Sabrina Starling, PhD, asks an interesting question worth thoughtful consideration.
She says “Payroll is an expense if team members are unaware of the importance of the business they work for being profitable and their ability to impact profitability. When they understand why it should matter to them that the business is profitable and how they can impact profit, payroll becomes an investment.”
Team members who find ways to take exceptional care of top clients, increase sales and save the company money add significant value to the company and contribute to profitability.” – Sabrina Starling, PhD
Source: Entrepreneur, October 17, 2023. Link. Profit creates growth opportunities, pay raises and promotions. When team members understand this, they work hard to do their part to contribute to the company’s profit. Starling recommends discussing the roles in contributing to profit with team members at least twice yearly and to make it part of the onboarding process.