When to fire an employee.
A CEO, as a leader, as an entrepreneur
one of the most difficult decisions
you have to make is when it comes to
you have to let someone go.
You have to fire an employee.
And it is always very, very difficult.
It doesn't even matter if that person
has been with the company for only one or two years,
or three months or six months,
or maybe they've been with you for many, many years,
like two, three, five, 10 years.
Or they have been with you since the beginning.
You know what I'm talking about.
Like they've been with you when you
started the business, right?
So ask yourself, comment below.
Do you have people within your organization
that you know deep down you gotta let them go, right?
You know they're toxic, they're negative,
they have been complacent.
They're not facilitating your growth.
They're not contributing to the next level
of where you want to go.
Then what do you have to do?
You have to let them go.
You have to realize that the people
who you started off with maybe when you were
at zero dollars going to half a million, a million,
the people who got you to the one million dollar mark
might not be the same people,
chances are, will not be the same people
who get you to the next level of 10 million
and then 20, 30, even 100 and beyond, right?
They will not be the same people.
And I know it is very, very difficult.
And it's very difficult for me as well,
when you have to let someone go,
and especially they have been very, very loyal to you.
But I wanna share my perspective with you.
When do you want to let someone go?
Now, sometimes where they are maybe very, very loyal,
but the company or their position,
has outgrown their capability.
Meaning now they are making a lot of mistakes.
And they're trying their very best,
but their capabilities, their skills,
their mentality just, it doesn't fit.
They can only perform at this level.
But their position, their job requires them
to perform at this level.
Doesn't make them a bad person,
but they just don't have the skills.
And when you're growing this fast,
then what do you do, right?
You have to let them go unfortunately.
And it's not that because you're selfish
and things like that.
Here's the way that I see it.
Anyone who works within a Dan Lok organization,
if they have been with me for any length of time,
I guarantee this is like the Shaolin Temple
as far as I'm concerned, right.
Where someone they've been with me for any length of time,
within my company, they may be four out of 10,
five out of 10, not that they are bad,
but because what's required at the job,
they just four out of five, five out of five.
But outside of my organization for anybody else,
they could be 10 out of 10.
They've gone through the training,
they have been with me, right,
I've provided a lot of coaching.
Just like companies, why a lot of companies like
to hide people from, like say Starbucks,
because Starbucks customer service,
their trainings are phenomenal.
Like they know that anyone who has been
through the Starbucks training,
they are very good with people,
they've got great people skill.
It's the same idea,
anyone that has been with me for any length of time,
if they're actually good, they go out there,
they can kick some serious ass.
Depends on when it comes to marketing,
or social media, or things like that.
So why not give them the opportunity,
why not let them go and let them have a better future?
Better for you, better for them.
When you're asking yourself,
when should you let someone go,
when should you fire an employee,
I ask myself two questions.
Number one, would I be upset if they quit?
Would I be upset if they quit?
So ask yourself, the people that you're thinking,
like within your company right now,
they're working within your company, your organization,
would you be upset if they quit?
If your answer is,
no actually I won't be upset if they quit,
that's a good indicator.
If you say, no I'll be so upset, I really need them,
they are so valuable for the company,
well that's a different story.
Second question that I will ask is this,
would I hire them again?
That's right.
If you let them go, would you bring them back again?
Chances are if you're asking this question,
the answer is no.
I always say,
it's not the people that you fire
that makes you miserable,
it's the people you don't fire
that makes you miserable.
Chances are we waited too long
and I always waited too long.
I waited too long, it's not good for you,
it's not good for them.
Sometimes you gotta just do the,
make the tough decision, like Donald Trump.
Do the snake hand, "you're fired".
Important thing is the snake hand and the mouth,
"you're fired", that's how you do it.
You got to let them go.
Have the conversation.
One thing I do within my company,
once a year I'll ask my team,
I will pay someone to leave.
I will pay and say, hey you know what,
if you want to go, here's the compensation.
I will someone to leave.
If they will take the money, not the right person.
And also another thing that I, and a policy I have,
I talk to all my directors.
Every single year, 10% we got to let go.
My closers, actually every quarter,
I replace bottom 20% of my closers within my sales team,
I rotate them out.
So only keep the top 80%.
When you have that kind of culture,
everyone strives to be better.
Everyone wants to go to the next level.
That's the difference.
So ask yourself, are you waiting too long?
Are you waiting, you know who you need to let go,
you know who you need to fire,
and you know who is holding your business back.
Those B-players that you have,
they are affecting your A-players.
A-players don't like to work with B-players and C-players
because A-players believe
that Band C-players are holding them back.
And A-players do not like to work with Band C-players.
If you're not familiar with a concept of A-player
and B-player and C-player,
click the link here and watch my other video.
I explain to you exactly how to identify
your A-player and B-player and C-player and D-player
and exactly what do you need to do.
So go ahead, click on that video.