Hiring the right individuals are important to every organization because you want your business to run with ease. The founder-CEO, of a new startup, does not want to have, the challenges of finding someone that you may not know very well to help run his or her business. Most founder-CEO’s look for trusting, intelligent, leaders to help give them a fast track to their quickly growing business. In most instances, founder-CEO’s found the attributes listed above in people that are within their own circle or family.
As I initially started my non-profit I did not want to hire anyone that did not have some of the same passions as I did. I also found it difficult to find people that I trusted and had the qualification that I was looking for. I finally made the decision to look to family, to fill the executive positions. According to Wasserman (2012), “CEO’s tend to feel more comfortable with hires they already know, especially compared to the hires who come from the next most common source- the startup’s investors and board members.” If you do have investors that are feeding hires into the business, you could be faced with an under mind of power, and support. The power struggle is never good for business.
According to Herrenkohl (2010), “A-players want to work for leaders who know where they as top performers fit in the future of the business. Time invested in clarifying and communicating your vision pays off by helping to keep the A-players that you hire.” This was an interesting statement, because I can remember when my Vice President of Operation and I first started talking about who would be in those executive director positions. Finding someone to fit in the vacant position was very difficult, I found refuge in my family members for those top spots. It just so happened that they had the credentials and they understood my vision and quest to help the community. So it was not as difficult for me to give them equity in our business.
Finally, while having family members that were qualified and honest, I still had a very detailed contract that spelled out their duties and percentages of equity. My executive directors know if they are successful we are all successful and will be able to grow the organization.
Wasserman, Noam (2012) The Founder’s Dilemmas: Princeton University Press, Princeton New Jersey
Herrenkohl, Eric (2010). How To Hire A-Players. John Wiley & Sons, Inc., Hoboken, New Jersey