Even if your eCommerce business is small, your company culture matters. Often times, people assume that the mark of a successful business is one that grows exponentially and makes boat loads of money in sales. While that is one aspect of success, longer lasting success is success that is sustainable. You may make your eCommerce business successful for a short period, but if it crashes and burns in a short period of time, then you will have lost all you worked for.
One of the ways to keep your business flourishing is to take note of your company culture. Company culture is a term that is becoming increasingly popular in business publications like the Journal of Business Law, Entrepreneur, ABA Business, and others. It refers to the employee satisfaction rate, the employee turnover rate, and the overall quality and mood of the company.
Lower Turnover Rates
Whenever you have to hire a new employee, you have to go through a number of training steps. You have to make sure that your employee knows what is expected of him as well as how to do his tasks. If you have to fire that employee, then you may run into termination pay and other issues. Some eCommerce businesses get around this by hiring on independent contractors. While this will work for certain roles, it will not work for all roles. It can be difficult to determine, so you will want to make sure that the agreement states with clarity that it is an independent contractor relationship to reduce liability. At the same time, this agreement should include a clear statement of responsibilities such as the requirement that the employee monitor the software programs that accept credit cards online or updates the blog posts for the sales.
While independent contractors will result in less liability in most cases, the one thing that it won’t save you is time. If you have a high turnover rate for independent contractors, you will face many of the same problems you would if you had a high employee turnover rate.
When you have the same employees and they are happy with their work though, you not only save time but find greater productivity. Part of this comes because they want the business to succeed. If they like you, then they will want you to succeed as well. You can contribute to this culture by providing incentives. Find ways for your employees or contractors to be invested in the success of your business. Encourage their contribution and get them involved as much as you can. When people have a personal stake in a business, then they are inclined to invest more of themselves into the business.
A good company culture will help to communicate the goals and passions of the business. This in turn will help you to be more coherent as a business whole. Your employees and contractors will share the vision and contribute to it. In an eCommerce business, this might not seem like a big deal since most of the interaction is through the Internet. However, it matters in the way that they handle themselves while addressing customer complaints, responding to inquiries, and just completing their tasks.
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