Employees are Assets
I’m writing this article because I have worked at various big, mid-range, and start-up companies.
From my experience, the performance of these companies is very much dependent on how they treat their staff. In the highly competitive corporate world, a company’s success is not solely dependent on business strategies and product innovation.
One of the most crucial components that are often overlooked is the employees. Viewing employees as assets, not liabilities, is key to the long-term success and sustainability of an organization.
Why Employees are Assets
1. Expertise and Experience:
Employees bring a wide range of skills and knowledge acquired through their work experience and education. This expertise is invaluable in solving problems and generating new ideas.
2. Productivity and Innovation: Satisfied and motivated employees are more productive and likely to produce innovative ideas. They are the driving force behind a company’s achievements.
3. Loyalty and Commitment: Employees who feel valued and well-treated tend to show high levels of loyalty and commitment to the company. This reduces employee turnover and the cost of training new hires.
4. Customer Relations: Employees who interact with customers play a crucial role in shaping the company’s image and reputation. Good employees can enhance customer satisfaction and build long-term relationships.
Attitudes of Some Founders and Some Business Owners towards Employees
Unfortunately, some founders and business owners still have the mentality that they “own” their employees. This attitude can damage employee morale and negatively affect company performance.
Instead, they should understand that employees are partners in achieving business goals.
Management Theories Supporting Employees as Assets
1. Human Relations Theory:
This theory, developed by Elton Mayo, emphasizes the importance of social factors in the workplace. It suggests that employees are motivated not just by financial rewards but by social needs and job satisfaction.
When employees feel valued and part of a team, their productivity and morale increase.
2. Maslow’s Hierarchy of Needs:
Abraham Maslow’s theory posits that individuals have five levels of needs: physiological, safety, love/belonging, esteem, and self-actualization.
Employers who recognize and address these needs will see more motivated and productive employees.
3. Herzberg’s Two-Factor Theory:
Frederick Herzberg’s theory differentiates between hygiene factors (which can cause dissatisfaction if missing but do not motivate if increased) and motivators (which truly drive employees to perform better).
Providing growth opportunities, recognition, and responsibility can significantly enhance employee satisfaction and productivity.
4. Theory X and Theory Y:
Douglas McGregor’s theories suggest two different views of employees. Theory X assumes employees are inherently lazy and need control, while Theory Y assumes employees are self-motivated and thrive on responsibility.
Embracing Theory Y can lead to a more motivated and engaged workforce.
Quotes on the Importance of Employees
Richard Branson: “Clients do not come first. Employees come first. If you take care of your employees, they will take care of the clients.”
Walt Disney: “You can dream, create, design, and build the most wonderful place in the world. But it requires people to make the dream a reality.”
Simon Sinek: “When people are financially invested, they want a return. When people are emotionally invested, they want to contribute.”
Steps to Value Employees as Assets
1. Recognition:
Appreciate the efforts and achievements of employees by giving appropriate recognition. This can be in the form of praise, rewards, or official acknowledgment.
2. Skill Development:
Provide opportunities for employees to enhance their skills through training and professional courses. This not only increases productivity but also makes employees feel valued.
3. Open Communication:
Establish open and transparent communication channels between management and employees. Listen to their views and suggestions and involve them in the decision-making process.
4. Positive Work Environment:
Create a conducive and pleasant work environment. Ensure the workplace is safe, comfortable, and free from discrimination.
5. Work-Life Balance:
Offer flexibility in work schedules and ensure employees have a balance between work and personal life.
How To Address Incompatibility
There are situations where employees are not compatible with the company, or vice versa.
In such cases, it is important to handle the issue with tact and professionalism.
1. Regular Performance Reviews:
Conduct regular performance reviews to identify any issues that may arise and address them promptly.
2. Open Discussions:
Hold open discussions with the involved employees to understand the root cause of incompatibility and find the best solution.
3. Transfer Options:
If the incompatibility issue cannot be resolved, consider transferring the employee to a department or role that better suits them.
4. Professional Separation:
If necessary, part ways with the employee professionally and respectfully. Provide them with the support needed to find new employment.
Conclusion
Valuing employees as assets is a crucial step in achieving long-term business success. By adopting an approach that respects employees and acknowledges their contributions, companies can build strong and dedicated teams.
This not only enhances productivity but also fosters a positive work environment and supports organizational growth.
Whether in a big corporation, a mid-sized company, or a start-up, the way employees are treated is a critical factor in determining overall performance and success.
