Related Stories
Keep Your Best Employees Sticking Around
Time Out For Time Management
Don't Waste Your Customers' Time with Your Site
How Much Money are you Throwing Away on Wasted Time?
5 Ways To Turn Off Customers (for Brick and Mortars)
Understanding Why Customers Are Always Right
Managing Your Time Wisely
Manage Your Online Reputation in Real Time
Are You Spending Enough Time Learning?
Paying Mind To Current Customers
Submit Your Article
Advertise
Newsletter




Comments
employee percentage staffing be safe.
Overstaff and understaffed? These are nice guesses for your business. However, you shouldn't have to guess. You shouldn't be throwing darts in the dark like some drunk after the bar has shut down. Your labor should be a percentage of sales. Of course this percentage is different for every business. Do some research and talk with experts. Every industry has their percentage. If you don't know yours its because you haven't done your research or been in business long enough. In general most service businesses are around 28-32% labor cost vs sales. I have found in mine that I can maintain this and make a fantastic profit margin. One more point is that you should always be growing into a new employee unless there are the dark clouds of a negative economy on the horizon. Then I revert to the expression "Be slow to hire and quick to fire" When I look at last weeks annoucement that GM was laying off 3000 workers I ask myself what took GM so long to let them go? Sales of GM cars have been down for several years now. Each department should have had their own budget as percentage of sales so there was never a huge layoff. Now you have 3000 people trying to get the same or similar jobs at the same time. I'm on my soapbox now. Sorry. Find your percentage and you will not be over or understaffed. Just properly staffed to make a profit.
RE: employee percentage staffing be safe
Post new comment