Tuesday, July 13, 2010

Overstaffed? Two Options

It's very possible today that a company may be overstaffed. The economy has not turned around enough to utilize its people so it has 5% to 20% too many employees. There are two options to solve this:

Option #1 Reduce the number of employees. Sounds simple, but it's tough. Reducing the underperformers will improve the company and it will light a fire under the entire company. On the other hand, it could affect morale. There is another option:
Option #2 Utilize your people to the max, even if it means doing things that are not "billable" or paid for by the customer. Things such as focusing on new business, social media, or new idea generation can in short time, generate business and put the extra people back to work being productive. This option is tougher than you think because it means people will be asked to do things they usually don't do, plus they'll be busier than they have been. They may complain about that or give push back or even refuse to do it.

What then?

Go to Option #1.

Barry LaBov
LaBov & Beyond
LaBov Sales Channel
PB&J Newsletter

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