As a company grows and evolves, it becomes necessary to create new positions. One dilemma many business owners face is whether to promote someone from within the company or hire an external applicant. Ultimately, the biggest factor in making that choice depends on the needs of your company; but promoting from within can provide several unique advantages, including the following:
1. Don’t underestimate the talents of your current staff
Be willing to challenge the outside world with the people you have within. You can show commitment to your employees by encouraging them to expand their natural skills and abilities through training and educational programs designed to help them assume more responsibility within the company.
2. Leveraging company growth into opportunity
Your employees are your greatest assets. Valuing and utilizing those assets to the fullest extent encourages increased responsibility and accountability.
3. Motivated employees work harder
Promoting based on merit keeps employees motivated and provides a real incentive for them to do their best.
4. More opportunity means happy employees
Promoting from within can often be more cost-effective than hiring externally and boosts the morale of your employees. It also aids both the financial and cultural health of your company.
5. Maintaining Operational Continuity
Current employees already understand the company, its culture, and processes. Familiarity with those can help them hit the ground running in their new role, as opposed to external hires who often arrive unfamiliar with their new employer’s systems and procedures.