We write often about the dreaded bad hire. A bad hire takes time, money and resources most companies just don’t have. What if I told you a good or even great hire could do the same thing? I’m crazy right, but before you knock my theory think about promotions. Has that perfect hire ever turned out to be a great employee but an awful leader? It happens more than you think, not everyone is suited to lead. Choosing the next office manager may seem like a simple task, but if done without careful thought and consideration, the wrong choice could cost you as much as that bad hire.
How is it costing you?
1. Your Employees
Gallup recently did a study of organizations, measuring everything from employee engagement to performance. The results reflected poorly on today’s leadership showing that only 30 percent of employees feel engaged at work. When there is no engagement, organizations see higher turnover rates, less productivity and lower quality. In the end, the wrong choice could end up costing your top talent.
2. Your Profits
The study revealed that performance greatly varied depending on the manager. With a good manager you see higher performance but with a bad manager you see a decrease. The leadership sets the tone of the business, runs the culture and determines the productivity level. A good manager needs to motivate and engage employees, so that they can be passionate about what they are doing. If that isn’t happening it means your profits are suffering.
3. Your Time
You promote someone and then a month down the road you see they aren’t what you expected. Now you must put time and energy into training and developing that employee into what you want them to be. Spending resources on development is a good thing but you must have bigger plans for the employee. If you aren’t happy with their performance as a manager you probably are not going to promote them again. Meaning that you could have spent your time on someone you would like to develop rather than someone you had to develop.
Qualities of a Great Manager
The same Gallup study estimates that out of a group of 10, one person will make a great leader. The traits necessary to lead come naturally to this person. They will automatically be able engage employees, cultivate top talent and maintain a great company culture.
A great manager:
- Builds trust
- Engages employees
- Takes responsibility
Promoting the Right Employee
Promoting the right person is easy it just takes some time. Remember those who seem like a good choice may not be and those who don’t speak up may be just who you are looking for. As Albus Dumbledore said “It is a curious thing, but perhaps those who are best suited to power are those who have never sought it.” You have to take all things into consideration.
Quick tips on how to choose the right person for the job:
- Check references & credentials: When considering someone for a new position it is ok to go back and look at their past leadership experience (inform them and gain consent first).
- Test your employees: Give them a task that shows their abilities.
- Play fair: Don’t go straight for the obvious choice give everyone a fair chance, someone may surprise you.
- Take your time: The best thing you can do in this situation is take your time, observe your employees – find all their strengths and pick the one who best exemplifies leadership.
Hiring, firing and promoting – all of these things should be done with careful consideration. One wrong move could cost you big time. For more on company culture, employment and background screening advice please subscribe to our ActiveCare blog, where we have the latest industry news and trends. We would love to hear your best advice about promoting within, please feel free to share with us in the comments below.