1.
Hire the right people
Hiring the right people is key to any organization's success. Someone with the
wrong skill set or values can lead to wasted time and effort that could have been
avoided.
But how do you know if someone has what it takes? How do you hire a manager vs a
typical employee? These are all questions you'll need answers to before you start
looking at candidates
hire the right people graphic
You want to hire someone with the skill set and values to compliment your team.
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The best way to hire the right person is through an interview process that includes
non-technical questions about their experience, values, and goals and technical
questions related to the role or your company. I've also found success by including
other team members in the interview process.
Here's a tip to remember: Hire slow, fire fast. If you hire the wrong person, work
to remove them swiftly so you can move on with your hiring plan and find the right
person to support your team and organization's goals.
2. Set clear expectations
Setting clear expectations for employees is one of the most important things a
manager can do for their team members. You’re telling your employees what you
expect of them and what they can expect from you.
So how can you set clear expectations for your employees?
clear expectation graphic
Providing clear expectations up front can help you to avoid future disconnect or
problems.
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The best way to do this is by providing a job description or role clarification
document which outlines the specific tasks and duties of the role, as well as the
goals and objectives of the position. This document should be updated regularly as
the employee's responsibilities change.
Another way to set clear expectations is through regular one-on-one meetings with
employees to discuss their performance. Remember, you want to help them see the
value and impact of their actions and guide them towards achieving the goals of the
team and their personal goals.
3. Give feedback regularly
Giving feedback regularly is key to maintaining open communication and minimizing
misalignment and surprises.
By giving feedback, you're telling your team members what they're doing well and
where they need to improve. This helps to ensure that your employees are constantly
growing and developing their skillset.
give feedback graphic
Giving feedback (good and bad) is important for people managers, as is receiving
feedback!
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When giving feedback, I practice Radical Candor. Praise your employees publicly and
challenge them privately. Use your emotional intelligence skills to guide how you
give feedback, and also be open to accepting feedback about the way you give
feedback!
Why is it so important that you do this regularly? Well, it's incredibly important
that you not save up negative feedback for an employee's official performance
review. Regular check-ins ensure you can correct problems faster and reduce the
stress and fear of larger conversations.
4. Provide training and development opportunities
You want to feel like you’re continually learning and growing professionally,
right?
This is why it’s so important for managers to provide development and training
opportunities for their employees in alignment with individual career goals. By
providing these opportunities, you’re telling your employees that you value their
growth and are invested in their future.
training & development graphic
The right training and development can help your employees reach their career
goals.
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Have someone who wants management development and aspires to be a people leader?
Support it.
For you to grow and move on and grow you will need more leaders to guide your
teams, so always encourage those that want to learn to manage others and build
their leadership skills.
The best way you can provide development and training opportunities for your team
members is by offering a variety of learning options, such as online courses,
books, podcasts dedicated to leadership and management, or workshops that align
with their interests and career aspirations. You can also offer shadowing or job
rotations so employees can learn about other areas of the business.
5. Address poor performance promptly
When it comes to managing underperforming employees or addressing poor performance,
timing is everything. As I mentioned earlier, do not hesitate or delay talking with
employees about their poor performance.
By the time you as the manager have found out about it, others are certainly
impacted and, in the worst cases, individual employee well-being is threatened. The
longer you wait, the more potential for it to get worse.
address poor performance graphic
Addressing poor performance promptly is important, but deliver it privately so as
not to embarrass the employee.
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Some common signs of poor employee performance include employees not meeting
deadlines or producing low-quality work, exhibiting disruptive or hostile behavior,
or showing a lack of engagement or motivation. Sometimes this is a sign an employee
is about to quit, but not always.
In some cases, high-performing employees that work with low-performing employees
will notice performance issues and complain. Talk with the potentially low-
performing employee and seek their perspective on how things are going and what
challenges the team is facing in achieving their goals. In some cases, self-
awareness may just be the issue.
What can you do when feedback and addressing the issue promptly isn't working?
When you confirm that an employee is not meeting performance standards, start
documenting the issues promptly and include details, timestamps, and impacts.
Capturing detail about the situations, your interventions, feedback provided,
reactions, and agreed next steps will be very helpful if issues persist or progress
to a point of termination.
6. Encourage creativity and innovation; embrace failure
"You have to trust the passion and the drive and the creativity of an individual
who really wants to run with an idea. Trust is what we need to be successful in our
jobs and the relationship we need to have with our managers." - John Carter,
inventor of the Bose noise-canceling headphones
Encouraging creativity and innovation in the workplace is a key driver of growth,
employee engagement, and retention. Creative and innovative employees are more
engaged and motivated and are more likely to come up with new ideas and solutions
to problems.
encourage creativity graphic
Creativity and innovation can lead to growth, employee engagement, and retention.
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But part of creativity, innovation, and growth is failure. In innovative
organizations, failure should be seen as a learning opportunity. It's important to
create an environment where it is okay to fail, and you as a manager can do this by
helping employees learn from the experience.
To help with identifying what went wrong, start by asking questions such as "What
were you trying to achieve?", "What were the key challenges you faced?", and "What
will you change or adjust for your next attempt?" These questions are future-
focused and will help your employees learn.
7. Actively listen to your people, teams, and organization
Active listening is a communication technique and soft skill that involves paying
close attention to the person who is speaking, not interrupting them, making eye
contact, and taking notes if necessary.
Yes, this is an interpersonal skill that managers need to have as it is essential
to creating a company culture where employees feel a sense of support and
empowerment.
active listener graphic
Active listening is essential for employees to feel heard, respected, and
supported.
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The purpose of active listening is to ensure that the speaker feels heard and
understood. This is helpful for both new and experienced managers, as the different
levels of listening help them gain a deeper understanding of their employees'
thoughts and feelings. In turn, managers can better support their employees and
help them to achieve their goals.
Active listening also helps to build trust between the manager and the employee, as
it shows that you value the person who is speaking.
When employees feel heard and understood, it creates a more positive work
environment, and impacts employee engagement, retention, and productivity. It's
also a very useful skill to help with times of conflict.
8. Celebrate successes
When people feel that their hard work is recognized and appreciated it will leave
them feeling more engaged and motivated, which will result in them being more
productive and contributing more to the organization.
A successful people management strategy includes celebrating successes with
employees and thanking them for their hard work. Ring the bell!
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Celebrate your employees achievements to motivate them to do even more.
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Celebrate your employees by sharing the news of their success with others and
congratulating them publicly. You can do this in person, on virtual collaboration
platforms, and even on LinkedIn!
People love to hear about the successes of the company and their fellow co-workers.
It makes them feel like they are a part of something bigger and that their work is
valuable.
Related Read: 30 Creative Employee Recognition And Appreciation Ideas
Bonus: navigating remote work
After almost two years of managing direct reports through a webcam and headset, I
have found unique ways to build connectedness across the team, facilitate decision-
making, build new skills, and continue to deliver results.
Here is my checklist for being a great manager and manage global teams:
Get to know your people. Learn about their lives, their competencies, goals, and
what they like to do outside of work. This will help build empathy and
connectedness.
Connect casually and frequently. Consistently schedule time to meet with your
people. 25 mins every week or two is best for most cases. Your employees should
guide this time as it should be focused on their performance growth and
development.
Adapt your leadership style per employee and for the context. You may need to spend
more time with some members of your team than others depending on their development
and needs. Spend time where needed and manage remote employees to their needs, not
yours.
Encourage professional development. Just because people are working from home
doesn’t mean they should stop learning. Learning can help break the feeling of
“meh” and move us towards new competencies, skills, and interests.
Build connections and encourage teamwork. It can be difficult for people to meet
others and build real relationships from home when trying to “complete
initiatives”. Consider what your teams can do for fun, from home! Jackbox games are
a huge hit with my team.
Lastly, lead with empathy, always. At many companies, people-first is a core value.
I take this to mean my role as a leader is to be empathic.fakeit12Business Plan:
What It Is, What's Included, and How to Write One
By Adam Hayes Updated June 27, 2024
Reviewed by Khadija Khartit
Fact checked by Vikki Velasquez
Part of the Series
How to Start a Business: A Comprehensive Guide and Essential Steps
What Is a Business Plan?
A business plan is a document that outlines a company's goals and the strategies to
achieve them. It's valuable for both startups and established companies. For
startups, a well-crafted business plan is crucial for attracting potential lenders
and investors. Established businesses use business plans to stay on track and
aligned with their growth objectives. This article will explain the key components
of an effective business plan and guidance on how to write one.
Key Takeaways
A business plan is a document detailing a company's business activities and
strategies for achieving its goals.
Startup companies use business plans to launch their venture and to attract outside
investors.
For established companies, a business plan helps keep the executive team focused on
short- and long-term objectives.
There's no single required format for a business plan, but certain key elements are
essential for most companies.
Business Plan
Investopedia / Ryan Oakley
Understanding Business Plans
Any new business should have a business plan in place before beginning operations.
Banks and venture capital firms often want to see a business plan before
considering making a loan or providing capital to new businesses.
Even if a company doesn't need additional funding, having a business plan helps it
stay focused on its goals. Research from the University of Oregon shows that
businesses with a plan are significantly more likely to secure funding than those
without one.1 Moreover, companies with a business plan grow 30% faster than those
that don't plan.2 According to a Harvard Business Review article, entrepreneurs who
write formal plans are 16% more likely to achieve viability than those who don't.3
A business plan should ideally be reviewed and updated periodically to reflect
achieved goals or changes in direction. An established business moving in a new
direction might even create an entirely new plan.
There are numerous benefits to creating (and sticking to) a well-conceived business
plan. It allows for careful consideration of ideas before significant investment,
highlights potential obstacles to success, and provides a tool for seeking
objective feedback from trusted outsiders. A business plan may also help ensure
that a company’s executive team remains aligned on strategic action items and
priorities.
While business plans vary widely, even among competitors in the same industry, they
often share basic elements detailed below.
A well-crafted business plan is essential for attracting investors and guiding a
company's strategic growth. It should address market needs and investor
requirements and provide clear financial projections.4
How to Write a Business Plan
While there are any number of templates that you can use to write a business plan,
it's best to try to avoid producing a generic-looking one. Let your plan reflect
the unique personality of your business.
Many business plans use some combination of the sections below, with varying levels
of detail, depending on the company.
Common Elements of a Business Plan
The length of a business plan can vary greatly from business to business.
Regardless, gathering the basic information into a 15- to 25-page document is best.
Any additional crucial elements, such as patent applications, can be referenced in
the main document and included as appendices.
Common elements in many business plans include:
Executive summary: This section introduces the company and includes its mission
statement along with relevant information about the company's leadership,
employees, operations, and locations.
Products and services: Describe the products and services the company offers or
plans to introduce. Include details on pricing, product lifespan, and unique
consumer benefits. Mention production and manufacturing processes, relevant
patents, proprietary technology, and research and development (R&D) information.
Market analysis: Explain the current state of the industry and the competition.
Detail where the company fits in, the types of customers it plans to target, and
how it plans to capture market share from competitors.
Marketing strategy: Outline the company's plans to attract and retain customers,
including anticipated advertising and marketing campaigns. Describe the
distribution channels that will be used to deliver products or services to
consumers.
Financial plans and projections: Established businesses should include financial
statements, balance sheets, and other relevant financial information. New
businesses should provide financial targets and estimates for the first few years.
This section may also include any funding requests.
Investors want to see a clear exit strategy, expected returns, and a timeline for
cashing out. It's likely a good idea to provide five-year profitability forecasts
and realistic financial estimates.4
2 Types of Business Plans
Business plans can vary in format, often categorized into traditional and lean
startup plans. According to the U.S. Small Business Administration (SBA), the
traditional business plan is the more common of the two.5
Traditional business plans: These are detailed and lengthy, requiring more effort
to create but offering comprehensive information that can be persuasive to
potential investors.
Lean startup business plans: These are concise, sometimes just one page, and focus
on key elements. While they save time, companies should be ready to provide
additional details if requested by investors or lenders.5
Why Do Business Plans Fail?
A business plan isn't a surefire recipe for success. The plan may have been
unrealistic in its assumptions and projections. Markets and the economy might
change in ways that couldn't have been foreseen. A competitor might introduce a
revolutionary new product or service. All this calls for building flexibility into
your plan, so you can pivot to a new course if needed.
How Often Should a Business Plan Be Updated?
How frequently a business plan needs to be revised will depend on its nature.
Updating your business plan is crucial due to changes in external factors (market
trends, competition, and regulations) and internal developments (like employee
growth and new products).6 While a well-established business might want to review
its plan once a year and make changes if necessary, a new or fast-growing business
in a fiercely competitive market might want to revise it more often, such as
quarterly.
What Does a Lean Startup Business Plan Include?
The lean startup business plan is ideal for quickly explaining a business,
especially for new companies that don't have much information yet. Key sections may
include a value proposition, major activities and advantages, resources (staff,
intellectual property, and capital), partnerships, customer segments, and revenue
sources.
The Bottom Line
A well-crafted business plan is crucial for any company, whether it's a startup
looking for investment or an established business wanting to stay on course. It
outlines goals and strategies, boosting a company's chances of securing funding and
achieving growth.
As your business and the market change, update your business plan regularly. This
keeps it relevant and aligned with your current goals and conditions. Think of your
business plan as a living document that evolves with your company, not something
carved in stone.
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