Can You Measure Software Developer Productivity?

Can You Measure Software Developer Productivity?

The cost of software development kills innovation by limiting resources available to solve problems

THE PRODUCTIVITY DILEMMA

Let’s face it – software development is expensive.  Really expensive.  It’s not hard to understand why – software development is a complicated and still-maturing industry, and as the sector grows, it actually gets more complicated, not less, because of the acceleration of changes in technologies, programming languages, and toolsets.

As a technology consultant, one who is paid to help build expensive, complex systems, I should be happier than a fanboy on a Fortnite bender about this trend, right?  Wrong – it frustrates me a great deal.  My job is to solve problems and build things that people need, and that gets harder when funding becomes a challenge for our clients.

So here’s the question I’ve been grappling with – how can we make software development more productive to reduce costs?

There are lots of things our industry has done over the preceding decades to tackle this problem:

  • Developed working methodologies to build repeatable practices – Waterfall, Unified Process, Agile, XP, etc.
  • Created design patterns to solve common problems – MVC, SOLID, GoF, and many others
  • Leveraged lower cost resources through offshoring

None of these have been a panacea.  Look at any enterprise and you’ll find competing for SDLC methodologies, loose adherence to design practices, and the common efficiency roadblocks due to offshoring.  While these efforts have been helpful in managing cost, it is very difficult to measure the effect they have really had.

MEASURING PRODUCTIVITY

What to do, then?  More than anything, the focus of productivity has to start with the most human element of all – the individual developer herself.  The focus has to be on how to increase the speed that a developer can turn a designed solution into working code with as few errors as possible.

Anyone who has been in the software industry knows there are broad ranges in developers’ productivity.   It depends on the individual’s ability to understand programming theory, their educational background, years of experience, a personal situation at the time, how much Fortnite they play, etc.

Why is this important?  Quite simply, time is money.  The longer it takes a developer to code a solution, the more it costs.  In today’s environment of nearly full employment, demand for software developers has never been higher, which brings a lot of varied talent into the picture to meet the demand.  Anyone who has hired a developer knows the productivity gap I’m talking about – hiring is an expensive proposition and no matter how much interviewing you do, and you’re never sure what sort of productivity you’ll get until that person gets to work.

Why is measuring productivity so hard?  Because a good measurement involves an apples-to-apples comparison between developers, yet they will almost never complete the same task to produce the same set of code.  Since every development task is different, we cannot establish a baseline for how long it SHOULD take to perform a task versus how long it WILL take a specific developer.  Throw in each person’s differing levels of experience, education, and general abilities with the discipline, and…you get the picture.

Does that mean we’re stuck with technical interviews, coding tests, and answered prayers to create a team of highly productive software engineers?  Not quite.  Agile practices give us an opportunity to solve the biggest challenge in measuring developer productivity – creating a baseline to measure the variance between the estimated and actual time to perform a coding task.

HOW IT WORKS

Every ALM tool – Jira, or otherwise – allows a Scrum team to create story sub-tasks during their planning sessions.  Usually, a developer assigned to a sub-task has an opportunity to estimate the time it should take to complete that task, measured in hours.  During the sprint, developers can then track the actual hours spent so the team can evaluate the variance between estimated and actual hours.

This variance isn’t particularly helpful as a productivity metric because the individual developer may be much faster or slower than the average, and their estimations likely reflect this bias.

The solution to this problem is to have all the developers on the Scrum team estimate each subtask duration, creating a proxy baseline and a more reasonable expectation of the task’s duration.  Then, once a task is assigned to the individual developer, the variance calculations can start to have some meaning.

What meaning are we to glean from this variance? When looking at large sets of variances (hundreds or thousands of tasks over multiple projects), we can observe patterns in individual developers’ productivity.  If they consistently take longer to complete a task than the established baseline, we can look more deeply at the data to find root causes and potential remediations.  Is there a skills mismatch, allocation mismatch, or something else?  Does the developer need more pair programming or training in specific areas?

If a developer consistently performs tasks in less time than the estimations, we have hard metrics to reward that individual and encourage continued productivity.  We can also look at the data to see how we might have other developers emulate good behaviors from these high performers.

IMPLICATIONS

I know I know – I can hear the complaints now.  A small group of 2-4 developers on a Scrum team estimating a task cannot be used as a valid baseline, you say.  It’s a fair point, but any leftover estimation bias from a small sample size of developers would be offset by the volume of variance data we would collect.  As a manager, I care more about the variance trends and less about the exactness of anyone variance calculation.

But wait, you say.  All of this supposes a developer will be truthful in reporting their actual duration on a task.  People lie to themselves and others all the time (just read “Everybody Lies” by Seth Stephens-Davidowitz) – if a developer knows they’ll be measured on variance, they’ll manipulate their actuals to improve their perceived productivity.

Again, fair point, but there is a self-policing solution to this problem.  An employee is generally expected to work 8 hours a day.  If a developer consistently under-reports their actual durations on a task, it would appear they were consistently working less than they should be.

Say a developer is assigned two 4-hour tasks, and he takes 1 day to complete both but only reports 2 hours of actual duration for each task.  We would see a report that shows him only working 4 hours that day.  With enough data points, we could easily spot a trend of under-reporting and take corrective action.

CONCLUSION

Why is all of this important?  As individuals, not just employees, we should all strive to improve ourselves every day.  That’s how society is supposed to work – we do things, we make mistakes, we learn from them and we grow in the process.  But we can’t improve what we can’t measure.  The method I describe is very easy to implement, as long as your team is following the Scrum ceremonies.  With simple metrics and trend analysis, maybe we can finally solve a difficult problem and leave ourselves more time to knock a few more things of that ever-growing to-do list.

Chad Hahn
Contributor
Optimity Advisors, Inc.
Chad Hahn is a partner overseeing the digital & technology practice at Optimity Advisors. He is an entrepreneur with 20 years of experience in strategy, business development, operations, and technology, and has started and sold two successful service businesses. He has a strong background in software engineering and enterprise architecture, with deep expertise in both traditional and emerging technologies.
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Chad Hahn
Optimity Advisors, Inc.
Chad Hahn is a partner overseeing the digital & technology practice at Optimity Advisors. He is an entrepreneur with 20 years of experience in strategy, business development, operations, and technology, and has started and sold two successful service businesses. He has a strong background in software engineering and enterprise architecture, with deep expertise in both traditional and emerging technologies.

How the Stock Market Affects the Job Market

  • Cadre Talent is a quality over quantity boutique recruiting shop specializing in all things software engineering in LA
How the Stock Market Affects the Job Market

The recent stock market plummet has sent many people into wondering if the job market will follow suit, affecting their careers and livelihoods.

The good news is, even though the health of the stock market does have an impact on the job market, it’s often not a one-to-one correlation.

The Stock Market As an Indicator of Shareholder Confidence

The stock market reflects not only the strength of the economy at the moment but also the confidence that investors and corporations have in the future of the market.

If shareholders believe that a company is going to make more profits, then the stock price will bounce back and the organization will have more resources to expand and hire employees. If the market feels that a company’s earnings will remain stagnant or decline, then the stock price will drop and the organization will likely have to tighten its belt.

As such, how investors evaluate the economy will impact corporations’ resource allocation and hiring decisions.

Keep in mind that the stock market is a leading indicator while the job market is a lagging indicator. A single fluctuation in the stock market is unlikely to impact the job market significantly in the short run.

However, if the downward trend continues in the stock market and shareholder confidence starts to erode, the job market will likely suffer since a company’s stock value is based on investors’ projection of its future earnings.

One major reason that a bull market typically creates more jobs is the increased M&A activities. Larger companies have more cash and tend to expand more aggressively. On the other hand, M&A activities tend to slow down in a sustained bear market.

Also, VC money tends to drop off in a sustained bear market, which often results in a tight market, as well as a contraction in seed and Series A rounds. This, in turn, affects the hiring prognosis for startups while more candidates are holding onto their jobs at bigger shops. Such candidate-favored market could deter smaller companies from hiring.

How the Stock Market Affects the Job Market

How the Stock Market and Job Market Affect Each Other

Many factors, such as the global economy, political climate, and investor confidence can impact how the stock market and the job market affect each other as they’re intertwined in nuanced ways.

For example, the economy doesn’t have to decline to put CEOs under pressure. If shareholders start losing confidence for any reason and executives are forced to put a hold on spending, the job market could be affected.

Alternatively, when job seekers see signs of uncertainty in the market, they’re likely to stay at their current jobs and start banking more money instead of taking more risks or increase their spending. This will reduce their disposable income, impact the economy, reduce corporate earnings, and eventually affect the stock market.

There are other factors that will affect the confidence of the market and the outlook of investors in response to a plummet in stock prices, which can have a major impact on the job market.

For example, if investors are pessimistic about the political climate and the Fed responds by increasing the interest rates, global stock and bond market will continue to drop. Companies will be under pressure to tighten their spending by pausing their hiring or even laying off employees.

However, if the political climate instills an optimistic mood in corporate America (e.g., through deregulation and tax breaks,) stockholder confidence can stay high despite a momentary drop in stock prices. Businesses will feel empowered and continue to expand and hire more employees.

Last but not least, wild swings in stock prices could impact market confidence more significantly. As a result, the fluctuation is likely to be more destabilizing for the job market.


 

Cadre is a quality over quantity boutique recruiting shop specializing in all things software engineering, robotics, artificial intelligence, and autonomous vehicles. Cadre is building a talent network utilizing AI and Machine Learning to help solve the tech talent crisis across their portfolio of 85 startups throughout California, Seattle, and Austin.

 

Jason Stomel
Contributor
Cadre Talent, Santa Monica, CA
Jason is the founder and CEO of Cadre; a talent agency, recruiting software incubator and Angel Investor. He has been recruiting in LA for 12 years across a portfolio of startups ranging from Pre-Series A to publicly traded tech companies and Venture Capitalists.
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Jason Stomel
Cadre Talent, Santa Monica, CA
Jason is the founder and CEO of Cadre; a talent agency, recruiting software incubator and Angel Investor. He has been recruiting in LA for 12 years across a portfolio of startups ranging from Pre-Series A to publicly traded tech companies and Venture Capitalists.

Blockchain: Trust Is Not A Binary Option

Blockchain: Trust Is Not A Binary Option

Trust doesn’t have to be an all-or-nothing proposition when it comes to Blockchain

Blockchain’s primary value proposition is decentralization, the idea that the “truth” can be validated without 3rd party intervention in a trustless environment.  As technology has proliferated over the last several years, we have seen the infrastructure incorporate many different types of protocols:

  • Public  – Fully open blockchains with no barrier to participating (eg, Bitcoin, Ethereum)
  • Permission – Private blockchains where a central entity controls access (eg, Orderers in Hyperledger Fabric)
  • Federated – A consortium of entities controlling the blockchain (R3 comes to mind)

Each of these options has a different take on “trust.”  There are some in the crypto space who feel the only groundbreaking solutions are the public, or “permissionless,” solutions.  Their argument is that a protocol is only decentralized when it is fully public, and only then can it reach the full potential of the blockchain.

It’s a fair point, to be sure.  How can you be decentralized if one or more entities are entrusted control access to the blockchain?  However, it occurs to me that this is a very binary view of trust – in reality, trust is more nuanced and multi-layered, like a set of qubits more than a simple 0/1 representation.

Every single day we maintain simultaneous levels of trust at the same time.  I trust my wife implicitly (I hope that is wise), while I have much less trust in the Lakers’ ability to win a title without LeBron.   I have varying degrees of trust in my employees based on past performance, while I have no trust in the cars speeding along my neighborhood street when I walk the kids to school.

Our entire day is defined by a cascading array of trust, depending on our situation.  We understand and accept this because trust is a tool we use to maximize our benefit in specific situations.  I’m not going into a conversation with my wife about whether to have a 4th child (spoiler alert – not happening) from a lack of trust, because the conversation would be utterly pointless.  Conversely, I’m not going into a startup pitch from a place of trust, because it would eliminate the healthy skepticism I’ll need to evaluate the opportunity.

Why wouldn’t the same concept apply to blockchain?  Does every system need to be fully permissionless to add value?  The security and decentralized nature of Bitcoin works great for payments between people who don’t know each other, but in certain environments, organizations can still benefit from blockchain with a degree of centralization, provided there is a healthy level of trust.  For a tight supply chain of organizations with the right incentives to work together, a federated or permission solution would do just fine.

Ripple uses roles to establish specific participants to act as transaction validators

I’ve heard the argument that blockchain technology isn’t needed in situations where a centralized approach is acceptable – a central database would do just fine.  Sure it may be fine, but why not use blockchain when the technology provides other value propositions out of the box – namely, transparency and immutability?

My point is this: because trust is a multi-layered concept in our daily lives, and blockchain can handle trust in many different ways, we should embrace its implementation to support more than just the no-trust situations.  Let’s not limit blockchain’s potential while we still shaping this exciting new technology.

Is Blockchain Truly Decentralized?

Chad Hahn
Contributor
Optimity Advisors, Inc.
Chad Hahn is a partner overseeing the digital & technology practice at Optimity Advisors. He is an entrepreneur with 20 years of experience in strategy, business development, operations, and technology, and has started and sold two successful service businesses. He has a strong background in software engineering and enterprise architecture, with deep expertise in both traditional and emerging technologies.
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Chad Hahn
Optimity Advisors, Inc.
Chad Hahn is a partner overseeing the digital & technology practice at Optimity Advisors. He is an entrepreneur with 20 years of experience in strategy, business development, operations, and technology, and has started and sold two successful service businesses. He has a strong background in software engineering and enterprise architecture, with deep expertise in both traditional and emerging technologies.

22 Best Invoicing Software for Startup

25 Best Invoicing Software for Startups

Whether you’re a startup or a freelancer, you need a good invoicing app that simplifies the invoicing process that saves you time and money. There are plenty of invoicing software options available today that allow you to easily send out personalized invoices. Also to make sure you get paid on time, without losing track of the payments that you are owed.

We scoured the web to find the best of the best invoicing app for you.  We looked for an app that, first and foremost, lets you make an invoice more quickly than you could in your word processor and ideally lets you get paid online or mobile.

When testing apps, we also considered pricing and usability, and we looked for apps with either unique or extensive features; those that do something no other app offers or handle everything from invoicing to accounting to project management and estimation.

Here are the 23 best invoicing apps you can try today.

1 Intuit Quickbooks

QuickBooks is a simple web-based accounting software package developed and marketed by Intuit. QuickBooks products are geared mainly toward small and medium-sized businesses and offer on-premises accounting applications as well as cloud-based versions that accept business payments, manage and pay bills, and payroll functions. We use Quickbooks for our company, it’s a great app.

2 Xero

Founded in 2006 in New Zealand, Xero is one of the fastest growing software as service companies globally. A beautiful cloud-based accounting app connects all of your staff anytime, anywhere, on any device. Give your staff access to the areas they need to do their job. And invite your advisor to collaborate with you on your business in real-time. Xero backs up your data and protects it with multiple layers of security including industry-standard data encryption and secure data centers.

3 FreshBooks

A cloud-based small business accounting software that enables you to quickly send invoices, track time, manage receipts, expenses, and accept credit cards. FreshBooks is simple and intuitive, so you’ll spend less time on paperwork and wow your clients with how professional your invoices look. One of the things we love is that FreshBooks integrates with lots of apps you already use to make running your business a breeze, here’s the list.

4 Bill.com

Bill.com is a US-based accounting software system, provided as a software as a service (SaaS) that integrates with accounting and banking systems. It enables you to easily get invoiced electronically, or drag, drop and enter bills yourself. And, send ACH Payments, or we can mail paper checks to vendors & contractors for you.

5 Chargify

Chargify is a web-based billing software for all of your Recurring Billing needs. Chargify manages billing for thousands of businesses and supports a wide range of billing scenarios from B2B to B2C. While the common business segments include SaaS, subscription boxes, agencies, consultants, and Web hosting, Chargify can handle any industry need that requires recurring billing.

6 Square

Square is a cohesive commerce ecosystem that helps sellers start, run, and grow their business. Square combines sophisticated software with affordable hardware to enable sellers to turn mobile and computing devices into powerful payment and point-of-sale solutions. Its tools help sellers make informed business decisions through the use of analytics and reporting. Sellers can manage orders, inventory, locations, and employees; engage customers and grow their sales, and gain access to business loans.

7 Wave

Wave is a company that provides a suite of financial services and online software for small businesses. Wave is headquartered in the Leslieville neighborhood in Toronto, Canada. Wave enables you to get paid on time, every time. You can set up recurring invoices and automatic credit card payments for your repeat customers and stop chasing payments. And, enables you to switch between automatic and manual billing whenever you want. Pretty cool feature.

8 Quaderno

Quaderno manages sales tax, VAT, and GST for you, automatically. It handles thousands of receipts every month from businesses of all sizes, all around the world. What’s cool about Quaderno is that it automatically calculate the correct tax amount for each customer and their location. And, Quaderno sends automatic receipts after every payment. Issue credit notes with every refund. Comply with local rules everywhere, including the US, Canada, Australia, and the entire EU.

9 Simple Invoices

Simple Invoices is the easiest way for freelancers to send invoices and get paid on time. Simple Invoices enables you to accept credit cards and PayPal payments in seconds. Freelancer friendly, try it.

10 Cushion

With Cushion, you can send invoices to clients by either downloading a PDF, copying a link, or sending an email directly from Cushion. On the surface, Cushion can generate and track invoices, but underneath, it can do so much more; like saving tax rates, so when you click to enter an amount, a helper will appear with a list of your saved tax rates. And, Cushion uses dates to track your invoices and visualize them in the schedule graph. Slick!

11 Zipbooks

ZipBooks is free accounting software that sends invoices, tracks time and expenses, integrates with your bank & lets you process credit cards. Simple, beautiful, and powerful, ZipBooks gives you the tools and intelligence to take your business to the next level.

Zipbooks enables you to customize your invoices according to your needs by adding your logo, specific colors, and contact info. Stay up to date by keeping track of customer payment and invoice history, overdue balances, and taxes collected. See when your customer has opened an invoice, and prepare and view receipts.

12 Accounteer

Accounteer is a cloud-based accounting platform for small businesses. It enables you to create invoices, track expenses and follow up on their finances with ease. Accounteer integrates with external services like banks, e-invoicing platforms, and e-commerce. You can quickly create sales invoices and offers with ease. With a few simple clicks, you can create your documents and send them digitally to your contacts reducing both time and cost. Using Accounteer out of the box reports you can easily track your receivables and make sure you get paid in time.

13 FreeAgent

FreeAgent is cloud-based accounting software targeted at freelancers, micro businesses and their accountants. FreeAgent lets you set up recurring invoices that can send themselves automatically, and nudge those pesky late-paying clients with automated reminders. It’s hands-free invoicing!

14 Due

Due has helped thousands of companies and freelancers get paid faster and increase their cash flow while offering a professional, branded approach to payment requests. Due also offers a wide range of payment options, including eCash, eChecks, and ACH, and domestic and international credit card process, as well as a digital wallet to store payment information and funds.

15 And Co

And Co is a company that develops and markets services as products for small businesses and freelancers. You can create an invoice in 20 seconds or less. AND CO automatically creates invoices based on your projects and contracts, alerts you of their payment and more.  Slick app!

16 Hello Bonsai

Bonsai is an online freelancing platform that helps companies and independent talent invoice better and faster. Bonsai enables you to create and customize invoices in seconds or generate them automatically from any proposal, contract or time sheet – this will save a ton of time. Try it today.

17 BallPark

Ballpark’s estimates and invoices help you streamline your process and make it easier for clients to pay you for your work. Ballpark enables you to create detailed estimates and send them to your clients for approval. Ballpark lets you know when clients have accepted or rejected your estimates so you can get to work.

18 Invoice2Go

Invoice2Go is a simple mobile and web app for invoicing, expense-tracking, and reporting tool for micro and small business owners. Say goodbye to hours of digging through files and boxes for receipts. Simply snap a photo to safely store it. You’ll thank yourself at tax time when you can export all of your expenses in seconds.

19 Momenteo

Momenteo is a cloud-based app that allows freelancers to easily manage their clients, invoices, expenses & travels while having a clear portrait of their financial health. It’s a fairly simple app to use – Invoicing is a streamlined 4 steps process: Prepare, Design, Send, Follow-up. Add your work done to an invoice, customize it to your tastes, send it to your client, add some payments.

20 Harvest

With Harvest, you can easily and quickly create invoices, customize logos, and invoice in different currencies. What’s great about Harvest is that it integrates with QuickBooks Online or Xero – it automatically copies all of your invoices over to them. Great for freelancers and young startups.

21 Invoicera

Invoicera is a cloud-based invoicing application with unparalleled features for various customer types, flexibility, scalability and flexible licensing powering more than 2M+ users and over 25 Enterprises generating more than 200M+ invoices each year. Invoicera comes with a range of features to manage a business effectively and efficiently. Here are 5 great features I like:

  • Easily convert purchase orders into invoices
  • Invoices are hyperlinked to the original sale and purchase in inventory module
  • Receive invoices and estimates from your vendors in one dashboard for hassle-free account payable management
  • Track invoice status in real time
  • Automate late fee and payment reminders to get paid quicker

22 OneUp

OneUp is an excellent online accounting software to run your startup.  OneUp is flexible, allow you to quickly create invoices from Quotes, enter Invoices by hand, or enter Sales Orders to fulfill customer POs. If your business uses Square Register, you can even connect to OneUp and your transactions will automatically appear in OneUp. When your invoice is ready, use OneUp’s built in the email system to put it directly in your customer’s inbox. I like the beautiful UX on the dashboard layout.

Find out how ZestFinance uses machine learning technology to help companies make accurate credit decisions.

 

Founder, Editor-in-Chief
LAStartups.com, Schmoozd.com
A native Angeleno. John studied engineering at UCLA; founded Schmoozd, an offline social tech networking event in LA with 30,000 subs; ran a startup accelerator (StartEngine). Worked for several major brands like Toyota, DIRECTV, Hitachi, and Raytheon. A mentor at LMU Entrepreneur School. And advises a dozen local LA startups building amazing tech in various industries; also invested in some.
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LAStartups.com, Schmoozd.com
A native Angeleno. John studied engineering at UCLA; founded Schmoozd, an offline social tech networking event in LA with 30,000 subs; ran a startup accelerator (StartEngine). Worked for several major brands like Toyota, DIRECTV, Hitachi, and Raytheon. A mentor at LMU Entrepreneur School. And advises a dozen local LA startups building amazing tech in various industries; also invested in some.

Startup Should Create a Culture of Collaboration, Not Silo

Startup Should Create a Culture of Collaboration, Not Silo

A company needs its employees to work together.  For the organization to function well, it must have multiple people with different expertise and skills working together towards a single goal. Basically, a company needs its people to collaborate.

But moving fast, innovating, and excelling all at the same time is a hard thing to do. It’s even harder if you put people with varying beliefs, personalities and abilities together.

So the big question is, “How do we create a culture based on collaboration?”

Know the “Why”

Before anyone can collaborate, they need to know why they should do it in the first place. Some professionals may refuse to work with other people because they believe that they don’t need the help of others.

To convince these kinds of people, you need to show them that the project cannot be done by a single professional. Tell them that it will be faster and efficient if a group of people with special skills work together. Plant the seeds of cooperation early and you’ll see fantastic results.

Have a meeting and invite everyone involved in the project. Explain to them clearly why you need their services and why you need to solve this problem. If people know the “why”, then all that’s left for them is to “do”.

Use the UX Mindset

The user experience mindset or UX mindset for short is a way of thinking that puts the customer first. It reframes how you think and it will give you a new work perspective. Integrating the UX mindset into the team will instill cooperation.

People unite under the UX mindset because they have a common goal. Instead of bickering with one another, people will set aside their differences to create an amazing user experience.

Teach people to respect roles

Respect or to be more accurate, the lack of respect is one of the biggest reasons why people refuse to cooperate. Lack of respect stems from a feeling of loss, elitism, miscommunications, misunderstandings, and ignorance.

It’s hard to teach people to respect someone that they’ve just met. However “hard” does not mean that it’s impossible.

To remove lack of respect from your team, you simply need to show them respect. Respect can be gained by clearing up misunderstandings, having a positive outlook, and understanding the bigger picture.

An ignorant employee might complain that a certain job or role is useless but once you show them why the bigger picture, they will understand their foolishness and begin to show a little bit of respect.

Teach your people to accept and embrace change

The only true constant in this world is changing.  Change is something that happens all of the time but for most people change can be a bad thing.  Your people might be comfortable with the status quo and the thought of change is a scary notion for them.

However, change is needed for progress.  You simply need to convince yourself and your people that change can be good. You simply need to look at it from a different perspective. Show them that they’ll be getting more than what they’ve bargained for. All they need to do is to simply learn and embrace change.

Sure, some changes can be rough. And change may lead to tough times, but you have to take risks to move forward.

If this isn’t enough to convince them, then you can use change as a way to stimulate people. Frame the change as something that creates adventure and excitement. Frame it in a way so that they will learn to love the unknown.

Improve communication between team members

People cannot collaborate if they can’t communicate with each other. And standard communication isn’t enough, they have to communicate perfectly with one another.

Perfect communication between team members is hard and it isn’t just about telling people what to do. No, perfect communication is a much trickier task. You must teach your people to use the right words at the right time.

Improper communication can lead to arguments. The use of incorrect words might offend people and impact them on a subconscious level. Learn ways to reframe your words, because a single word can alter your intended message.

Effects of a Culture based on Collaboration

A culture that promotes teamwork and collaboration is ideal. There are tons of benefits from having your people work well together. But some of the most notable and most important effects would be…

An increase in creativity and morale

This is probably one of the most obvious and most notable effects of a collaborative culture. Teams are more creative and more positive since they get along well with one another. People will also feel better if the workplace promotes teaming up and working with others.

More innovative members

A culture that promotes working together will also promote new ideas and new opportunities. Team members are more likely to participate in meetings since they feel comfortable talking and sharing their ideas.

Innovation stems from the will to change. And if people are open to change and new opportunities, then they are welcoming innovation with open arms.

Better ROI

Achieving a culture based on collaboration is hard. It might even be impossible for others, but once you reach it, it would be worth your while.

When a team is collaborative, they work faster and better with one another. People are more content with their work and they will do their best most of the time. People are also more creative, and innovation blooms freely in the work area.

In the long run, the team will be able to produce quality products and the company will make more money in the long run.

Conclusion

Mankind is capable of creating wonderful and amazing things. I mean we’ve created airplanes that can fly in the air, we’ve harnessed the power of lightning, and we’ve created cities that can accommodate millions of people.

This is all thanks to collaboration and teamwork. Creating a collaborative culture in your workplace is a big deal. Expect better products, better relationships, and overall a better team.

Creating an ideal setting where people promote the idea of teamwork and camaraderie is hard but it is well worth it. If you’re a manager and aren’t doing this to your team, then you’re missing out!

Here’s a great read – Top 4 Tips for Building a Real Networking Community

Founder, Editor-in-Chief
LAStartups.com, Schmoozd.com
A native Angeleno. John studied engineering at UCLA; founded Schmoozd, an offline social tech networking event in LA with 30,000 subs; ran a startup accelerator (StartEngine). Worked for several major brands like Toyota, DIRECTV, Hitachi, and Raytheon. A mentor at LMU Entrepreneur School. And advises a dozen local LA startups building amazing tech in various industries; also invested in some.
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LAStartups.com, Schmoozd.com
A native Angeleno. John studied engineering at UCLA; founded Schmoozd, an offline social tech networking event in LA with 30,000 subs; ran a startup accelerator (StartEngine). Worked for several major brands like Toyota, DIRECTV, Hitachi, and Raytheon. A mentor at LMU Entrepreneur School. And advises a dozen local LA startups building amazing tech in various industries; also invested in some.

8 Ways Your Company Can Save Money By Hiring Remote Worker

8 Ways Your Company Can Save Money By Hiring Remote Worker

Whether you’re a veteran or simply a new business owner, one thing is certain – overhead costs are a big pain in the @&&. So it’s a good thing that modern technology has helped today’s businesses cut down on costs.

You save a lot of money by not paying for office space, construction costs, electricity bill, rental fee, food expenses, and other expenses. You can simply hire your employees and have them work at home. It’s also a big benefit to the employee since they don’t have to worry about gas expenses or commuting expenses. They also work in the comfort of their own homes and they can set their own schedules as well. It’s a win-win situation for both the employer and the employee.

But if you’re still not convinced then take a look at these reasons that explain why hiring remotely can save you a lot of money.

1 Lower Operating Costs for Your Business

You don’t have to worry about renting office space, paying electric bills, paying water bills,  buying office supplies, providing for snacks, office repairs, buying hardware, fixing to plumb, and all those other expenses since most (if not all) of your workers are now working at home.

Based on a poll from Global Workplace Analytics, it was discovered that businesses and companies who allow their employees to work at home have reduced expenses and reduced company overheads of approximately $11,000 annually.

2 Your Remote Workers are More Productive

Working at home has a lot of perks. The most obvious perk would be that of time and travel expenses. Home workers don’t need to travel to the office which saves them a lot of time, they also don’t have to experience the stress of being caught in a traffic jam during rush hour.

Asides from the traffic, home workers have fewer distractions and they can devote 100% of their time and energy on work. Home workers have flexible work schedules that they can even take care of their children, cook their own food, and watch television. This flexible work schedule makes them more productive and it helps them produce high-quality outputs.

According to Tiny Pulse, about 91% of home workers state that they get more work done when they are working remotely.

3 Employee Turnover Will Be Reduced

A lot of employees are being replaced yearly. It’s costly to train new employees and it takes a lot of time and investment to make them as effective as the old ones.  You can convince your current employees to stick around by making them work at home.

According to the Global Workplace Analytics, about two-thirds of employees would switch their current jobs if they could ease the burden of commuting and deal with traffic. By relieving your employees the burden of traffic, you are also ensuring that they would stick around and work for you.

4 You will have more productive and efficient meetings

Payroll has reported that over 40% of office professionals see impromptu meetings as a major distraction in the workplace.

You don’t have to worry about impromptu meetings that hinder you from doing your work. Most impromptu meetings have little value to add and they are often used to kill time in the workplace. It’s even more annoying when people chat and goof around while waiting for the other workers to come to the meeting. You lose at least an hour of your work time in these meetings, an hour that you could have spent working on that project.

You can have more efficient and productive meetings if you have a lot of remote workers. Why? Because meetings have to planned and scheduled in advance which gives you and your employees more time to prepare for the meeting. So no more on the spot brainstorming or fooling around, you can now have meetings that help and improve your employees work rather than hindering it.

5 Your Workers Can Work Even on Sick Days

People in the office often take the whole day off when they call in sick. This would set back your profits and you’ll be at a loss. Remote workers, on the other hand, don’t have this problem.

Your remote workers can work from bed (if possible) when they’re sick. If they can’t work when sick it’s still okay since they have flexible work schedules that make it easy for them to catch up with work.

6 It’s Faster and Easier to Hire Remote Workers

Office employees undergo a very long and tedious hiring process. They undergo interviews, handle paperwork, background checks, and they have to be sorted out by the HR department. It would take a few days at best to hire a new employee.

Hiring a remote worker, on the other hand, can simply be done within a 24 hour period. There’s no bureaucracy that will slow you down.  However this comes at the cost of security and quality, you have to do the background checks yourself and make sure that they are up to par with your company’s standards.

7 You Don’t Need to Rely on Local Talent, You Have the World to Choose From

If your company is located in a big and thriving city. It’s very likely that your employees are also living in the city as well. The cost of living is high and you have to pay them a much higher rate.

However, you can pay remote workers much less since you don’t have to adhere to industry standards. You can pay someone a lower rate but with equal talent, whose living in a rural area and they’d still be happy about it. You can even completely outsource the work and hire workers from across the world.

8 You Can Work Remotely as Well

What’s so great about having all your workers work remotely? Well, it means that you don’t have to go to the office anymore! You’re basically working remotely as well. That means that you don’t have to worry about commuting/ driving, rush hour, and other daily work expenses. You now have more time to spend with your family and you can probably work while traveling the world.

And, here are 3 ways to build trust in remote teams

Founder, Editor-in-Chief
LAStartups.com, Schmoozd.com
A native Angeleno. John studied engineering at UCLA; founded Schmoozd, an offline social tech networking event in LA with 30,000 subs; ran a startup accelerator (StartEngine). Worked for several major brands like Toyota, DIRECTV, Hitachi, and Raytheon. A mentor at LMU Entrepreneur School. And advises a dozen local LA startups building amazing tech in various industries; also invested in some.
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LAStartups.com, Schmoozd.com
A native Angeleno. John studied engineering at UCLA; founded Schmoozd, an offline social tech networking event in LA with 30,000 subs; ran a startup accelerator (StartEngine). Worked for several major brands like Toyota, DIRECTV, Hitachi, and Raytheon. A mentor at LMU Entrepreneur School. And advises a dozen local LA startups building amazing tech in various industries; also invested in some.