
By Michael Cruz
When working on annual planning, we often look at the company’s strengths and its weaknesses. Most often, I see “our people” as a strength. I often see “bench depth” as a weakness.
My advice always is to build on your strengths. Then, do what is reasonable to mitigate your weaknesses. There is one simple thing you can do to reduce that bench depth pain. Invest in the people you already have. We already know that it costs less to keep our customers than it does to acquire new ones.
The same is true about the people that work for you. Hiring is difficult, it is expensive, and it is not a 100 percent solution. Many years ago, I worked for a very fast-growing software company. When I joined it, the company’s sales were $18 million. When I left, seven years later, sales topped $450 million.
One of the most stunning attributes of that industry was that we were all fairly young and inexperienced. We were a young company and we were a young management team. We worked to figure out our weaknesses and we brought in experts to address them. And that personal growth kept me loyal to the company even when I was offered more money to leave.