I’ve written quite a bit already in prior postings about customers – and, it’s a safe bet to say that I’ll write about it a lot more going forward. A lot of people talk about the importance of customer satisfaction. After all, the measurement of customer satisfaction is an important scorecard for management. Oh yeah, it also sounds really good to say “we’re customer-centric at Acme Corporation.”
But, it has always bothered me that lost in all of this talk about customer satisfaction, we may be losing sight of a simple grade school equation:
Unhappy employees à Happy employees = rarely to never
Unhappy customers à Happy employees = rarely
Happy customers à Happy employees = most of the time
Happy employees à Happy customers = always
Anyone who has worked at a ground-floor or early stage startup knows that the correlation between job satisfaction and customer satisfaction is direct and ironclad. Startups fall into a fallacy of … well, startups. Startups tend to attract people who “want” to be there (instead of “need” or “obligated to”). Therefore, the act of working at a startup must mean that these people are all happy – or, at least feel obligated to feel happy. So, startups really invest little to nothing in people. In my mind, this is wrong … so wrong. I never join a startup (I’ve been at 5) because I “want” to be there.
Even before I can figure out what I “want,” there are a standard set of motivations that drive me toward a particular place.
First, I love environments where I am expected to contribute disproportionately – and, this contribution is not permitted or even encouraged but rather EXPECTED. I tend to perform better in these environments. Which leads to …
Second, I need to be in environments where meaningful contributions are recognized and rewarded in some shape or form. Esprit de corps, increased responsibility, lighting fast learning, and so on all fall into this bucket. Which means …
And, third, I need to be in structures and circumstances where #1 and #2 are not likely but close to certain. Yes, money or big income potential would help make it all worthwhile but it doesn’t have to be money.
Thus, my motivations usually direct me to a startup. Once I’m at a startup, there are things that gradually build my “want” to be there. I really don’t think I’m alone in this thinking.
So, I’ve lightly ranted a bit. What are some suggestions? Well, I have 5 simple tips. None of them involve ping pong tables no one will ever have time to use.
5 Things You Can Do To Make (Startup) Employees Happy
#1 – Give more. Give employees more stock. Where do you get it? Take it out of the executive pool. Just give less to executives who join in later stages. Give them more cash. Late stage has less risk so leverage it. You haven’t created a job for them … THEY have created a better chance for the founders and VCs to make a lot of money. Look at it from their perspective and make some slight adjustments.
#2 – Talk more. Overcommunicating is infinitely better than being silent. Too many startup management teams play the “Men Among Equals” game. Yes, it happens and it’s a game. I’ve seen it happen as a front liner as well as a management team member. Losers hoard information and exclude. Winners share information and include. It has nothing to do with effective management. It has everything to do with winning and losing. It’s not MBA 101, it’s Battlefield 101.
#3 – Be human. Be good. If you think lower cubicle walls or “open door” policies will keep startup employees happy, I have news for you … it doesn’t. Put the Google or eBay citations to rest. You’re fooling no one so you may as well save the energy. A culture at a startup does not exist via some mandate from heaven or through written instruments. Culture is born out of behavior – especially by management over time. Be firm and fair but, above all, be consistent. Say “hi” and smile. Do the simple stuff that makes people feel appreciated. Most walls that are barriers are not cubicle walls or office doors but rather people barriers. One CEO I worked for always gave high fives when teams accomplished goals. He was a fairly reserved fella. That’s pretty much why it worked. So, if you’re a hyper manager or CEO, try writing them a note.
#4 – Get your people help. Startups are resource constrained. And, a startup employee does a ton of manual, tactical tasks. Oftentimes, this creates burnout a lot sooner than expected. The employee will still pour a lot of energy into the work because that is just their nature. But, they will no longer be happy. It’s a recipe for disaster. Find clever ways to offload your employees so they can spend more time on big impact stuff. Hire unpaid or paid interns to help them! There are a lot of things at a startup (in any department) that a 3rd grader can do with one eye shut while multitasking with Gameboy. And, yet, I don’t see enough startups hiring interns and college students (over the summer). Get more mileage and happiness out of your key employees.
#5 – Demand VCs to come and address the employees (even for 10 minutes). Ask your VCs to come to company-wide meetings and make a presentation … on why they invested, why they remain optimistic, and why they’re appreciative of all the hard work by the employees. It’s a win-win situation when they do. VCs will feel even better about their investment. And, employees will feel an even greater sense of energy.
- John
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