Column: Managing to keep key employees

Question: We have a couple of people who are really important to the business. We call them our key employees. It”™s no joking matter ”” I worry about it all the time. If one of our key employees were to leave, or if something happened to them, we”™d be at a huge disadvantage. How do I protect the business from something bad happening to these important individuals?

Thoughts of the day: Key employees have probably earned the right to that designation over time. Keeping people engaged is essential to the well-being of the company. Protecting the business from unexpected events is part of any owner”™s job. Know what your people want, where they”™re going and how your company fits into their overall plans. Make sure to build backup solutions as part of a well-rounded contingency plan.

Key employees are called that for a variety of reasons. Some have unique knowledge of the business. Others have special skills that are hard to replace. Some provide a level of support or planning that has taken a long time to figure out how to do. Some could be very valuable to competitors.

When thinking about how to protect the company from the loss of a key employee, the first step is to ensure you know who is considered to be key. There are reasons why people are considered essential. The list usually includes more than the top executive. Think about who in your company might be seriously missed or difficult to replace if they left or couldn”™t make it in for work.

Take time to reflect on each key individual. Is he fully engaged with the work he”™s doing? Is she aware that the company values her contributions? Are plans in sync ”” yours for where you want to take the company, theirs for what they want to achieve. Do you even know what each key employee wants personally and professionally?

Many business owners, used to being in the position of command and control, make the mistake of assuming they should map out a future for each key employee. Actually, it”™s a two-way street, starting with a dialogue about the future. Have an open and frank conversation with each key person ”” where do they want to be in three to five years, what does their life look like, what would cause them to say they were satisfied, what concerns do they have.

Listen carefully, without judgment. Try not to take control. Be open to the possibility that the person you”™re talking to may want to go somewhere else for work sometime in the future.

Tune in to what motivates each individual, and what needs each has. Think about how you can use the resources of your company to help each key individual achieve what they want as they help to get your company get where you want it to go.

Be willing to think outside the box as to how you can help a key employee, but make sure it”™s a fair trade.

Do they want to get additional education? Offer that, with the agreement that they”™ll stick around for a period of time post-graduation, or reimburse part of the tuition if they leave sooner. Planning to have a family? Consider flexible work schedules. Many key employees work long hours and have concerns that they may not be able to spend quality time with their family. Get backup so they can.

Consider ways to bond people to the company. Ask every key employee about why the company is important to them. It may be how your company treats its employees. It may be about the type of work or the clients served. It may be about the community they share. Look for common themes you can build on to create a culture to bond people together.

It may be possible to meet employees”™ financial growth needs through profit sharing. Shares of stock may be valuable, but make sure to keep ownership internally focused by having a stock ownership agreement that requires shares to be returned to the company when the employee leaves.

Make cross training a requirement for every key employee. It may take more than one employee to perform the functions of one key employee. Whatever it takes, make sure that someone can back up every key employee so that they can take a vacation, get sick, move on to learn something else or even leave the company, and the company continues to function well.

Looking for a good book? Try “Retaining Your Best Employees” by Patricia Pulliam Phillips and Jack J. Phillips.

Andi Gray is president of Strategy Leaders Inc., strategyleaders.com, a business-consulting firm that specializes in helping entrepreneurial firms grow. She can be reached by phone at 877-238-3535. Do you have a question for Andi? Send it via email to AskAndi@strategyleaders. Visit AskAndi.com for an entire library of Ask Andi articles.