Small business owners and managers are always faced with the challenge of how to create a positive work environment that will improve efficiency and ROI. A joyous environment at the workplace invokes a sense of dedication and purpose to the employees, and everybody is geared to serve the organization to the best of their abilities. According to Forbes, companies with satisfied and happy employees were able to generate 22.4% more revenue for their respective companies or employers. So here are some important pointers that can help in creating such an environment.

Appreciation is the Best Motivator

Everybody likes to be appreciated, but in most offices, you will find employees feeling unappreciated for their work. An employee needs a sense of purpose, and that can only be instilled with due appreciation. Most employers and managers have no idea what a major difference it would make, if they mentioned a simple thank you.

In fact, phrases like “you have turned the project around”, “nice job”, or “we are glad to have you on our team” are excellent motivators, and you can immediately notice the difference in the work environment. However, make sure you show appreciation only when it is due, or you could be setting a bad example for others. CareerBuilder in its 2014 survey states that employees who receive workplace recognition are 29 percent less likely to leave the company they work for whereas those who are dissatisfied with their jobs are 58 percent more likely to disengage themselves and seek other ways to pay their bills.

Making Employees Understand their Job

One of the key components of keeping your employees happy is to tell them what exactly is expected out of them in their daily responsibilities and how their performance will be gauged. The best way to achieve this is by keeping both formal and informal channels of communication and feedback open. As a manager, you lose a golden opportunity to make your subordinate happy if you fail to praise him or her for a job done well. On the other hand, if the employee commits a mistake, the manager should take the constructive feedback approach and make sure this is not done in front of other people.


In-Person Communication

When you make an effort to connect in person with employees or team members, you are showing that you care, and that is a tremendous motivator. Sending short messages by email may not be as effective as when you connect in person. Get to know your employees better, by inquiring about their career goals, the things that interest them in the projects, what they would like to achieve overall and so on. Small talk and discussions on topics that are not related to the job during free time, can also work wonders.

Dealing with an Errant Employee

It is equally important to discipline a problem employee. If you fail to do so, others will see it as a sign of weak and passive leadership. The best way again is to open channels of communication with the problem creator and understand their underlying issues. Many times, problems in their personal life are hampering the employee’s professional attitude and motivation.

Conducting informal discussions with them without taking an official or confrontational stance should be enough for them to see the light and get back on track without officially writing them up for overt disciplinary reasons. However, if the problem employee is beyond control and has ignored your attempts to build a strong bond and if they still refuse to be a team player and a cordial person to work with, then it is the right time to tell this person their services are no longer required. When doing this, make sure you incorporate the proper procedures and policies your company adheres to.

Building Trust

Trust goes a long way in building meaningful relationships, and is a major requirement in creating positive work environment. For building trust, you need to be what you claim to be, and do what you have said you would do. This will show to your employees that you are a reliable person, who takes his responsibility seriously, and likes accountability.

You can create an environment of trust when there are no inconsistencies in you talk and behavior. Employees will automatically feel that you expect the same from them, and they will start behaving in a similar manner. However, trust is quite fragile and can be broken easily. Therefore, you need to be very alert in things you say and do.

You should make it a point to be upfront and honest even during uncomfortable situations. Employees can easily make out if you are not being entirely honest to save the situation, and that can work against you. Once you have built a reputation of being very honest, employees will start having more confidence in you, and they will be more open.

It is also integral never to discuss aspects about an employee in a group setting, unless you are praising the person or talking about his or her terrific qualities. If you are having any problems with an employee or team member, it should kept between you and the employee, and not discussed openly (as mentioned above).

If you follow these five tips, you will be well on your way to creating a positive work environment for your employees, which will increase both loyalty and productivity to your business. For other great business tips and ideas, contact 118group today!