Evaluate and Reevaluate You People
Simply means know your people or the employees you are putting your trust into. Beware of deceitful employee or even your trusted Managers or Engineers. Because some are so shameless and scam enough to trick you by working while you are around and fool you as if they are productive or capable for the job. At your back while you are not watching, your trusted person in the business just sit down from morning to dawn not doing even a single task of monitor any project or finding ways to improved the company performance and earnings, but instead he just let the day pass by asking only report from the people on the ground and acting as if he is the one making things happen.
One of the other common mistakes of the Owner is approving reluctantly the additional employee as requested by the Manager. Unconsciously he is giving higher salaries to employees at a higher rate who's work is only checking the attendance and worst than that, he is only monitoring the in and out of the machine, and not knowing that he is giving that employee free housing, car allowance, class A insurance which the benifits are exceedingly inappropriate. The work is practically irrelevant and redundant to the work of the Accounting and HR. Thus, it is very important to monitor your Organizational Structure together with its functions to maximize you expenditure to salaries of employees.
There was this Company who has been from the start was a booming company. The Company is doing good business and having more clients. The owner who is so confidently reluctant he hires someone and trusting the new Manager by the looks only of his CV and false certificates and by the way he talks. The Owner was so negledient about his business, he is not even doing a monthly evaluation for both Manager and workers, as to wether this Manager is capable or not. All he know and see is that the manager keeps on giving reports of progress. Not knowing, that his Company is slowly decaying, by simply not function as a righfull Manager and only deceiving the owner slowly the business reflects the effects of such carelessness, lesser clients are coming to the business, estimations is not winning any bids because the qoutations, the estimation and the profit is erroneously decided. Behind the knowledge of the owner that his Manager don't care whether the business will fall or backrupt as long as he is receiving his monthly salary.
While the Owner could have done something better. It is very easy to expose the deceit of an employee or a Manager. Monthly evaluation is one solution, in this way you will learn the feedback coming from the very worker the Manager is managing. Or by evaluating the Manager personally asking him about How he will Manage the Capital of the Company? Does he know how to make a live cashflow of the Money invested so that you as the Owner can see the real time cashflow of the money. Because if he cannot do this things, that means he a blind type of Manager. The very risky type of Manager having no idea on how to control the business or the Cashflow. The owner must not only rely of the Accountant cashflow there must be a way of check and balance. In this way both parties the Management and accounts are clearly monitoring the cashflow so we can avoid corruption.
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