Marcforte Newsletter – 003
Welcome!
89% of employers think their people leave for more money. 12% of employees actually do leave for more money. So where is the disconnect? More than half of employees quit their jobs because they are unhappy at work, not because they want more money. Lack of financial rewards was the fourth reason at just under 13%. – Survey by Benchmark Recruit
Last month, we promised to bring you the secrets of an employer that has succeeded in keeping some his best hands for over 40 years.
Meet Dr. S.O Oloruntoba, the Medical Director of Ola Olu Hospital, the first private hospital in Ilorin which started out as a single-doctor private medical practice but has since grown into an establishment of highly sought after medical practitioners some of whom- despite having had better paying offers- have chosen to be with the hospital since 1973!
Marcforte: Please tell us about your hiring process.
Dr. S.O.O: 46 years ago, on July 1st, 1969, when the doors of Ola-Olu Hospital were opened, all I had were knowledge, hope and the commitment of my wife. There was no money to hire any staff for quite a while. However, when things picked up and we could afford to hire, the following formed the bedrock of our criteria:
1. Requisite Qualification
2. Attitude to life: We tried to ensure that our people shared our ambition, goals, pursuits and values. In a few words, a passion to serve.
3. Character: As was humanly possible, we explored the world-views and mindset of the candidates and we selected those that shared our values.
But perhaps most importantly, we learnt not to always go for the smartest of the candidates. From my experience as an employer, I have observed an interesting trend, and it is that: the smartest is not necessarily the best! We found that most of those with the very best results were often very flighty. So we developed the following strategy:
When selecting a candidate, a high class degree is not an automatic ticket. The person had to have both brains and values. Go for the person who has the requisite qualification and a willingness to learn. Even if the candidate is an average person, as long as they’re teachable and willing to learn, train and groom them on the job. The three most important qualities to look for in an employee are: Qualification, Honesty and Commitment.
The strategy worked for us.
Marcforte: What would you say helps you to retain staff? Is it the money?
Dr. S.O.O: Though money is undoubtedly important, we can’t say it’s the money that has kept anybody for that long. People do not stay with you for 44 years because of money. Quite a number of factors came to play in securing the loyalty of our people:
– Trust: If your employees trust you, they will stay with you. If they know that you are a person of honour and integrity, and that you keep your word, you will have their hearts. Never break promises. It is better to under-promise and over-deliver than vice versa. I strove to have all these in place.
– Working condition: If people enjoy their work and the atmosphere of the workplace is conducive for them, they will stay long. Except of course, for the very flighty. There is little you can do to keep the flighty with you for very long.
– Bonding: At the hospital, we successfully developed a system that allowed bonding between the Management and staff. We have been able to do this through our welfare scheme that takes care of the crucial needs of staff. Another important factor is our strong culture of respect for the individual.
– Communication: The quality of the communication between Management and the staff is also something we take seriously. For instance, whenever we put up schedules of duty, we take the pains to make sure that they are handwritten notes with drawings and a personal message from me. The drawings have become so popular that our people look forward to them. We reasoned that typing would be impersonal, and the personal message gives the organisation a human face.
Marcforte: You will agree that this generation of executives differ in orientation from those of the 60/70s. Do you have young people on your staff?
Dr. S.O.O: Yes. We have ten (10) doctors. Of the ten, only three (3) are of the older generation, seven (7) are of this generation. The oldest serving employee has been with the hospital for 44 years, the next for 42 years. We have nurses and assistants that have been with the hospital for over 30 years, and even our head of security has been with us for 40 years.
Marcforte: Are there any advantages to having long standing employees?
Dr. S.O.O: Most certainly. One major importance of having long serving hands is that they grow to know the system very well. When a person has stayed as long as 40 years, he/she automatically views the system as their personal business; an ownership mentality comes naturally. There is a feeling of peace that comes from knowing that even when you are not present, the organisation will carry on. Not to mention the fact that we hardly have the need to recruit and conduct rigorous trainings. We’ve built an institution of old and conservative values mixed with a modern & contemporary culture; a fusion of both old and new generations.
Marcforte: What advice can you offer Entrepreneurs/Managers that contend with high employee turnover?
Dr. S.O.O: My primary advice is that the Manager should conduct a thorough examination of the system. Try to identify the reason for the trend. When people are unwilling to stay long, there is an underlying cause. Any organisation can overcome this challenge if they are willing to do what is necessary. A thorough investigation will produce surprising results. Check for issues with:
– The Condition of Service: Is the work atmosphere conducive or oppressive?
– Compensation: Be informed about the compensation package of your competitors. Do not be an island. Know what is going on in other organisations and raise your standards wherever necessary. No matter how nice you are as a leader, if you pay small, people will leave.
In a nutshell, because every organisation is different with its own unique setting and peculiarities, each manager has to find the rhythm that works best for his/her organisation. When the drum beat changes, the dance rhythm must change also. Find what works for your organisation.
Marcforte: As a leader with over 4 decades of wisdom and experience, what advice will you give flighty employees?
Dr. S.O.O: I would say that the decision to put money ahead of value will always prove to be a mistake. Too many people miss the best path for their lives because they focus solely on money. There is a saying that: No one is as poor as he who has nothing but money. A life of purpose and principles is hardly regretted. Work hard and have a sense of direction. Incidentally, if you work hard, money will come, it may not come like a flood, but it will eventually come.
Marcforte: Thank you for these insights into your employee engagement strategies. We hope to consult with you from time to time.
Dr. S.O.O: It’s a pleasure.
Here are a few tips on how to work a room:
1. Prepare. Don’t go in cold! For instance find out what the dress code for the occasion is and dress to look your best.
2. Research. Know who will be there and then brush up on their profiles. Arm yourself with that knowledge so you have an idea of what to discuss with them.
3. Don’t use any elevated speech when you introduce yourself. You will come across as proud; People despise pride! Have 2 or 3 sentences ready that best describe you and what you do. Be sure to take the time to give appropriate explanations if you are probed further.
4. Be a fan of small talk: Find something of note with which to strike up a conversation. Use the ‘here and now’, that is, an event currently happening. For example, the weather or current national/world events.
5. Don’t always look at your phone when you’re alone, no one will approach you.
6. Notice the little things, someone’s ring or tie can be a great conversation starter.
7. Make people comfortable, whether you are talking with one person or four people. Make eye contact and work on a confident posture whether sitting, standing or walking.
Final words:
The capacity to build and retain a great team is “the key” to any leader’s or organizational success. Pay does matter, however, compensation beyond a certain level is much less important than most people think.
When top talents leave, only 4% of them cite more money as their primary reason for departure. More common reasons are: bad bosses, limited support and lack of opportunities for growth. – Harvard Business Review June 2014
Till we meet next month, understand your system and find what works for you.
Regards,
