Times are good. Business is up. As an owner or manager of a business, you’re no longer worried about keeping the doors open. Sometimes there aren’t enough hours in the day to manage all the business you have. In fact, you’re wondering if it’s time to hire more help. But how do you really know when it’s time to staff up?
Every business has guidelines specific to their industry. Peak seasons in construction and retail determine when it’s time to add staff and whether that staff should be full time, part time or temporary.
In other industries, business owners often opt to pay existing employees overtime to manage the extra workload. However, with new overtime laws going into effect in December of 2016, overtime may prove to be much more expensive than increasing headcount. Beyond the financial impact of overtime, employee job satisfaction and performance can suffer if overtime becomes a job requirement. High turnover can also result from working your team too hard.
There are certain signs that it’s time to consider hiring new employees. An astute business owner or manager will be able to spot these and determine when it’s time to staff up.
When to Hire
1. Your business has sustained growth over more than one quarter in the last 12 months. When sales are consistently increasing or when forecasts indicate continued growth, it may be time to hire.
2. New business opportunities are on the horizon but you don’t have adequate human resources to seize them. Any time you put off an expansion of services or products simply because you don’t have the people on staff to do the work, it’s time to hire.
3. Your employees are experiencing burn out. Stress, excessive complaints, mistakes, absenteeism, team dysfunction, and decline in customer satisfaction are all signs that you are asking too much of your current staff and it’s time to hire.
4. Employees feel stuck in their current positions. Every business needs a workforce that is capable, well-trained (preferably cross-trained) and primed to move up the ladder. If you can’t offer opportunities for career growth because you don’t have new people ready to fill vacant slots, it’s time to hire.
5. If owners and/or managers are handling day-to-day tasks because there’s no one else to do them, you’re understaffed.
Employees need their bosses to be leaders, not co-workers. Your job is to lead and manage. If you don’t have time to do that, then it’s definitely time to hire.
No responsible business owner or manager wants to add staff in peak times only to have layoffs if business falls short. However, no business owner or manager can afford to lose business because of customer complaints or lack of manpower to service the needs of the client. Often it makes good business sense to hire new employees so they can be trained and ready to handle new business.
Is it time for your business to hire?
-LG, AlphaGraphics Franklin | July 2016