Is the employee efficient?
Labor productivity is taken into account in the process of production and promotion of goods on the market. Managers find out how the staff meets the tasks. For this, along with education, the qualifications of employees and work experience are taken into account. Among other criteria — is the personal data of applicants for the position.
The manager analyzes the productivity of professionals, focusing on criteria such as the volume and complexity of tasks. If employees are able to meet the optimal deadlines, the fact is responded to accordingly. At the same time, employees are required to conserve resources.
Technical means have been developed to monitor the personnel. In this way, a decision is made about the performance of people. Evaluated communication skills, and the level of professionalism. The interview also reflects reality. Business games are used, during which they find out how much the employee is initiative and active. Emphasis is placed on creativity, and other qualities are revealed.
The owners of the enterprise are interested in the profitable functioning of the business. Employee motivation is the way to achieve the goal. However, the financial reward must be truly deserved. Bonuses are calculated based on performance indicators (KPI). With a systematic approach, the work of the company is optimized.
Guided by the employee’s KPI, a bonus is determined for a certain quality of work. For this, a technological system of indicators is used, which is built into the management structure. The ability of employees to achieve the set goals in full is analyzed. Employee KPIs are financial. Economists also note the client side of the issue.
The development criteria take into account productivity in combination with administrative costs. It turns out the satisfaction of the staff from the work process. Staff turnover is also included in the definition of KPI. The indicators are implemented in simple calculations. Business processes acquire transparency, which unites the team.
The following indicators can be attributed to the KPI of employees of sales departments and sales managers:
- Total sales. The employee is given a plan for a specific period. Basically, a period of a month is used here, but you can use both a quarter and a year.
- A number of sales. This can be the number of customers or the number of checks in a particular period.
- The size of the average check. Used to encourage employees to sell additional products.
- Traffic. The number of potential buyers. It affects all employees at once but thereby encourages them to use additional channels to attract customers, such as word of mouth.
- Conversion. The ratio of buyers to total visitors or traffic.
Depending on the field of activity of the company, you can enter any other KPIs, in addition to the main ones. It can be repeat customers, orders for additional services, and so on.
Customers are an important chain in the entire sales system. If salespeople only think about their KPI, consulting solely for the sole purpose of selling an expensive product, this can be detrimental. The client may not come to this store next time, realizing that something is being imposed on him or that he is spending more than he planned. Business owners in this case, in the long run, lost profits.
