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Small Business Guide to Effective Team Management

Gain the skills you need to run a successful small business. University of West Alabama’s Small Business Guide to Effective Team Management is a free resource with tips on how to make great hires and foster a company culture that flourishes. Effective team management is one of the most important skills an employer can learn.

Access the Guide

Hiring Practices That Fuel Success

In all businesses, especially a small business, ongoing training is essential to employee retention. From budget constraints to limited resources, finding talented workers is like finding a needle in a haystack. But with a strategic hiring method in place, it becomes much easier to recruit and retain employees who fuel business success.

New Hire Statistics (1)

  • A standard onboarding process leads to 50 percent better new hire retention.
  • Sixty percent of businesses don’t set goals for their new hires.
  • Twenty- two percent of businesses don’t have a formal onboarding process.
  • Manager satisfaction is increased by 20 percent when the business has a formal onboarding process.
  • Average cost of turnover is around 20 percent of the employee’s salary.
  • Sixty-nine percent of workers are likely to stick with a company on a long-term basis when they have a good onboarding experience.
  • Up to 20 percent of workers choose to work for a different company within the first 45 days of being hired.

Define Your Mission

You must define your company’s mission before hiring new employees. (2)

  • What is your company’s purpose?
  • Who do you offer your services to?
  • The easiest way to define your mission is to create a mission statement.
  • Continue refining the statement until it’s clear, concise and envelops who you are and what you do.
  • Mission statement should have an inspirational element.

“To deliver quality software services that boost productivity and minimize waste in the workspace.”

Create a Thorough Job Description

Why do you need to hire a new employee? Your answer to this question will be the job description,  which needs to be as detailed as possible. Even if it’s several paragraphs long, that’ okay.

  • Use strategic planning to write an employee job description.
  • Description should support organizational goals and clearly outline expected skill set.
  • Highlight performance expectations and list ways the employee can achieve positive performance appraisal.

Develop a Hiring Schedule

Small business owners are busy. If you don’t have a hiring manager, you must coordinate your schedule to fill your open position. Developing a hiring schedule is an effective way to align your current business obligations with the extensive process of hiring a new worker.

  • A mind-boggling $37 billion is spent in the U.K. and U.S. on unproductive, unqualified employees who need better training to understand their jobs. (3)
  • Hiring schedules should include time set aside to recruit, advertise the position, interview and onboard.
  • Do your best to stick to your hiring schedule.
  • Don’t hire just any employee to meet hiring deadlines. Continue searching until you find the best hire.

Networking Is Essential to Hiring New Workers

  • Open positions garner an average of more than 250 applicants! (4) Small business owners rarely have time to shuffle through that many applications.
  • Your recruiting efforts should be targeted the same as your marketing campaigns.
  • Tap into your professional and social networks to find qualified candidates.
  • Consider promoting internally, which will reduce hiring costs and ensure you fill the open position with someone who already has extensive knowledge of your product.

Measure Passion and Focus on Company Culture

  • Did the candidate perform pre-interview research?
  • Does the candidate exhibit passion for your industry?
  • Will the candidate fit in with your company’s culture?
  • Does the candidate share your company’s values?
  • Does the candidate showcase ethical endeavors?

Hire Contract Workers

One of the best ways to determine which applicant is the best fit is to hire on a contract basis. You can employ multiple candidates on a contract basis to see which one truly complements your company’s goals, missions and values. Provide short-term assignments to see which candidates are the best fit.

Be Good to Your Employees (5)

The best way to hire and retain quality workers is to be good to them. Don’t throw a new hire into a new position without training.

  • It takes approximately eight months for new workers to reach their full productivity potential.
  • Be involved in the onboarding and training process.
  • Longer onboarding processes lead to 34 percent more proficiency for a new hire.

Ongoing training is essential to employee retention. The more invested you are in your workers, the more invested they will be in your company. But you can’t expect them to reach their full potential unless you have. Earn an online BBA degree to start creating a strategic hiring process that fuels business success.


  1. http://blog.clickboarding.com
  2. https://www.entrepreneur.com
  3. http://blog.clickboarding.com
  4. https://www.wework.com
  5. http://blog.clickboarding.com