses who either didn’t have an HR person or only had one person doing it all.

Our goal this year as a business is to change that. I still firmly believe that small businesses can do anything big businesses can do if they only know how to scale it down to their resources and budget.

We can help them do that, but it has to be easy.

I’m excited to run with all of the things I have planned for this year. There is so much more to come and I hope you’ll share any thoughts and ideas you have as well about how we can make small business HR easier.

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