Category: Performance

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Hiring Performance

Budgeting for 2025: The Cost of Staying Stuck vs. Unlocking New Ways to Hire and Retain Talent

Budget season is upon us! It’s about this time of year that many business leaders are knee deep in reviewing their financial plans for the upcoming year. While they scrutinize operational costs and forecast revenue growth, one area often gets overlooked: the real cost of not having the right people in the right roles. 

Year after year, leaders face the same struggles—high turnover, missed revenue targets, and people in roles they’re simply not suited for. Yet, many stick to outdated methods, avoiding the new ideas and technologies that could actually solve these problems.

So let’s break down what that actually means, and the impact it’s having on their organizations. 

The High Cost of the Wrong People

The pain of having the wrong people in key positions is real—and it’s expensive. Whether it’s the salesperson who just can’t close deals, the manager who can’t lead effectively, or the employee who’s disengaged and uninspired, the wrong people drain resources. 

Remember, poor performers don’t just miss their own targets—they also drag down team morale, cause inefficiencies, and can cost you customers. And if other team members are relying on their outputs for their own, it’s a giant domino effect. The results can be catastrophic. 

Think about the missed revenue when a top performer leaves because they’re frustrated by a lack of team support or poor leadership. Depending on your industry, losing a top performer can impact your bottom line, client or vendor relations which can result in impact of millions of dollars in revenue for years. Not to mention the turnover cost, which is significant. Some estimates suggest replacement fees are 1.5 to 2 times an employee’s salary. And worse, the ripple effects can linger, leaving a trail of missed opportunities and lost revenue.

Yet, despite these glaring issues, many leaders continue to rely on the same old hiring practices and hope for different results. Why? Because trying something new can feel risky. But what if staying stuck in outdated methods is the real risk?

People Are the Key to Success—And You Can’t Afford to Get It Wrong

Your people are the lifeblood of your company. Despite what some would have you believe, strategy is all well and good but you need the right people in place to make it happen the way you’ve envisioned it. But getting the right people in place—those who will perform, stay engaged, and drive results—takes more than just intuition or good intentions. It takes the right tools, insights, and willingness to explore new approaches.

The reality is that traditional hiring practices have left many businesses stuck in a cycle of reactive hiring, costly turnover, and missed performance targets. But it doesn’t have to be this way. 

Imagine a future where you can predict with near certainty how much a new hire will contribute to your bottom line in the first three years or how long they’ll stay with your company. 

Would you believe me if I told you that the tools to achieve this already exist? Yet too many leaders are afraid to step outside their comfort zones and embrace them.

New Ideas, Proven Solutions—A Game-Changer for 2025

At PeopleBest, we’ve developed AI-driven solutions that do just that. With 88-90% accuracy, we can predict how much revenue a new hire will generate or how long they’ll stay in their role. We’ve helped clients double their revenue in a year by focusing on getting the right people into the right positions. These aren’t just theoretical outcomes—these are real results, driven by advanced technology that takes the guesswork out of hiring and retention.

But here’s the truth: every year, leaders grapple with these same challenges. They know the pain of poor performers, they see the cost of turnover, and they feel the strain of misaligned teams. Yet, many remain hesitant to explore the solutions that could finally break the cycle. Why? Because embracing new ideas can feel uncomfortable.

The Possibilities for 2025—If You’re Willing to Change

The good news? 2025 doesn’t have to be another year of frustration and missed targets. With the right planning, the right tools, and a willingness to embrace innovation, it can be the year your business achieves its people’s goals like never before. Imagine the possibilities—higher revenue, longer tenure, more engaged employees, and a thriving culture of performance. By budgeting for smarter hiring practices and proven AI technology, you’re investing in solutions that deliver results.

The choice is clear: stick with the same old methods and face the same challenges, or take bold steps toward new ideas that offer nearly guaranteed outcomes. PeopleBest’s predictive solutions can make this a reality. The question is, are you ready to open the door to new possibilities?If you want to discuss what those opportunities might look like for your organization, feel free to reach out!

Categories
Performance

Find Your Perfect Franchisee: Understanding Leadership Styles That Fit

Find Your Perfect Franchisee:
Understanding Leadership Styles That Fit

Let’s face it – whether you’re just starting out, growing your brand, or already established as a Franchisor – choosing the right Franchisee is critical for long-term success. It’s more than just finding someone with the money and passion to invest. It’s about finding a person whose leadership style matches the specific needs of your franchise. And here’s the kicker: understanding these leadership styles upfront can save you from a world of headaches down the road.

Let’s take a look at the six common leadership styles, Autocratic, Compassionate, Consensus, Mentor, Navigator, and Relentless and their impact on Franchisee selections.

1. Autocratic Style: The “Command and Control” Approach

Think of the autocratic leader as the one who gets things done, fast. It’s all about “do as I say” – great in a crisis or when you need rapid change. But here’s the downside: it can kill creativity, alienate team members, and crush collaboration. Not exactly ideal if your franchise thrives on teamwork and innovation.

Ron is an autocratic-style Franchisee who just launched his new location. Faced with the challenges of establishing his brand and managing an inexperienced team, he implements strict rules and takes control of every decision. His “follow my orders” approach quickly boosts sales and sets a strong foundation, but his team feels stifled and unappreciated, resulting in high turnover.

Best Fit: This style works when you need someone who can take charge in high-pressure, structured situations. Just be careful – it can stifle flexibility and lead to unhappy teams.

2. Compassionate Style: The People-First Leader

Compassionate leaders are all about creating emotional connections and a sense of belonging. They put people before processes, which can be great when your team needs a morale boost or is rebuilding trust. But watch out – too much nurturing can sometimes lead to a lack of accountability and mediocre performance.

Lisa is a compassionate-style Franchisee who leads with her heart, always checking in on her team’s well-being. During a tough period of staff shortages, her kindness kept morale up. Yet, her tendency to avoid tough conversations sometimes contributes to underperformance, causing the business to miss key sales goals and struggle with maintaining profitability.

Best Fit: Perfect for Franchisees who’ll be managing teams during stressful times or post-crisis. Just remember, results can’t always take a back seat to feelings.

3. Consensus Style: The Collaborator

This leader loves to get everyone’s opinion. The “What do you think?” approach fosters collaboration, builds buy-in, and encourages fresh ideas. It’s fantastic when you need to get everyone on the same page. But in emergencies or when decisions need to happen fast? Not so much.

Mark is a consensus-style Franchisee leading an experienced team and thrives on collaboration. He regularly holds meetings to gather input and build consensus before making decisions. His team appreciates the inclusivity, but if a crisis hits, these lengthy discussions delay the critical action needed to resolve urgent issues.

Best Fit: Great for Franchisees who thrive on team input and are managing seasoned teams. However, this isn’t your go-to style if the pace is fast or stakes are high.

4. Mentor Style: The Coach

Mentor leaders focus on developing people. They’re the coaches who guide, support, and align individual strengths with career goals. It’s a “let’s try this” approach that’s super effective for personal growth but does take time and commitment.

Emma is a mentor-style Franchisee dedicated to developing her team. She spends time coaching each employee, helping them align their strengths with career goals. While her team has grown stronger over time, this focus on long-term development slows down daily operations and delays quick decisions needed to meet short-term goals.

Best Fit: Perfect for Franchisees who are all about long-term team development. But if you’re looking for quick results or working with teams resistant to change, this might not be the best match.

5. Navigator Style: The Visionary

Navigator leaders are the dreamers, the “big picture” folks. They inspire and guide teams with a “join me” mentality, allowing flexibility in how goals are achieved. While this style is effective when new direction or motivation is needed, it could lead to power struggles and diminished team cohesion when managing seasoned professionals. Or, some may feel this guidance is too broad and are apt to struggle without more specific direction.

Alex is a navigator-style Franchisee who inspires his team with a clear, compelling vision for the future. He encourages creativity and independence, allowing his team to find their own paths to success. However, when overseeing experienced professionals who value autonomy, this approach creates conflict, leading to disconnects and challenges in aligning the team.

Best Fit: Perfect for Franchisees who can inspire and lead with vision. Just keep in mind, it might not work as well with teams that don’t need – or want – constant guidance.

6. Relentless Style: The High Standards Leader

Relentless leaders set the bar high and expect everyone to meet it. Their “do what I do” approach pushes teams to perform but can also overwhelm, leading to burnout and stifling creativity.

John sets the bar high in his franchise, constantly pushing his team to exceed targets. His drive leads to strong sales, but the intense pressure causes burnout among his staff, affecting overall morale and leading to higher turnover.

Best Fit: Ideal for Franchisees who are self-driven, set ambitious standards, and work well with motivated teams. But beware – overdoing it can turn a winning team into a burned-out mess.

Conclusion: Matching Leadership Styles with Your Franchise Needs

At the end of the day, knowing your Franchisee’s leadership style can give you a crystal-clear picture of how they’ll fit within your system. You want more than someone with the financial resources and drive – you want the right person with the right leadership match for your unique needs and culture. By understanding these styles, you can predict how a Franchisee will manage their teams, tackle challenges, and deliver outcomes. So, take the time to dig into leadership styles – you’ll be glad you did.