“Not everything that counts can be counted, and not everything that can be counted, counts.”
My friend Evan McGoff recently talked about this. Where are your employees on a balance sheet? They aren’t there – as if they don’t count. They are valued as 0. But the reality is that your employees are the most valuable thing.
The better quality people you hire, the more valuable they are. The more they are trained, the more valuable they get because they are more productive and make less mistakes. The longer they stay, the more experienced they get and the more valuable they are.
This is why new companies, or companies that grew fast and hired quickly, have issues with their quality and culture compared to teams that have been together for a long time and get to know each other’s strengths and learn to work well together.
Trucks and equipment on the balance sheet go down in value. But your number one asset – people, should be going up in value.
How do you see it?
I didn’t see it Larry ! But since the SOE class started I really see it now. Now I understand the word ” Team and Culture”. Thank you!
I totally agree that people should be going up in value.
I also believe that a great way to show the employee they they count on your balance sheet is not only thru Happy notes but also a yearly or maybe 2 year review of their performance both good and bad. that review should also include of the salary.
some employees such as the receptionist tend to slip thru the cracks.
Of course this makes sense! At our core, we want to lead a fulfilling life therefore it makes sense that we want fulfilling work. That’s no different for the people that have chosen us to care for them every single day. Leadership is an awesome responsibility! We are responsible for the lives with which we are entrusted. When we begin to take that responsibility as we should, our people will feel appreciated and valued, and that leads to deeper engagement. That’s how we can all be successful. AND we don’t need surveys or reviews to tell us if we are doing our job. You inherently know how fulfilled your people feel but if you are not sure, ask them today. Thanks Larry! Business can be more than bottom line results.
Larry,
This is so true. If you have time, read “Putting the Service Profit Chain to Work”. It’s an HBR reprint and provides metrics to everything you say in this article. I have built an entire course around it. It connects the dots between internal service quality and customer loyalty and profits. It’s an MBA in 25 pages. Worth your time.
Sincerely,
Professor Dawn Fotopulos
Award-winning Author; Accounting for the Numberphobic
Your #1 Fan
Good morning Larry,
I love the photo! 🙂
Hope you have a great day!