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Victor Mitchell, Serial Entrepreneur, Shares Insights on How Many People Your Business Needs

Businesses need employees; however, they don’t need an unlimited payroll. Victor Mitchell, the CEO of Lead Funding as well as a life-long entrepreneur and successful businessman, too often witnesses companies hiring either too many or too few employees. Below, Mr. Mitchell explains the benefits of understanding your employee count and why this particular piece of information is so valuable.

Count Them

How many jobs does your business have? This question is easy to ignore. Business leaders are busy solving problems, and hiring new team members can help. If their team isn’t productive enough, expanding it is more convenient than helping every employee become more productive.

But a decision based on convenience doesn’t make it the right one. Hiring new team members works, but it could easily backfire if your company can’t afford the investment. Thankfully, counting how many employees you have on staff makes your decision easier.

You could break down your staff by resources spent, as some companies do, but sometimes all you want is a quick estimate. Count how many employees you have on staff and be sure to include part-time as well as full-time. You can also categorize your employees first, which is an excellent idea if you want exact numbers to work with or are only targeting one group.

Estimate production

Now that you have an employee count, you can estimate how productive they are. How much work are they finishing? How much are they getting paid? Once you answer these questions, you will know an average employee’s value.

You can always check for specific people, too. Businesses hire employees to fill roles, but sometimes these roles don’t make sense. For example, some companies hire micromanagers to nitpick their coworkers. If they ended these positions, they would pay one less employee and get more work out of the others.

Make a decision

You have all the information you need to decide. If you are happy with your employees, let them know. If you need to make changes, that is okay as well.

Just make sure you don’t hurry. The decisions you make now will impact your company in the future, and could even destroy personal relationships. Decide carefully and don’t forget to look for advice. Your colleagues won’t always agree with your decisions, especially if you make them on your own.

When you spot an unproductive employee or team, you have many options. Sometimes dropping a wasteful job is the right choice. Always remember that employees can only do what you tell them, and they can’t help being unproductive if they have a job that shouldn’t exist.

On the flip side, reward productive employees and teams with more responsibility and additional pay if the budget allows. Knowing when to invest in employees is just as important as tracking team performance and maintaining a lean, efficient workforce.

Of course, these are just a few of the options you have. If you never count your employees, you will never find reasons to maximize their responsibility which in turn will boost the company’s overall performance. If you think your company can improve its productivity through an employee count, set up a schedule and start counting. Don’t settle for an understaffed workforce or a bloated one.

About Victor Mitchell:

Victor Mitchell is a graduate of SDSU and obtained his master’s degree from the Kennedy School of Government at Harvard University. Ever the entrepreneur, at only 21 years of age while attending college, Victor Mitchell started his first enterprise. Subsequently, he has never worked for anyone else. Mr. Mitchell is also a former Colorado State Representative and served in Colorado’s 66th General Assembly representing a population of 80,000.

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About the author

Shane Watson

Shane Watson

Shane is a cryptocurrency journalist and an ICO writing consultant at The Written Craft content service. He's an advocate of decentralized public control of finance, an off-grid enthusiast, and really fun at parties too.

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