Is there any point doing performance reviews when it’s very unlikely I will be handing out pay raises this year? I don’t particularly like doing them and I imagine the staff will see no point.
Ideally, a review should be a discussion about an employee’s performance, not about his compensation. And while you have no carrot to wave, it’s still important to let staff know how well they are doing at their jobs, what plans you have for their development, what areas they could improve in (and ideally targets for them to shoot for), plus a reminder that the payoff will come when times improve. As for you, a review gives your staff a chance to provide feedback. One thing to be mindful of, however, is that you need to try to take some action based on what is discussed in the review. Otherwise, it really does become a bit of a pointless exercise, from the viewpoint of your staff.
I am considering hiring a salesperson from a major chain who wants a fairly high amount of compensation. Will she be worth it?
Despite the frequency with which the service at majors is disparaged, their salespeople do often outsell their peers at independents although the reasons — access to more resources and higher customer volumes thanks to strong locations, aggressive promotions and systematic training that supports cross-selling and upselling – do not always reflect superior sales skills at the individual level. Indeed, it is salespeople at independents that often do a better job of building stronger relationships with customers through personalized service and tailored recommendations. So, while a hire from the corporate world will often have been well trained in sales techniques and be well drilled in standardized procedures, that’s no guarantee they will be a rock star on your salesfloor.
It’s also important to consider cultural fit. When it comes to an employee’s responsibilities, the main difference between a chain store and independent optical retailer is the amount of freedom and initiative required of the staff member. Does this person give you the impression she is flexible and can think out of the box? Does she “get” your business’s personality and ethos? Does she understand there isn’t always backup if she wakes up feeling less than 100 percent? Vigorously follow up on any references she provides, invest time in the screening process and then go with your gut. After all, if you’re not convinced in the interview process, they’ve failed the most basic sales test — selling themselves. One final word of warning: Don’t agree to pay her “elevated” wage demand if you think you’re going to obsess over her salary. That won’t end nicely.
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