E-courager

a weekly e-gram encouraging business owners to think ON their business.

The 7P's
People -
Strategy First, Hire Second

by Dennis Raup


Freeing Business Owners
To Grow Profitably.


A job opening can be viewed either as another “hole to fill” or an opportunity to further your business strategy. How does a preoccupied business owner think more strategically about hiring? First, consider your industry. What unique identity do you want the firm to be known for that your customers will be willing to pay a premium for?

Southwest Airlines built much of their reputation on stellar customer service. Their strategy has always been “hire for attitude and train for skills”. This maverick airline is famous for creating memorable customer service moments in often stressful situations. My personal favorite happened when a flight delay was announced but then followed-up by another announcement of a contest for all waiting customers who have a picture of their mother-in-law in their wallet. Frustrated faces transformed into smiling customers as wallets and purses were opened up and photos produced.
 

Did you know?
Hiring mistakes can add up to 10X base salary depending on position?


Southwest also invests much more in ongoing training for desired critical skills than their peers. The result, compared to their peers, includes much lower turnover, higher levels of customer loyalty and profits in a cyclical industry.

Like Southwest, you will fly higher than your competition through putting strategy first and hiring second. Your firm will be much more likely to enjoy higher staff retention rates, happier customers and higher profits than your peers who view hiring as a tactical decision.


Reflections
When you think about how the tasks should be accomplished at your firm, what are the top two most important values every employee must embrace and live out?




Quote
“The key for us, number one, has always been hiring very smart people.”

-- Bill Gates, Founder Microsoft



Looking Ahead
Next E-courager
Selection – Look Out for those Interviewing Pitfalls!

 

Issue19-7P's-People-week3
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