We work with lots of Newtown Square, PA area businesses here, and as a result, I get a little crash course in my clients’ business practices. It’s a fantastic crash course for me and my team.
And since I’m in the financial trenches with so many of them, I see lots of ways that team members are compensated. And it’s probably helpful for all of us to learn some of these lessons.
Because I’ve also seen teams and businesses devolve over haphazard employee incentives, vague sales targets and monetary favoritism before.
Maybe the best solution for your business isn’t about simple salary structures?
Maybe the answer isn’t to eliminate bonus schemes or monetary incentive, it’s just to be a little smarter about it than you might have been in the past.
[And yes, we’re cranking through tax season and our calendar is very full. But that does NOT mean we don’t have time set aside for you.
Write us a message on the Contact page or call us ((610) 353-0686), and let’s get you on the calendar ASAP so that we can ensure you and your business aren’t unnecessarily giving monetary bonuses to ol’ Uncle Sam.]
The last few weeks, we’ve given you some heavy things to think about … so my hope here is to move to happier subjects.
Stephen’s Thoughts On Employee Incentives For Small Business Owners
“One person can make a difference, and every person should try.” – John Fitzgerald Kennedy
Early in my career as a manager, I discovered that when one employee receives a reward or bonus, some coworkers could respond with a little resentment or skepticism.
Until I learned to base these kinds of decisions on objective metrics, such as sales or productivity, my rewards only had sporadic success.
Now, however, these are the kinds of things I look for…
• Specific Job Performance. Spell out requirements in unambiguous terms, and give rewards only to those who exceed expectations.
• Customer Satisfaction. Have you received positive feedback about employees from clients, customers, or coworkers? Document the feedback for use when making reward decisions.
• Cost Awareness. Look for workers who take steps to save money for the organization without sacrificing quality. Calculate the value of their cost-cutting contributions when deciding what kind of award to give.
• Company Policies. Document your employees’ compliance (or lack thereof) with rules regarding such issues as attendance, job performance, and respectful treatment of others.
• A Positive Attitude. This can be tricky to measure, but you can still document an employee’s eagerness to work, willingness to learn, and ability to support the team in a positive manner.
I’m grateful for our chance to serve you and your Newtown Square, PA business — and we are dedicated to its success, in every measure.
Feel free to forward this article to a business associate or client you know who could benefit from our assistance. While these particular articles usually relate to business strategy, as you know, we specialize in tax preparation and planning for families and business owners.
Stephen J. Venuti, CPA, MST, LLC