Motivating your Employees
Keeping employees satisfied on the job is another important human resource activity in the small company. As financial benefits are not likely to be as competitive as those of larger and more established firms, the human resource manager of the small firm needs to ensure that its employees remain satisfied on the job.
For the small company, the heart of the motivation process lies in ensuring and maintaining smooth and harmonious working and personal relationships among its employees. This implies the effective management of the human relations and social processes in the small firm. Socialization enables employees to develop good working relationships and to identify with their co-workers and the organization. Socialization for the small firm requires managers to use respectful language at work and to provide support and encouragement. Coaching and mentoring aid in the strengthening of harmony in the firm. Hence, a supportive type of management style would be most appropriate in the small firm. Employees who are effectively engaged at work get along well with their co-workers and management and experience less conflict and stress at work. They also tend to have higher work motivation, to show improved work performance and will show less inclination to leave the company.
Ensuring employee motivation is important for the small firm as you need to make certain that rates of absenteeism and staff turnover remain low. High levels of absenteeism and turnover adversely impact on the productivity given the number of employees in the small firm and the high cost of recruiting and replacing exiting employees.