Human Resources Blog - Spark Hire
2 Reasons for Developing Leaders Within Your Small Business

2 Reasons for Developing Leaders Within Your Small Business

How often have you seen small businesses hire leaders from outside of their business, only to let them go a year or so later?  I believe one of the key reasons why this happens often is simply because the new hire does not understand or fit in with the company culture.

When you hire leaders outside of your small business, it can be difficult to know if the new hire will fit in with your culture and develop the sense of loyalty that your small business needs.  With this in mind, quite often the route best taken is to consider hiring from within your small business.

1. Ensure a good cultural fit

When you hire from within your small business, you are hiring someone you know.  Not only do you know the person’s work ethic and performance, but this person already has an understanding of your business and culture.

Many times, a huge hurdle with hiring new leaders from outside of your small business is simply the learning curve when it comes to how your business operates and your expectations.  Rather than tossing caution to the wind and hoping for a leader who MAY fit in with your company culture AND quickly learn the way your business operates, it is worth your time to consider your existing employees.

If you have an existing top performer with desire and leadership ability, you are much better off focusing on developing that employee into the leader that your small business needs.  You will save the time of interviewing as well as considering an unknown candidate and you will have a better idea of the person you are placing in the important role.

2. Develop sense of loyalty

When you invest in the development of your employees, you are creating a sense of loyalty and belonging among your employees.  Loyal employees will take pride and ownership in their roles, which is of great benefit to your company’s culture and success.

Most employees today desire more than simply a J – O – B.  They want a career that provides them with challenging opportunities and room for professional growth.  As referenced by Entrepreneur, it is important that you invest in your employees by educating and training them, as well as challenging them.

By offering the chance for your employees to grow within your small business, you are creating opportunity for them.  This eliminates the need for your employees to pursue opportunities outside of your business, which lowers your turnover rate and eliminates the extra effort required when needing to replace a valuable employee.

Another important factor to consider is that when you are able to hang on to your best employees, you are preventing your competition from snatching them away from you!

What is preventing you from developing leaders within your small business?

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Julia Weeks

Julia is a skilled Recruiter with over 8 years of experience in sourcing, interviewing, and hiring within many industries globally. She works closely with hiring managers and job seekers to understand needs and desires, while offering guidance and ensuring the right fit. When not recruiting or writing, Julia enjoys spending time outside cycling, taking her dog for walks, or honing her sailing skills.

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