Small Accounting and Bookkeeping Business - The Problem With People



Small Accounting and Bookkeeping Business - The Problem With People

Small Accounting and Bookkeeping Businesses are inherently social organizations. There are relationships between employees and their bosses, employees and other employees, employees and customers, employees and vendors, the Accounting and Bookkeeping Business and its outside consultants, and many other types of social interactions that can each cause problems of some sort. In fact, people problems may just be the most difficult type of problem to deal with.

It would be nice if we were all well-schooled in psychology and could avoid people problems by simply not hiring or associating with people that have the potential of causing problems, but that is unrealistic in many ways other than the obvious. You simply never know who might or might not be a problem individual under stress. No amount of psychological training is going to equip the small Accounting and Bookkeeping Business owner to make such a determination and be 100 percent accurate.

There is also no way to know how effective an individual is going to be for your Accounting and Bookkeeping Business. A person may be nice, kind, polite, have a great educational background and a good work history, but just cannot function well in your Accounting and Bookkeeping Business. Is this the fault of the individual or the organization? How can you tell?

The stakes are high. More than a few small Accounting and Bookkeeping Businesses have been ruined because the owners made poor decisions relative to the people they chose to associate with and how relationships with these individuals were maintained.

Failure to train employees properly.

Not all problems with people are related to personality. In fact, most problems that small Accounting and Bookkeeping Businesses must face relate to the inability of the business to train employees for the tasks for which they are to be responsible.

There is a major difference here in the capabilities of large and small Accounting and Bookkeeping Businesses. Large Accounting and Bookkeeping Businesses generally have a formalized training structure in place for new hires. Small Accounting and Bookkeeping Businesses generally rely on on-the-job training carried out by individuals who themselves have been poorly trained and thus are in no position to train anyone else.

Business is transacted by people. If the people who work for the business are poorly trained it will always reflect negatively on the bottom line.

Always.

It is critical that new employee training be carried out by people who are both knowledgeable in the subject matter of the training and capable of training effectively. If no employees meet this criteria, then a trainer or trainers must be brought in from the outside.

Poorly trained employees create more problems than just errors in their work product. They also become a drain on morale and can create problems with other employees, customers and vendors.

Failure to appreciate the contributions of employees.

It is not uncommon for employees of small Accounting and Bookkeeping Businesses to feel unappreciated. Larger Accounting and Bookkeeping Businesses have structures in place to recognize employee achievements and are better able to reward outstanding efforts financially.

Small Accounting and Bookkeeping Businesses make a number of mistakes in this area. Some examples are:

  • Treating employees as though they are easily replaceable.

  • Failure to provide reasonable benefits.

  • Little or no recognition of outstanding accomplishments.

  • Failure to respect the value of employees' time.

  • Failure to ask for and respect employees' opinions.

Small Accounting and Bookkeeping Business owners sometimes treat employees like they are family, and this is generally a good thing. It can become a negative, however. People generally expect their families to help them out to the greatest extent possible while expecting little or nothing in return. They do it because they are family, but your employees will never be family. They need more appreciation and recognition than family will ever need.

Employees are the life-blood of any Accounting and Bookkeeping Business. It is critical that employees feel like they are part of the team, are respected, are well compensated, and that their efforts are truly appreciated by the owners. Small Accounting and Bookkeeping Businesses who look at employment costs first when seeking to control or reduce expenses are making a mistake that can be deadly.

Small Accounting and Bookkeeping Business owners need to always be mindful of their actions and the consequences. Sometimes owners tend to think of their business as an extension of their personal lives and personal checkbook and do things they would never think of doing if they were the CEO of a business they did not own. This always creates problems in some fashion. Small Accounting and Bookkeeping Businesses must create procedures that build trust and operate in compliance with them.

Owners must build the character of the organization. Accounting and Bookkeeping Businesses have a reputation just like individuals do and that reputation is key to continued success.







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