Is your staff financially aware?
- Barbara Giesing
- Oct 6
- 2 min read
Is your staff financially aware? Have you ever talked about budgets and expenses? Do they understand your company or departmental monetary goals?
I’ve worked with a variety of companies. Some want all staff to be aware of the financial status of the company and/or department while others want to keep that information entirely separate from staff. Both philosophies have their reasons, but regardless of which camp you fall into, you should make sure your staff have at least a minimum amount of financial awareness.
When was the last time you talked about profitability, even in general terms? Does your staff have any idea of what that means for them? Explaining the fundamentals, even if not supplying specific numbers, can help them gain appreciation for the effect their work has on the organization.
In addition to helping within the company or department, providing financial tools can help your staff with their personal finance goals. Many individuals do not have a good grasp of the workings of financial wellness and its effect on them, and we should provide information that can help them be more personally and professionally aware of their financial status.
Think about establishing budgets within your group, even if it’s not based on dollars. Utilize or budget available supplies and personnel to complete a goal, determine the amount of product and manpower needed and then monitor it along the way. If more is pulled in, discuss how that changes the outcome. If less is needed than expected, explain the repercussion of that.
There are ways to talk about finance, budgeting, and financial stability without getting into the numbers. If you’re comfortable providing the numeric information, it’s even better. Discuss budgeting, return on investment, profitability and growth. Make sure your staff understand that they contribute to that, regardless of their role.
Talking about financial consequences can help everyone.
Comments