managing in the SMB
Developing a management method that works for you.
Small business crisis management
Small Business Management
A step by step guide to EM2 (Entrepreneurial Management & Motivation)
A quick explanation of EM2.
EM2 is nothing more than the method that many successful entrepreneurs use to manage their people, and their business. It’s based on logic and experience. I as the author am a manager, and an entrepreneur. I’ve been managing people for fifteen years, and I’ve been a successful entrepreneur for more than ten. This book is not based on a study of thirty thousand managers, which then pulls information from all of them to arrive at a new theory of management that’s never been tested in the real world. This stuff works, and it works well.
The central theme of the method is this; Identify your best people and keep them happy and productive. We refer to these people as HIHMs. Highly Intelligent, and/or Highly Motivated. We do this by rewarding them and giving them freedom and flexibility. If you accomplish nothing else make sure you take care of your top people.
The reason we do this is to increase the bottom line. That is our ultimate goal.
Contrary to popular belief, we’re not here to build a team, make everyone feel good, or treat everyone the same. We’re here to make the owners and investors in this business a profit. The easiest way to do that is hire and retain the best people possible.That is the essence of small business management.
When we’ve stabilized and rewarded those at the top we make every effort to afford those in the middle the opportunity to join them.
With that accomplished we trim the fat at the bottom.
Step 1: Define the people
The first step is to define our people. We want to know who is at the top, who is in the middle, and who is bringing up the rear. Create a simple list with three sections. Your top performs, average workers, and those that need help or need to be shown the door. After creating the list put it aside for a week and then re-evaluate. This will help to remove any emotion from the decision.
We start with those at the top in productivity and efficiency.
The highly intelligent workers
- Mastery of the job
- Ability to learn quickly
- Finding new ways of doing things
- Leading through the thought process
- Examples
- Programmer
- Accountant
- Engineer
- Attorney
- A Manager
- Technical support person
Next we identify our highly motivated employees
Highly Motivated
- Always works hard
- But not workaholics.
- Does the job right
- Count on them in a pinch
- Customer First
- Trying to get promoted on merit not seniority
- Examples
- Customer service rep with excellent customer skills.
- Service provider to the end customer with great attitude (from plumber to consultant)
- Sales Person always meets or exceeds quota
- Field Technician customers love him.
Do we have any employees who are highly motivated and highly intelligent?
Our average worker
- Does the work expected
- Doesn’t make many mistakes
- Shows up on time
- Doesn’t work much overtime
- Has a solid understanding of the job and decent mastery of skills required to perform.
- Complains only occasionally
Finally we take a look at the bottom.
- Makes a lot of mistakes
- Misses work
- Shows up late
- Not much initiative
- Constant complaining
- Resource hog (always needs more people and money to get the job done)
- Doesn’t get along with other employees
Continue to step 2 of EM2 method of small business management.
