Adam Povlitz is CEO/President, Anago Cleaning Systems, a leading franchise focused on technological advances in janitorial operations.
One of the most consistent questions I face as CEO of an internationally franchised commercial cleaning brand involves choosing investments in people or technology. These are not mutually exclusive; both are essential areas requiring consistent attention and dedication. There are many questions to consider, including which investments will move the needle for those who have chosen this business model to build their lives around, which investments will carry the business through strained economic times and which investments can weather the many unpredictable storms the global economy might face.
Business leaders had wrestled with these questions before the Covid-19 pandemic accelerated digital transformation in the workplace. Now more than ever, organizations must strategically allocate resources to achieve their short- and long-term goals while making suitable investments in both technology and human capital that are synergistic. In our industry, one area doesn’t grow without the other. Some businesses are naturally tech-heavy, and others require a frontline of people to sell and facilitate the business.
Digital transformation has accelerated dramatically, especially during and in the wake of the global pandemic of 2020. Many businesses were compelled to adopt certain aspects of technology as people were required to stay at home. This was understandably needed as the pandemic unfolded. However, these transformations were never a replacement but a supplement, and I believe it became apparent that people were required to drive business and innovations. We learned that technology could upgrade the workforce’s skills to maximize effectiveness, productivity and work-life balance—all essential elements for a successful business.
The attributes needed to boost workforce performance are on the flip side of digital transformations. We’ve touched on augmenting expertise and how technological tools can help people do their jobs better. But there’s more.
Reasons To Believe
Investing in both people and technology is necessary for the success of a business or organization. However, there are several reasons why investing in people might be a better long-term strategy than relying solely on technology.
First, technology can become outdated quickly, while people can learn and adapt to new technologies as they emerge. Investing in people can help ensure your organization remains competitive and agile in a rapidly changing marketplace.
Second, people are the ones who develop and maintain technology. Even the most advanced technology can become useless without skilled and motivated employees. By investing in people, you’re building a capable workforce and fostering a culture of innovation and collaboration that can help drive the development of new technologies.
Finally, people are the face of your organization. They’re the ones who interact with customers, clients and other stakeholders. Investing in people means investing in the skills and knowledge that help them build strong relationships with those stakeholders, which can be critical to the success of your business.
Of course, technology can also be necessary for improving productivity, automating processes and streamlining operations. But in the end, it’s people who make a business successful, and investing in their skills, knowledge and well-being can have long-term benefits for the organization and its employees.
Putting Theory Into Practice
At my company, we successfully navigated the changing business landscape during the pandemic and the ensuing years of economic uncertainty. We stepped back, communicated openly and learned diligently from our franchise leaders. This approach taught me much and helped outline how we approached human resource investment strategies with a significant focus on widening access to recruitment, retainment and professional development. This approach, especially given the economic landscape and uncertainty, strengthened trust and loyalty and rewarded meritocracy.
Once we outlined the program, we named it, created a campaign and launched it during our annual conference. The program was structured with benchmarks, goals, key performance indicators and reward levels. Here is how it worked: The program encouraged franchise owners to boost their revenue by creating more job opportunities, hiring qualified candidates and implementing a new job-enhancement system. Rebates were provided for jobs targeting inside and outside contract sales positions.
As this approach worked for my business and industry, there are three top takeaways from my experience that should translate easily into any industry or business structure:
1. Be mindful of the needs, expectations and goals of each position, and hire accurately.
2. Ensure you have the right directors or managers to nurture each direct report. This should include direct reports being active and present and spending a good portion of their job being a mentor while focusing on empowerment. This builds trust and a healthy balance.
3. Publicly recognize and celebrate wins—big and small. This goes from the CEO position down to frontline team members. Establish a valuable reward system (something more than a $25 gift card) to highlight work that drives your business forward.
Business changes and economic landscapes are inevitable. Companies must be ready and willing to adapt, think outside the box and foster collaboration to bolster human and tech-enabled resources.
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