A Happy Team Is Good For Business
TRANSCRIPT AUTOMATICALLY GENERATED “I could do anything for enough money” Those were the words I spoke when my father tried to explain to me that I should pick a career I loved because I’d be working for a long time. I think I was about 10. Unfortunately, I was no wiser at 18 applying for my Bachelor of Commerce degree, or at 21 deciding to do my post-grad in accounting, or at 22 when I started audit even though 4 years of interning had already made me hate it, or at 25 when I chose the banking job for the glittery promise of a bonus over the way more fun gaming company role with way more scope and responsibility. And so it continued year after year choosing a good paycheck and a comfy life because I was satisfied. When I looked back over my career, I had been paid well, been promoted, given international opportunities, and impressed enough people with all of these. But I was MISERABLE. Now I am not telling you this tale of woe so that you will feel sorry for me or so that you will abandon your comfy corporate gig (I get that massive amount of privilege in this story) but because I want you to think about the team you have or the team you plan to build and ask yourself, do you want them to be happy? In the corporate culture I grew up in, it didn’t really matter. But maybe if they stopped and looked at some of the data they might have… In a Harvard study, they found a 765% increase in net income over 10 years in companies with a strong culture. Let’s really make that sink in…If your net income is 100k now… in 10 years, it would be 76.5m In a Gallup study, they found happy salespeople produce 37% more sales. So if your turnovers a million that’s an extra 370k And happy employees are 20% more productive. So imagine you could support 20% more clients – what would that look like in revenue and bottom line? On the flip side, happy teams are less likely to leave. The financial impact of an employee leaving is 10-30% of their salary – so if you have a team member on 50k that’s a bottom line of 5-15k. And that’s before you consider the impact on team morale and the productivity hit as others have to step in to cover and train. The good news is research found the longer team members stay the stronger the relationship between happiness and stickiness becomes. The most surprising stat for me was that 36% of employees would give up 5k in salary if it meant they could be happier at work. I know that you are not trying to replicate the complicated and often toxic culture that seems to be all over corporate and that these bottom line impacts may simply be a nice bonus to you being a good human and treating your team well. In fact, you might have a small and might team who seem to share a brain as well as a deep competitive streak with Wordle and you can’t imagine ever having a business where this wasn’t the case. Or maybe you feel like you're through that sticky part of the business where your business has scaled rapidly is you've had to scale the team rapidly and you feel like you've made those hiring mistakes now. And you know what not to do as much as you know what to do. And you may feel like you're through the worst of it. However, as the team expands and the business grows and you step further away from the individuals in your team. However, as the team expands as the business grows and you step further away from the individuals, culture needs to become a verb, something you do, something you nurture, something you plan for, and something you measure as the CEO. Because as much as you would never want your team to be anything but happy and thriving, do you know if they are? Or maybe more importantly, do you know if they are unhappy? You would know, right? When I resigned, my managers were shocked – genuinely surprised despite me doing the minimum for months. When I resigned my peers were shocked – so much so that the ones that were also my friends were hurt and outraged to be so out of the loop on my life. So I challenge you to ask yourself, how do you know your team is happy? And before you try the obvious and ask them… that may actually make things worse. But let’s talk about that in episode 2. You’ve been listening to the first episode of the Team Experience pop-up podcast. Each episode dives into a different aspect of team experience and how it helps to create a culture you can be proud of. As this is a deep dive more suitable for expanding business and those with plans to add or grow their team, I decide to host it separately from the normal feed. Head to dianemayor.com/popuppod to get access to the Team Experience Pop Up. Episode 2 drops Monday April 18th. I’ll be back here next Thursday with a brand new guest interview.
Creating a culture you are proud of in your businesses reaches both the people you bring in AND your bottom line.
As your business and team grow, culture needs to be something you plan for and measure.
In This Episode
- The Unhappy Employee
- The Bottom Line
- The Challenge
Subscribe to the Team Experience Pop Up Pod
Episode 2 drops Monday, April 18th
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The information contained above is provided for information purposes only. The contents of this podcast episode and article are not intended to amount to advice and you should not rely on any of the contents of this article or episode. Professional advice should be obtained before taking or refraining from taking any action as a result of the contents of this article. Diane Mayor disclaims all liability and responsibility arising from any reliance placed on any of the contents of this article.