STOP! Did You Start a Business in the Cannabis Industry? Not Paying Attention to These "3 Key Areas" Could Cost You Huge.
Launched a Cannabis Industry Business?
Have you considered the high cost of hiring the wrong staff?
The cannabis industry has never been so lucrative, but with countless start-ups being launched every month, there are sure to be more than a few companies that have made poor staffing decisions. Just like any other business, the cannabis industry needs an effective and skilled workforce to make the enterprise successful. Making the wrong choice of staff could not only end up being an inconvenience that you could do without but it could also end up costing you a lot of money.
The Financial Implications
Even large companies can find hiring the wrong staff an expensive mistake running into tens of thousands of dollars. However, since most cannabis industry start-ups are small scale, the implications are even more serious. Keeping costs down is vital for any small business, and with experts saying that the price of making a poor staffing choice could be as high as 50% of that employee's first year's salary, this is clearly a financial situation that any fledgling marijuana business would want to avoid. The cost of losing, rehiring, retraining and the possible loss of other staff as a result is more than most companies realize. Factor in the potential for lost sales and the possibility of offending clients, your company’s goodwill and name are priceless commodities that cannot be easily repaired
Low Staff Morale
Even worse, the high price of hiring a poor-quality employee is not purely financial. In fact, the damage that can be caused to the company's productivity and the morale of its staff can actually have a more severe impact than any monetary loss. If you make the error of selecting an unqualified employee or worker that is clearly not a culture fit for a specific company, the chances are high that the rest of your staff will be affected negatively. The product of a poor cultural fit will affect morale or productivity as the most likely result. If you then need to take the time to recruit, rehire or retrain, the rest of the team will likely have to carry the burden and possibly have to make up the deficit and you'll soon discover that your business starts hemorrhaging staff. Losing quality staff and affected morale for the sake of one mistake is always too high a price to pay.
Another problem which can arise from hiring for the wrong culture fit is that a possible negative attitude will spread like wildfire through your workforce. A poor performer will naturally affect or lower the bar for your other employees, and everyone's productivity will begin to decline. Even when you eventually let a poor hire go, you'll almost certainly find that the repercussions on the team and your business are greater than expected.
"If you're not asking these 16 questions at every job interview it could be costing lost time, money, and the potential loss of good employees because you hired one bad apple."
Ideally companies will spot a candidate that is a poor choice at the interview stage, but with a fast-growing business and several moving parts, taking the time to interview multiple candidates for skills, experience and culture fit is not only very time consuming and difficult if you are not adept and looking for specific clues.
The cannabis industry is currently seen as very attractive to potential job applicants and is attracting candidates from all walks of life.
This means that you may well attract a large number of candidates who are totally unsuited to the role that will be difficult to sift through. One way to avoid these problems is by using a staffing firm to prescreen candidates based on your skills but also more importantly using a firm that takes the time to also understands your culture. By using a well-regarded staffing firm, you will be better able to tap into a pool of talented candidates, that despite an upfront hiring fee, will save you thousands in the long run.
In summary, invest upfront and avoid making costly personnel mistakes.
Allow a qualified staffing firm find you the absolute best teammates to hire for your cannabis company for current, but also your future growth needs. This decision will relieve you of a burden that you may not be skilled at performing in the first place, and let you do what you do best – running your cannabis business effectively and efficiently.
It is said at the end of the day; your company is always only as good as your people.