Running a small or mid-sized business has never been more challenging. Getting an early-stage business off the ground is even more demanding. Having the right people can make all the difference. It’s not always easy to attract and retain such talent, especially if you want someone different and unconventional. So here are my six essential pieces of advice, based on a 30-year career as a CEO. All of these will, I believe, make your business more successful in the long run.
1. Transparency beats secrecy every time when it comes to people issues. You should behave as if – in principle – all salaries were posted on the wall by the coffee machine. Taking such a stance means you have to be economically rational and treat people fairly (which is not the same as equally). 2. Companies need access to professional HR skills sooner than you think. I reckon that somewhere between 25 and 50 staff you need a full-time HR person. Fortunately, there seems to be a decent supply of HR folks (I’d recommend using an individual rather than a firm) you can access before you get to this stage. 3. Beware contractors and interim managers, especially if they are more or less full-time and working on core activities. You may get great talent and fill a hole quickly and conveniently. But remember they are – at heart – mercenaries, and are generally looking to earn the highest shilling in the next job. Ask yourself – are great armies built of loyal soldiers or from a bunch of mercenaries? 4. Training and career development are more important than ever, especially as a retention device. I used to think that training was very important – so I hired people who were already trained! That’s no longer good enough. Be careful when bringing in young professionals who’ve been trained in the blue-chip consultancies, big accounting firms etc into a start-up business. The reason you want them is that have had great career development and training. How are you going to help them maintain that career momentum? 5. The power of a clearly articulated corporate mission is incredible, especially when the going gets tough. Which it will. At Novacem, we aim to be “the first great cement company of the 21st century”. It’s a great goal that will help us get through tough times. 6. Different people have different loyalties. Some types of employee are loyal to the company (they may even have fallen in love with it); others to their profession. One way to distinguish the different types is to ask them what their job is. Some will say they work for your company; others will respond that they’re an accountant, for example. Understand who’s who, and you’ll know whether you’re managing staff turnover or staff retention. Agree? Disagree violently? I’d love to hear your views. Please post your comments below. Stuart Evans is executive chairman of Novacem. He’s been a technology entrepreneur since 1984 and was founding CEO at Plastic Logic and Cotag International. His early career was at IBM & McKinsey following an MBA at Harvard Business School.
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.