Staffing A Championship Team
Ron Roberts
Do you struggle finding good workers?
Your staffing strategy may be the problem.
Whether you realize it or not, you have only two
viable options for building your team:
(1) Hire been-there-done-that skilled veterans, or
(2) Hire and/or promote potentially-talented,
yet-unproven rookies.
The two strategies are mutually exclusive. Either
strategy will work well IF you are willing and able
to meet the conditions necessary for its success.
Most small contractors aren't.
Most want to have their cake and eat it too. They
want to combine the best features of both strategies.
That's being unrealistic.
Diane Stafford of the Kansas City Star recently wrote
that business owners often complain to her that they
can't find good help. Ms. Stafford pointed out that
the real problem is that these owners can't find good
help for what they're willing to pay!
That's what I mean by trying to have your cake and
eat it too.
We would all love to staff our teams with proven
veterans who would happily work for rookie pay.
But that's being totally unrealistic. Being
unrealistic is no way to run a business.
You will never be able find enough low priced,
proven candidates to fully staff and grow your
company. You can often find one or two, but
never enough to keep you company fully staffed.
So stop trying that failed strategy.
The truth of the matter is, experienced people often
have an inflated opinion of their worth. Not only
will you not get them cheap, you will probably have
to over-pay.
Don't professional baseball and football free agents
ALWAYS receive far more money than they're worth?
The same applies with proven construction workers.
Nine times out of ten, you will have to offer them at
least a 10% raise to get them to switch to your team.
If you want to hire veterans, you better be prepared
to pay them well.
You also better be in position to rapidly grow your
sales and margins. You will need that extra income to
cover the cost of the veteran.
Veterans are expensive...rookies are time consuming.
Be prepared to spend a lot of time holding a rookie's
hands. Rookies ALWAYS must be taught how to perform
the job successfully.
If you are the type of person how enjoys developing
others, and will take the time to do it, hire
aggressive, yet unproven rookies. Dozens are looking
for opportunities to develop new skills, take on more
responsibility, and earn more money.
In the end the right strategy for you is pretty simple.
To hire veterans, you need money. To hire rookies, you
need time. Whichever you have the most of is the path
to follow.
While we're on the subject of staffing, I would like
to pass along advice from Mr. Dee Hock, builder of the
VISA bankcard system. Look him up on the web. His
advice is always worth listening to.
Mr. Hock tells business owners to hire and promote on
the following set of characteristics, in the order
presented.
- The most important characteristic is integrity.
- The second most important is motivation.
- The third most important is capacity.
- The fourth most important is understanding.
- The fifth most important is knowledge.
- The least important is experience.
According to Mr. Hock, here's why you should adhere to
that order.
- Without integrity, motivation is dangerous
- Without motivation, capacity is impotent.
- Without capacity, understanding is limited.
- Without understanding, knowledge is meaningless.
- Without knowledge, experience is blind.
Experience is easy to provide and quickly put to good
use by people with all of the other qualities.
Now, get back to work and go make some money!
Thank You - for stopping by.
May your construction business bring you everything you dream of.
Your friends and champions,
Ron Roberts and Guy Gruenberg,
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