23 Jan Position Contract or No Position Contract
You may be thinking… what the heck is a position contract?
Our management team here at Two Roads just finished reading a book together called “E-myth” by Michael Gerber. We will discuss this book in another Blog post so I won’t go into details. If you work in small business, then READ the book!
One of the concepts in this book is that every position in your company should have a “position contract” associated. This inclues an intern all the way up to the CEO. The contract states the responsibilities expected from someone holding the position. The contract is reviewed by the position holder as well as the CEO.
How this helps the position holder:
It lays out CLEAR expectations for the position holder and what they are expected to do to fulfill the position. It leaves no room for ambiguity. The position contract is the bar that they can measure up to, it also means that at any given point in time, they know where they stand in their employment. “If I am doing everything in this position contract, then I know I am successful in this position, and I am doing what is needed to help this company”
How this helps with Management:
Management can be a very emotional job when it comes to bringing corrective action to an employee. Having a position contract will give you clear guidelines by which to correct your employee. “You said you would do X resp, and you just aren’t meeting those expectations. This needs to change by X date or we will may have further corrective action. How can I help you meet those expectations?”
Have your team members all work up a position contract for their job. You may be surprised with the results. Some employees may not have ever had a firm grasp on what their responsibilities were in the first place. It may give your entire team a new sense of ownership and less confusion about what they should or should not be doing.