The importance of succession planning

Recent global events have taken many of us by surprise, reminding us that planning and preparation for the inevitable must be taken into serious consideration. It goes not only for our individual lives but also, and most especially, in business. One of the things that business owners and HR managers must have is a viable succession plan and strategy in place for the longevity and sustainability of the business.

A succession plan helps prepare a business avoid any vacuum within the organisation that may be caused any eventuality. It is by being ready to fill in key positions with the right persons fit for the role. According to Rahul Kale, Director at Sunpower Renewables, “Succession is a layered approach for our business, and I am particularly on the lookout for the key positions that drive our business – Head of Innovation, Head of Strategy, Head of Business Development and Head of Engineering. We tend to hire accordingly for these positions and start right from the hiring process.”

It's not just in the hiring process, but Rahul and his team also look into their internal talents. “There are regular succession planning discussions during our management meetings, and we always have a plan A, B and C in place. I also ask the respective Department Heads to groom their key personnel and do trial runs when they are on holiday. You will be amazed to see what some people can do when you empower them and give them more responsibility. It is important to provide job security to the right people, so they want to groom people and are not threatened by succession planning discussions,” Rahul remarked.

Succession planning also enables entrepreneurs to work on the business rather than in the business, which can allow the enterprise to keep running even in their absence or with minimal supervision from the business owner. With this, Rahul added, “From a leadership perspective, my spouse and I do the same thing and interchange roles regularly. In doing so, you can also see where the company’s systems must be strengthened which then allows good people to work more effectively. We also have a succession plan for the company’s ownership to ensure the longevity of the organisation and brand that we have developed.”

Malcolm Bean, Director at Beanmkrgy, also shared their succession strategy in their company. "We talk to leaders about their departure from the business and how that looks like to them and when. Encouraging them to write a plan to move onto the next thing so we can assist. Often, this results in longer tenure and discovering other opportunities for A-players in the business. Ideally, the leader is part of the plan to build or source out succession individuals into the business as we work on the departure of team members or towards the next thing. As a team, we talk about talent or ‘rare needles in a haystack’ regularly. The point is that talent (opportunity) often presents itself over time, many times when we are not looking. So when we see it, we need to secure them into our business ASAP.”

For Meirav Ambar, Partner at Trendtrade International, it also starts from selecting the right people, whether as team members or third-party providers. Meirav expounded, “No doubt, choose the right partners – first and foremost, your business partners (the best in the world are taken by me!), and then everyone you work with. I do not work with suppliers, customers and service providers. I see all of us as partners, and I choose to work with partners that share the same values and whom I can trust.”

On the other hand, whilst Lauren Staley, Managing Director of Infolio Property Advisors, does not see herself taking a step back from her business anytime soon, she’s already laying the foundations to make her business ready while she’s still determining her next steps. “I’d like to say I’m super clear on this, but frankly, I’m not – currently I am building the rent roll as that is the most saleable part of my business. I’m working on the balance sheet and accounting to make it as clean as possible so that if a buyer did come along, I can be ready. I’m also currently grooming a member of my team to be able to take the driver’s seat for me.  Once I have these ducks firmly in a row, I will have the headspace to think about what next.  I love what I do so it’s hard to see myself out of it, yet,” she explained.

Succession planning is just one way to trouble-proof one’s business. Although we cannot predict and fully prepare for the future, it pays when one takes the necessary steps to lessen any negative impact that an unforeseen circumstance may bring. Have you given a thought to your succession plan? What actions have you taken to make your business future-ready?

Paying it forward in the entrepreneurial journey

In the challenging entrepreneurial path, where sometimes the roads are unpaved, being on the receiving end of an act of kindness is a huge help. It can often go a long way, especially for those who are just starting on their journey. Even seasoned entrepreneurs have been recipients of a good deed at some point in their lives, and so they are paying this forward to others as well.

Also, to be part of a community of entrepreneurs for entrepreneurs, such as EO, is like having a haven where one can grow in a safe environment and have a strong support system when the going gets tough. EO Members reminisce the time when they received an act of kindness and how they’re doing the same to others.

The sense of gratitude is evident to Joanne Camilleri, General Manager of Telco Business Solutions Group, due to the help she has received from others. She stated, “I have so many to be grateful for but the support and kindness I receive from my business partner, fellow EO’er John Rovas, who has been the standout. He has constantly supported me, mentored me and continues to do so – thus far, we have clocked up 11 years in business and built 3 businesses together. I like to pay it forward through mentoring and coaching people by sharing my journey.”

Ben Stickland, Founder and CEO of Alliance Software, recalled, “I took a job fresh out of uni and 3 months in, I decided to leave and start my own business. My old boss had every right to be bad and kick me out. Instead, he gave me three months of free rent, phone and use of the laptop (which mattered back then) while I got started. I've always appreciated it, and now, I pay it forward by encouraging and helping my staff with their side hustle ideas.”

And for any other business, having great people within your team, and those you interact with play a great role in helping grow your enterprise. It’s a give-and-take relationship where both can be the giver and receiver of kindness. Dion Castle, CEO of Struber, echoed this when he said, “Our team and clients have supported or invested in our mission along the way. I am thankful to them every day.”

Entrepreneurs are particularly thankful to those who are ahead of them in the journey and never hesitated to mentor them and point them in the right direction. This is why Rahul Kale, Director at Sunpower Renewables, values the people who have helped him along the way. “I have had some great mentorship (and still do) and have made an effort to mentor some new up and converse as well. Something I want to do more of.”

It was also the same for Austin Vaughan, Managing Director at Pacific Solar and he is now extending the kindness not just within his team but also to businesses they work with. He shared, “I had some early-stage mentors that offered key directions for efficient systems that established a methodology that we still embrace today. In our day-to-day business, we engage many small to medium contractors. I like to think we have assisted many of them to grow their businesses on the back of operational assistance and advice presented to them. We feel a real sense of appreciation from our contractors as we try to treat them as part of our team. It's great to be a part of their success, too.”

In tough situations, such as the one we currently have, Nyree Hibberd, CEO of Koh Living, appreciates people who have been kind to them despite the challenges and hardships everyone is facing. “As we are in retail and tourism, we were particularly affected by the impact of COVID.  I immediately started cancelling services, and my CFO and Bookkeeper both said that it wasn’t necessary. My bookkeeper would continue as normal no matter when she was paid, and the CFO said that all billing was suspended, not to be billed at a later date, but stopped until we got to a point of recovery that we could afford the services again. I almost cried because the help I needed the most was how to navigate financially through the mess that unfolded,” she shared.

Nyree continued, “We paid that forward by contacting all retailers that owed us money to make sure they understood payment was appreciated but not expected for the initial 2 months, and we set about providing value to our retail customer base by setting up webinars on various topics to help them with positive ways to enhance their business while compiling our book “Keeping Retail Alive” that was released in 2020 with all the key tips and tricks to help any retailer get through the crisis that COVID was and continues to be. When Victoria had its recent lockdown, all retailers that wanted it got a free copy of that book, anything we could do to have a positive impact on our retailers business drives us forward.”

Surely, a little help can go a long way, especially in the tumultuous path of entrepreneurship. Having people around you reach out and extend a hand can mean a lot. If you have an experience of kindness or if you have extended one, we’d love to hear them from you through your comments below.

Budget-saving tips for more cost-efficient work operations

In business, it is important to track what’s being used, including cash, goods and, of course, time.

Keeping up with your day-to-day operations may quite be a handful, but with a few tips, you may just be able to have a more cost-efficient day-to-day operation in your workplace.

We gathered some amazing ideas from entrepreneurs on how they budget their resources, lower their spending, and save money, time, and effort.

Go paperless

The use of less or no paper at work is an earth-friendly initiative and also a great way of saving on costs. Besides, using paper a lot can take up so much space in your office. For Dion Castle, CEO of Struber, their way of doing this is to “make it really hard to print.” He added, “When your team stays digital, you save the planet and save on printing costs at the same time.”

Monitor expenditures

One way to stay on budget is to constantly keep your eye on your spending. Alliance Software Founder and CEO Ben Stickland shared how to do this. “Set a time (for us, it's every 6 months) to review all recurring expenditures and challenge whether you need them or perhaps need them at the level you use them. It only takes 10 mins and saves money on subscriptions that were good ideas but didn't get used,” he remarked.

Gather data and purchase correctly

When purchases are done in bulk and large quantities, keeping track of spending might be challenging. However, with the current technology, it can be done fast, accurately and effectively. “With all our larger commercial solar projects, there are bulk materials to be procured, so purchasing correctly is the key to cost-efficient & profitable operation. Also, utilising streamlined operational systems and apps to efficiently capture details from all parties involved reduces admin hours considerably. This presents a very professional outcome that is appreciated by the end customers,” explained Austin Vaughan, Managing Director at Pacific Solar.

Put systems and have business rhythms

Being cost-efficient is about keeping track of money spent as well as the amount of time spent on the kind of work that has to be done. Putting a system in place and coming up with a regular business rhythm can save a lot of time, effort and resources. This is what Malcolm Bean, Director at Beanmkrgy, and his team have been doing in their organisation. "We come up with simple systems as much as possible and agree on daily or weekly rhythms for meetings and planning wherein we stick to start and finish times. The more we are aligned and adhere to business rhythms, the more we multiply productivity. So, most of our focus is productivity, which is getting more out of each hour as opposed to cost savings,” he stated.

Think of various strategies that may be applied to your business

Look closely at how you do things and get your team to brainstorm and come up with strategies that will help you manage your cost more effectively. Moreover, be sure that these strategies are executed in your business. Rahul Kale, Director at Sunpower Renewables, revealed what they’ve done within their business.

According to Rahul, “We went through an exercise to identify the top 2-3 operational cost drivers and implemented a proper strategy to manage these costs. We also ran an internal competition within the organization and the person with the best idea to save costs over a period was rewarded. This strategy was well communicated and shared within the organization. It is important to get everyone’s buy-in to make this a success. We try to do it as much in-house as possible to save costs, and as of late, the simpler things seem to be helping us save a lot:

• Being more energy-efficient by turning off the computers and lights before we leave;

• Calling our suppliers and asking for discounts if we buy in bulk (important to have good inventory control and line-of-sight on future orders to do this);

• Replacing paper-printing marketing material with digital and online material;

• Utilising technology and VC tools to reduce commuting and travelling costs;

• Doing a barter system with businesses in the area. We specifically worked with a data & AI business that we have helped go energy-efficient, and they returned the benefits via reduced bills as their energy costs have plummeted.”

Automate

Taking advantage of technology and, at the same time, making less use of physical resources is one way of lowering costs. This is why Cameron Bell, CEO at Pyrochar, utilise available software to his business’ advantage.

“I think people really overpay and underuse software. Many businesses (including my own) still rely very heavily on human input for certain tasks and requirements that could become automated with the right level of skill. My secret weapon is Zapier, which is used to automate as many things as possible. While I do currently automate a fair amount, I know I could do it more with greater skill in that area which would allow for: a.) lower staff costs or b.) a reallocation of staff capital to revenue-generating processes that need human input,” he shared.

These are just a few things that you might be able to apply to your own business as well, but there are still more best practices and suggestions out there on how you can manage your resources well. Now, if you have an office budget-saving tip, we would be happy to hear them. Share your tips below in the comment section.

Essential items in an entrepreneur’s business scorecard

What is a scorecard? It’s a tool or report that monitors the status or success of a project. In business, a scorecard allows teams to set their goals and rate their performance vis-à-vis what they have set for themselves. Every organisation may have different scorecards, depending on their targets, focus and key performance indicators.    

For entrepreneurs, what are the most essential items in their business scorecard? EO Melbourne members share with us the important things they put in their scorecards and why they keep track of them.

• Net cash flow – According to Rahul Kale, Director at Sunpower Renewables, one of the three most essential items on their scorecard their Net Cash flow position (current and forecast). “This can make or break your company. You can be profitable in the long run, but if your net cash flow position is negative or has the potential to be in the red then you are in serious trouble. For me, this is the most important metric to monitor,” Rahul explained.

• Cash at bank – For Jeni Clift, Director/General Manager of DWM Solutions, “no cash = no more business. We need to know the cash position every week,” she stated, which is why they need to put Cash at Bank in their scorecard.

• Total dollar amount quoted - Anthony Lam, Managing Director of Punchy Digital Media, remarked that knowing the “total dollar amount quoted gives us an indicator of our future work and pipeline.”

• Headcount, revenue and net profit – Appscore Co-Founder & Managing Director Alex Louey shared that they have various scorecards in the various levels of their organisation. “At the company level, the most important ones are pretty boring – headcount, revenue and net profit. We use the headcount as a measure because our target is to be 300 persons in 24 months,” he expounded.

• Performance measures – “At the team level, we use a dashboard to measure performance and predict outcomes. We normally have 2 leading indicators and 2 lagging indicators, i.e., for the sales team, each salesperson is to have a rolling $3M new business qualified pipeline for a $1M new business target. On the other hand, our recruitment team’s measure is on the number of interviews as a leading indicator and the number of contracts signed, targeted at 3 per week,” Alex added.

• Customer and employee satisfaction – This is another item on Rahul’s scorecard. “This is not a regular metric as we update this semi-annually, but we have found this to be a great metric to monitor and shape our strategy. This gives us an external perspective of what our employees and customers are thinking of us and our products and it helps us improve, innovate, and get better.”

• Days when projects are open – This is found in Anthony’s scorecard because for him and his team, “the average number of days that projects have been open gives us an idea of our current production pipeline.”

• Total projects open – In addition to the number of days that their projects are open, Anthony also looks at their “Total number of projects open, which gives us an idea of our capacity.”

• R&D and Non-R&D costs – These costs are important to Rahul because according to him, “We are all about innovation, and understanding the R&D spending is an important gauge on how we innovate and evolve our product offering.”

Depending on your industry and type of business, you may have different things on your business scorecard. Also, within your organisation, each level, department, unit or team member may have different scorecards based on their deliverables. Also, this tool helps in improving one’s performance, growth and development, whether as a group or as an individual.  

Share with us in the comments section below what you have in your scorecards and why they are important to your business.

Local (Melbourne) leadership quotes for your entrepreneurial journey

Food for thoughts. They are often needed to keep us going, especially in the entrepreneurial journey. And so, we gathered some leadership quotes – either new nuggets of wisdom or familiar motivational pieces you have encountered before – which will help you move forward when things become rough.

Let’s start with some motivational lines that have inspired some of our EO members.

Aaron Smith, Founder of KX Pilates, finds entrepreneur Jim Rohn’s quote something helpful to his journey, which is “Care more about your customers than you do about the money you make from them, and you will be successful.”

On the other hand, Meirav Ambar, Partner at Trendtrade International, learned an important insight from her experience. “There is no such thing as a journey (especially a disruptive one) without failures – both professional and personal failures. As long as you learn from them, you are fine. (I am still working on accepting that.)”

“Be firm, but fair.” Many have probably said this line, but it is something that Lauren Staley, Managing Director of Infolio Property Advisors, has found useful and helpful to her leadership journey.

For Malcolm Bean, Director at Beanmkrgy, he holds on to two guiding statements, both of which pertains more to team composition: "It's all about the people - with the right people on board, you can go anywhere" and  "You get the staff you deserve."

“The secret of leadership is simple: Do what you believe in. Paint a picture of the future. Go there. People will follow.”

- Seth Godin

Rahul Kale, Director at Sunpower Renewables, shares three inspirational quotes. The first one is “The secret of leadership is simple: Do what you believe in. Paint a picture of the future. Go there. People will follow” by Seth Godin. According to Rahul, “leaders that are entrepreneurs must first dare to dream. Yes, this must be backed up with significant and focused action, but they must be willing to create alternate realities that do not currently exist or are relatively uncommon. And for that, they must be dreamers.”

Another quote that keeps him motivated is Barbara Corcoran’s “My best success came on the heels of failures.” Rahul explained why he finds this inspiring, “Invariably, most Leaders in this space are relentless with their focus, discipline, drive, energy and ultimately faith in what they set out to accomplish. I have never met an entrepreneur who has not faced disappointment or failure in his/her career, but they don’t quit. Many have endured those instances multiple times, but they never let it faze them. It is an opportunity to return to the drawing board to re-strategise, examine or change course. It is an area I am proud to be a part of because I witness regularly how we use failure for what it's good for – a teacher to guide you onto your next achievement.”

Lastly, he finds Lisa Haisa’s quote very encouraging: “Great leaders don’t set out to be a leader…. they set out to make a difference. It's never about the role – always about the goal.” Rahul shared, “Our entrepreneurial journey started by wanting to make a difference - to provide energy independence and replace traditional fossil fuel consuming energy generators with clean, green, technically advanced, and economically cheaper renewable energy alternatives.  Today, we have been recognized as one of Australia’s Most Innovative Companies. We wanted to create an alternative for a better future; being a leader just happened along the way.”

Other popular leadership quotes that you might find helpful in your growth as an entrepreneur are as follows:

"Do not follow where the path may lead. Go instead where there is no path and leave a trail."
- Ralph Waldo Emerson

“Before you are a leader, success is all about growing yourself. When you become a leader, success is all about growing others.” —Jack Welch

"To add value to others, one must first value others." - John Maxwell

“A genuine leader is not a searcher for consensus but a moulder of consensus.” - Martin Luther King Jr

"One of the tests of leadership is the ability to recognize a problem before it becomes an emergency." - Arnold Glasow

“A leader takes people where they want to go. A great leader takes people where they don't necessarily want to go, but ought to be.” - Rosalynn Carter

"Leadership is the capacity to translate vision into reality." - Warren G. Bennis

“Innovation distinguishes between a leader and a follower.” - Steve Jobs

“A true leader has the confidence to stand alone, the courage to make tough decisions, and the compassion to listen to the needs of others. He does not set out to be a leader but becomes one by the equality of his actions and the integrity of his intent.” - Douglas MacArthur

“Whenever you see a successful business, someone once made a courageous decision.” - Peter F. Drucker

"The price of greatness is responsibility." - Winston Churchill

“Effective leadership is putting first things first. Effective management is discipline, carrying it out.” - Stephen Covey

The best way to make good use of these quotes is to place your favourite ones somewhere where you can always see them – to remind you every day of why you’re on this path in the first place and push you forward to achieving your goals.

Share with us some of the quotes that have helped you keep going on your entrepreneurial journey.

Dealing with unsavoury reviews of your products or services

Feedback is necessary for improvement, especially in one’s business. While positive reviews are always welcome, one cannot avoid getting unsavoury comments as it is not all the time that customers and clients have happy experiences with a service or product. When this happens, how do you deal with them?

Respond and acknowledge the remark

There may be various reasons behind every negative comment, but the best way to approach it is to face it head-on. Lauren Staley, Managing Director of Infolio Property Advisors, sometimes encounter situations where they receive feedback on issues beyond their scope.

“This is a tricky one and often frustrating as I operate a property advisory and property management firm, so we can get tenants frustrated with something and wanting to express frustrations on Google reviews and it's typically about the landlord or maintenance issues which are mostly out of our control.  My approach is to write back that we acknowledge their frustration, however, suggest that anyone reading the review contact me directly for a more informed and balanced view of the situation,” she stated.

Reach out to the customer

Getting complaints or unfavourable reviews are not uncommon in the hospitality industry where impeccable and quality service is of the utmost standard. Malcolm Bean, Director at Beanmkrgy, a company that is into hospitality consulting and investment, shared what they do whenever they get into this situation.

“We strive to recognise with a response from a senior manager as immediately as possible. The goal is for it to be a real response (not an obvious corporate robot type) addressing the specific issue/s and what the rectification/next steps are (sometimes to call out an untruth, too). I think being candid is appreciated by most. Often the response is a great marketing opportunity to let any reader know we are committed, will take action and also to lengthen the response to talk about our broader offering, too. In the hotel/hospitality industry, our goal is to then have the customer come back again and give them a normal experience. The most loyal customers are those who started as unsatisfied,” Malcolm explained.

Address the concern and resolve the issue

Similarly, Rahul Kale, Director at Sunpower Renewables, believed to tackle the issue as soon as possible by taking the first step in knowing the motive behind the feedback.

“Get in touch with the customer. Understand the reason for their unsavoury comments. Unsavoury feedback is not meant to hurt your ego and make you recoil - it is important feedback that benefits the company to get better, improve and grow. Ignoring the issue or defending your position does not help – instead, address the concern and work with them to resolve the issue. Nine out of ten times this has worked for us,” he remarked.

Learn and understand, then pivot if needed

Oftentimes, receiving feedback from a dissatisfied customer is an opportunity to step back, review your business and see if there’s anything that needs to be changed.

Meirav Ambar, Partner at Trendtrade International, take this as a learning exercise to know more about their customers and have a better look at their services. “It's very hard, especially when you are truly passionate about what you do. But by definition, a brand doesn't target everybody. I take the feedback, sometimes have a one-on-one discussion with that customer to understand more, learn from it and pivot if needed and move on,” Meirav shared.

Take as an opportunity to improve

Some feedback may affect a business positively or adversely. But even negative reviews can be turned into something positive by making improvements in the business.

Aaron Smith, Founder of KX Pilates understands this and makes it a motivation to better the offerings he extends to his target clients. “Productive feedback is the pathway to and necessary for continuous improvement, which is what KX is all about. Look at these reviews as a direct line from your customers on how you can improve, but make sure that this feedback is coming from a customer you want to retain. Remember, the customer is not always right, but the RIGHT customer is always right.”

In all these, discernment is key to taking whatever step you believe suits the negative feedback you receive. As shared by our members above, it is important to know where the comment is coming from and the details or reason behind them. If they are valid and justifiable, waste no time in taking action to lessen any adverse effect it may have on your business. Moreover, open communication can help in turning the situation around and resolving whatever issue was raised. Lastly, take it as a learning experience where you can further develop and improve your business.

If you have a similar experience, share with us below how you managed the situation.

How do you retain good employees?

This is a question that many business owners and managers often ask. It is because having good employees and retaining them are important to running a successful business. There are no easy ways to do it, so we sought the help of some members of EO Melbourne on their experiences and best practices that may also be helpful to other entrepreneurs.

Meirav Ambar, Partner at Trendtrade International, Malcolm Bean, Director at Beanmkrgy Pty Ltd., Rahul Kale, Director at Sunpower Renewables, Aaron Smith, Founder of KX Pilates, and Lauren Staley, Managing Director of Infolio Property Advisors shared some of the things they do on how to keep good employees within their team.

Build a healthy work environment

Looking after the well-being of your team members help in employee retention. For Lauren Staley, what she did is that “I created an office ‘Zen Den’ this is where staff can ‘zen out’, meditate, relax, etc. We also hold nutrition workshops for staff in this space, as well as yoga and mindfulness sessions. We have a masseuse come to the office once a month.” Apart from that they also provide clear feedback on staff performance and quality of work, regular training, and leadership paths.

Create a good corporate culture and path for growth

Culture is paramount in every organisation and it plays a significant role in the longevity of a business. It shapes the work landscape and the dynamics among team members. Aaron Smith shared that it is helpful to “create an amazing culture in an amazing environment through vulnerable and courageous leadership and be flexible with and care for each individual's circumstances. As the owner, it is your job to create a pathway for your employees to develop and grow. Give them ownership whilst providing accountability. And most importantly, have FUN! If people LOVE working for you and your company you'll retain them for the long run.”

Value your good employees

Employees tend to stay longer in an organisation where they feel they are being valued. Rahul Kale stressed the importance of this. “First, you must respect your employees and understand the value they bring to your organization. If you judge a fish on its ability to climb a mountain it will always disappoint you. You must value the individual’s skill set that they bring to the table and empower them to function at their optimal level.”

He added, “I like to ensure that the worthy employees are compensated well, both in terms of monetary benefits and job satisfaction, and give them their space to work. By worthy, I mean those who take on responsibility and like to see things through. Our process starts right from the interview stage where we try and understand the employees’ strengths and weaknesses and then give them the required support, training, and opportunities to excel in their role. Investing in our employees to upskill, train and motivate them is another great employee retention strategy as it works well for both – the employee and the organisation.”

“The company’s culture and policies play an important role in defining the working parameters for your team – once defined, it is important to empower and allow someone the space to do what they do best. I am not a big micromanager and prefer employees who take on the responsibility and accountability to go above and beyond. Understanding each employee’s learning curve and giving them the time to settle in truly do wonders for their self-development and overall team morale,” he iterated. Rahul also quoted Sam Walton wherein, “Outstanding leaders go out of the way to boost the self-esteem of their personnel. If people believe in themselves, it's amazing what they can accomplish.”

Put clear action plans and customise strategies for different employees

Meirav Ambar also discussed some of the strategies she does within her business in keeping good employees. “I do a few things, and of course adapt the strategy according to the specific employee:

1.)    The people we work with are the people we play most time with. While we manage a highly professionally driven environment, we also have a lot of fun.

2.)    Every employee has clear KPIs and a clear action plan which we regularly review. Clear KPIs are important for our sense of accomplishment and value.

3.)    Most importantly, I trust them. I truly believe that micromanagement is the worst form of management and is the main reason ambitious employees leave their place of work.”

Maintain a strong relationship with your employees

On the other hand, what Malcolm Bean usually does is that he "strives to have independent direct relationships with my team members, especially with the A-players, and work on these weekly. Each person is different, and a deep relationship results in a customised or independent career and life plan. Often, people don't leave the job, they leave you because there wasn't true mutual understanding and connection.”

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How about you? What do you do to retain your good employees? Share with us your tips through the comments section below.