Lesson 3: Staffing

Objectives Explain how staffing decisions are affected by customer satisfaction and wait time Explain how staffing decisions are affected by customer satisfaction and wait time List common problems associated with under- and over-staffing List common problems associated with under- and over-staffing Describe the qualities of a good employee Describe the qualities of a good employee Calculate employee wages and take home pay Calculate employee wages and take home pay Explain ways a store can be staffed for maximum profit Explain ways a store can be staffed for maximum profit

1. How Many Employees Do I Need? Goal: Establish a staffing level that is not too light, nor too heavy to maximize efficiency Goal: Establish a staffing level that is not too light, nor too heavy to maximize efficiency Depends on: Depends on: Size of store Size of store Customer traffic patterns Customer traffic patterns Hours of operation Hours of operation Staffing – the assignment of workers to jobs within the business Staffing – the assignment of workers to jobs within the business Staffing Level - # of workers assigned to jobs at a particular time Staffing Level - # of workers assigned to jobs at a particular time

2. Understaffing When there is not enough staff to handle the customers When there is not enough staff to handle the customers Results in: Results in: Long lines at the cash register Long lines at the cash register Not enough sales associates to help customers Not enough sales associates to help customers Loss of inventory (people stealing) Loss of inventory (people stealing) Poor stock maintenance Poor stock maintenance Likely outcome: Likely outcome: People leave without making a purchase People leave without making a purchase People don’t return to the store People don’t return to the store

3. Overstaffing Too many staff members in the store for the customer traffic Too many staff members in the store for the customer traffic EXPENSIVE! EXPENSIVE! The business is paying for unneeded staff The business is paying for unneeded staff UNPRODUCTIVE UNPRODUCTIVE Can lead to lack of motivation in employees Can lead to lack of motivation in employees Part-time workers – often hired for peak customer traffic Part-time workers – often hired for peak customer traffic

4. Finding Employees Classifieds (want ads) – in newspaper, online Classifieds (want ads) – in newspaper, online In-store advertising: sign in the store In-store advertising: sign in the store Referral: word of mouth Referral: word of mouth Job fair Job fair Your business website Your business website Employment agencies Employment agencies

5. What Makes a Good Employee? Reliability –performing assigned tasks Reliability –performing assigned tasks Punctuality – showing up on time Punctuality – showing up on time Attitude – displaying a positive outlook, willingness to work with others, accept direction Attitude – displaying a positive outlook, willingness to work with others, accept direction Honesty – integrity Honesty – integrity Manners – being polite Manners – being polite Appearance – good hygiene, neat appearance Appearance – good hygiene, neat appearance Communication skills – speaking and listening well Communication skills – speaking and listening well Work ethic – hard working and diligent Work ethic – hard working and diligent

6. The Hiring Process 1. Screening candidates - Reviewing and verifying job applications 2. Interviewing best candidates 3. Making a job offer

7. Evaluating Potential Employees TWO major forms of evaluation TWO major forms of evaluation Job application Job application Education, previous work experience, references Education, previous work experience, references Look for neatness and completeness of the app. Look for neatness and completeness of the app. MUST BE COMPLETED IN PEN! MUST BE COMPLETED IN PEN! Job interview Job interview Communication skills, appearance, punctuality, manners, attitude Communication skills, appearance, punctuality, manners, attitude ALWAYS contact references ALWAYS contact references

8. Tips for the Job Interview Dress appropriately Dress appropriately Arrive 15 minutes prior to your interview Arrive 15 minutes prior to your interview Arrive alone Arrive alone When the interview is over, GO HOME When the interview is over, GO HOME Do not take your cell phone into the interview Do not take your cell phone into the interview No chewing gum! No chewing gum! Omit ‘um’ and ‘like’ from your responses Omit ‘um’ and ‘like’ from your responses Prepare 2-3 questions to ask the company to show that you are genuinely interested in the position Prepare 2-3 questions to ask the company to show that you are genuinely interested in the position Send a thank-you note after the interview Send a thank-you note after the interview

9. Hiring Employees Be certain the candidate fully understands: Be certain the candidate fully understands: Job description Job description Required job tasks Required job tasks Job responsibilities Job responsibilities Wages Wages Number of hours to be worked Number of hours to be worked Mutually agreed upon start date Mutually agreed upon start date

10. Worker Protection Laws Fair Labor Standards Act Fair Labor Standards Act Determines child labor laws, minimum wage, establishes 40-hour work week and overtime pay Determines child labor laws, minimum wage, establishes 40-hour work week and overtime pay OSHA – Occupational Safety and Health Administration OSHA – Occupational Safety and Health Administration Make sure all employees are entitled to have a safe place to work and that working conditions will not negatively impact their health Make sure all employees are entitled to have a safe place to work and that working conditions will not negatively impact their health

American Disabilities Act of 1990 (ADA) American Disabilities Act of 1990 (ADA) Requires business with 15+ employees to moderately accommodate the needs of employees with disabilities, even if the firm does not currently have disabled employees Requires business with 15+ employees to moderately accommodate the needs of employees with disabilities, even if the firm does not currently have disabled employees Civil Rights Act of 1964 Civil Rights Act of 1964 May not discriminate against protected classes in hiring, promotion, discharge, pay, benefits, training, etc. May not discriminate against protected classes in hiring, promotion, discharge, pay, benefits, training, etc. Protected classes: race/color, national origin, age, disability, gender, pregnancy, or religion Protected classes: race/color, national origin, age, disability, gender, pregnancy, or religion EEOC – Equal Employment Opportunity Commission EEOC – Equal Employment Opportunity Commission Gov. agency established to enforce the Civil Rights Act Gov. agency established to enforce the Civil Rights Act Drug additions / homosexuality are not considered ‘disability’ Drug additions / homosexuality are not considered ‘disability’

11.Duties Owed to Employer by the Employee 1. Duty of obedience - Must obey reasonable orders - Must obey reasonable orders 2. Duty of honesty and integrity -Must act in an ethical manner and look out for the employer’s best interest 3. Duty of reasonable skill -Must possess minimum requirements to perform job 4. Duty of reasonable performance - Must be able to perform tasks in a set time and manner

12.Duties Owed to the Employee by the Employer 1. Duty of reasonable treatment 2. Payroll Deductions 3. Duty of safe working conditions (dictated by OSHA)

13.Breach of Duties If an employee habitually does not provide the 4 specific duties, he/she may be terminated ‘for cause’ If an employee habitually does not provide the 4 specific duties, he/she may be terminated ‘for cause’ If an employer does not provide the duties specified, the employee may quit without further contractual obligations If an employer does not provide the duties specified, the employee may quit without further contractual obligations

14.Employment Length Can be hired until a specified date Can be hired until a specified date Ie: seasonal hiring, Dorney Park, etc. Ie: seasonal hiring, Dorney Park, etc. Can be hired ‘at will’ Can be hired ‘at will’ Employee can be fired or quit without any notice Employee can be fired or quit without any notice Most employment Most employment If an employee decides to quit, the professional courtesy is providing the employer with at least 2 weeks notice If an employee decides to quit, the professional courtesy is providing the employer with at least 2 weeks notice

15. Key Math Concepts Wages per Week – Wages per Week – Hourly wage X # Hours worked Average Customer Wait Time (in line while checking out) – Average Customer Wait Time (in line while checking out) – 90 seconds X # Customers in Line 90 seconds X # Customers in Line