Broadspring Consulting

Weekly Round Up January 16 2017

Staff Costs Are Higher Than You Think

Most business owners know that around 40-50% of their total costs relate to employees. There are wages, insurances, payroll tax (once you hit the threshold), provision for entitlements etc.

This article from AHRI highlights four other areas where staff are costing you money – because time is money and time not working during business hours costs you money.
A client recently has also had experiences of staff not following process that has cost the business in terms of lost income and resources to audit what actually has happened.
This article emphasises the costs yet it misses a very good point: what benefit is there of those breaks? Do short breaks allow brains to refresh and refocus?
If you are concerned about breaks then please focus on whether the required work is being done. As long as productivity is high, then you have little to worry about.
What should you do?
1. Clarify what is expected and monitor delivery of those levels and quality of work
2. Avoid getting hung up on breaks. As long as work is done and productivity is high, then as they say “the job’s done”
3. Tune in to frequency and length of breaks. Workers starting to take longer breaks may be telling you something else is going on

Office Layout And Fit Out Is Important

A recent article in My Business seems to be recommending that you spend money and refit your premises, especially if you are having difficulty attracting and/or retaining good staff.
If you are having those issues, your office layout would not be the place I’d recommend you review first!
Some good points are made in the article although my key recommendations would be:
1. Define and understand how you want your staff to work together. If there is need for collaboration and group work then an open plan with “activity space” may be best.
However if you employ staff to do intellectual and quiet work then allowing for privacy may be what is needed. Fit out for the nature of the work that is done
2. Understand the work styles and communication styes and preferences of your staff. Some people find it very distracting being in an open plan office and the result is that the quality and amount of work that they get done drops.
3.Consider OHS issues including accessibility. Many companies have an aging work force who may be starting to show signs of age related mobility issues and your workplace needs to be able to accommodate those changes.

Recruitment is being led by the candidate

This article from Aberdeen Essentials raises some great points about the changing nature of recruitment.
No longer is it ok for you to place an ad in the paper on the weekend and wait for candidates to come to you.
Social media is heavily used and successful companies are connecting with prospective employees before they are active in the market.
Take note – this is why the previous two elements of this blog are important because your employees will be looking elsewhere if they aren’t happy.
What should you take away from the Aberdeen Essentials article?
1. Recruitment has changed and continues to change so you need to update and adapt your recruitment practices
2. Finding talent to come into your business is like any good business strategy and needs to be planned
The world of work is changing and becoming more evenly balanced between employees and employers.
It is vital that you are clear on what you need and want.
Leaders need to be having clear conversations with staff.
Employers and employees need to be aware of their responsibilities as well as their rights.