Work, Better

In 1981, Loverboy's hit "Working for the Weekend" became a musical anthem for the masses – the people who, in the words of the dance-inducing chorus, are "goin' off the deep end" and "need a second chance."

No doubt the message resonated. The majority of baby boomers were in the workforce. Gen X was coming of age. For all of them, work was little more than five days of drudgery, a necessary evil in order to support themselves, their families and their weekend fun. The boss was a jerk, co-workers were out for themselves, and the pay could at least buy you a few rounds at the bar until Monday morning came back around.

Those days are waning. Sure, grumbling about work will never go away, but companies now realize that the amount of time they and their employees spend together means the workplace must be a healthy environment. It's about much more than competitive compensation; businesses must nurture their team members and provide a comfortable "home away from home" where employees can work with purpose and thrive.

The relationship is symbiotic. Employees look for – practically demand, in fact – flexibility and group connection at the workplace, along with management that communicates to them how their work has purpose and helps them further their individual careers. In turn, companies get happy employees who deliver sharp gains in productivity while demonstrating increased loyalty.

"Gen X and older generations were worried about job or no job. Now, employees are looking for higher-order needs to be met."Jamie Notter, Human Workplaces

It's a far different dynamic than in decades past. While companies once thought they could compete on compensation alone, pay now often takes a backseat to intangible (but often more important) attributes such as collaboration, communication, respect and work tied to larger goals. It's not so much about the latest workplace fad, but rather that individuals' needs in a particular office are being listened to and met.

Both survey data and testimonies of leading distributors and business experts bear this out. Advantages' exclusive 2019 Sales Compensation Survey found that, when distributor sales reps and sales management were asked which workplace attribute is most important to them, "enjoyable workplace environment and culture" came in first – not "high compensation."

Likewise, Human Workplaces, a workplace culture consulting firm in Washington D.C., recently conducted a survey that asked respondents to rank more than 60 workplace attributes. At number one? "The company understands my unique needs as an individual."

"Gen X and older generations were worried about job or no job," says Jamie Notter, co-founder and culture designer at Human Workplaces. "Now, employees are looking for higher-order needs to be met."

This is what separates an agile, responsive workplace from the rest, a particularly important distinction in a competitive job market where, according to a recent survey by Robert Half Finance & Accounting, 90% of CFOs say the current hiring environment makes it difficult to attract top talent.

In short, it's a new day at the office. Distributors have to take a hard look at the entire employee experience they offer in order to compete for talent, decrease turnover and differentiate themselves in a crowded industry.

The good news? An increasing number of them are receiving the message.

CANDIDATE COURTSHIP

You've heard of the educated client. Job applicants are now educated too; they've done their research, compared offerings and often have real-life experience, so they know what they're looking for. Among their wants: work with a clear purpose and evidence that the company will invest in their success.

"We want to know why they come to work every day," says Tom Rector, CEO of Screenbroidery (asi/305623), a Counselor 2018 Best Place to Work in Indianapolis. "Maybe it's to provide for their family, or they like helping people, or they want to do something rewarding. We want to help them achieve their individual goals."

Tapping into potential hires' mindsets and expectations can help determine if they're a good fit for a company's culture. At the same time, to attract potential hires and decrease turnover once they join the team, that culture has to emphasize collaboration, cooperation, respect, meaningful work and team success.

"Focus on what makes people successful, rather than what sounds good," says Notter. "There has to be a why. You can say 'we're radically transparent,' but then you need the second part: 'because then we make decisions more quickly, which drives success for our employees.'"

By using culture as the lodestar for a company's operations, employers can present their company to applicants in a consistent way while applicants get a clear view of the company, which makes for a better hiring match.

"Employees want a company that's more than just products and services," says Bob De Garmo, president of The Shamrock Companies (asi/324237), a Counselor 2018 Best Place to Work in Westlake, OH. "It needs to be culture- and purpose-driven. We discuss why that matters, that it's not just lip service."

And although companies are expected to cater to needs and wants in order to be worker-friendly, it's also important that they form a consistent culture that respects current employees and make sure new hires are positive additions to the existing environment.

"Create a feeling of courtship," says Lisa Jackson, CEO of Corporate Culture Pros in Denver. "Will this person fit on the team? They should share the same core values. Don't make the decision to be exclusive with each other until you've made sure you're a good fit. Use the process to court people and to allow both sides to decide."

Once new hires are set to start, it's not enough to sit them down with a laptop and phone and expect them to start selling. They want the company to invest the time to train them. In an employee onboarding survey of 1,000 American workers, BambooHR found that 68% had left a job within the first three months. Among the reasons: They didn't receive clear guidelines regarding their responsibilities (23%) and wanted "more effective training" (21%). Even 17% said "a friendly smile or helpful co-worker would have made all the difference."

"I tell clients to map out new hires' first day, week and 60 days," continues Jackson. "On day one, it's like they're dinner guests. Welcome them, don't ignore them! It's amazing how many companies don't even have a desk or computer for them on the first day. That's a chaotic experience. Schedule their start based on when you're ready for them to come in."

There's a process to bringing someone in, says Notter. "Companies will say, 'Fill out these 300 forms from HR, get to know the people around you and here are some doughnuts.' There's more comprehensive onboarding now," he says. "There are basic needs, like where their desk is. Then it's training in their role, then how that connects to all the other roles, then the behaviors that make them successful. All this happens at different times, but you have to build it in faster than systems training. If you don't address these things early on, you can miss the window with them."

Rector says training for new sales reps takes about three months. "They have to know who people are, what they do, what the processes are, and how they fit into it," he says. "They shadow different departments. They learn products, suppliers' systems and our company programs. Then they start producing. We give them sales goals, but we're not expecting them to really produce until about a year in. It's a long process and we all have to be patient."

After the first two weeks of basic training and getting to know co-workers, "it's constant check-ins to make sure everything's going well," says Jen Gangwish, vice president of College Hill Custom Threads (asi/164578), a 2018 Counselor Best Place to Work in Seattle. "We give them some ramp-up time before putting their feet to the fire. It's a lot to take on."

COMPENSATION IS STILL IMPORTANT

For job applicants, compensation and benefits make up an important part of the overall picture of an open position. They want to feel they'll be compensated fairly for the time and effort they'll put in, with opportunities to earn more as they build their books. Even though other job attributes have taken on increasing importance, companies need to offer competitive compensation and perks to present an attractive employment package.

Jay Jacobus, CEO of Scarborough Specialties (asi/319940) headquartered in Lubbock, TX, and Counselor's 2018 Family Business of the Year, says his company had to take a hard look at its compensation and benefits structure since it competes in a tight job market. Located across six locations in Texas, it's often vying for hires alongside oil patch companies that can afford to pay several times more.

"Our employees' top non-negotiable is flexibility. If a rigid policy says you have to be in your seat between certain hours, employees don't like that."Mitch Silver, Printable Promotions

Now, some of the sales team are independent contractors, paid in a 50/50 split, while most are considered employees, paid 60/40. "Newer reps want more stability, so we'll give them a salary for the first three months," says Jacobus. "It's not a draw; it's a gift to get them going so they get hungry for more." They also offer health benefits, paid trade shows and telecommuting.

Printable Promotions (asi/299458), a 2018 Best Place to Work in Chicago, offers base plus commission, and gives reps, considered employees, the opportunity to earn at different tiers based on volume. It also offers 401(K) matching, healthcare, unlimited PTO and profit-sharing, which "rewards everyone for bottom-line company performance," says Vice President Mitch Silver. "If we saved on coffee, if we re-negotiated with UPS, everyone benefits. It shows that everyone can contribute to profitability, not just sales."

While the majority of industry companies have transitioned to a salary-based model, commission pay still works with the right support for reps. At The Shamrock Companies, most salespeople are 100% commission, what De Garmo calls "high-risk, high-reward." "It's a very generous plan," he continues. "We give them the resources to build a book and they can do well here." It also offers health benefits, including dental, and a 401(K) program.

FLEXIBILITY, CULTURE AND BEYOND

According to workplace experts and industry Best Places to Work members, the number-one perk among employees is flexibility, including work-from-home options and hours outside 9-to-5. Employees have forever lamented jobs that take over their lives, but with little recourse; tech advancements mean they can request more balance, because when they're kept from important life events – or even just barred from greeting the appliance repair person at home on a Wednesday – resentment builds.

In its recent Global Talent Trends study, HR firm Mercer surveyed 7,300 business executives, HR leaders and employees about the changing work environment. More than half (51%) of those surveyed say they wished their employers offered more flexible work options, including working from home, flexible hours and unlimited PTO.

"Virtual work is so prominent now, it has to be honored," says Jackson. "Employees believe they shouldn't have to be in their seats to be considered valuable. They expect more freedom. And it's not just the younger generations – I surveyed 60 workers from ages 21 to 60, and 'flexibility' was the most important factor for everyone."

It's the same at Printable Promotions, where leadership hosts regular meetings with employees to discuss what's important to them. "Their top non-negotiable is flexibility," says Silver. "It's a complex world, and it's hard to balance everything. If a rigid policy says you have to be in your seat between certain hours, employees don't like that."

Still, even as employers grant the ability to work outside the office, they have to be increasingly cognizant of the dynamic inside the office. As a social environment where diverse personalities come together to work as a team, the workplace has to be healthy, accepting, respectful and transparent, which encourages two-way communication. When conflict isn't rectified, it only festers, frustrating employees and leading to turnover.

Jackson says the first step is to normalize feedback: If feedback isn't built in to the business model, it's more challenging to solve issues. She recommends daily check-ins, meetings and reporting out. "Giving and receiving feedback has to be natural so it doesn't get loaded," she says. "At a meeting, someone might say, 'We've been trying to get this information for six months,' but the specific roadblock is never mentioned. Normalizing feedback leads to less interpersonal conflict, and the company can make faster decisions."

Scarborough Specialties fosters a friendly environment through a mentor program that, admittedly, new employees aren't always sure about. But Jacobus says participants come to see the value in it.

Paired-up colleagues take time for weekly one-on-one discussions about work, personal lives, whatever they want to share. "They're sounding boards for each other," says Jacobus. "It was awkward at first. Now people take their entire lunch hour. We've seen great growth in camaraderie."

But it takes time for new hires to be comfortable enough to participate, and that's OK, says Jacobus. Let them catch their breath and build rapport, he says, and don't force the issue. "For the first month or two, we just let them do their job. Then we have a company picnic, and we talk about the culture and how they can participate."

Compensation and flexibility are important, but employees also need to feel comfortable with their colleagues, and they need to know that company leadership makes it a priority. A huge part of employees' satisfaction at work, and their decision to stay, comes down to a healthy social environment that they look forward to being part of.

"People want to feel loved and accepted where they are," says Jacobus. "They want connection and communication. We're always looking to compete on compensation, but that's not everything."