It does not matter how small or big the business is, without people it would not be successful or profitable. People are the number one resource in any business. Employees need to be treated with respect and dignity regardless of the antics they get up to and how you might be feeling at any given time.
The next key ingredient in organizations especially small to medium sized ones is MOTIVATION! This is one of the toughest challenges that an entrepreneur / owner faces especially when most of their time is spent dealing with the everyday challenges of staying afloat. A motivated and enthusiastic workforce can in many instances make up for a lack of talent and knowledge where they try harder, work longer and are prepared to go beyond the expected.
In many minds motivation = monetary incentives and bonuses! This is simply not true. Firstly lets deal with money as a motivator. Money is a short term motivator. As soon as its spent the the cycle need to be repeat to keep the same level of motivation. Although money is an important motivator there are 100's of motivational ideas that could be implemented that don't have to cost the company big money and will keep employees motivated for far longer than a cash bonus! In addition, as an added incentive, keeping employees happy and motivated is likely to result in fewer people leaving the business. Employee retention saves money. Hiring new employees is a time consuming and expensive process.
The psychology behind most incentive programs is that the promise of a positive outcome or reward can have a huge impact on an individuals behaviour. Tasks that offer positive outcomes will promote employee productivity and assist the business achieve better results. In order to do this employees need to understand what you want them to do and what the reward will be if they do it. Part of the process is that they need constant feedback in order to understand where they are in relation to their goals / targets.
As previous indicated there is a belief that incentive programs are expensive however here are 5 essential motivation components that are cost effective and require very little effort to implement:
1. Culture of the business: including shared values, beliefs and norms. this starts and ends with the owner.
2. Communication: celebrate successes and counter negative news, especially through the "grapevine."
3. Participation: Motivation through belonging to a social group and through recognition of being needed and of achievement.
4. Engagement: Different groups have different needs whether social, demographic or identities.
5. Small tokens: The smallest, simplest and most cost effective things can have the greatest impact.
1. Culture
An organization without values or negative values invariably destroys motivation and the fostering of desired behaviour. These values come from the owner of the business who has to encourage and reward the right behaviours and be a role model for the value system that encourages and motivates. Leaders in the company will be constantly watched by employees and their actions and behaviours will become then norm. Some are small and some send out long lasting messages. For example if the leaders are always late then the message to the organisation is that its okay to be late. If leaders treat their employees with dignity and respect then they are likely to treat customers in the same manner which in turn should improve customer satisfaction. Getting a the right culture in place cost nothing except time and effort.
2. Communication
Almost everyone has e-mail and access to the internet today. Establish a company branded newsletter that can be e-mailed (or printed and placed on the company notice boards.) This way the business manages the communication process, highlighting positive achievements and events and proactively dealing negative news , with a positive spin, in a better way that the rumour grapevine. Its also a great vehicle to celebrate successes, big wins and to welcome new employees or show that an employee that is leaving will be missed.
Other opportunities for communication is to have an open-door policy. Where this is not practical then consider an electronic suggestion box or paper bag get-together (there are structured informal meetings held over lunch break.) This will only work if you encourage employees to participate and that their suggestions and ideas will be taken seriously regardless of the topic, which could be company or employee performance. Feedback is essential and promises need to be kept. Empty promises will kill the process and alienate employees. There is very little cost associated with regular effective communication.
3. Participation
An easy way to get participation is to get employees to set there own goals and targets, that are linked to the companies strategies and objectives. This gets their buy-in because they have a stake in the outcomes of their performance. Getting employees to take ownership of their behaviour and performance is key to a businesses success. There goals should be simple, less than 10 and easy to measure. A situation is created where employees realise that "we win together or we loss together." This is also likely to translate into a sense of ownership where employees begin to act and think as if it was their business. Other ideas to get people participate could be a braai (barbeque) where empoyees get a little time to relax and feel appreciated. Team building activities are good for motivation, these could be a dinner with employees and their spouses through to more structured events with professional team building venues.
A few cautions:
1. It is preferable to make these alcohol free events. This will remove all booze related issues such as drink driving and harassment.
2. Spirit built during off-site team building events is often not transferred to the workplace.
1. It is preferable to make these alcohol free events. This will remove all booze related issues such as drink driving and harassment.
2. Spirit built during off-site team building events is often not transferred to the workplace.
4. Engagement
Different employee groups have different motivators. Younger employees, in their early 20's, have different needs for example they don't want long term share options and a career for life. To get them engaged in the business requires that their triggers are pushed. The only way to do this is to talk to them, listen to them and understand them. They may perform better with a simple thing like music in their work section.
5. Small Tokens
These are small inexpensive things that are often forgotten, like a pat on the back for something well done or when the company has a promotion that the employees get a sample or hamper linked to the promotion. What about a dinner voucher for two attached to the welcome letter of a new employee or just a simple personalised hand written message from the owner. Other ideas could be adding a picture of the new employee and a short welcome message on a newsletter to all employees or something similar for employees that have long service awards (5, 10 or 15 years.) An extra day off for extra time spent getting something exceptional done. There are hundreds of small token ideas that can be generated and have very little cost involved.
Watch out for motivation killers - repetition, routine, prescription! Every business has limits to what it can afford. Employees have a stack in the business and they are key to its success. Get them on motivated and enthusiastic. The idea is simply: give-back and you will get-back!
