Does it really matter?

In a conversation last week I was asked “Does having good employees really made a difference?”  Instead of answering directly, I asked a few questions instead.  Follow along to see if you agree with me.

I want you to think of your favorite local establishment…restaurant, store, coffee shop, etc.

Now think about what makes it your favorite.

Well since I can’t hear your answers I’m going to make an assumption – the people who work there.  It could be in the service they provide, knowledge of the products or how they have your order ready before your ask. All of these as a result of the people.

Now think of a place that has great products but poor service.

Which business do you think is more profitable? Of course, the first one. Why? Customers keep coming back, customers will tell other people, and there is more business.

Let’s ask the original question again.  “Does having good employees make a difference?”

It doesn’t matter if your employees speak to customers or not.  All employees have customers – it it’s not the clients of the company, it’s the other employees.  All positions require information or product from other employees/departments to be successful. (you can read more here The Internal Customer).

Bottom line: Good employees treat your customers better which makes them want to return to your business and refer others.  This in turn increases your revenue.  Good employees make fewer mistakes, do their work right the first time and are more efficient/productive which decreases expenses. This results in an increase to your gross profits (EBITDA).

Who doesn’t want that?