The need for dynamic resources by a startup is an inevitable component. Startups that struggle with technology will certainly not be separated from an experiment and always test everything that has been made, from the right platform, user needs, to the right business model.
The mistake in selecting an employee is a very common thing. We will definitely be faced with a condition in which to dismiss an employee or allow it to continue with the risk of your startup being destroyed.
Losing a job is undesirable to everyone, including your employees. But it can happen if you make a mistake or your employees make a mistake. Never hesitate to take decisive action if your employees make a mistake that is at risk of causing your startup reputation to crumble. Here is an ethics of laying off your employees in a better way.
1. Do System Rank & Yank
For start-up startup it is very necessary to do this method if you are difficult to dismiss employees. One of the most famous managers of all time, Jack Welch popularized a rank & yank system. This system will group the manager and his team into three categories: Top 20%, Middle 70%, and Bottom 10%.
All personnel who are in the position of Middle 70% must be given a coaching or training. The duties of managers also include keeping them motivated at work and not pressured by the existence of such a system. As for Bottom 10% position is all the people who have to 'go'. Although impressed this system is relatively radical and hard, but this gives an advantage.
First, it gives employees clarity about the work culture in your company. Everyone knows that this is the way the company works, and from the outset the employee already knows what happens if he does not show his work performance.
Second, this mechanism will give a coercion for every manager to remove their worst performing team members. With this policy, it is not possible for managers to postpone decisions that cause underperformers to last for years. It also forces managers to provide coaching to the middle ranks because after all loss of most employees will be bad for the company.
2. Provide Clear Work Standards
A good startup should have clear expectations from employees and honest feedback. If from the outset you have established a clear standard of work and a clear open assessment system, in such situations there is nothing to be surprised if a poor performing employee, or in the lowest rank, should 'go away'.
3. Give Early Warning Possible
Give a warning to your employees if they do make a mistake. Do not wait until their mistake makes your company lose. Early warnings will have a pretty good effect, so your employees feel that their work is paying attention and their performance will increase. Give warning with an explanation they can understand.
4. Keep Relationship Post Dispute
If you do a dismissal in a bad way then it can lead to some side effects that are very detrimental to the morale and loyalty of the rest of the employees. Do this process well and communicate this to all personnel of your company. This needs to be done so that no one feels harmed and the work climate will be well preserved.
If you fire someone in a way that embarrasses him, then other employees will surely think they will be treated the same. If you happen to embarrass their good friend, they will start hating you too. One important thing to realize is that the remaining employees are also worried about their fate. This will affect the performance of the team and their output, and it is not impossible that your startup will experience a very significant setback. It happens because you do things you do not need to do.
