LEGAL / Temporary employee benefits MARKETING / Maximizing LinkedIn FINANCE / Determining fees SERVICE / Better feedback programs

staff ng t mesHELPING YOUR STAFFING BUSINESS GROW WINTER 2012

HOT NICHEHow to capitalize for your staffing firm

Information Technology:

2 / WINTER 2012 www.tempay.com

letter

There is no doubt the staffing industry continues to boom — it is expected to grow an estimated 9 percent this year according to Staffing Industry Analysts.

The professional sector is expected to see the greatest growth, with a projected 10-percent revenue increase this year. Within that sector is information technology, and staffing firms have seen the demand for these professionals skyrocket. In this issue, we explore the reason for the trend and how your firm can take advantage of niche staffing.

We also explore temporary employee benefits as a way to remain competitive and attract high-quality talent. And we discuss how to build or retool your customer and employee feedback processes to make them better than ever.

As always, we welcome your ideas, suggestions and topics for upcoming issues. TemPay is here to fulfill your needs and help you achieve your staffing firm’s goals. Send your thoughts and input to info@tempay.com.

LARRY HOLSTEINPresident, TemPay

DEAR FRIENDS:

contentsfeature:

HOT NICHE

departments: 3 LEGAL

Benefits for temp employees

4 MARKETING Are you the missing link?

9 FINANCE Get your fee structure righted the best way

10 SERVICE Better client and employee feedback programs

11 IN BRIEF Tips and stats for your firm

PUBLISHER / Marc MellmanEDITOR / Ann M. Gynn / ASSOCIATE EDITOR / Danielle TothART DIRECTOR / Amanda Horvath PRODUCTION DESIGNER / Andrea JagerPROJECT MANAGER / Angela Vannucci

TemPay Staffing Times is a publication produced by Smart Business Content Marketing, 835 Sharon Drive, Suite 200, Westlake, OH 44145, (440) 250-7000. www.smartbusinesscontent.com

6

LARRY HOLSTEIN, PRESIDENT

How to capitalize on IT staffing

legal

BENEFITS TALK

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More staffing firms offer staff perks

Though staffing firms historically have not provided employee benefits to their temporary workers, that status quo is changing.

Typical employee benefits include health care, dental and 401(k) plans. Bruce Friedman, Director of Assurance

Services at SS&G, a national accounting and business consulting firm says staffing firms also should think beyond the typical. Other benefits could include uniforms, tools or paid education/training.

“Depending on your industry, these benefits could be particularly valuable for a temporary employee,” Friedman says.

Firms also must evaluate whether they want to offer paid vacation and sick time. Staffing agencies that offer those benefits usually do so for employees with longer placements and structure the paid time off to coincide with the employee’s particular client’s offerings, Friedman says. For example, if an employee at Company ABC gives its employees three vacation days after three months, the staffing firm would give its temporary placement three vacation days after three months with the client.

CONSTime to educate. One of the best ways to drum up participation in an employee benefits plan is to educate employees, and most employers schedule some sort of meeting to explain benefits and/or their changes to employees. However, with temporary employees who are consistently coming and going or may have irregular shifts, scheduling a benefits meeting can be difficult, Friedman says. As a result, you may be taking a lot of time to explain benefits to each employee individually. One alternative is to consider a Web-based training solution.

Cost. The big con to an employee benefits plan is cost. Plans can be expensive to implement and sometimes cost more for staffing firms because of the transient nature of their employees. Additional costs can include matches for 401(k) plans and the cost of auditing the plans, Friedman says. Make sure to account for possible administrative costs for the time it takes to file plan-related paperwork, conduct conversations with providers, etc.

“Typically what you see in benefits with temporary employees is the benefits might not be the ‘Cadillac’ version, if you will,” Friedman says. “You want your plan to be cost-effective yet have decent enough benefit for the employee.”

Whether you already provide benefits or are looking into it, shop around. Make sure you’re getting the best bang for your buck.

Take the nature of your industry into consideration when deciding whether to offer benefits. Temporary employees with longer assignments or employees frequently placed are good candidates for benefits. However, if your firm’s assignments are typically shorter and have a lot of talent that comes and goes, providing benefits might not be worth it.

“My biggest takeaway would be to understand not only your business but the business of your competitors,” Friedman says. “Look at what makes sense for your business and what will give you an advantage over other staffing firms in your industry.”

“You want your plan to be cost-effective yet have decent enough benefit for the employee.”

— Bruce Friedman, Director of Assurance Services at SS&G

Whether your firm already provides benefits or is contemplating providing them, here are some pros and cons to consider:

PROSBeating out competitors. The more benefits a staffing firm is able to provide, the more attractive it is for applicants to come to them as opposed to a competitor, Friedman says.

Cam Shipley, business development manager at Ebit Information Systems, an IT staffing firm in the Louisville, Ky. area, says his firm provides benefits, including health care, dental and training, mainly for that competitive reason. His company is rolling out a 401(k) program this year.

“It’s a competitive advantage,” he explains. “If you look at our benefit package compared to our competitors, it is a better package. We have 6-percent premiums, dental coverage and training. And word has gotten around as contractors talk to one another.”

Attracting higher-quality talent. Quality workers require quality benefits. Although it can be a case by case basis, more educated or skilled workers typically tend to seek employers that offer a better benefits package, Friedman says. Some temporary workers are the sole providers for their family, while other temporary workers already have benefits through their spouse.

4 / WINTER 2012 www.tempay.com

marketing

In 2011, LinkedIn rolled past 135 million members worldwide. Launched in 2003, the professional business network contin-ues to grow exponentially, adding about two members every second. According to a study by the network itself, LinkedIn

users are now connecting with executives from all the Fortune 500 companies.

In today’s environment, recruiters and job candidates who have not established themselves on LinkedIn are already chasing the crowd. Fortunately, the network’s intuitive framework makes it easy for new users to quickly sign up, create a basic profile, and get down to the business of growing their professional network.

Here’s what you need to know to make LinkedIn a power tool in your recruiting and job search toolbox.

PUMP UP YOUR PROFILEA stagnant profile only gathers dust. According to Bettina Seidman, founder of Seidbet Associates, simple, bi-weekly profile updates like adding a new skill set or punching up a vague headline are effective ways to increase visibility and send out an unobtrusive ping to your network.

“Be sure to craft a headline statement that truly captures your talent and expertise,” says Joe Drapcho of Quality Executive Search. “Recruiters are using keyword searches so you’ve got to differentiate yourself with a carefully constructed profile and headline.

“If your initial profile says ‘recruiter,’ you need to select language that better describes what you do – language that captures your expertise and your passion – and the impact you had on the business.”

Post a current professional photograph; LinkedIn statistics show profiles with photos are viewed seven times more often than those without a headshot.

JOIN THE CONVERSATIONIn the old days linking up meant waking up early to attend a business networking meeting. With LinkedIn, members can log in and join a variety of groups related to their field or industry, expanding their network with multiple relevant contacts at once.

“Jump into the groups you find around your specialty,” Drapcho says. “I belong to several group connections within the ceramics industry, and I also belong to several recruiter groups. Within those groups, there are active discussions you can join, and I often add to the discussion on specific issues. It gives me access to people I normally don’t have an opportunity to meet.”

As Stephen Karagiozis, regional talent acquisition manager of the Americas at Eaton Corp., says, “two of the common mistakes we see are not allowing introductions to be made, and not allow-ing ‘Inmails’ to be received.” Inmails are LinkedIn emails that allow any user to reach another user – no introduction or official contact information required. “Why join LinkedIn if you’re not open to networking,” Kargiozis asks.

FOLLOW COMPANY PAGESFor recruiters, “following” company pages provides crucial information about their clients and prospective clients. LinkedIn describes company pages as searchable, centralized venues where members can stay current on a company’s news, products and services, business opportunities and job openings.

“It’s easy to search companies, and pull a list of companies you want to follow,” Drapcho says. “For example, if I follow XYZ Corpo-ration, I can see how many connections are present, and how many employees from that company are on LinkedIn. I can find out what jobs they are searching for and what jobs they have available, and there’s a convenient link to their website.”

FIND AND SCREEN CANDIDATESRecruiters can no longer bank on static job boards for sourcing candidates. According to LinkedIn, jobs posted on their network are forwarded an average 11 times and viewed 400 times, resulting in about 30 applications. LinkedIn’s advanced search function is

ARE YOU THE MISSING LINK?

a direct way of sourcing both active and passive candidates by searching on keywords associated with qualified candidates.

Recruiters are becoming savvier when using LinkedIn’s powerful search algorithm to weed out unqualified candidates. “Our sourcing leader (at Eaton Corp.) advises our recruiters to put thought into their search strings or parameters, as the most successful searches are a product of analytical thinking, not just extensive Boolean strings,” Karagiozis says.

APPLY WITH LINKEDIN A new feature called Apply with LinkedIn allows companies to include a quick-apply button within job posts. It lets job applicants viewing the listing to immediately send their LinkedIn information to the company. The candidate then receives a list of professional connections from their network that may provide references for landing the position.

ASK AND ANSWER QUESTIONSNever before has there been a simple method of lobbing a question out to 135 million people. According to LinkedIn, the Answers feature lets users ask questions to their immediate network, or to the entire network. Those who answer can respond publicly or privately. “Responding on “Answers” is not only helpful for the LinkedIn community, it can improve your credibility within your network,” Drapcho says.

LOCATE CLASSMATESAt the end of 2011, LinkedIn initiated Classmates, an easy way to find old schoolmates or connect with professionals who attended your alma mater.

“It’s been particularly helpful in reconnecting after years with college classmates who moved into different positions and different geographies that were unknown to me,” says Jamie Bailey, a senior vice president at Fiserv.

Stephen Karagiozis, Regional Talent Acquisition Manager – Americas, Eaton Corporation

In 2012, Eaton Corporation plans to use LinkedIn as our main external resource to identify top talent. We use LinkedIn as a database to search for passive candidates, and we post our open positions on the site. We also host numerous career/group sites where people can follow and learn more about our global organization.

As a talent acquisition function in a global organization, LinkedIn is a tool that is critical to our strategy and success. From university hiring to executive search, our team uses it on a daily basis and relies on it to provide our hiring teams with qualified candidates, market intelligence and other value added data.

Jamie Bailey, Senior Vice President and Managing Director, Global Sales Manager, Revenue Enhancement Solutions, Fiserv

I regularly use the company and group pages, especially as they relate to the banking industry, and specifically to the retail banking industry groups. I use the search and Inmail feature extensively to reconnect with past friends and colleagues. It’s been very valuable when a current client contact leaves a position and moves to another bank. LinkedIn can automatically advise me of any LinkedIn connections in my network when they update their profiles to indicate new jobs and other profile changes.

Joe Drapcho, Ceramics Industry Specialist, Quality Executive Search, Inc.

I started using LinkedIn simply as a necessary recruiting and business tool. It’s helped me with my contact list in the specific industry I recruit in. It helps exponentially because one connection leads to multiple connections. I used LinkedIn to reach out to an engineering candidate who then introduced me, through LinkedIn, to another candidate who I placed. A company needing my services on a recruiting assignment also contacted me through LinkedIn. It’s worked out really well. If you’re not using LinkedIn, you’re missing out on passive candidates that you can approach. Even though they may be passive in terms of looking, you may have a position that would fit them perfectly. LinkedIn creates opportunities to contact these people, and it gives you credibility because you’re connecting through the network. It’s also creating interest and conversations you may not encounter otherwise.

WHAT ELSE DID OUR EXPERTS SAY ABOUT LINKEDIN?

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www.tempay.com6 / WINTER 2012

HOW TO CAPITALIZE ON IT STAFFING

NicheHOT

Growth in the staffing industry continues – an estimated 9 percent expected for 2012, according to Staffing Industry Analysts. Long-term growth, though, is expected to

shift more toward the professional sector (a 10 percent revenue jump this year.)

Information technology and engineering are pro-jected to be the strongest segments in the professional sector, according to analysts.

“It’s a logical option to have contract labor in IT departments,” says Cam Shipley, business development manager at Ebit Information Systems, an IT staffing firm in Louisville, Ky. “When a company’s rolling out an IT project, a contract employee is a good way to supple-ment the workforce on that specific project.

“And because these temporary employees are em-ployed by the staffing firm, we handle the human resourc-es end of the hiring, which means companies can get their work done and don’t need to worry about the additional HR cost associated with bringing on a new employee.”

BY DANIELLE TOTH

WHY NOW?Emerging technologyOne of the reasons IT professionals are in demand is that technology is constantly evolving and every company wants to have the newest offerings to both be on par with its peers and beat out its competitors, Shipley says.

“It used to be that only Fortune 500 companies had access to the latest and greatest technology, but the price point has come down now so even start-up businesses can have as good or even better technology than the largest companies out there,” he says.

One of the most popular technologies seeing wide-spread use is mobile devices for business, Shipley says. Of the world’s 4 billion mobile phones, 1 billion are smartphones and 3 billion are SMS-enabled, according to Microsoft Tag. By 2014, mobile Internet use will be greater than desktop computer-based Internet use.

To take advantage of the flexibility of this trend, many businesses allow their employees to hook their phones

TemPay Staffing Times / 7

or tablets up to corporate networks or provide phones or tablets for employee use. With so much technology to continually update and troubleshoot, IT professionals continue to be in demand, Shipley says.

Better economyCompanies are hiring more help overall because business is improving, says Pamela Wasley, CEO of Cerius Interim Executive Solutions, an Irvine, Calif.-based staffing firm that places interim executive management personnel.

As the economy improves, businesses are less fearful of investing money in personnel and equipment but are still wary of full-time hires, Wasley says. This creates an excellent environment for temporary employment.

“The reason temporary IT employees are very interesting to businesses is that most technology implementation does not require a high-level person on the payroll for a long period,” she explains. “Typically, companies will have someone come in to help decide the right technology for their infrastructure and then help them implement it. After that, companies will use a low-level permanent employee to maintain the technology.”

More readily acceptedAnother reason the IT industry is so hot is because it’s only fairly recently that IT staffing has been seen as a necessary component of a modern, corporate infrastructure, says Mike Barefoot, senior account executive at Red Zone Resources, a Raleigh, N.C.-based IT staffing firm.

More companies recognize that tech-nology impacts their bottom line, he says. For example, paperless systems increase efficiency and reduce redundancy, resulting in financial savings for a company.

“Companies are trying to become more seamless and move away from the pen-and-pad mentality,” Barefoot says. “With that being stated, more money has to be spent,

systems have to be implemented and coop-eration among departments utilizing these newer technologies has to be realized.”

Shifting work atmosphereThe IT industry favors temporary workers because technology such as cloud computing and remote services enable an IT professional to access and troubleshoot a company’s network or an individual employee desktop from anywhere in the world, Wasley says.

“We’ve placed employees who aren’t even in the same city as a client we’ve contracted with,” she says. “Companies are more comfort-able with using these types of workers, and the employees enjoy the flexibility and mobility.”

Companies also enjoy the flexibility, as they can bring in a worker for a specific project and then not have to worry about unemployment obligations after the project is complete, she says.

GAIN FROM THE TRENDThis increased IT hiring provides many opportunities for IT staffing firms, Shipley says.

He advises firms to network and get their name out. The more people who know about your staffing company, the better reputation you will have and the more companies will come to you for their IT staffing needs, he says.

“The best thing you can do is have a good reputation,” he says. “Unfortunately, it takes a long time to get a good reputation, but you can lose it overnight. The main thing is the customer is always right. Treat people well because if they choose to start a campaign against you, you’re at their mercy. Word travels faster than it used to, especially with the Internet.”

Barefoot agrees, saying networking is the most important element to maintain and further success. He advises staffing profes-sionals to askew technology and get face to face at networking events that attract

corporate IT professionals. “The goal should not only be to meet

the workers but the employer as well,” he says. “Many employers can become hurt by this economy via layoffs or downsizing, and what was originally a hiring manager now becomes a marketable candidate for the right opportunity.”

Shipley also suggests offering recruiters from your firm to work with various com-panies. While a staffing firm usually doesn’t get paid for recruiting assistance, companies most often only use one or two recruiters. Staffing firms get paid when a temporary employee is hired, making this option at-tractive to companies. While this recruiting assistance might cost your firm a little more time and money, the payoff could be big because these clients hire your talent. After they see you consistently offer solid talent who meets their needs, they might even choose your company over their current IT staffing firm.

“I often talk to companies who have a need for talent but say they already have a recruiter they work with,” Shipley explains. “Once I explain to them that having another recruiter doesn’t cost them anything, they’ll jump on board and we’re in the door.”

Barefoot says any staffing firm already servicing the IT sector should have a deep database of IT professionals, including both passive and active candidates.

CIOs reveal 1Q hiring plans

Twenty percent of CIOs said they plan to expand their IT departments, and 10 percent expect cutbacks, for a net 10-percent projected increase in hiring activity, according to the Robert Half Technology IT Hiring Index and Skills Report.

The report is based on

telephone interviews with

more than 1,400 CIOs from

companies across the United

States with 100 or more

employees.

To develop this database, Barefoot sug-gests creating a presence on social media sites such as LinkedIn, Twitter, Facebook, etc. and seeing who joins your activity or posts on related topics. You can use social media tools such as SocialBro, which ana-lyzes your Twitter account and tells you the best time to tweet your followers, compares your company’s information to other com-panies in your industry and tells you about what your followers are saying.

Barefoot also suggests posting jobs on vari-ous job-related websites, looking for candi-dates on job boards and using candidate refer-rals to keep your IT staff pipeline constantly streaming for current and upcoming needs.

“Companies need to be proactive as op-posed to reactive,” he says.

GET INTO THE NICHEAll staffing firms should not jump into the IT staffing market. If your firm specializes in light industrial or nursing staffing solutions,

for example, offering IT staffing just because it’s hot right now might not be the best idea for your firm, Shipley says.

“IT people speak a different language, and unless you have someone in your com-pany who is tech savvy and can speak that language, you’re not going to know both what your client wants and what your tem-porary employees want,” he says. “The value of staffing firms is that we do the recruiting, interviewing, etc. for our clients. You’re not going to know how to write a job descrip-tion, review a resume or even interview a candidate if you don’t speak their language.”

Wasley agrees, saying plenty of staffing firms specialize in IT. She recommends firms stick to the niches in which they are comfortable and have experience.

“If you’re in the finance space and all of a sudden you decide to enter the IT space, you shouldn’t expect a lot of business because there are others out there already covering the niche,” she says. “It’s just not worth your time.”

Start-up staffing firms should follow the same rule, Shipley says, meaning a potential owner shouldn’t just one day decide to start an IT staffing firm and think the company will do well because the industry is doing well. A new owner should head into an in-dustry he or she is familiar with to have the best chance of success, he says.

Barefoot shares an example of a coworker who attempted entry into IT staffing from general staffing even though she had no experience in the industry.

“She would come by several times per week to ask me what acronyms such as DBA or UNIX stood for, and I’m sure this naiveté was fairly transparent when she went out on sales calls and the conversation went into deeper realms,” he says. “Executives have very little time, and when they do take the time to meet with you, they want you to bring a value-added proposition to them to increase their production value.”

WHAT’S AHEADCompanies seek all types of IT professionals but particular interest exists in expertise in .NET, SQL and Java, Shipley says.

“If an IT person is skilled and good at what they do, they can find a position be-cause companies need work done,” he says.

Executive-level IT professionals also are in demand, Wasley says. About 10 percent of the more than 800 executives placed by Cerius Interim Executive Solutions are IT professionals, she says.

Wasley explains that companies are looking for talent that specializes in multiple technolo-gies because they have learned to do more with less and give their employees multiple responsibilities. A staffing firm can take ad-vantage of this need by recruiting talent with diverse backgrounds and multiple specialties.

Barefoot says demand for temporary IT professionals will continue for at least the next five years and most likely beyond because technology is only evolving.

“Companies aren’t going back to the aba-cus or the sun dial,” he says. “Companies are constantly trying to stay ahead of the curve and will need professionals to maintain these advancements in technology.”

8 / WINTER 2012

Not an IT staffing firm? Still good adviceEven if your staffing firm does not contract IT employees, you can still take advantage of this trend and the advice from our experts. Apply these nuggets to your staffing firm to increase new clients and increase efficiencies:

• Network – Mike Barefoot of Red Zone Resources advises firms to search business networking sites such as LinkedIn to find events to attend. Get involved in area chambers of commerce or other community groups.

• Use mobile technology – Make sure your staffing firm’s website can be displayed on mobile devices such as smartphones and tablets. Consider creating a specific mobile site or even an app so busy talent can have their staffing information at their fingertips.

• Stick to what you’re good at – Don’t jump head first into any industry without doing your research. Companies like specialized staffing firms because they know their stuff, says Pamela Wasley of Cerius Interim Executive Solutions.

• Implement technology to create efficiencies – Cam Shipley of Ebit Information Systems says focus on what technologies can help create efficiencies within your company, saving you dollars in the long run.

TemPay Staffing Times / 9

finance

Setting fees isn’t as simple as 1, 2, 3. Determining what to charge involves many facets and must be revisited from time to time to make

sure the formula is still appropriate.Consider the advice from these experts

– whether you’re starting a staffing firm or settled in your business – their insight and tips can help evaluate and tweak your methods for maximum return.

RIGHT STRUCTUREStaffing firms use three main fee structures: retainer, contingency and flat fees, says Pamela Wasley, CEO of Cerius Interim Executive Solutions, an Irvine, Calif.-based staffing firm that places interim executive management personnel.

Cerius uses a retainer fee structure – it charges an upfront fee that clients pay for the firm to start an employee search. Wasley explains that retainer fees typically are used for higher-level talent recruiting because the firm conducts a comprehensive search from a specialized pool of candidates to find the perfect match for the client and position.

Contingency fees allow a staffing firm to receive payment only if it makes a successful permanent placement. Smaller firms are more likely to use this method because they don’t have a ready specialized pool from which to tap and may take longer to find an acceptable candidate, Wasley says.

Retainer and contingency fees vary rates based on the client and nature of the search. A flat rate – a staffing firm charges a set fee or percentage of base pay – typically is charged by staffing firms conducting a higher volume of work rather than high-paying searches, Wasley says.

RIGHT PRICEFees are typically 20 to 25 percent of the temporary employee’s starting salary, but vary depending on the client and type of search, Wasley says. Fees also can be charged per hour or even per day depending on the length and nature of the assignment.

GET YOUR FEE STRUCTURE RIGHTED THE BEST WAY

“If you’re good at what you do and can provide a client with an employee who has the talent and skills necessary for the job but is also a good fit for the company’s culture, clients will see you are worth the fee.”

— Pamela Wasley, CEO of Cerius Interim Executive Solutions

Bruce Friedman, director of Assurance Services at SS&G, a national accounting and business consulting firm, says a staffing firm must look at all its direct costs to provide a temporary employee. This includes payroll processing and taxes, workers’ compensation, benefits, background checks, drug testing and advertising for the position.

Subtract the direct costs from the billed rate to determine the profit from a particular client, Friedman says. If you typically earn 20 percent profit from a client, consider accepting 17 to 18 percent if the client relationship is good and the arrangement could cause the client to give you more business, he says.

Likewise, Friedman suggests, research into the client’s unemployment or workers’ compensation risks. If the client has a lot of claims, you might want to charge as much as 25 or 30 percent to cover the risks,

Friedman also advises staffing firms to be competitive. Talk to other staffing firms and colleagues in your industry to see what they’re offering.

RIGHT TIMEEvaluate your fee structure annually or biennially, Wasley says, as the staffing market can change quickly. If your fees are higher than your competitors make sure the added value is apparent. For example, if the fees are higher because temporary employees receive advanced training or education, make sure your clients know about that added value.

It’s just all about communicating that worth. As Wasley says, “If you’re good at what you do and can provide a client with an employee who has the talent and skills necessary for the job but is also a good fit for the company’s culture, clients will see you are worth the fee.”

10 / WINTER 2012 www.tempay.com

service

THANKS FOR ASKING

Every Monday morning, highly skilled and motivated personnel at large, powerful companies around the world begin plotting new ways to seduce your clients and entice your employees.

How do you know if your best customers and staff members are satisfied or considering a move? According to SCORE, a nonprofit association and resource partner of the U.S. Small Business Administration (SBA) that aids small businesses, for every customer who bothers to lodge a complaint, 26 others remain silent. And on the employee side, a 2011 study by MarketTools Inc., found that nearly 50 percent of employees surveyed have considered leaving their jobs.

To find out what your customers and staff are thinking, ask them. Properly executed, ongoing feedback mechanisms provide a platform for managers and owners to gain honest and accurate insights useful for maintaining and growing healthy customer and employee relationships.

Here are some ingredients to consider when building or retooling your staffing firm’s customer and employee feedback processes.

BENEFITS OF FEEDBACK“Employee feedback programs can validate an organization’s business direction and ensure the employees are on board. They also help assess the level of engagement of the staff, uncovering if they are interested and care about what they are doing,” says Mike Powers, executive director of The Todd Organization, a Cleveland company that designs and administers employee benefits.

As he explains, employees also may hold the key to areas missing from their employment experience and identifying new areas of growth.

Client feedback is all about stronger relationships and two-way communication. Are you 100 percent sure you’re delivering exactly what your clients need? “A client feedback program ensures the company’s perception of the client’s needs truly meets the reality of their needs,” Powers says.

HANDLE THE TRUTH“The biggest pitfall of starting an employee feedback process is to solicit the feedback, and then do nothing with it. That’s much worse than not soliciting feedback,” says Mike Mannino, regional HR director – manufacturing at Lubrizol, a Cleveland company that manufactures specialty chemicals.

Expectations must be managed. As Powers says, “You should set the expectation that the feedback will be reviewed and may cause changes, not will cause changes. Not all feedback needs to result in change. But in those cases, a clear explanation should be available.”

On the client side, Powers warns of an over-reliance on the results. “Feedback is good, but it should be taken in moderation.”

MAKE IT CLEAR“Communication regarding the employee program is absolutely key. Everyone should know why you are conducting the program, what will be gained, how you will get back to the employees, and in what form,” Mannino says. “Start at the top; a message for your CEO or top manager explaining the what, why and how, is essential.”

Establishing trust with the respondents also garners open and truthful answers, and more trust is gained when the company commits to follow up on the feedback.

Ask the short and simple questions. “Many don’t want to answer essay questions,” Mannino says.

Powers agrees that you have to know your audience. “Balance the need for information with the attention span of the respondent. It should be clear and simple, but still developed enough to obtain useful information.

“The best approach for gathering feedback depends on the size and type of organization. It could be automated, manual, or a combination of both, but the keys are to ensure a consistent process for all employees, and the respondents are comfortable focusing on the feedback and not the method by which it’s gathered.”

BUILD BUY-INCreating a feedback process is an admirable step, but client and employee buy-in can be tricky. To enhance client buy-in, pick up the phone. “I prefer a well-timed, clear, concise and professional call, explaining the importance of the program. Telling the client how much you value the relationship prior to delivering the actual survey will have a positive impact versus sending the survey cold,” Powers says.

“To build buy-in from your employees, you need to encourage an open and honest feedback environment where constructive, objective feedback is appreciated, but critical, subjective comments won’t be tolerated.”

Building better client and employee feedback programs

TemPay Staffing Times / 11

MORE COMPANY-SPECIFIC APPSIT staffing firms may soon get a boost in hiring, especially for those professionals who can develop mobile applications.

Twenty-seven percent of CIOs polled say their companies offer a mobile app, while another 22 percent say they plan to offer one in 2012.

Robert Half Technology, a leading provider of information technology professionals on a project and full-time basis, surveyed more than 1,400 CIOs of companies with 100 or more employees.

As mobile applications become more prevalent, many challenges arise for the IT teams developing them, the CIOs say. They cite collaborating across departments (29 percent) and finding IT professionals with the skills to build them (28 percent) as the two biggest hurdles.

“It’s important for mobile application developers to have strong software skills, in addition to the ability to write code and test and debug software applications,” says John Reed, executive director of Robert Half Technology.

GREATER CONFIDENCE, GREATER EMPLOYMENTOne-fourth of small business owners surveyed say they plan to hire more permanent full-time employees in the next year, a 12-point jump over January 2011.

The recent Citibank small business survey revealed 22 percent plan to make seasonal workers full time. In addition, 44 percent planned to work more hours themselves and four in 10 expect to increase employee productivity.

This Citibank poll was conducted by phone in January 2012 among a national random sample of 750 small business owners/operators, age 18 and older throughout the United States with revenue greater than $100,000 and no more than 100 employees.

“We are very encouraged by the survey findings,” says Raj Seshadri, who leads small business banking at Citibank. “Small businesses are a key driver for the economy. The prospect that small businesses are stabilizing or expanding in 2012 is a positive step in the right direction.”

n br ef

ONE-FOURTH OF SMALL BUSINESS OWNERS SURVEYED SAY THEY PLAN TO HIRE MORE PERMANENT FULL-TIME EMPLOYEES IN THE NEXT YEAR, A 12-POINT JUMP OVER JANUARY 2011.

WHO’S NEXT? PLAN NOWIt’s never too early for a business to begin succession planning, says Scott Malone, senior vice president of M&I, a part of BMO Financial Group.

He offers the following advice to help business owners get started:

• Startnow. Realize the full potential of the business by ensuring a smooth transition to new owners or leaders. Succession planning ideally should begin at least 10 years before its needed.

• Consideralloptions.Whether an owner chooses to sell, transition to a family member or business partner, or dissolve the business, many complex issues should be evaluated before a decision is made.

• Speakwithanadvisor.Each business is unique, and a succession plan should reflect this and be tailored to the business. A professional advisor can help business owners develop specific solutions and strategies for their businesses.

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