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Need a Peep? Recruit Hire Interview Train Manage.

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Presentation on theme: "Need a Peep? Recruit Hire Interview Train Manage."— Presentation transcript:

1 Need a Peep? Recruit Hire Interview Train Manage


3 Independent Contractor vs. Employee  Buffalo News Sales Team  Differences between independent contractor & employee  Local laws & where to verify them Bryan Donohue, CFO

4 Buffalo News Sales Team  Commission only  Generalist  Sell all products  Provide client relationship management  Provide benefits  Earn the right for time off based on years of service  Salary plus commission  Specialists  Have an expertise in a certain product area  Provide support to generalist to close a sale  May bring in new clients and manage that relationship

5 Independent Contractor vs. Employer Federal and State Laws may differ Check both before classifying a person

6 Laws are all Different  Google “employee vs independent contractor”  IRS website yields federal employment tax law  State of Ohio Department of Labor has new rules  State of New Hampshire has new rules for 2012  State of New York rules are contradictory  For tax purposes a person can be classified as an independent contractor.  For worker’s compensation purposes that same person can be classified as an employee.  Seek legal advise about your specific circumstance  IRS web site  State Department of Labor web sites

7 Federal Tax Law – From IRS.GOV IRS Summertime Tax Tip 2010-20 As a small business owner you may hire people as independent contractors or as employees. There are rules that will help you determine how to classify the people you hire. This will affect how much you pay in taxes, whether you need to withhold from your workers paychecks and what tax documents you need to file. Here are seven things every business owner should know about hiring people as independent contractors versus hiring them as employees. The IRS uses three characteristics to determine the relationship between businesses and workers: 1) If you have the right to control or direct not only what is to be done, but also how it is to be done, then your workers are most likely employees. 2) If you can direct or control only the result of the work done -- and not the means and methods of accomplishing the result – then your workers are probably independent contractors. 3) Employers who misclassify workers as independent contractors can end up with substantial tax bills. Additionally, they can face penalties for failing to pay employment taxes and for failing to file required tax forms.

8 Federal tax law from Workers can avoid higher tax bills and lost benefits if they know their proper status. Both employers and workers can ask the IRS to make a determination on whether a specific individual is an independent contractor or an employee by filing a Form SS-8, Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding, with the IRS. You can learn more about the critical determination of a worker’s status as an Independent Contractor or Employee at by selecting the Small Business link. Additional resources include IRS Publication 15-A, Employer's Supplemental Tax Guide, Publication 1779, Independent Contractor or Employee, and Publication 1976, Do You Qualify for Relief under Section 530? These publications and Form SS-8 are available on the IRS website or by calling the IRS at 800-829-3676 (800-TAX-FORM). Links: Publication 15-A, Employer's Supplemental Tax Guide ( PDF )PDF Publication 1779, Independent Contractor or Employee ( PDF )PDF Publication 1976, Do You Qualify for Relief under Section 530? ( PDF ) PDF Form SS-8, Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding ( PDF )PDF

9 Compensation  Compensation plans should benefit your employee and your company.  They affect:  Your company culture  Whether you can attract and retain employees (from competitors)  Whether or not you stay in business

10 Creative Compensation at Google  On-site massage therapist  Free lunch & snacks  On some campuses, on-site dry cleaning, childcare & dentist  Baby bonus & extra time off  Dollars for education/learning  Travel insurance  Legal aid  Gameroom  Free shuttlebus with wireless to/from work at some locations.  …..& more….

11 Creative Compensation at Magic City Post  Shop local budget ($250 annually)  3 free logo shirts & 10 logo water bottles  Summer hours  Healthcare stipend  Learning stipend  Game & Fitness in our facility  On-site car wash – 1X per month  Group lunch – every Friday  Favorite snacks in the office fridge – always  $50 grocery gift certificate each month  1X per month – individual activity with each employee  1X per quarter – group retreat  At least 20% of time dedicated to learning

12 Performance-based Compensation at Magic City Post  1 month sabbatical after 1 yr. of service (must perform at level 3 or above)  Profit sharing (annual bonus)  Reps – go-ahead bonuses  Present on your desk when you do something amazing/or recommend process improvement outside your job scope Find out what your Competition offers…

13 Robert Fuqua CEO

14 Recruiting “High-Caliber” Employees (from an entrepreneur’s perspective) Atlas RFID Solutions, LLC May 16, 2012 Birmingham, Alabama

15 Presentation Purpose & Agenda One (1) entrepreneur’s experience in recruiting and retaining a “high-caliber” team. - Define what “high-caliber” means to you. - Establish your culture that will attract your definition of “high-caliber” professionals. - Reinforce your culture. - Celebrate culture successes. - Make the tough decisions. - Recruit “high-caliber” talent that will be a cultural fit. - (vs. skill sets and experience level). - Try to scare the recruit away. Key Tenets:

16 Presenter’s Qualifications Academic Performers  Relocations to Birmingham 3 West Point graduates 1 Princeton graduate 3 Georgia Tech graduates 1 Vanderbilt graduate 1 Berkeley graduate 2 Duke MBAs 2 Emory MBAs  From San Francisco  From Washington D.C.  From Charlotte, NC  From Memphis  From Atlanta (x3) Corporate Transfers Arthur Anderson The Shaw Group Novak & Biddle Regions Bank (x2) First Commercial Bank AT&T (x2) Southern Company Blue Cross Blue Shields Total Hires for Atlas:47 Current Employees:22

17 Define “High-Caliber” Define What “High-Caliber” Means to You. - How do you size people up? - How do you measure effectiveness? - Who impresses you? - Why do they impress you? - Where do these people live, work, go to school? - DOCUMENT YOUR DEFINITION. KEEP IT ON YOUR DESKTOP. “Seek first to understand; then to be understood” -Stephen Covey Atlas Case Study RF Definition of “High-Caliber”: -Top 1% Intelligence -Articulate; good communicator -Very Strong work ethic -Pattern of achievement under difficult circumstances -Scrappy problem solvers -Extremely competitive -“Team Player” -Hungry for success

18 Establish Your Culture Establish your culture that will attract your definition of “high-caliber” professionals. - What is important to you in life? Why are you doing this? What is your greater purposes? - How do you relate to “high-caliber” professionals? When are “high-caliber” professionals impressed by you? - Figure these things out… Capture in in a document. Save it on your desktop. Post it in your office. - Commit to these values for the long-term. Learn how to communicate them effectively. Practice communicating these tenets to others. - A CLEAR UNDERSTANDING OF YOUR VALUES WILL BE THE BASIS OF YOUR CULTURE AND WILL BE THE PRIMARY POINT OF ATTRACTRION TO PROFESSIONAL RECRUITS. Atlas Case Study -Culture based upon exceptional global-level achievement. -Defined Mission and Values in static document called “The Core”. -Developed analogies that help me to effectively communicate Atlas’ culture and values: -Special Ops Philosophy -100% Effort on the Basketball Court “Seek first to understand; then to be understood” -Stephen Covey

19 Reinforce Your Culture - Establish rules and policies that reinforce the merits of your culture. - Routinely communicate the tenets of your culture. - Celebrate successes that come as a result of your culture. - Make the tough decisions to eliminate threats to your culture. Atlas Case Study A higher standard -No detail too small. -“The Tie Guys” Work ethic -We don’t track time in/out. -We don’t track vacation days. -Huge awareness to customer comments regarding this. Tough Decisions: “Seek first to understand; then to be understood” -Stephen Covey

20 Recruit “High-Caliber” Talent Recruit “high-caliber” talent that will be a cultural fit. - Order of Significance when Hiring: - “High-Caliber” Match? - Cultural Fit? - Experience Level. - Skill Set. - Try to scare candidates away from your company. - Never let compensation be the showstopper when you know you have a strong fit! - Identify the specific hurdle. - Creatively resolve the hurdle with a timeline. Atlas Case Study Talent Before Skill Set -Project Manger  Sales Guy -Retail Manager  Project Manager -Financier  Product Manager -Accountant  Goodbye Creative Compensation Models -Relocation -House sell -Equity -Guaranteed commission -Professional training -No travel -Work from home “Seek first to understand; then to be understood” -Stephen Covey

21 Summary TENETS: - Define what “high-caliber” means to you. - Establish your culture that will attract your definition of “high-caliber” professionals. - Reinforce your culture. - Recruit “high-caliber” talent that will be a cultural fit. KEY POINTS: - DOCUMENT YOUR VALUES AND DEFINITIONS. KEEP IT ON YOUR DESKTOP. - A CLEAR UNDERSTANDING OF YOUR VALUES WILL BE THE BASIS OF YOUR CULTURE AND WILL BE THE PRIMARY POINT OF ATTRACTRION TO PROFESSIONAL RECRUITS. - REINFORCE YOUR CULTURE DAILY, MAKE THE TOUGH DECISIONS, OR LOSE YOUR TALENTED PROFESSIONALS. - ALWAYS BE RECRUITING. IT’S YOUR MOST IMPORTANT TASK AS AN ENTREPRENEUR. “Seek first to understand; then to be understood” -Stephen Covey

22 Questions?

23 Recruit  Write job description, and figure out exactly what/who you are looking for. Tell them what’s in it for them.  Network, network, network  Tell everyone you meet at business meetings that you are hiring & the qualities/traits you are looking for  Attend job fairs & follow-up  Always be recruiting… Alex Papike, VP

24 Magic City Media, publishers of Magic City Post &, is looking for a talented Sales Affiliate to join our team. You’ll help local independent businesses learn how to market/advertise online, and you’ll help our team grow and thrive by meeting monthly sales goals. We offer an excellent digital training program along with enhanced, ongoing learning opportunities and a unique culture that supports collaborative decision-making. Magic City Media is a year-old start-up company located in Innovation Depot, a world-class technology incubator in downtown Birmingham. We were recently named ‘Best Local Website’ by readers of the Birmingham News, and our shopping sites are the ‘buy local’ platform for the communities of Homewood and Mountain Brook. For this role, you must be a curious type – interested in learning something new everyday as you’ll dedicate at least 20% of your time doing just that. You must also be able to perform in a team environment and support your colleagues and the community in a positive, motivational way. We offer:  A team-based work environment  Performance-based compensation  Monthly grocery stipend & free car washes  Healthcare & fitness stipend  Month-long sabbatical after 1 yr of service  Path to advancement Interested candidates can connect with us on Linked In or email their resume to: Sample Job Posting

25  Pull: Place job on college job boards (usually free)  Pull: Place job ad on your own website & social media channels  Network: Contact local Professors of Sales & Marketing programs & ask them for their best candidates  Direct: Contact student media at local colleges/universities Recruit

26 Interview  Pitch  Cultural fit?  Clear & precise on training program  Follow-up with all candidates The #1 reason why people leave an organization is because of a values misfit.

27 Hire  Call to offer position (don’t leave a voice mail with the offer)  Send offer letter immediately with all details  Start-date  Compensation  90 day trial  Employee should sign/send back

28 Offer Letter Dear Susan, We are pleased to offer you a Sales Affiliate position with Magic City Media. Your compensation is performance-based, so in addition to your base salary of $10 hourly, you will receive a 20% commission on all sales above your base-level goal each month. Your base- level goal will be given to you prior to the start of the month by me. You will receive your base salary check each Friday and your commission will be paid on the 15 th of the month for the previous month’s collected revenue. You will also receive some fringe benefits that we’ll cover with you in detail on your first day with us. We determine our fringe benefits based on employee feedback, so those could change on a quarter-to-quarter basis, and we look forward to hearing from you on which benefits you find to be most valuable. Mary Neal, our Marketing Coordinator, is a big fan of the grocery stipend right now. She can tell you all about that on your first day with us. Your offer is contingent on a background check of your references, which will be completed by Friday. You will also be subject to a 90-day probationary period as I described during your interview. Your start date will be May 1, 2012 at 9:00am or a mutally agreed-upon date. Please sign and return this document via fax (205-250-9038) or email ( to indicate acceptance of the position no later than April 22, 2012 at 5:00pm. Welcome to the team! Best, Emily Lowrey ________________________________________ ____________________________________________ Emily Lowrey, CEO Susan Jones Magic City Media

29 1 st Day  Keep the momentum going from the start.  All forms ready prior to arrival.  Training scheduled prior to arrival.  Goals prepared prior to arrival.

30 Manage: Snowflake exercise  Three management styles: 1. Laissez-faire  Chaos, need for control 2. Autocratic  Don’t do anything unless the leader is here 3. Democratic  Participatory decision-making

31 Manage: Four phases of employee development  Manage your employees to where they’re at currently, with the goal of getting them to the next stage.

32 4 Levels of Employee Development 1. Full Direction: They need you to clearly direct them on most everything they do. 2. Half/Half: They can take on some tasks, but still need direction on most. 3. 3/4 -1/4: They can take on most every task, but still come to you for approval. 4. Optimal Performance: They take initiative and own work, making nearly all decisions in their specific area of focus.


34 Questions

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