HR Strategy of the Week: The 3 Employee Lists
Just to preface: I get the opportunity to speak to CEOs, COOs, and Managers all the time about their people because of my HR background. I talk about compensation, benefits, and other important HR issues. However, every time I include "The 3 Employee Lists" in one of my talks, it gets everyone thinking and talking. If you really think through these 3 Lists, I think you can dramatically change your organization. So think through these when it comes to your organization:
List A - The "OH NO! What Happened?" Group: This is what you say when you get a resignation letter from one of your vital team members. If someone is on this list, and they resign, you immediately leave the office and think about closing the company (not really, but kind of). These people embody the values, culture and “spirit” of your company. They “Get it”. They could be the admin or the COO - but they mean a ton to you. When you read this, your mind will go to the people who are so important in you business!
List C - The "WOO HOO Finally" Group: This is what you say when you get a resignation letter from someone on this list. In a kind way... you are very excited. You wanted to let them go and now they are doing it for you. They might be unproductive, or they might produce a lot, but have a terrible attitude that doesn’t work in your company. Everyone in the business talks about how they just don’t fit or they have to work extra to make up for their deficits.
List B - The "Adequate Work for Adequate Pay" Group: This is where most of the people in your organization should live. These people show up to work on time, do quality work, and you pay them fairly for their work. You do not expect them to wow you, but they are good employees. Again, this is where most of the people in your organization live!
Do Something about List A and List C!
For the people you have on your "List C", you have two options:
Develop - invest time and energy into training them to become better in whatever they lack if you think it can be corrected.
Let them go! - this sounds harsh, but these people negatively affect the business or firm. If you choose to keep them on, it will set a terrible example for the rest of your staff
For the people you have on your "List A", you have one option:
Create Individual Retention Plans - Be students of your people and find out anything you can do to make them stay! Have conversations with them often. Make them a priority and spend time making sure they are happy! Might seem like a waste of time, but shame on us if they hand us a resignation letter and we did not do everything possible to keep them!
If you want more detail, here is myself and Matt Filer talking through it on our podcast: HR Ins and Outs for Small Business Podcast
Sales Pitch of the Day:
The HR Audit is a tool designed for small businesses in any industry to identify the strengths and weaknesses of their HR function.
We evaluate the 14 areas of HR from compliance to retention. We develop an HR strategy to make your employees proud of where they work. Watch the video to the right for more information or visit our HR Audit Page on our website.