24 Nov 5 Ways Entrepreneurs Can Improve Employee Relations

Too many entrepreneurs downplay the importance of their team’s morale and overall happiness. They forget that every employee of a growing company should have a plaque labeled “frenzied” on their desk. How do they feel about their job? Does it matter? It matters, especially if you are leading correctly and macromanaging, letting your team mostly do their thing. If they are happy and motivated, they will do their job better. Here are 5 suggestions for a leader of a cash-strapped company to strengthen the morale of the team.

1. Listen. Spend some time each month talking to your people to hear about their suggestions for improvement and ways they can be motivated. Even if you don’t always agree with their ideas, it’s valuable if they feel they are receiving a fair hearing.

2. Motivate. Consider equity participation for key employees (ie those you would much rather not lose, at any level), if you believe that will impact on their determination to perform. Others might prefer cash bonuses dependent on the success of the business. Make sure to match the incentive to the employee.

3. Give Loyalty to Get Loyalty. Free snacks, massage Mondays, jeans on Fridays, cakes on birthdays, unique holiday gatherings, all these things matter more than you realize to your harried team. Care about important events in their lives. One friend quit his job when his boss wouldn’t let him attend the funeral of a longtime close friend.

4. Roll Up Your Sleeves. Make sure the team knows what’s probably true, that there is no job too small for you to handle. If they see you at the copy machine, or getting your own coffee, taking a sales call now and then or pitching in on a project when the team is overwhelmed, you can help strengthen employee morale.

5. Lead. Make time on a regular basis to talk your people about your strategy, short and long term goals, and expectations from all your constituencies including your employees. It’s important that they understand the context around everything they are doing, and they will do their job better.