eCommerce and

The professional world of eCommerce can often be more relaxed than other businesses.  With fun and work being commonly intermingled, it’s sometimes like a mullet: Business in the front, party in the back.  Among the various in-house amenities like basketball and foosball, outside parties are also useful for maintaining a “fun” work environment.  

This is where it gets messy.  How do we apply in-house policies to outside parties while still utilizing the “hangout outside of work” feel?  Where can we draw the line between camaraderie and debauchery?  Company party misfits can not only ruin the occasion, but can expose the company to costly liabilities.

I have come up with four standards that can be used when laying down the law at work parties that still allow for parties to be productive:

• Be Prepared:  Where my boy scouts at?  Anything can happen, so limiting unwanted variables can contribute to the success of the event.  A well organized party with specific activities, such as well defined games and interactions, will lessen the chances of having inappropriate behavior.  Our most recent example of this was at our company anniversary party.  While the party was casual with excitement at the pool and food at one’s convenience, we had a set schedule of our own Backyard Olympic Games.  Teams participated up through the championships while others watched and cheered.  Given that party goers had the opportunity to focus on fun and friendly competition not much room was left for unwanted actions or behavior.
  











• Executives and Upper Management Set the Tone and Demeanor:  If your boss brings a flask to the 4th of July picnic that gives everyone else the OK to do the same thing even though this type of behavior is not ordinarily acceptable at the office. 
• Encourage Family Participation:  A good way to keep it G rated is to invite the kids along.  Not only does this help set the tone for a G rated event, but it promotes family.  Family promotion can be especially important for the husband/wife dynamic; this creates an environment devoid of the stress of the feared ‘Company Party Sexual Harassment”.  Not only does this add sensibility to the occasion, but employees will generally have a better appreciation of the festivities if their families are not only invited but encouraged to attend company functions.  It’s a win-win. 
• No Exceptions - Be Consistent:  Give your Employees a chance to succeed.  All of us in HR can sympathize with the difficulty that comes from ever changing rules and regulations. . Keep that in mind when legislating your own company rules.  Just as enforcing the rules consistently among employees is obviously important, keeping the expectations the same from party to party is just as vital. 

The human resources rep doesn’t have to be the stick in the mud at the party and with the proper planning and expectations no one will have to take on that role either.  Summer’s coming to an end so keep these tips in mind as we move toward the up and coming holiday parties.

Don't Jump the Gun

In this negative economy, I get a lot of HR emails about layoffs and downsizing.  It is surprising how quickly companies turn to downsizing to solve their problems that relate to their bottom line.  This is the time to find efficiencies and areas of opportunity; not run for the hills and give up.  Understandably, there are times when layoffs are necessary and downsizing is a last resort, but it should not be the first thing that pops into my inbox as economic stresses increase.  Not only do they make us HR folk grow gray hair and get heartburn, they are expensive, reduce performance and diminish one of the company’s most central investments. 

I’m Going To Need You To Get Outside The Box 

In combination with other strategies throughout the company, try some efficiency tactics through the HR department.  First, reevaluate job descriptions and roles in all areas of the company.  People do their best when they are doing something they love; happiness at work is the ultimate productivity booster.  Changing a couple of employees around or even simply adjusting their scope of responsibilities to involve areas of interest can impact employee enthusiasm and create a more efficient and excited workforce.  This philosophy will not only raise the level of efficiency per employee, but will also give a much needed “fresh” look at the overall picture.  Maybe that employee in customer service has some great ideas about supply chain, but has never been given the forum to express these new and exciting thoughts.  At a time when competition is fierce and the opportunity to get ahead narrows, this tactic could produce the “out of the box” thinking a company really needs to get back on their feet and diminish the impact of the depressing economy. 

Small, fast growing companies thrive off of nimble, entrepreneurial, growth infested staff at all levels.  The thought is that eventually, you will be able to fill from underneath, as the company grows-up and develops a strong upper management team.  But finding the turning point between hiring for ideas and hiring for tasks is challenging; and there is a point. 

The small business e-commerce entrepreneur must understand that even when hiring for entry level positions, it is better to hire the analytical ace then the taskmaster.   For example, just because someone might say they want to start their own company someday when interviewing for an entry level position, doesn’t mean they won’t be an excellent employee for the two years they do spend with your company, and by no means should it be an immediate turn off.  Yes they might leave in a year or two, but it is better to hire employees that can grow the company with their ideas and complete the tasks, then worker bees that complete the tasks but require additional management. 

The truth is that both the “taskmaster” and the “analytical ace” suffer turn over and it has just as much to do with the nature of the position as it does the nature of the employee.  Finding the tipping point when your company is huge enough, and I mean huge enough, to support worker bees is a fine science.  However, judging this pinnacle could make or break your growth and efficiency.  Especially in this down economy, when investments should be even more calculated and on target, it is better to invest in someone who can grow you, rather than save a few dollars on someone that can sustain you. 

Regardless of political affiliation, in times of economic uncertainty, governments traditionally become more involved; i.e. more legislation, rulemaking, enforcement, and influence.  The situation today is without exception.  At the same time Federal Reserve Chairman Ben Bernanke finally orated “recession”, various departments at various levels of government increased their involvement in the economy.  Multi level policy making not only means that various levels of government will act, but their actions will affect multiple levels of society.  Realizing Bernanke is known best for his research on inflation and the Great Depression, leaves little surprise that the Federal Reserve bailed out Bear Stearns.  Similarly, with the ferocious presidential contest of only Senators that has engaged even the traditionally uninvolved lower socio-economical and vulnerable members of society, it seems timely that Congress is now working with the mortgage lenders on loan forgiveness instead of foreclosure as a cost savings strategy.  These policies coordinate to create an economic stimulus by reducing the individual burden of market participants. 

Senator Ed Kennedy has vowed to call a vote on the Healthy Families Act soon that would allow “7 days of sick leave with pay annually for employees working 30 or more hours per week; or a pro rata number of days or hours of sick leave with pay annually for employees working less than--(A) 30 hours per week on a year-round basis; or (B) 1,500 hours throughout the year involved.”.  On the campaign trail, both Democratic frontrunners Hilary Clinton and Barack Obama express support for mandatory sick days.  This is not officially labeled as part of any of the candidate’s economic stimulus plan, if there is one, but it does have characteristics of a stimulus.  This legislation would give sick days to part time employees, and lower level employees which are not currently entitled to paid sick days.  It creates happier, more productive lower level employees, in an economically stressful time requiring increased efficiency.  For a single mother of two working two part-time jobs, paid sick days could be the difference between eviction and a healthy family.  

Some question the rationale behind mandating employers to implement costly benefits in a recessional time of cutbacks, slimming margins, and dwindling profits.  These situations leave this legislation ferociously unpopular in the small business community, but it is worth another look; you might actually see it has some positives.  Employee rights are a tool in the government’s artillery to create economic stability and consumer confidence; a tool that an individual small business owner cannot brandish with the same far reaching impact. In fact, if one small business owner decided to implement paid sick days in a recession, they would be forced to raise prices to cover costs.  However, without the competitor’s participation, the small-business-owner-with-the-paid-sick-days will be dominated by their competition, and might even be pushed out of the market completely.  In all actuality, the negative effects of rising costs related to mandated employee benefits are minimal.  Business owners would be forced to raise prices together and pass on increased costs elsewhere, thereby decreasing the burden to individual businesses.  Meanwhile, the small business owner will benefit from the well-known positive impacts of employee benefits, while not having to shoulder the burden alone.  Governments have the supremacy to equally mandate improvements to the bottom rung employees, and produce far reaching positive economic impacts. 

In the week of my annual review, I thought it would be fun to write a blog legitimizing my existence.  As one of the only departments not actively involved in increasing sales, I rely heavily on the efficiency argument when reporting our accomplishments in the weekly meetings.  At that, even the efficiency argument is qualitative, and lacks much quantitative backup. 

As an e-commerce entrepreneur and small business owner, one must decide when the right time is to implement POLICIES.  That’s right I said it; rules, structure and even some formalities.  In an environment where “business casual” only means no ponchos or pajamas, implementing structure into a small business can be daunting.  There are so many fine lines: When is an Indian War Club a weapon, and when is it inventory?  When does hiring your cousins go from, they’re the only ones who will work for me to, I’ve got a company full of related upper management and it is a morale problem for the other employees? And finally, when does a laugh at the office go from a joke between friends, to a million dollar lawsuit?

Here are four tips to consider when implementing a Human Resources Department: 

1. Tag Team – Combine the Human Resources role with another operational role, such as Finance.  The budget lover and policy pundit combination is a rare breed, but finding someone with the ability to understand both, strengthens decision making for the entire business. 


2. “If You Build It, They Will Come” – Similar to a civic planning philosophy, if you prepare for growth by building infrastructure, you will attract the growth. In HR, this is true with employee manuals, benefits, liabilities, hiring, etc.  One of the first benefits offered to PlumberSurplus.com employees was the food program: virtually unlimited breakfast, lunch and snacks.  Starting that program early allowed us to pound out inefficiencies so that expensive mistakes and morale killing issues could be limited.  It is one of our most popular and cherished benefits. 


3. Plug that Hole – Hurry, we need three customer service representatives ASAP!  Having a structured HR department that can fill holes quickly and intelligently makes quick decision making a viable option.  Without the HR structure, hiring three employees in a matter of hours could be the difference between efficiency, and domination; intelligent people placement is a skill most important for a small, growing business when the effect of one person is greater to the entire organization. 


4. Oh Crap – “But Judge, there’s no such thing as an inappropriate joke…that’s why they’re jokes!”  Quoting Michael from the Office is not going to get you off the hook from that $1 Million sexual harassment lawsuit.  Training employees early to detect and prevent costly personnel liabilities can save millions in time and money in the future.  Setting this tone from the beginning is a zero sum game.  Remember, it only takes one phone call… 

The decision to have a Human Resources department is a decision about how fast and efficiently you want to grow your business.   Having the infrastructure in place early will facilitate a strong, scalable and efficient business with an edge.   

There!  Now do I get a raise?

1. Identify your non-negotiables:  No we are not going to buy Monster Energy Drinks, sorry.  Communicate to your employees that there are certain items that are not available through the food program.  This way, employees will not expect to see such an item in the selection; the less disappointment the better.
2. Make a list:  Identify certain items that you will always purchase and invite employees to participate in the process.  Post the shopping list in a conspicuous place so that when an item is running low, or is out, it can be communicated efficiently to the office food buyer.
3. Order Regularly:  We order food at least once a week, and sometimes twice.  This keeps a constant flow of food through the kitchen.  It is also a huge moral booster.  When the employees see a cart full of goodies roll through the office, they get excited.
4. Put in a few surprises:  Every once in a while, buy a few items that aren’t on the list that are maybe on the more expensive side.
5. Diversify:  You can only eat frozen bean-less burritos for so long.  Analyze the list after some time to make sure that the consistent items are sitting in the freezer for too long because the employees are simply just getting tired of them.  Try a new brand, different flavors and different food items to keep the food program exciting to the employee.

Keeping quantities up, while keeping costs low and still satisfying the taste buds of multiple employees can be a challenge.  Keeping those five simple rules in mind can reduce the stress and management of a worthwhile and cost efficient benefit that makes your workplace exceptional.

Excuse Me, Who did you vote for?

You may be asked this question in this frenzied Presidential election year, but should you answer?  From a human resources stand point I would recommend keeping this personal information to yourself.  While you and your colleagues may feel comfortable discussing your views and opinions on ecommerce, technology, and video games, be cautious of airing your political opinions.

Perhaps you’ve heard a few of these “one liners” whispered around your workplace lately:
“I don't know if you heard this or not but Fred Thompson has dropped out of the presidential race.  Don't worry about Fred, he can always go back to his prestigious fake law firm. ... packing the bags under his eyes” -David Letterman

As this 2008 Presidential race heats up and consumes the discussions on our televisions, at our dinner tables, and even at work, be aware of what you say at the workplace; political opinions are not protected against discrimination or retaliation.  As an “at will employee” if your “Romney loving” boss hates that you volunteer for Hillary Clinton, he or she can fire you.  If you are feeling pressured to share your opinions you are not alone.  According to a survey done by Vault.com "35 percent of bosses openly share their political views with employees. Nine percent of workers said they've felt pressured to conform to their boss' views."  So no matter who tickles your “political fancy” whether it be Barack Obama, John McCain, Mitt Romney, Hillary Clinton, Ron Paul or Mike Huckabee be careful what you say around the office, you don't know who you might end up offending.  Perhaps two pieces of tape across the mouth are your best bet.