So, you think you need an extra member of staff?
Firstly, ask yourself this question,
In the past sixty days, how frequently have you needed to extend deadlines, defer product deliveries, or revise schedules to meet commitments made to customers or employees?
2. Once a month
4. Almost Daily
Well? What is the answer for you?
Another thing to look at to determine staffing levels can be staff/sales ratio. Take a close look at the relationship between the number of employees and revenue: is it constant or increasing?
As a Business Owner, hiring manager, how do you know that it is time to get in extra headcount? Let’s take a look and see if any of the below scenarios are happening in your Company….
Scenario 1. Your business is doing really well, you are in the black, you have loyal customers, your existing staff are happy albeit stressed. They don’t seem to mind working through their lunch most days and staying that little bit late 2/3 times a week in order to get the deadlines completed or those orders out the door!! If you do need to extend a deadline you personally give the bad news to the client as you have a good relationship, this has lost you a couple of clients to a very close competitor but mainly you are confident the rest of your clients will stay loyal. You consider yourself to be lucky to have that commitment from staff and client’s, although, your staff are not as chatty as they used to be, and they do look tired occasionally and actually while you think about it sickness has increased a little!
Scenario 2. Your business is doing well! In the beginning it was sales planning and executing that plan that brought these customers in, you worked so hard to get where you are now, and the customers built up so quickly you were busy in the first 6 months!! You were able to bring your customers in with your knowledge and expertise in your particular industry. What an incredible journey you have been on but for some reason the people who were naturally finding you are not finding you so frequently and although you try and reach out to the remaining market something always prevents you from doing what you have planned. You plan your sales time but just as you are about to start, that inevitable problem comes in that only you can deal with! Your sales gets put on hold once again and your business stays as it is with no more customers coming through the door which is fine…. but is it?
Scenario 3. You have been chasing that volume client for months and they are finally getting ready to sign on the dotted line. This will mean so much for your business and will really increase your footprint in your industry! Wow, this is incredible, and all of your existing staff are so excited, as they should be but there is also nervousness amongst the team. They are discussing the new business that is about to land and you hear words like “how are we going to cope?”, they seem genuinely worried about providing a good service to the new client? You all as a team/company work flat out as it is, but I’m sure we can all give that extra push guys, don’t worry we will all pull together to get the job done…. but will we?
· You have completed your research regarding existing practices in your company
· You know that the systems that have been implemented are strong and do not allow for wasted work hours
· You have spoken to your team/s and collected the data regarding your existing employee hours, workloads
· You have made sure that they are prioritising their work correctly, so you are confident there are no wasted hours.
You now know that it is time to up your headcount, you need to bring in someone new who will complement the existing team and allow you to push your company forward to the next stage.