Successful Blog

Here is a good place for a call to action.

Employee Rewards Programs: Work Smarter to Get Your Employees Working Harder

by

By Christopher Wallace

As hard as it is to find good help these days, sometimes it’s even harder to keep it. Even with high unemployment rates, you are not guaranteed to hold on to valuable employees if you do not convey how much you appreciate them. One of the best ways to recognize the worth of your staff is through an employee rewards program. If your business has already instituted some sort of rewards system to incentivize excellence from your people, you are already ahead of the curve!

But creating the program is only as good as the degree to which employee motivation and productivity increases as a result. If only there was a way to quantify the success of your own employee rewards program. Well, you’re in luck, because someone else has already done the lion’s share of the heavy lifting for you.

Recently, Amsterdam Printing conducted a survey of 1,277 business customers. Fifty seven percent of them indicated they had some sort of employee recognition program in place. Amsterdam asked both employees and managers to comment and rank various aspects of the programs to determine what works and what doesn’t. Although many different facets were discussed, several overall themes emerged: employees wanted to be rewarded and managers noticed increased productivity when workers were recognized for their efforts.

Positive Work Environment Translates to Increased Productivity

Not surprisingly, the survey revealed that the highest positive correlation between recognition programs and increased productivity came through programs that improved an individual’s working environment. Think about it: it’s hard to get anything done when you’re absolutely miserable or in an environment that hinders progress throughout the day. Accordingly, when the company sponsors events or programs that aim to improve one’s working conditions, increased productivity naturally follows.

It’s effective because it’s a nice little circle: when your employees want to be there, they’ll invest more of themselves in their work and because of that. The company turns back around and rewards them for it, which only motivates your employees to continue their good work to keep their positions within your so obviously appreciative company, and well, you get the idea.

Morale Must Haves (and also some things to avoid!)

In the same way that effective employee rewards and incentive programs improve productivity, nothing will kill employee motivation faster than “rewards” that don’t work or impact the working environment in a negative way. Here are a few things to keep in mind when you are designing your employee rewards program.

Clarity

Make sure the scope of the program and the criteria for success are clearly defined and uncomplicated. When the rules and conditions are easy to understand and everyone is on the same page about which things earn them what, there is little room for confusion and hurt feelings when all is said and done.

Consistency

Not only should your program be clear, but it should also not change before it has concluded. For example, Amsterdam’s survey revealed that the number one thing people wanted to be recognized for was “Performance Excellence” (by a whopping 69.5%). If you have a program in place that has historically awarded prizes for performance excellence, you can’t switch mid-stream and suddenly decide to promote “Flexibility” (much lower on the list of preferences, receiving only 22.8% of the popular vote).

Equality

And speaking of popular votes, if it becomes clear that the program you have in place is really a front for the company “popularity contest” in which only the “cool kids” ever win anything, the majority of your employees will start to feel insecure about their own merit and worth to the organization. In addition, you are creating the perfect breeding ground for suspicion and resentment. This is easily avoided by making sure your team managers know to spread around the rewards and to switch gears if the same person is consistently earning the honors.

Variety

This is not to say that a person who is clearly superlative should not be rewarded for being amazing; rather, the trick is in developing a program designed to reward the superstar in us all: we all excel at different things and are important in different ways. If you include enough factors for consideration, you increase the likelihood that different people will win each time you award the honor, and you highlight their success due to the quality that makes them unique.

The Most Enticing Rewards

Now that you have determined that you do indeed need an employee rewards program, what should you offer as incentives? Without fail, Amsterdam’s survey revealed that people still respond to the classic monetary prize: cash, gift cards and bonuses always work. The employees also indicated that they value personalized gifts and employee perks, such as a desirable parking space or paid time off.

There are also priceless rewards that don’t cost a company anything other than a moment of time. For those businesses without the means to convey lavish gifts, a good old-fashioned pat on the back still goes a long way to let those around you know that you appreciate them.

For those of you with a program already in place, what are the most effective rewards for your employees? If you are going to develop a program now, what sorts of benefits do you plan to include?

Author’s Bio: Christopher Wallace is Vice President of Sales and Marketing for Amsterdam Printing, a leading provider of custom business pens and other promotional products such as imprinted clothing, mugs and customized calendars. Christopher regularly contributes to Promo & Marketing Wall blog.

You Get What You Pay For

by

Running a small business brings with lots of excitement, hard work, and even a little head scratching at times.

As anyone who has ever run a company knows, each day pretty much brings with it a new set of challenges, circumstances, and results. For those who seize the moment, the rewards can be endless.

So, what kind of business owner are you when it comes to money? When referring to money, it means paying your employees.

For many business owners, these last few years of a challenging economy have meant that worker salaries have either been frozen or even reduced. In many cases, new employees coming into companies are seeing offers that they would typically turn down, yet a struggling economy means many are taking jobs at lower salaries.

In other instances, some employees are seeing small increases in their current pay or job offers from a year or two ago, but it typically depends on the industry, the conditions that each specific employer is dealing with, and how much competition there is for each position.

Being a small business owner, are you increasing, decreasing, or keeping your respective employee salaries about the same from last year at this time? As the well-known saying goes, you typically do get what you pay for.

For example, take a look at the field of jobs that encompasses marketing, social media, content writing and other related positions.

If you go on Craigslist or some other sites that post jobs, it is not uncommon to see marketing, social media, and content writing positions (with experience) starting for as little as $10 an hour. While that figure may sound good to someone living at home with their parents, the same someone who has little college and/or related experience, someone else will balk at such an amount.

 

Avoid the Revolving Door of Employees

If you want to avoid a revolving door of workers in and out of your office, increase your salary offers so that someone has incentive to stay with your company more than just a few months, that is until something better comes along.

Secondly, you may want to consider outsourcing some of the work to contractors and/or consultant, those individuals with experience in the field, yet who are looking to work outside an office setting.

Should you choose that route, you avoid things like medical benefits, 401k plans, and having to manage one more person in the office. With that being said, make sure you get someone who is disciplined and organized enough to work on their own.

Lastly, offering salaries that barely allow someone to put food on their table and keep a roof over their heads opens you up to potential negative publicity.

In today’s social media age, it isn’t uncommon for word to spread quickly that your company is not a good one to work for, especially given that you are paying so little and asking for so much.

So, how do you as a small business owner go about setting your worker salaries? Have you gotten positive or negative feedback from applicants in recent years?

Would love to hear your thoughts….

Photo credit: ehow.com

About the Author: With 23 years of experience as a writer, Dave Thomas covers a wide array of financial topics, including payroll outsourcing.

Are You Secure in the Employees You Hire?

by

One of the biggest challenges that small business owners have is finding the right employees to help take their company to new heights.

In order to find the right pieces to the employee puzzle, it is important that those running businesses take an ample amount of time to research all prospective employees, especially in a day and age of a struggling economy, not to mention numerous cases of identity theft.

According to a number of corporate security experts, some 25 to 40 percent of all workers swipe stuff from business owners, with the U.S. Department of Commerce (DOC) estimating that employee theft involving cash, property, and merchandise may cost American companies upwards of $50 billion on an annual basis.

While some business owners are on top of the matter, others find themselves so busy that they can easily miss theft going on right under their noses.

So, how can you as a small business owner better prevent yourself and your company from being crime victims?

Among the things to look at:

* Screening applicants – First and foremost, make sure you do a thorough screening for each and every employee you consider hiring (see more below). While their qualifications for the job may be outstanding, they could have a skeleton or two in their closet that could end up costing you more than just time missed on the job. Even though many job application forms ask applicants if they have been in trouble with the law, don’t be naive to think that everyone fills them out truthfully. If your suspicions are raised about a candidate, follow through on them to make sure this individual will not cause you trouble should you hire them;

* Social media chatter – One of the ways to screen employees is to follow their chatter on social media. While most are probably smart enough not to brag of any past thefts involving employers, some folks just can’t help opening their mouths. If you see any such behavior on social media that indicates this applicant may be a troublemaker should you hire them, move on from them to the next person;

* Change in routine – In the event you hire someone and notice a change in their habits, don’t automatically dismiss it as no big deal. Most people have a schedule they follow on a daily basis. If someone has been coming in normal hours for several months, then does a 180 and comes in unusually early or stays later than normal, there is nothing wrong with questioning them on it. While the change may be to personal scheduling needs, it could also be to access items at work such as financial records, computer passwords etc. that could be a precursor to theft;

* Financial freedom –  Depending on the size of your small business, you may have one or more people handling finances, i.e. who cuts the checks, who has access to the company credit card to make office purchases or travel to meet clients. Make sure the individual or individuals in charge of such tasks are trustworthy enough to have in this position. It never hurts for you or someone outside the finance department to check the books from time to time, looking for any inaccuracies or large withdrawals during the year;

* Secure your business – Even though you may be watching every dollar you spend, having a security system in place at work is not only to keep the bad guys out, but also to make sure you don’t have any thieves right there in the office. Having an employee take a pen or two from the office supply home with them is a far cry from taking money out of the payroll box or making out checks to themselves for supposed “work-related” expenses. Whether you go with obvious security like cameras on the ceiling or closed-circuit cameras, locked boxes for money and other financial items, or having a log that all employees must sign in and out with to remove any items from the office, have a secure plan in place;

* Let them be warned – Lastly, make sure EVERYONE under your employ knows there are consequences if they are caught stealing from the business. With the economy still struggling to gain sound footing, it is not uncommon to pick up the newspaper or read online of another employee arrested and charged with employer theft. If you don’t point out the severe consequences that can happen with such decisions, you set yourself and your business up for trouble.

Employee theft happens more often than you may realize, so don’t be the next victim.

Photo credit: martinpi.com

About the Author: With 23 years of experience as a writer, Dave Thomas covers a wide
array of financial topics, including finding the right home security system.

Do Employees Get Credit for Being Honest?

by

While it is not a common day occurrence, you also are not entirely surprised when you pick up the newspaper, turn on the television, or go online and hear about an employee who was stealing from their employer. Specifically, using the office credit card for their betterment.

As noted, while the cases may be in the minority, they can still be devastating to a small business, especially one that is having trouble making a go of it or is just getting its feet wet in the business world.

Some examples include:

* The office manager who is in charge of ordering supplies suddenly gets the urge to go on a small shopping spree of her or his own. While ordering stuff for the company, they conveniently order some items for themselves. Before you know it, they have spent hundreds or even thousands of company dollars, leaving a blotch of red ink in the company’s finances;

* The employee who travels often for their company gets a business credit card to book flights, hotels, rental cars, meals and more while conducting business on the road. The next thing you know, they have run up multiple purchases that should have come out of their own wallet.

When such instances occur, employees may be caught immediately by someone else in the company who is keeping an eye on expenses, or they could go for some period of time before their game is discovered. Either way, the potential is there for businesses to not only lose money, but also the trust of customers who view such actions as a lack of overall leadership.

 

Losses to Small Business Add Up

According to a report from the Association of Certified Fraud Examiners (ACFE), it takes on average more than a year for a business owner or co-employee to nab the in-house criminal who is stealing from the company. Meantime, ACFE reports that small businesses (those with less than 100 employees) on average suffer a median setback of $147,000, compared to $100,000 for those businesses with 1,000 or more employees.

Some of the reasons losses at smaller businesses can go unseen for a while include:

* Less oversight because the small business owner is occupied with dozens of other responsibilities to keep his or her business running;
* The person in charge of the office credit card is oftentimes the person who is also doing the office books;
* Fewer employees means less chance of getting caught.

In order to lessen the chances of such crime at your small business, make sure you:

* Check the books yourself or have someone outside the company do it on a regular basis to look for any irregularities in spending;
* Make sure even the smallest of expenditures are accounted for and documented. Whether an employee is buying new ink toner for the office copier or spending a weekend in Las Vegas to meet with new clients, everything needs to be properly recorded;
* Do a thorough check on each employee you hire to make sure they have no criminal past, especially where it involves money (do not just assume that everyone who checks off they have never been convicted of a crime on their application is telling the truth);
* Have a meeting with your employees once or twice a year to inform them of the consequences of such actions, including possible loss of employment and/or jail time (meaning you will press charges).

With all that you potentially have to lose from even one serious incident of credit card abuse in your office, are you willing to take that chance?

Photo credit: insuranceproviders.com

Dave Thomas covers small business topics for various websites, including processing credit cards.

It Pays Off to Find the Right Payroll Outsourcing Firm

by

If you own a small business, you undoubtedly find yourself with not enough time in the day to get everything done. As a result, attention to detail must be focused on the most important tasks at hand in order for your business to run smoothly.

So, where does paying your employees (where applicable) sit on that list of required items at your company?

One way to keep employees happy and giving you their best effort is to make sure they are paid properly and on time. If their payments are miscalculated and/or late, their desire to put in a good day’s work can seriously be impacted.

In order for the busy small business owner to meet this need, that sometimes means going outside their own office and hiring a payroll outsourcing firm, giving the business owner one less important responsibility to handle.

If you find yourself in this position, what are some things that should come into play when you discuss doing payroll in-house or outsourcing it?

Among the areas to focus in on include:

* Provider background – Just as you would spend the time to research any business you work with, extra attention should be given to any payroll providers you consider. Check to see their track record of working with other customers, if they have any history of complaints against them, and if they are financially stable. It is a good idea to get some referrals from other small business owners using such services that you are friendly with;

* Time saved on the job – If you got outside your company with payroll duties, you free up time for the individual or individuals (typically the HR department) who had previously handled this responsibility. When that is the case, that person or persons can then assist you with other duties. It also removes the pressure from such individuals for properly calculating pay, taxes to be withdrawn, and any benefit issues that can typically arise with payroll, including deductions towards health insurance and 401k plans;

* Taxes do matter – Especially in cases where you are outsourcing payroll, make sure you deal with a company that gets it when it comes to taxes. It is not at all uncommon for small businesses to get a letter in the mail from the IRS, specifically stating that they did not calculate their taxes correctly when doing payroll. When that happens, the company is subject to a potential financial penalty. You will also want them to handle preparing W-2s and 1099s at year’s end. Finally, make sure the payroll provider is bonded, meaning your small business has protection from liability when finances are incorrectly reported;

* Employee security – If you turn to payroll outsourcing, make sure they can promise security for you, specifically involving employee data. Information such as how much the worker is being paid, their Social Security number, home address etc. need to remain confidential. If you are transmitting the information via fax machines or even a computer software program, it is important to confirm that the data will be properly protected;

* Up to date with benefits – You not only want a payroll provider who can properly and efficiently handle payroll and taxes, but one that is also up to speed with requirements regarding things like health benefits and 401k plans. Some or many of your employees may be eligible to participate in both, so it is important that the correct amount of money is deducted each pay period for such items;

* Terms of contract – Lastly, make sure you have in writing exactly how much it will cost for the payroll provider to handle your needs. Will you have a one-year contract with them or a longer-term one? When trying out a new provider, it is wise to go with a shorter term deal so you have the ability to see what you do and do not like about their services.

As you head into the New Year, consider working with a payroll provider if you find doing payroll in-house is getting to be too taxing.

If it is, it pays to take the time and find the right payroll provider the first time around.

Photo credit: smallbusinessbranding.com

Dave Thomas covers small business topics for various websites.

Time to Keep Better Track of Your Employees?

by

While many employees are either off to begin with or ducking out early on this Thanksgiving Eve, how many do you suspect are being truthful about the hours they worked this day?

For many small business owners, it can be a challenge to properly document how many hours their workers are in fact putting in. Even though many companies employ a 40-hour work week, not all employees abide by this rule.

According to a Salary.com survey, surfing the Internet has over recent years become one of the major reasons not all work gets done on time.

The survey noted that more than 60 percent of workers end up on non-work related websites on a daily basis while “working” at their jobs. Within that percentage, nearly 40 percent spend one hour or less per week, 29 percent devote two hours per week, 21 percent waste five hours of their employer’s time per week, while just three percent claim to waste 10 hours or more.

Yes, in some workplaces across the country, employers go above and beyond what would be deemed the normal office environment, that is monitoring the hours worked, time spent for lunch, and how many breaks workers are taking. Some even block a number of Internet sites or the Web altogether.

Others, however, feel the need to implement some type of system that will easily and properly record the time each employee puts in on a daily basis.

Should you find yourself to be one of those small businesses in need of employee time tracking, consider the following:

1. Take the time to find the right system – First and foremost, you don’t want to waste money on the wrong system. Some systems can be harder to implement and record, so make sure the system you desire is understandable, effective, and worth your time. If you or your employees are spending excessive time during the week trying to figure it out, are you truly saving time in the long run? In most cases, the answer is no;

2. Follow the leader – If you want your employees to play by the rules, don’t you think you should too? Even if you own the company or are a higher-up executive, keep in mind that the company is made up of team members and not individuals. Set a good example for your employees by putting in a responsible amount of hours yourself during the week. Most employees respect authority and will follow suit if they see their managers and others higher up the work food chain setting a good example for others to follow;

3. Treat all employees fairly – Nothing can harm an office more than if it is perceived that some employees are getting special treatment when it comes to recording their time spent working. While there are always going to be special circumstances for medical appointments, emergencies and such, treat all employees the same when it comes to recording their hours worked. If some employees feel management is looking the other way in some cases with recording employee hours, it can quickly turn into a major issue in the workplace;

4. Set the rules – In some companies, overtime work is going to be required in order to meet customer needs. In those cases, make sure when hiring workers that they know if they are working from a set salary or are paid hourly. In some cases, workers will try and bill for extra hours that they worked legitimately, yet others will try and stretch the truth. That being said, it is also important that employees record their lunch breaks, etc. so that they are meeting the requirements as set by the law. Under reporting hours can be as much of if not more of a problem than reporting too many hours worked;

5. Review over time – Finally, it is important to review your employee time tracking software, how it is implemented, and what works and does not work from time to time. The needs of your company will change over time, hence how you record employee time spent doing a job will too. Whether you track employee time by when they sign in on their computers, when they enter the office or by some others means, don’t just assume it is automatically working. If your current tracking operations are not working, take the time to fix the problem and see better results in no time.

Photo credit: smallbiztrends.com

About the author: With 23 years of experience as a writer, Dave Thomas covers a wide array of topics to help your small business succeed.