A recent survey shows that 81% of companies currently struggle with a lack of staff. As a result, finding, developing, and keeping talented workers is now a key challenge for many businesses.
With tough competition to attract skilled workers, it is often more cost-effective for companies to keep their current employees than to hire new ones. This is one of the main trends in managing people today.
Managers have a tough job. They need to create work conditions where employees want to stay for a long time, be part of a team, and grow within the company. Small and medium-sized businesses find this especially hard.
Big companies have long worked on building a strong company culture, encouraging loyalty, and promoting well-being. Small businesses must start from scratch. Here are some important points to consider.
Investing in talented workers is essential. But how do you find them? Talents grow slowly and only if the environment is right. So, it’s important to create a space where everyone can develop, then spot those who show the most promise. Several tools can help with this.
One simple method is to compare performance against the job description. This shows where employees are weak and where they excel. If your company doesn’t have clear instructions or only some do, you can track results each month. The easiest way is to review key performance indicators, or KPIs.
For a more complete view of an employee’s skills, motivation, and loyalty, conduct a full assessment. An assessment center tests a worker using different techniques. These can be challenging for a small team to organize alone, so many companies hire outside specialists for this.
When assessing employees, look for traits like responsibility, communication skills, leadership, initiative, and motivation. If you hold an assessment center, you’ll get detailed feedback. Otherwise, the 360-degree method works well. Ask managers and coworkers to rate an employee on these traits using a five-point scale. This gives a clear picture of their strengths and weaknesses.
Aligning skills with the company’s goals is crucial. Think about how each worker’s skills support the company’s plans. If expanding internationally is a goal, employees with experience working with global partners are valuable. If the business is launching a new product or service, those who have worked with startups or project teams are an asset.
Discuss goals and job interests regularly with employees. Encourage them to take initiative. The best time for this is during regular one-on-one meetings. Use these talks to find out what’s working well, what needs to improve, and where they want to grow. Knowing how employees see their work helps create a clear path for their development.