Hiring a new employee is as important to the entrepreneur as it is to the person hired. It can either be the beginning of a mutually rewarding relationship, or the beginning of a long series of mistakes.
Two of the major influences on high employee turnover are the recruiting and selection procedures used. The way entrepreneurs advertise a position, handle applications, conduct interviews and select and introduce a new worker to a job are all elements in the effort to cut down on employee turnover.
Sources of potential employees
- Within the business
- Want ads (in print or online media)
- Employment agencies
- Educational institutions
- Former employees
- Current employees
Selection procedures
- Application form
- Interview
- Checking of references
- Testing applicants’ skills
Orientation process
Generally, on their first day, new employees should be shown around the business. The new employee should be introduced to the rest of the staff, given an overall view of the entire operation, and shown exactly how their jobs fit into the total operation of the business. Such small gestures take little effort and will probably save both time and money in the long run.
Remember, it is important to start the new employee off on the right foot. Proper orientation will help a great deal in getting a more productive, long-term employee.
Four basic rules of orientation
- Prepare the employee
- Present the work
- Try the employee out under supervision
- Follow up
Six factors in preparing for the orientation of a new employee
- Know the job
- Have a current employee serve as a mentor
- Prepare a simple job breakdown
- Set a training timetable
- Arrange the work area
- Evaluate new employee’s work on a daily basis.
Employee considerations
Pay plans: To employees, wages are an important part of their jobs. They expect their pay to be commensurate to the skills and energy they put into a business. If entrepreneurs want to attract and keep good workers, they must take into consideration the rate paid by other firms for a a similar job.
Fringe benefits: Of all fringe benefits, those for sick leave and holidays are the most widely appreciate by employees. You should have a policy regarding all fringe benefits.
Employee relations: Good pay and fringe benefits aren’t all it takes to make employees happy. Job satisfaction means much more to them. You have a responsibility to provide the best kind of physical surroundings and make sure there is always two-way communication with the staff.
Working conditions: The health, comfort and safety of your employees, as well as decent working conditions, should be of genuine concern to entrepreneurs. A good environment can do much to encourage efficiency and good attitudes in addition to preventing accidents. The premises should have good ventilation, sufficient heating and cooling, good lighting and sanitation, and safety facilities. Having a first-aid kit and a doctor’s telephone number are necessities in a health and safety program in any business.
Excerpted from: “Organization and Management Aspect” Windows to Entrepreneurship: A Teaching Guide, published by the SERDEF, 2013
Photo: from flickr.com