Video Transcript: How to Manage part 3 - People

All right, managing it's not always the most fun. If you're a creative person, if  you're an entrepreneur, if you're a salesman type person, often keeping track of  things is a burden, or maybe I'm just talking about myself, I don't know, but you  have to keep track of things, especially as the more you succeed, the more you  have to keep track have things in order. If you don't, your products starts getting  poor customer service gets poor. Things start falling apart. How to manage your  business? We've looked at time. How do you manage your time? How do you  manage the finances? And finally, how do you manage people? If your business  is growing, you can't do it on your own. Generally, I would say it's generally true  that most businesses cannot be done by one person. It doesn't mean you pay  different people, but one person doesn't have all the skills to make it work. So  how do you manage people? If you need help, start with volunteers. You're just  getting going. There are plenty of people that might be willing to help you with  something I discovered early on. I remember when I think this was the late 80s  and MS DOS came out, that's the computer language. This was before  Windows and MS DOS came out, and I thought I had to understand everything  on how it worked. And I remember staying up till three o'clock in the morning  trying to figure out some problem, going over it and over it and over it. And, you  know, I was almost figuring it out. Then it lead to the next problem. And then,  anyway, so three in the morning the next day, I decided I'm not going to do that.  I don't love this enough to get into it this much. And I discovered that there are  people that stay up till three o'clock in the morning, almost on almost anything,  on something, something that they get into, and they have put more time into it  than they can get out of it. And so they feel guilty about it a little bit. So when  someone needs what they know, they are more than happy to help out, because it gives them justification for spending all that time. So I found that if you just find someone that's into this, they're probably willing to give you some free advice,  free help if you ask them nicely, especially when you're just getting started.  Number two, hire family and friends on a need to basis. You don't have to hire  someone full time, or even part time, hire people that you know to help out. In a  pinch, I need help today, or I need help this Saturday, or I need help with this  one little project. And start with your family and friends. They love you. They  want you to succeed. They'll help you. Number three, offer, offer a commission  to salespeople like I can't pay you. I can only pay you if you actually sell  something. If you sell something, I can pay you, because there's profit there,  and out of that profit, I can give it to you. So really, the person doesn't cost you  anything, and you can hire them for as much as they want to do. I mean, if they  want to work 80 hours a week, and they're selling 80 hours a week, you can pay them, because you're paying them only for what they actually accomplish. It's a  great way to hire salespeople. Now, a lot of people just won't do it. It's hard to  find a good salesperson. Number four, contract certain jobs out. You know, you  have this project. Let them do it. I used to print out all my own covers and have 

to laminate, laminate them. I only do that when someone wants a small number.  It's a lot of work to do all this laminating and cutting and all this stuff. And so  when it's a bigger order, I just send it to the printer. There's a printer who will do  it cheaper than I can do it and faster than I can do it up to a certain point. So I  just let them take that part of it. Hire part time. You don't have to pay insurance.  You don't have to pay for all the dead time. You know, when you have a full time  employee, you're paying for the best of what they do, but you're also paying for  the wasted time and the time where there isn't that much to do, so start with part time. Finally, then hire full time if you need to help, can cost more than it's worth. Okay, here's some cautions on hiring people. Number one, here's some  questions, does your help make you more money? you have to understand that  when you hire someone to help in your business, they have to make for your  company, ultimately and by what they do more than what you have to pay them.  If they don't, you'll be losing money. Two, does your help understand that their  labor for the company must result in more money than they, in fact, make. I've  had people where I've hired them, and they just think somehow the company  has money just growing on trees or something, and you know, they're not  producing. They're not a person who's making sales, and they don't even sell  enough to pay for their own salary, and they somehow think that can just keep  going. They have to understand that the company has to make more money  then, then, then goes out towards them at least. Or what's the point of doing it?  Is there enough meaningful work for the help always there? Is it a consistent  thing? Number four, do you have time to train and direct your help? A lot of times you're behind, and so you want to hire people, but you don't have the time to  really help them succeed. If you don't have the time to help them succeed, they  won't succeed. And so if you can't put the upfront time in, you're just wasting  your money hiring someone. Check out other CLI classes. We have  management classes. We have finance classes. Look at the whole complement  of classes we have in the enterprise program and in the rest of Christian leaders Institute. To go in more depth on these things, look at the people smart class.  Maybe you've taken it already. If you haven't, I recommend taking it. It's all about how to deal with people. Take the management by the book. That's a class that I did. Half of it is on the book of Philemon. Book of Philemon is a incredible little  letter that Paul wrote to a very tricky situation. Paul had something in mind, what he wanted to accomplish, but is a tricky situation, and all throughout that letter,  he's very tactful on how he tries to get how he tries to really sell his idea to  Philemon. So check out these other classes, especially as it relates to dealing  with people. But just in general, treat people well. Luke 6:31 do to others as you  would have them do to you. Just makes sense realize the challenge of working  with partners and employees. Okay, when you have a little business and it's just  you, it's fairly simple. It's just your customers that you have to get along with,  and, you know, and deal with, and you know, have a good relationship. But 

when you have partners employees, a couple of verses come to mind.  Ecclesiastes 4:9-12. Two are better than one because they have a good return  for their labor. Often two people working together in harmony, different gifts and  abilities actually produce more than one person and one person. If you take one  person's output and another person's and add them together, you get a certain  output. You put two of them working together, you get more one way, it's one  plus one equals two. When people are working together, it's one plus one and it  equals three or four. So it can be a great thing. You can accomplish a lot more  with other people than you can on your own. But be aware Proverbs 21:9, better to live on a corner of the roof than share a house with a quarrelsome wife. Now  it's not just wife wives that are quarrelsome, but maybe a quarrelsome husband  or a brother or a partner or a business partner, when people don't get along, it  just drains the energy and the enthusiasm out of a project. And you know that  you probably experience some of these things. So get partners cautiously.  Employees go very, very, very slow on that you want to make sure that you're  succeeding. And when you get people, get the right people. Speak the truth with respect. You can you can tell the truth. You can be honest. Honesty should be a  part of what you're about. Ephesians 4:15, speak the truth in love learn how to  delegate the best passage in the Bible on that is Exodus 18. This is the story of  Moses. Moses has taken the people out into the desert and and he's the leader,  and people are coming to him, and he's making judgments all day long, and his  father in law saw that. So the next day, Moses took his seat to serve as judge for the people, and they stood around him from morning till evening. When his  father in law saw all that Moses was doing for the people, he said, What is this?  You're doing for the people? Why do you alone sit as Judge while all these  people stand around you from morning till evening? Moses answered, because  the people come to me to seek God's will. Whenever they have a dispute, it's  brought to me and I decide between the parties and inform them of God's  decrees and instructions. Moses, his father in law, replied, What are you doing?  What you're doing is not good you, and these people who come to you will only  wear yourselves out. The work is too heavy for you. You cannot handle it alone.  Listen now to me, and I will give you some advice, and may God be with you.  You must be the people's representative before God and bring their disputes to  him, teach them his decrees and instructions, show them the way they are to  live and how they are to behave. But select capable men from all the people,  men who fear God, trustworthy men who hate dishonest gain and appoint them  as officials over 1000s, hundreds, 50s and 10s. Have them serve as judges for  the people at all times, but have them bring every difficult case to you, the  simple cases they can decide for themselves that will make your load lighter,  because they will share it with you. If you do this, and God, so commands, you  will be able to stand, stand the strain, and all these people will go home  satisfied. So that idea that you can only manage a certain number of people, this

is true in a church as well. The pastor tries to manage everybody. It's too much  all these problems. And so you break the church down into small groups. So the  pastor manages 10 small group leaders instead of 100 people. The then the  leaders manage the individuals, and you can manage a great you know, your  management greatly expands, but you have to be willing to let it go. There's that phrase, perhaps you know it, if you want something done right, do it yourself.  And a lot of people will do that. They will do it themselves, and they do  everything themselves. And if you looked at an organizational chart, it'd be the  pastor in charge of everything that doesn't work. You got to delegate it out. If  you're going to delegate it out, let people do it. Let them grow, let them make  some mistakes. Okay, pay your help. Well, don't begrudge paying your help.  There's so many business people that I know people starting out of business.  They hire someone because they can't do the work alone, and they begrudge  paying them. My employee worked a lot of, you know, almost 40 hours, and they put in extra hours and and all they see is the dollars going out. Look at that big  expense. The expense for my employee was double this month than it was last  month, if you have help and you need help, and the help is actually doing what it should do, you would want that help doing as much as possible, because you  make more money off that help than what you pay them. And if you're not, then  you should get rid of the help. If you are making more money than you're paying  for the help you'd want the help putting as many hours as they want. I want you  to work more hours, not less. Don't begrudge paying your help. Your help is  paying you. Don't begrudge the many hours your help puts in, and thus you  have to pay for every hour your help puts in you should be you should make  more money, even after paying for your help. So that's my point. Okay, one last  thing on the people thing. And again, this is just a short little management thing  on people. Really, you need to take the whole course management by the book.  But let me end with this hire, slow, fire, fast. I've learned this the hard way. You  need help so you hire somebody right away. You don't know that much about  them. And I'm telling you, if it's not a fit and it doesn't work, it will cost you a  boatload of money and problems and misunderstandings and hurt. And then  when you know it isn't working out, you just know this is not working out, then  you don't want to fire them, and you feel bad about the whole thing, and so you  let it go month after month after month. Meanwhile, your income is going down  and down and down and down when it does. Work. It's not working for you and it isn't ultimately going to work for them. Might as well break this thing, get it done  so you can move on and they can move on as well. Ultimately, treat people with  respect, honor them. But it has to work in business, it has to work, and really in  life, things, relationships, have to work, and so try to make them work. All right.  Thank you.