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Guidance

Managing employees in a small business

Managing employees in a small business

Behind every successful business is often a team of extraordinary employees. Managing your staff effectively can help your business reach its full potential.

Your team of employees are key to your business’ success. As a small-business owner you may sometimes feel you don’t have the time, budget and resources to manage your team in the most effective way, but there are some small steps you can take to help your team achieve personal and business goals. 

1. Hire the right people

Choosing the right people to join your business can create a good team culture and boost staff performance. Consider the following when making your next hire:

  • Is this person passionate and do they share your vision for the business?
  • Does this person have the right skills for the job?
  • Have you completed thorough reference checks? You can also check out potential employees on LinkedIn, Facebook and Twitter. 

2. Prioritise training

Training staff is a good investment in their personal development and can contribute to increased performance in your business.  If external courses and workshops are too expensive, training can be done on a budget by:

  • Arranging monthly lunch sessions where you share your knowledge on a particular topic
  • Asking employees to train others – an employee who has strong skills in a certain area can share their hints and tips with new employees.

3. Be clear and open with communication

Clearly communicating your expectations of employees’ responsibilities can help your team make decisions and collectively work towards business goals. Your team can focus on their tasks, knowing exactly what is needed. 

Ask for open communication between yourself and your team. You could receive valuable ideas on how to improve your business and where possible involve your staff in the decision making process and give them ownership of tasks.

4. Support your staff

Motivated and healthy employees are typically more engaged and productive. To create this type of culture in the workplace you could meet with employees individually to discuss how to achieve their own personal goals. It's also good to recognise high performing employees and reward them.  

To help with health and wellbeing you could organise a run club, provide fruit at work or hold work events in active places. This can help build a good relationship between you and your employee as well as foster a good team spirit.

5. Offer rewards where possible

Rewarding staff doesn’t always have to be about increased remuneration. You could also consider:

  • Flexible working hours
  • Public acknowledgement 
  • Casual dress days.

6. Take care of your employees’ financial contributions 

As an employer you need to ensure you are meeting your employee’s tax and super obligations. See more at the Australian Taxation Office website.

This article is intended to provide general information of an educational nature only. It does not have regard to the financial situation or needs of any reader and must not be relied upon as financial product advice. You should consider seeking independent financial advice before making any decision based on this information. 1 Benefits of training your staff, Work Ready, Government of South Australia. 2 Benefits to business: The evidence for investing in worker health and wellbeing, ComCare, Australian Government.