This week I want to talk to you about taking stock of your human capital. The best way for me to do this Monday Morning Mindset is to show you a bottle of Westland single malt whiskey. This is an American craft single malt whiskey I learned of yesterday while on a tour with the Single Malt Tasting Committee from The Rainer Club. While there I met Matthew Hoffman who is a co-founder and the Master Distiller. Matt is twenty-six years of age, and is passionate and excellent at what he does. One of his whiskeys was named 2015 craft whiskey of the year. That is one of multiple awards Matt and his team is receiving at Westland.
Whenever I visit an organization I’m always looking at the leaders and asking, “what level of human capital is this person and what are they exemplifying?” When I watched Matt several things jumped out to me. Matt exemplified enthusiasm, passion, and a commitment to excellence. It was evident in all he said and did. As I watched him I thought, “Matt is a really strong leader and he’s going places.” If I was able to invest in the distillery I would feel very comfortable with Matt at the helm.
What does this mean for you? I suggest that the term taking stock can and does have implications for your employees and that you can benefit from viewing employees in similar ways as to stocks. I don’t mean this in a crass way, and I’m not suggesting you become a day trader with employees. What I am suggesting is that inside your investment portfolio are stocks that are going up in value and that you will keep, some that are remaining flat, but have high potential, and some that are going down and that you may eliminate. Your decision as an educated investor is to review each investment and determining which ones to keep, which ones to invest more in, and which ones to jettison. The same holds true with your human capital.
That begs the question, which employees are growing in value, which ones are flat, and which ones are going down in value and will never recover? For the latter group we need to find a dignified and respectful way to separate ourselves from one another.
So here’s one idea to transform your business. Find the top ten percent of performers inside your organization, and by that I mean the top performers with regard to their mindset and skillset. Find another ten percent that have the potential to become top performers and create a mentoring and learning relationship between the two.
Say to the top ten percent, “I want you to transfer your mindset and skillset to this second ten percent.” Say to the second ten percent, “you have potential that has not been fully realized yet, and in an effort to help you do so you’re going to partner with a mentor who will help you learn and grow in exciting new ways.”
The following next step is crucial. Once the mentee’s have learned to cultivate the mindset and skillset of a top performer, they are required to mentor one other person in a similar fashion. By doing this you take the very highest performing mindset and skillset and cascade it throughout your organization.
When you create a formal, structured and very enthusiastic process of changing the mindset and skillset of your employees, what will happen is you will achieve unprecedented performance. For example, if you have revenue of $225,000 per employee, my experience says you can increase that to $275,000 or $300,000. That’s how important mindset and skillset are.
Monday Morning Mindset Challenge
This week, identify your two groups of employees and find and or develop your mentoring program. If you do, you’re going to have a fabulous week, month and year.