What are the elements of a successful team? In a nutshell—whether it’s an athletic team, a dance team, or a business team—the critical elements are people who are knowledgeable, dedicated, productive, work well with others, and constantly seek to improve their skills.

But hiring and firing are equally important. You know what you want in your employees, and you would do well to know what you don’t want.

When you’re ready to hire, write a job description that will identify the skills necessary to do the job. Employees need to know exactly what you expect of them. A job description is also important for you when you are evaluating an employee’s performance, because it provides you with specific items on which to base your evaluation.

Develop a pool of potential employees. Ask your best employees for referrals for people they have worked with in the past, because they will recommend others who share their work ethic. Don’t overlook retirees and disabled people, either. They could be among your most valuable assets.  

Conduct in-person interviews. As you do so, pay attention to personalities. Does the applicant smile, make eye contact, and actively listen to what you say? Keep in mind that you can train for skills, but you can’t change attitudes. Look for characteristics such as friendliness, professionalism, and enthusiasm.

Ask open-ended questions. What are your strengths? What are your weaknesses? What are you most proud of accomplishing? What are you hoping to achieve here if I hire you?

Make your company and its jobs as appealing as you can. That might include offering flexible work hours, commissions, and job sharing.

Once you have identified top candidates, conduct background checks. If someone has lied to you during the hiring process, you won’t be able to trust them when they’re on the job.

After hiring the best candidate for a job, it’s important that you do everything you can to retain them. That includes training them, motivating them, and recognizing and rewarding them.

It’s also critical that you fire employees who aren’t doing the job they were hired for. I estimate that every organization has at least 5–10% of their workforce that should be fired. The cost of keeping those employees on your payroll is high.

I’m speaking from experience. Several years ago, I had an employee I should have fired. But I waited to do so for five years. During that time, she embezzled $340,000 from my company.

As managers, you need to realize that your job is at risk when you’re unwilling to terminate employees who aren’t dedicated, productive, and willing to grow in their jobs. Those people are a cancer to your company.

You can’t let a nonperforming employee’s attitude or actions infect other employees. If you don’t take the appropriate action and fire them, your other team members will question your ability to lead and make decisions. They will resent you for relying on them to pick up the slack.

Firing an employee involves several steps. Proper documentation and decisive action are essential. Conduct performance reviews regularly. Allow the employee to improve and deliver on your expectations. This will give you a road map to provide more coaching or let that employee go.  

My six-word advice is this: Hire well and fire when necessary.

Published Jan. 27, 2025, by Service Quality Institute.