Seven tips to help small businesses attract and retain high-performing staff
Retaining high-performing employees starts with the recruitment process.
The experience you promise during recruitment needs to carry through to the first day on the job and the way your team works every week – including for small businesses.
“What I think is unique to small businesses is the ability to be connected to your people and really know your teams, which is a valuable attribute,” said Chris Nunn, Manager of CCIWA’s HR and Workplace Relations Consultancy and Employee Relations Helpline.
“People join our organisations for a role and the promises made during recruitment.
“If you can’t match salaries, you can still offer clear communication, flexibility, and clear and direct access to decision makers.”
He outlined seven practices small businesses can use to attract, retain and develop capable teams.
In short: Small businesses can attract and retain high-performing staff by hiring for skills and values, setting clear expectations in the first 90 days and giving managers time to coach their teams.
Regular check-ins help managers address performance issues early, while on-the-job training and quarterly skills planning prepare the business for future needs.
Free, unlimited HR advice for CCIWA members
Need help onboarding a new starter or addressing a performance issue? Our Employee Relations Helpline provides practical advice on recruitment, onboarding and performance management. CCIWA members can use the helpline as often as they need at no extra cost.
Call 08 9365 7660 or email [email protected].
1. Hire for values and capability
Ask each candidate the same core questions about how they handled real situations and follow up by asking what they did and what happened next. Also ask them to complete a short task.
Assess each candidate against the same job criteria and ensure that you and your team were across what that selection criteria should look like.
Add three behaviour-based questions to your next interview and decide what a useful answer would demonstrate ahead of time.
2. Invest in onboarding
Show new employees examples of good work, who to seek support from – including from other teams when appropriate – and when their progress will be reviewed. Schedule check-ins before they start.
In the first 30 days, focus on safety, key relationships and work standards.
By 60 days, build independence and identify skills gaps.
At 90 days, review how the employee is settling in and what support they need.
Related reading
- Best practice recruitment in line with anti-discrimination laws
- Managing poor performance: a practical guide for employers
- Workplace investigations and mediation for employers: how to get it right
Workplace toolkits and guides
- Fair Work Act Guide: Understand employer obligations, rights and compliance under the Fair Work Act 2009.
- National System HR Starter Kit: covers the complete employment lifecycle of from recruitment through to end of employment, including performance management.
- Recruitment and Termination Kit: recruitment processes, termination requirements and employer obligations under workplace laws.
3. Teach managers how to lead
“A promotion alone does not teach feedback or delegation,” Nunn said.
Give managers time to practise those skills and prepare for difficult conversations.
A regular one-on-one gives them a place to start. Ask what is going well, where work is getting stuck and what support the employee needs. Agree on a next step and revisit it at the next meeting.
4. Address performance issues early
Allowing poor performance to continue or delaying action when you notice bad behaviours make it much harder to discipline or exit someone from the organisation.
When having a performance conversation, avoid labels about a person’s motive and focus on the issue at hand and how to fix it. Make sure that leaders can handle difficult conversations in the same manners so there’s consistency across the business.
A regular communication rhythm – for example, fortnightly one-on-ones with direct reports – gives the opportunity to address issues early.
5. Make communication routine
Try a 15-minute weekly team huddle to explain what has changed, confirm priorities and give staff time to raise questions.
Keep individual feedback and development conversations for one-on-ones.
6. Allow time for staff to learn on the job
Pick a task only one person knows how to do and have another employee watch, practise on a sample and explain their decisions. Ask the experienced colleague to review the work and give feedback before the learner takes on the task independently.
eLearning can be another low-cost option. Check out our eLibrary for online courses on leadership and management, professional skills, workplace health and wellness, digital literacy, personal development and customer service.
7. Plan for the skills you will need next
Set aside time each quarter to look six to 12 months ahead and consider:
- How demand might change
- How you might grow
- What may change in the external environment
- Will certain systems or customer/client demands need different skills
- Where the business depends on one person
There are four options that could help you service these gaps:
- Build – develop capability in your existing team
- Buy – recruit the capability you need
- Borrow – use a contractor with specialist skills to temporarily fill a gap
- Redesign – change how the work is getting done
Start with one change
Pick one action you can take this week, such as drafting a first-week checklist before your next employee starts.
Give someone responsibility for it, set a due date and check whether it helped before moving on to the next practice.
How we can help
For support with recruitment, onboarding or performance management, contact our Employee Relations Helpline on 08 9365 7660 or [email protected].
Free unlimited use of our helpline is included in CCIWA membership. Find out more about how CCIWA membership can support your business.
