Employees are the lifeblood of a company, and a few bad hires can make or break a small business.  Hiring is a hard problem.  Even Google admits that they haven’t found a single best predictor for hiring the right person.   The normal approach companies take to deal with the problem is to try to attract the highest quality applicants in the first place so they have a higher probability of finding a good employee.  For this reason, companies have been showering their employees with perks: Cisco Systems offers free physical therapy and acupuncture, Southwest Airlines provides free flights for all employees and their families, and Yahoo gives discounts to ski resorts and amusement parks for their employees.

But what makes hiring such a difficult problem in the first place?  Neither parties on either side of the interview table have perfect, or even good information!  Hiring managers find it difficult to isolate qualities that tell them a candidate would be a great employee.  Applicants find it difficult to know whether or not they would be a good fit at and enjoy working for the company they’re applying to.  As Paul Oyer and Scott Schaefer put it in “Personnel Economics,” “the fundamental economic problem in hiring is one of matching with costly search and bilateral asymmetric information.”  Basically, the process is expensive and uncertain.

The goal for hiring becomes where can you find good employees as well as how to identify metrics that accurately predict the success of an employee.

Using Personal Networks

Networking, especially for startups and small companies, is often the most effective way to find qualified candidates for open job positions.  Networking presupposes a familiarity with the candidate in question, giving the interviewer more insight on them.  Implementing an employee referral program, where employees are rewarded for bringing successful job candidates to the company, is a fantastic way to improve the quality of your hiring practices.  Studies have shown that referred candidates outperform normal candidates at every stage of the hiring process and experience better cultural fits at companies once hired, setting the stage for future success at the company.  In fact, referrals now result in more than a quarter of all hires at large companies, a startling number when you consider that referrals compose only 6% of nationwide job applicants, according to the Federal Reserve Bank of New York and MIT

Turning to Online Resources

Once a company’s personal networks have been combed through for applicants, it may be necessary to find other sources of applicants.  One of the most common solutions is to turn to a job board, such as HotJobs.com or Monster.com, to expand your company’s outreach.  Job boards can advertise your company to a lot of different candidates at once.  More sophisticated ones help you implement screening questions that will automatically filter unqualified candidates from your posting.  There is also less of a chance for discrimination when compared to networking; job boards are available worldwide 24 hours a day whereas personal networks have a tendency to attract similarly thinking people to certain companies and reduce diversity.  However, job boards flood a company with potential candidates, and if you don’t have a recruitment department or enough time and resources to evaluate all the candidates the process quickly becomes unmanageable.

Is this a “job”?

Finally, think critically about the job position you are looking to fill.  Is this an integral part of the companies mission?  Would this position fit well into the company’s structure and culture?  Building a department or new team can be expensive and difficult.  Before you choose to hire an employee, determine whether or not it may be better to outsource the work.  Lots of roles can be easily outsourced: marketing, manufacturing, digital marketing, advertising, and more.  Although there is risk associated with the lack of control, outsourcing can be a quick and cheap option for accomplishing a company’s tasks.  

Who is a good candidate?

Although it’s difficult to isolate specific qualities that indicate who is and is not qualified, remember that good employees exhibit several key traits.  The first is a strong work ethic.  You want employees that take pride in their work and perform at a high level, putting forth their best effort.  Also look for a positive attitude and exceptional communication skills.  Work is a collaborative environment where all employees work together to serve their market.  Employees that can interact easily and positively magnify their efficiency and create a more satisfying work environment.  Additionally, previous experience and a demonstrated expertise in the skillset you need is often the most valuable characteristic of a qualified candidate.  Experience is very valuable as it saves your company money during training and increases the value a candidate can bring to their department.  Finally, loyal and reliable candidates often become the best employees.  They are consistent, stable, and show an interest in developing a long-term career with your company.

Hiring practices are often the most important processes at a company.  Who you hire affects your company culture and the productivity of your departments.   It sets the future course of the business and can often be the difference between success and failure.  For this reason its important to have a robust process in place that effectively screens candidates and makes sure you have the right people walking in the door.

The Entrepreneur Authority is a group of franchise consultants dedicated to helping you own and operate your own franchise.  There are a lot of perks that come from becoming an entrepreneur and engaging in the franchise business model.  If you would like to explore opportunities in franchising and know more about the possibilities, contact the Entrepreneur Authority today for a no-cost, no-obligation, no-pressure consultation or call 866.246.2884 to speak with one of our FRANtastic consultants.  You can also attend our free monthly webinar, “Franchise Ownership as a More Stable Career Path.” Just click on the link to register!

Make your own work hours, meet interesting people and use your car to land your dream job. Uber driving as part of the rapidly growing ride share program has become one of today’s hottest income opportunities because of the flexibility the technology company offers.

The Los Angeles Times reports the Uber was valued at $50 billion in 2015, and in 2016, global bookings are expected to increase by 141 percent. With Uber’s worldwide presence in more than 350 cities in six continents and a $2 billion investment from Chinese firms in 2016, as reported by Reuters, the company’s continued growth is attractive to those looking for both part-time and full-time employment.

Becoming an Uber driver independent contractor is a simple process, but in order to maintain a high rating and keep booking clients, it’s essential to offer an excellent ride. Here’s how to score a position and become one of the best on the road.

Uber Application Essentials

Uber offers several classes of rides, from the basic UberX to the most luxurious UberBLACK, UberSUV and UberLUX categories, which fall into Uber’s high-end offerings. UberBLACK, UberSUV and UberLUX have stricter requirements during the application process, including the possession of commercial licensing and commercial insurance. In most markets, a car that is older than five years old will not qualify for any of these three designations.

All Uber drivers must be at least 21 years old or older and have at least three years’ driving experience. All vehicles must have at least four doors, and in most cities, vehicles must be 10 years old or newer. Valid insurance and a driver’s license is required, and an in-state plate with current registration is a necessity. All applying drivers will also be required to pass a background check that goes back seven years and examines criminal history and motor vehicle records. Criminal activity and extreme driving arrests will disqualify you.

Uber also requires drivers to pass a vehicle inspection test, which means you’ll want to make sure your car is properly fueled and in good working condition, including high-quality tire tread. Outfitting your ride with new tires from a reputable brand, such as Nitto, can ensure tires pass the tread test. Equipping your car with proper emissions fluids and having a mechanic work on it before inspection will also help you pass.

You’ll need a working smartphone to pick up rides and navigate your trips. The smartphone should be in excellent condition so that you are able to communicate with passengers if they contact you while you’re on your way.

Become a Road Warrior

After you’ve officially become an Uber driver, it’s vital to keep up a high rating. After each trip, drivers are rated by passengers on a five-star scale. Uber recommends keeping a rating of at least an average of 4.6, according to Business Insider, or else the company may deactivate your account.

To ensure your rating stays high, follow these tips:

• Keep your car clean and smelling pleasant. Get regular washes and details, use an air freshener and don’t travel with food in your car.
• Do not drive with other guests in your car. You should be the only other passenger the person you pick up encounters.
• Ask a passenger what they’d like to listen to. Riding with news talk radio or blasting irritating music without keeping your passenger’s preferences in mind may lower your rating.
• Impress passengers with free perks. Keeping mints, water bottles or phone chargers in your car to keep passengers hydrated and comfortable makes the ride more pleasurable.
• Take the most convenient route possible. Use your smartphone to check for delays, and if the passenger suggests a route, always take it.
• Be polite and professional. Help with luggage, engage in friendly conversation or provide peace and quiet if that’s your passenger’s preference.

Being an Uber driver is more than casually picking people up. The more professionally you approach the job, the more potential you have to garner more rides based on your rating and increase your earnings.

Think Red Bull is going to help you stay on top?

Think again.

While these types of ‘high-energy’ drinks – filled unhealthy amounts of sugar – can boost your energy over a short burst of time, they’re not going to deliver the type of long-term, sustained energy you need to achieve the best productivity and results.

In reality, eating real food – and eating it often – is the key.

In fact, recent data revealed that people who ate five or more servings of fruit and vegetables a day, four or more times a week, were a whopping 20% more productive than their non-fruit-and-veggie-eating counterparts.

So, how do you achieve this? By eating energy-rich foods for breakfast, lunch, supper, and snacks throughout the day, on a regular basis.

See this recent infographic from EBOC and HubSpot for the full details:

Creating – and living – a brand is essential to any small business’s success.

For franchises, a brand is created, developed, and standardized by a franchise’s corporate headquarters. But that doesn’t mean local franchise owners can’t put their own stamp on their business – especially if they’re military veterans.

Make public, customers aware of your military background

It can be tough as a small business owner to gain instant credibility, although franchising plays a huge part in establishing it. By letting the public and customers aware you’re a military veteran, this only further establishes your credibility and helps gain their respect.

Some simple ways to do this are to include some military-supportive signage in your store or office, offer discounts or incentives for other current or former military personnel, and to decorate and/or hold celebrations for special holidays like Memorial Day and Veterans Day.

Mention military experience during client-building, sales process

If you’re a franchisee that practices a service- or large product-based business, you and your staff will have a focus on business development and sales.

To help generate more qualified leads, build a strong pipeline, and convert on a higher percentage of leads, work your military background into your sales pitch. In particular, you can briefly mention how your business operates with the same focus and integrity as the military – leading to an unparalleled customer experience.

Support veteran and military-related charities in your area

Along with promotion and pitching, you can also make a real difference in your community by supporting veteran and military charities.

Through donations, fundraisers, or volunteering at an event, you can help truly demonstrate your care for your fellow service men and women while establishing your business’s pro-military presence.

To learn more about entrepreneurship through franchising, attend our free monthly webinar, Franchise Ownership as a More Stable Career Path. The webinar is free, but you need to pre-register, which you can do online by clicking on the linked seminar title.

You may also register by calling 866-246-2884.

Unhappy works cost the U.S. between $450 and $550 billion dollars a year.

Billion. With a capital ‘B’. So, what’s the problem?

Low morale leads to low productivity

Not to be surprised, employees that are disgruntled and unsatisfied are less productive. What’s to blame?

For starters, 46% of new hires fail to perform within 18 months of starting a position, with the majority to blame for a poor work culture fit.

As well, 80% of people who are dissatisfied with their work also report dissatisfaction with their manager.

Overall, 70% of people report that they are disengaged at work.

Engaged employees are happier, more productive

The solution? Change the company culture and engage employees.

Engaged employees perform 20% better than their non-engaged counterparts, and happy employees have up to 37% higher sales.

By identifying a company culture and hiring those that fit the mould, you can optimize your company’s workplace into a highly positive, cohesive unit.

Having a great work-life balance will also help boost productivity and success.

Check out this infographic from Good.co for the full details: