- 1). Design a projected organizational chart. Decide how you want to organize your company. If most employees will be on similar work and pay levels, consider a flat hierarchy to help promote a teamwork environment. Look to a tall structure, like a pyramid, if you prefer strong controls and a rigid environment. The design of the organization should enhance your chances for long-term success.
- 2). Assign titles on the projected chart. You might not have individuals to fill positions until your company grows, but the structure and naming convention will help illustrate functional gaps and provide a guideline for growth. Titles can be generic at first, but try to stick to industry standard titles to assist in recruiting activities.
- 3). Provide titles to existing employees. Assign titles based on your new organizational chart, even if employees have pre-existing titles. This will help streamline the organization and better define job responsibilities as the company expands. If employees perform multiple roles, consider providing a more generic title, a title higher on the organizational chart, or a joint title.
- 4). Review assigned titles. Use title changes to help reward your star employees, especially if you are unable to increase financial rewards. Do not be afraid to use a title a level or two above what the employee would be given in a bigger company because the title merely reflects the perceived power the employee has within the company's small structure.
- 5). Adjust titles based employee input. Request input from your employees regarding their titles, especially employees who work with other companies. If they feel a title adjustment will help them perform their job duties, make a change. If the employee feels he warrants a title adjustment based on his responsibilities, use it as a reward for meeting objectives.
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