People Aren't Leaving Your Company; They're Leaving You

People don’t leave companies. They leave leaders! by Greg Savage

What He Says: When consulting leaders and managers, Greg Savage has noticed a tendency for them to say that employees who quit their companies are stupid, lack gratitude, and are "good riddance." His observation is that "A ‘company’ is just a legal entity. A ‘business’ is a collection of desks and computers. No one resigns because of that."

Instead, employees leave because their leaders and managers - individually and collectively, have let them down.

What This Means to You: Entrepreneurs are especially reliant up their employees. In any small business, you have a fairly shallow pool of human resources, and you typically need each person. If you notice a significant number of good people are leaving, then it's time to consider whether you are giving them what they need to be happy and successful working for you. 

Employees need care and attention. They need YOUR care and attention. From the first day they start, and every day following, you are responsible for their productivity and longevity at your company. Here are the three essentials of good employee management:

1. Have a clear job description when you hire an employee that outlines job responsibilities and expectations.

2. Conduct regular meetings (at least once per quarter) with every key employee to review their job description compared to what they are actually doing, and make necessary adjustments.

3. Monitor their productivity and attitude. When you see something you don't like, address it immediately and directly. Don't go on a fishing trip - be specific and to-the-point. Say something like "Jim, you have been doing a great job taking care of our customers, but for the past few days you have come into work late. Is there something I need to know?"

Virginia Ginsburg is founder and chief consultant at Swell Strategies. She is passionate about supporting small business owners and entrepreneurs in starting and running successful enterprises. An avid reader, in this blog she reviews books and articles and relates specific learning points back to entrepreneurial businesses.