Transcript
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Hey, what is up?
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Welcome to this episode of the Wantrepreneur to Entrepreneur podcast.
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As always, I'm your host, Brian LoFermento, and today we are talking about something that we all need to confront along our entrepreneurial growth journeys, and this is something that I would argue it's one of the most difficult things to get right in business, because it deals with the most complex aspect of all of our businesses, and that is the people.
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And today we're talking all about culture, and we've brought on someone who just has such an incredible knack and ability and insights for creating the right culture.
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So let me tell you all about today's guest.
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Her name is Sheila Matthews.
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Sheila is a true champion when it comes to cultivating vibrant workplace cultures and making it look effortless.
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Gosh, isn't that what we're all looking for?
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Her secret Mastering the people part and watching everything else fall into place.
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With a career as diverse as a painter's palette, Sheila has left her mark on a multitude of industries spanning transportation, manufacturing and services, among others.
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She's worked for industry giants like UPS and MetLife, as well as overseeing the people function for startups like Acquisitioncom, where she quickly scaled several small teams into impressive armies of talent.
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Now, for those of you who are thinking well, my business is different or my industry is different, or I've got a remote team.
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Sheila has been there and done that, and so much that she's going to share with us in today's episode not only applies to where you may be in your existing business growth, but, most importantly, it has that eye to the future, of what type of company you want to build and what type of culture you want to create.
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So that's why I'm personally super excited to learn from Sheila today.
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I'm not going to say anything else.
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Let's dive straight into my interview with Sheila Matthews.
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All right, Sheila, I'm so excited that you're here with us today.
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First things first.
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Welcome to the show.
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Thank you so much for having me, Brian.
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I am so excited to be here.
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Heck.
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Yes, we are all very excited to learn from you, especially because I talked about a little bit in your bio, but your diverse set of experiences, sheila, it seems like you worked in so many different environments.
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We're talking business sizes, we're talking types of companies, kind of the young, fun, agile ones like acquisitioncom, as well as the giants we've all heard of.
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So you've got to take us beyond the bio.
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Who's Sheila?
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How'd you start doing all these cool things?
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Yeah, thank you.
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So you know, when I first got into people and culture, it was really through learning and development.
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I had a knack for training materials, standing up in front of people and giving presentations and facilitating, and I started at L&D and then, interestingly, took like a side swipe into hiring.
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Back in the day when I worked at MetLife, and when they hired me I was like I don't understand why you guys are hiring me.
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I've never hired anybody in my entire life before.
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And they were like we'll teach you that part.
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You are a good judge of character and that is more important than any of the stuff that we'll teach you.
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The stuff that we'll teach you, we'll get you there the rest of the way.
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And I was like, oh, okay, so I kind of just took a leap of faith and jumped in and it stuck.
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You know, I've I've done a lot of different areas of people and culture and even HR in my career.
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Uh, but the hiring piece is really what.
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I've kind of ended up developing a name for myself around.
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Yeah, I love that, especially because, as someone who, over 16 years of being an entrepreneur, I've hired so many different people and I know that that's really the first step.
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Obviously, they come across our businesses before they ever see our job postings, but really our one-to-one interactions with them begin through that process.
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So, sheila, when we talk about hiring, what's the scope of what you assess and what you look at?
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Because that's the first step of really starting our culture and starting the feelings, the emotions, the culture that we want to create in our own businesses.
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I love this question.
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I could talk about this all day.
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Okay, so there's really three big things, and then there's like an unspoken fourth that you know I'm being a little sarcastic, you'll see what I mean.
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But knowledge, skills and abilities those are the three big things.
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What happens sometimes when entrepreneurs start their hiring journey is they start with culture and trust.
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Don't get me wrong.
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Trust is super important, but what happens when you're only looking through culture and trust is that you're not really scrubbing whether they have the knowledge, the skills, the experience to do the thing that you're hiring them to do.
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And so whether I'm I've helped someone with their very first hire, which I would argue is always the most important one, right?
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Or you know, like we're in number 5 000 I'm always looking for first do they have the things that I need?
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I don't want to have to hire someone that I have to teach everything to.
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I want them to come in with a very solid foundation of the thing that I'm hiring them to do for me.
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Then I start looking at culture fit and personality fit, and to me one isn't more important than the other.
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You have to have both sides of it in excess, especially when you're small and growing.
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Yeah, hearing you talk about this, sheila, I always think to myself and I especially think about this within the context of marketing is how simple these things sound when we tune into a podcast episode or we watch a YouTube video.
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But, of course, the actual practicality of it is extremely difficult to get right, and so my question to you we're going to get into this really early on in our conversation today is how do we assess these things?
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You talk about the knowledge, the skills, the abilities.
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How do we figure out Because it's easy for people to say, oh yeah, I know how to use this tool and that tool and to do those processes how do we actually assess if they're accurate in their own assessment of themselves?
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Oh, actually assess if they're accurate in their own assessment of themselves.
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Oh my goodness, yeah, it does get a little tricky, admittedly, I sometimes forget.
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I've been doing this for a really long time and so, but, but here's.
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Here's what I would recommend.
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Number one if you've never written a job description before, don't let this hire be the first time that you try it.
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If you need someone to help you with marketing, hire be the first time that you try it.
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If you need someone to help you with marketing, go on Indeed and LinkedIn and find an existing marketing director or marketing assistant or marketing manager job description and work from that.
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You don't necessarily want to just lift it and use it as is, but use that to help you form the requirements and the skills.
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Read several of them.
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Do the research.
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You have to put the work in in the beginning when you're when you're not a hiring professional, to figure out is the thing I need one what the market calls it, or am I calling it something weird?
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Two is it what I think it is?
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I've had people tell me I need a marketing person, I need a marketing person, and then, when they start telling me the specific tasks they want that person to do I'm like that's a sales manager.
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I don't, where did you get marketing from?
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I don't understand, like, how did?
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How did you get there?
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And they're like, oh, I guess I just thought because it had to do with leads, you know.
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And I'm like, okay, so first Put in the research.
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You can use chat GPT.
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Oh my gosh, it's such a wonderful tool for just cranking out a job description template to get you started in an area.
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And then the next step is to really talk to a couple of people who you think is doing the job you need.
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So it's not because you're just.
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I will go and find people on LinkedIn who are doing what I think that job is and I'll just ask them to take a 15 minute call with me.
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Like, hey, I'm working in this space.
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I've never filled a role.
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It sounds like you're doing some of this job, but you might happen on a call and just telling me a little bit about what you do.
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I have yet to have anyone tell me no, it's such a low point of entry.
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And then sometimes that person does turn into a candidate.
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I mean, right, like you never know, sometimes you get lucky.
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Yeah, sheila, I love that.
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I've actually never heard that advice before.
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But I'll tell you what.
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As a podcast host, I'm biased in the belief that all conversations are good conversation.
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It's it's.
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It's so cool to hear how you apply that to your own industry, because you're not talking about interviewing these people for the sake of potentially hiring them.
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You're talking about interviewing them for the sake of you yourself, the business owner or the hiring manager, learning more about that role in other organizations, which that intelligence is only going to benefit all of our businesses.
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And, as you said, a natural by-product is heck.
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It might work out with that person and they might be the ideal candidate.
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So I really love those insights.
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I'm going to keep following this process with you.
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And what's the interview look like from there?
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Because there are a lot of ways to do interviews, some of them tricky, some of them clever, but I'd love to hear the Sheila Matthews approach.
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Yeah.
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So for me one, I want as many people to interview this person as reasonable, so that does not mean 6000 or six interviews, but you think about every.
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Every conversation should allow you to become more educated on the person you're considering.
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So what that looks like is even in the screening call, and a lot of candidates will be like, oh well, they're just the recruiter or they're just the screener, so I don't really have to worry about showing up for that.
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And that's a mistake, because even at that very first contact we are assessing and evaluating whether this person is a fit, whether they're professional, whether they showed up prepared or not.
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And that counts against a lot of people.
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When they show up in their workout clothes and they're like, uh, is it okay if I take this from my car?
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I'm coming from the gym?
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It's like, oh, oh, yeah, I, you know, like I, I thought you would have been a little more prepared, you know, um, but we're, we're looking for high level stuff during the screening call and really like, are they a match for the things that we said we had to have?
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And so there shouldn't be a laundry list of those things.
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If you use tools like 8020, like the Pareto tool.
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80% of someone's job can be boiled down into like four or five very key requirements, and so you got to figure out what those are and then check for that on their resume and during the screening call.
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If it's a yes and they don't seem correct you know unprofessional or some other thing that maybe would rub you the wrong way then you move them to the next call.
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I like to have a separate interview for technical versus culture, and those are two different people that are doing that.
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But at the beginning I'm explaining that to the candidate to say, listen, I want you to meet three different people in this company.
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You'll meet myself, the recruiter, the screener, whoever that person is.
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You will meet the hiring manager that's who usually does the technical interview.
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And then I want you to interview with someone else in the company during the step that we call the culture interview, where we will do our best to adequately and accurately represent ourselves so you know what it's like to work here.
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But then also we're going to be learning what you're looking for in a position and a job and even in a team in an environment, to see if this is a good fit, and we use our core values to help us determine that, so that it's not like, oh, she seemed fun, let's hire her.
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It's like did she give examples and did she demonstrate a natural alignment to the things that we have decided are important at our company?
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You know whether that is, you know, excellence over ego, or you know like, whatever your values are?
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And then the last piece that I would share in the technical interview, I'm kind of over star, I'll be honest, since you asked for the Sheila version, what I would prefer a hiring manager do during the technical interview is think about the problems that you want this person to solve in your business.
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Are you bringing them in to improve churn?
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Are you bringing them in to increase lead flow?
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What are you hiring them to primarily do?
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And then use those problems in your business as a basis for the interview questions.
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And so that might sound something.
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Like you know, right now my top of funnel is struggling.
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I'm running ads on these two platforms.
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My cost of acquisition is here, my CAC's this, my this is that, and I can tell something's wrong, but I don't have the expertise to figure out what that is.
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If you were just stepping into this business, where would you look for a second and third how would you help me solve this problem?
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Sheila.
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I love that.
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Real life question here in real time in our conversation today, especially because I so appreciate as well the fact that you called out the 80-20 principle.
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And I'm going to ask you to throw a little bit of shade here, sheila, because what I think something that I've come to value even more the older that I get, the more experience that I get, the more mature I get as an entrepreneur is that people like you experts in your field, subject matter experts you're really good at deciphering the stuff that matters versus the stuff that doesn't, and so when I was 20 years old and starting my first business and I was learning about marketing, everything mattered to me.
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I thought I had to be on every platform.
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I'm going to blame Gary Vee for all of that.
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I thought I had to be literally everywhere.
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But sure, the older I get, the more I realize, gosh, really, you could just be so good at so few things, and that's what makes all the difference.
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So the shade I'm going to ask you to throw is what are some of those things that companies typically think matter when it comes to hires and I'll throw my own personal bias in here of you know the, you need five to seven years of experience and you need a college degree and all of these things.
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That's just one example from my end.
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Sheila, give me your perspective there.
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Oh my gosh, it's absolutely thinking.
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You have to list every freaking feasible possible task.
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And you know what I like?
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I really can't stand these five page job descriptions or even three page job descriptions where we're trying to account for every little thing and then the hiring manager comes into this engagement with very unrealistic expectations, because now they expect that the recruiter is going to check for 30 different types of work and tasks and make sure this candidate has done every single one of them.
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And you know like it's, it's not realistic, it's not a good use of anyone's time.
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And then I would also submit you're not really setting the employee uh up, or the person that you're hiring up for a good experience, like who wants to take a job where they learn nothing new.
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Do you know what I mean?
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Like, why would what's in it for you at that point?
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Yes, you're going to get paid, but part of part of the excitement and the kind of growth piece of taking on a new role is that there are unknown, unlearned pieces of that, and, and so that's that's kind of my way in on it um, the other piece I think is um and this is tough because again it is, it is a skill piece.
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But you know you, a lot of times sometimes hiring managers come into the process and they haven't really done the self-reflect, they have not really spent time and research to figure out the thing that they want and need, and that wastes a lot of time and a lot of candidate time when you're trying to find your perfect person.
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And so to me, like those are the two egregious things is that companies don't incentivize hiring managers to prepare to hire and then on the other side, you know like we're just throwing everything in the kitchen sink into the job description and it doesn't allow us to really pull and dig into the things that matter most.
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Yeah, sheila, I kind of want to flip this conversation on its head a little bit, because hearing you talk about these things you talk about, you know it's exciting to hire someone into a new role, not just because they're getting paid.
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That's one of the reasons, though.
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Of course, we all love getting paid, but I think that it calls out part of our obligation and our responsibilities on the hiring side, as business owners, as entrepreneurs, to also reflect on the fact that we need to provide value as well, beyond just the fact that we pay other people.
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And so I want to ask you this, because I obviously talk to a lot of entrepreneurs and business owners in my line of work, and I keep hearing this phrase.
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For the past two years, I've heard people say it's hard to find good help, and I'm really thrilled because some of the best members of my team have been coming on board in the past few years.
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So, sheila, what can we, as business owners, do to create a position where it's easy to find good help?
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I know that that statement is said with the best of intentions, but you know they are out there with the best of intentions, but you know they are out there.
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Oh my gosh, there are so many amazing people out there looking for their next opportunity.
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Um, but you have to show up prepared for it and then, um, I think I'll take this opportunity to just talk about a limiting belief that I've worked through with a lot of entrepreneurs about, which is like I don't offer benefits, I can't offer healthcare, therefore I can't find someone good, and so to me, that is between your ears, you know, like you're telling yourself that, and even if you don't have, maybe you don't offer group benefits.
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Yet that's actually not a big deal.
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You can offer a stipend or money towards someone purchasing their healthcare.
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You can offer a stipend or money towards someone purchasing their health care.
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So sometimes you just get creative about the things that you can offer in order to be more competitive.
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If you think that is a concern for you, but after hiring hundreds of people, probably actually thousands of people, I will tell you benefits matter, but culture matters more.
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You benefits matter, but culture matters more.
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The environment in which you allow someone to come in and play a part of in your business matters more than the extra spliffs and you know cash and prizes that you give them.
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You have to pay market.
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You know like to me, that is table stakes.
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You should be willing to pay at or above market if you want someone amazing because that's what they will get anywhere else.
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But really your differentiator and it's so much easier, by the way, for smaller businesses because you have less people to corral your differentiator is to create an amazing environment for them to come and be a part of.
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Lean into the growth aspect, lean into you know the scale, lean into all the things that you love about coming in every day and doing that, and those are the people that you want to attract into your business.
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If you're under 5 million right now.
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Yeah, sheila, I'll tell you what you just introduced, that big word that I promised at the top of today's episode of culture.
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We're going to talk about culture now, and I'm so excited for this part of the conversation because it's this huge, intangible thing, and I would argue that it's easy to see the extremes when we saw, I think back to the early two thousands, the, the heydays of the Googles of the world, where they had all these fun office environments that had never been seen anywhere in the workplace.
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They really revolutionized that side of it, and I'm not going to speak to their current status, because who knows what the status of all of those, but they did change the way that work is done in so many ways and that's why we saw the start in the rise of so many cool tech companies.
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But then also we can feel those bad environments.
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You know, we hear some of the horror stories of some delivery drivers for some big online e-tailers and they've got some ugly working conditions.
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So, sheila, with that in mind, what's culture?
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Because we know it when we see good or bad culture, but it's so hard to define and put our fingers on, especially as business owners of our own.
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We love our businesses.
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They're our babies.
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But what does that culture look like, what are the ingredients that play into it, and where does it manifest itself in our businesses?
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Yeah, that's a great question.
00:19:14.449 --> 00:19:21.971
You know, I always, when I first start having this conversation with entrepreneurs, I tell them that culture is the way people act.
00:19:21.971 --> 00:19:27.770
When you're not around, it seems like, well, wait a minute, I thought I drove culture.
00:19:27.770 --> 00:19:39.765
You do drive culture, but if you know, if it's only happening when you're there, you have to ask yourself is it because I'm creating a punishing environment and that's why people are doing it?
00:19:39.765 --> 00:19:43.200
How do they act when I, when I remove myself from the equation?
00:19:43.200 --> 00:19:45.865
And good behavior or bad behavior?
00:19:45.865 --> 00:19:53.231
That is the culture that is growing and taking place in your business, and so I like to give examples to help contextualize some of this.
00:19:53.359 --> 00:19:57.260
So, if you gossip with people in your business, I hate to.
00:19:57.260 --> 00:20:02.286
I'm gonna leave with a negative, sorry, but let's say that you like to gossip with other people in your company.
00:20:02.286 --> 00:20:05.690
Well, when you're not around, guess what's happening?
00:20:05.690 --> 00:20:09.248
Other people are gossiping, whether you think they should or not.
00:20:09.248 --> 00:20:17.113
You are leading with that example and you are setting the stage that that is an acceptable behavior in your company and that becomes part of the culture.
00:20:17.799 --> 00:20:21.810
And then sometimes I get questions like how do I turn that around if I've made mistakes?
00:20:21.810 --> 00:20:25.153
I mean, I'm human too, I'm still learning and growing and I'm like I get it.
00:20:25.153 --> 00:20:28.203
Then you have to address what you've done that was wrong.
00:20:28.203 --> 00:20:39.162
You have to commit to changing your own behavior and then explain that you would like everyone and you expect everyone to follow suit, and then you have to follow through on that.
00:20:39.162 --> 00:20:43.452
So it's like hey, I know I've gauged, I've engaged in harmful gossip before.
00:20:43.452 --> 00:20:44.982
I'm not proud of that.
00:20:44.982 --> 00:20:50.063
I'm also learning and growing, but I this isn't the, this isn't what I want for our business.
00:20:50.063 --> 00:20:59.424
I'm building this business so that all of us have an amazing place to work, and what I've realized is that behavior can't be a part of it if I really want people to feel safe and love being here.
00:20:59.424 --> 00:21:05.190
So I'm committing to all of you that I'm not going to do that anymore and I'm going to ask that you guys come along with me on that.
00:21:06.220 --> 00:21:14.859
Yeah, Sheila, I want to ask you this question because I think you have such a unique vantage point in what I'm going to ask you, and that is when you talk about companies of different sizes.
00:21:14.859 --> 00:21:21.008
And I love the fact that you interjected into the conversation about what if a culture is already established, how can we start switching that?
00:21:21.008 --> 00:21:26.063
I always I love that analogy of dropping food coloring into a swimming pool.
00:21:26.063 --> 00:21:30.890
You know, if we drop it into a glass of water, it's going to make a big difference to the color of our water.
00:21:30.890 --> 00:21:35.480
If we drop it into a swimming pool, it's going to take a lot of drops of water to make any sort of difference.
00:21:35.480 --> 00:21:36.864
And the same is true when it comes to culture.
00:21:36.904 --> 00:21:48.965
Is that at UPS, if UPS hired me today, sure, I can have a local difference on my immediate coworkers, but I'm not going to radically change as a new employee, I'm not going to radically change the culture of UPS.
00:21:48.965 --> 00:21:55.996
However, on the startup level which you're well versed there as well, you've worked in so many cool environments it does make a big difference.
00:21:55.996 --> 00:22:03.243
Every hire makes a massive difference.
00:22:03.243 --> 00:22:07.337
So my question to you really is at that smaller level, for the startups, for the rapidly growing companies, do we hire for culture?
00:22:07.337 --> 00:22:10.527
Do we let the hires help shape our culture?
00:22:10.527 --> 00:22:13.285
What's the chicken or the egg here, and how do we solve that?
00:22:14.460 --> 00:22:31.205
Yeah, I think that you're looking for your alignment to values first and foremost and that will ensure that they are a culture fit or it will help to ensure right, because I mean, at the end of the day, no one gets hiring right 100% of the time, even super seasoned people.
00:22:31.205 --> 00:22:34.162
So also, if you screw it up, let them go, forgive yourself.
00:22:34.162 --> 00:22:35.969
You know, learn from it and move on.
00:22:35.969 --> 00:22:40.612
But you really want to ask yourself what are my company's values?
00:22:40.612 --> 00:22:49.501
If you don't have values, you should think about having some like what are the things that guide the company's behavior when you're not there?
00:22:49.501 --> 00:22:51.166
Those are your values.
00:22:51.166 --> 00:22:53.801
I like three, you know three or four.
00:22:53.801 --> 00:22:54.865
You don't need 20.
00:22:54.865 --> 00:23:01.991
You know no one's going to remember those and I like to make them fun and use alliteration so that they're easy to remember.
00:23:01.991 --> 00:23:06.807
Like you know, a couple of the values that I run my company with is make that mess your masterpiece.
00:23:06.807 --> 00:23:08.371
Excellence over ego.
00:23:08.371 --> 00:23:13.503
You know they're kind of catchy and I can easily explain what they mean to someone if they're not sure.
00:23:14.366 --> 00:23:26.782
And from there, during the culture interview, when I am hiring someone, I'm asking like does this person have a mindset and a natural proclivity to be continuously better?
00:23:26.782 --> 00:23:34.954
Will they take ownership of something if no one else is taking ownership of it in order to move the work forward and to improve it.
00:23:34.954 --> 00:23:38.349
Will this person be coachable?
00:23:38.349 --> 00:23:41.084
Do I if they make a mistake?
00:23:41.084 --> 00:23:41.645
Are they?
00:23:41.645 --> 00:23:44.392
Will we all be walking on eggshells?
00:23:44.392 --> 00:23:46.587
Will we be able to talk about it productively?