Finding candidates with the right temperament, skills and passion for your business isn’t easy, and compensation constraints can sometimes preclude the most talented applicants. However, you can save money over the long run by finding the right fit for your office. There are specific monetary and qualitative benefits by opting to pay more for qualified employees.
Faster Production Cycle Times
Qualified candidates by definition know what they’re doing, which can increase your productive capacity without expanding your workforce. There are all kinds of monetary benefits associated with the fast and efficient cycle times qualified workers can deliver. You can reduce operating expenses and increase customer satisfaction, which can lead to repeat customers and higher sales. Effective employees can deliver on your value proposition to clients, which in turn can make your company more viable in the market. You will save on all aspects of production and reap the benefits of better service.
Lower Waste & Rework
Rework, defects, scrap and other forms of waste are a direct result of poor process design and under-qualified workers. There are costs associated with these forms of waste, and there is a quantifiable benefit by reducing them. While process design is an important part of waste reduction, the utilization of qualified employees is critical as well. It makes sense to pay higher wages to employees that will provide a return on the investment, in the form of higher quality products and lower deficiency rates. Increases in customer satisfaction are hard to quantify over the long term but are highly beneficial.
Less Onboarding & Training
The process of onboarding new employees into an organization is one that can be costly, given the human resources personnel, background screening and training needed to bring a candidate up-to-speed. When a qualified employee enters an organization, they tend to stay for longer periods of time, if they’re being treated with respect and they like the work environment. All of the time savings and reduction in onboarding activities can translate into cost-savings for you and your organization.
There are lots of employees looking for work, but not everyone has the skills or passion to help your organization reach its objectives. When you pay more for qualified candidates, you’re reducing employee turnover and the resources needed to train new employees. For additional information on managing employees and hiring the right candidates, please contact us.
For more great tips on how to keep your customers happy, contact us.
Get off the Wheel Systems and Procedures for Greater Profits & Reduced Stress
By: Diane Gardner
This Book is for you IF…
You are an accountant, bookkeeper, or tax preparer with employees and one of the following describes you: