If you don’t have enough employees in your company, or if you don’t have the right kind of employees in your company, it can be a serious obstacle to having a successful business. By the same token, having too many staff members in your company can also impact your company’s bottom line negatively. It’s very important to have the right level of staffing in order to achieve any kind of success in business, and thoughts on how this can be done are provided below.
Determining the Right Staffing Level
One of the first steps you should take in order to determine the right staffing level for your company is to develop an accurate organizational chart that clearly depicts all job functions which are necessary for the operation of your company. It’s very common for small businesses to have single individuals responsible for multiple areas, especially in the early years of business.
However, as a company grows, it will be necessary to closely monitor these job functions so as to note any loss of efficiency, productivity, or quality of work which might be caused by overloading responsibilities on single individuals. For instance, you might notice frequent service failures, increasing numbers of complaints from customers, employee burnout, too much over time, and an increasing trend toward not completing orders in a timely fashion.
It should be possible to develop statistics for your industry which will help you to determine when it’s necessary to hire another employee. As an example, it could be that for every $50,000 of monthly revenue which is generated, it becomes necessary to take on another staff member.
Using Technology to Decrease the Need for New Hires
In some industries, it may be possible to make use of available technology so as to lower the need for new hires in your company. You might be able to invest in more modern tools and technology so that your current staff can become more productive, thus avoiding the need to take on more employees. It’s very possible that capital investment in new technology right now can lead to tremendous cost savings and efficiencies in the future.
This means that before you take the plunge on hiring a new employee, you should first consider all options which are available to you. If the increasing workload in your company is primarily due to a short-term demand on the part of your customers, that’s not the time you want to take on more staff members. A better alternative might be to outsource some of the work to a business staffing agency temporarily, which might specialize in those kinds of employee projects.
This is especially true if you have an increased workload in the area of your accounting staff because it would be very easy to offload some of that work to one of the thousands of agencies that have accounting staff members on hand all the time. Consider also the fact that if you were to take on a new hire for a project your company has just taken on, or to handle a temporary increase in workload, it’s very likely that at the end of six months’ time, you’d have to lay off that employee.
Keep in mind also that when you do take on a new hire, you’re going to have to invest a significant amount of time and money in training, employee benefits, and employee education, so you’ll want to make sure that investment makes sense for your company.
Benefits of Using Business Staffing Agencies
As opposed to hiring a new person for your company, and making the major investment required to get them up to speed, it can often be very beneficial to collaborate with a staffing agency to fulfill a temporary need. This, in fact, is one of the main benefits of working with a staffing agency, because they can fulfill a short-term need so that your company doesn’t have to undergo the commitment for a long-term financial investment.
Another big benefit of working with a business staffing agency is that they will already have vetted any candidates for working with your company, so the process of filling a position at your company can take place much more quickly. It’s also true that experienced staffing agency employees can usually go through a faster onboarding process and can ramp up to their responsibilities much more quickly than a total new hire would.
When you work with a business staffing agency, it’s very easy to scale up or scale down as the need demands, and there is virtually no time lag involved with bringing employees in or letting them go when work is been accomplished. You also avoid the burden of having to deduct taxes and provide benefits for a new employee when you’re working with a staffing agency.
One last major advantage of business staffing agencies is that all their employees have already been through screenings, reference checks, and background checks so that it’s something you don’t need to undertake yourself. All these processes can take a great amount of time, as well as a considerable expense for your company, so avoiding them altogether can be a terrific advantage.
When You Should Bring in New Hires
For those situations where it does become necessary to bring in new employees, you’ll want to make sure you get off on the right foot with each of them. This means you need to provide them with all the appropriate tools so they can be effective at their position, e.g. phone, email, security badge, laptop, office key, etc.
You should have a plan for formally orienting and onboarding them, which includes conveying your company’s goals and mission to the new employee, as well as having an accurate and current organizational chart. You should present them with a job definition which describes all their duties, and you should introduce them to the people they’ll be working with, so they can be more effective right away. To help any new employee blend in quickly, you should alert staff members to their arrival, and provide some level of background on the new employee, so that everyone is comfortable.