Synthesis, Inc. - Synthesis, Inc. - Administrative Support for Creative People

This month a year ago, our country was hit by some harsh financial news. Institutions, brokerage firms, major industries were dropping like flies. Then we found a major player in the investment game was playing a game of his own – at our expense.

Also during the winter of 2009, one of our trusted subcontractors decided to walk away from her association with Synthesis – and take four of our clients with her.

Trust broken – whether it is on a global scale or a personal level – it feels like a sucker punch.

Unless you see it coming.  And in most cases there are warning signs that might forestall some of the pain – if we pay attention.

We can’t do much about the global economic tsunamis out there; however, on a business level, there are warning signs you to look for in order to prevent an employee or a subcontractor from walking away with your most valuable asset – your clients:

1. Barb and I keep in contact with our clients regardless of which subcontractor is providing the service. We do this by phone call or dropping by and taking the client to lunch. Our objective is to ensure the client realizes the relationship is with the company, not the individual person.

However, last winter even that connection didn’t work out so well. In the case of our subversive subcontractor, she was the accountant for the clients. Because she walked out during the worst economic downturn our country has experienced since the depression, our clients were already feeling vulnerable. They did not feel they could afford to retrain a new person, even if it was at no-cost.  Bad news for us but good advice anyway – stay in touch.

2. Look for early warning signs from the sub or employee – paperwork turned in late; lack of response to your communications (or slow response), diva behavior.

Frankly, we should have seen this coming. This particular sub would not respond to first or second emails or take our calls immediately. Eventually she would respond; but even her billable hours were sent grudgingly. We were growing so fast and handling so much work, we let this bad behavior slide, hoping for the best. Didn’t work out so well for us.

Best advice – don’t let diva behavior go unnoticed. Set up a meeting with the subcontractor or employee and address the behavior head on. You may not like the results but you won’t be able to say you weren’t warned.

3. Set up regular non-negotiable meetings with the subs or employees. When you are dealing with subcontractors the IRS restricts your oversight to a certain degree (otherwise they would be employees and you would have them on salary). On the other hand, it’s hard for most people to meet you eye to eye on a regular basis and stab you in the back.

We had a much less hands-on approach with our subs before this happened. We felt they were professionals paid very well to do their job. Now, we require regular check-ins not just for progress (they do the same reporting each week as before) but to take their pulse.  Helps keep my pulse (and blood pressure) down.

4. Remember ultimately it is the client who needs to be well-served. Both Barb and I agreed it was the client who was being held hostage by our subcontractor and we would not be any part of that.

We talked with each client and made sure they knew they could NOT make a bad decision. If they went with the sub, good choice; obviously she was a great bookkeeper or she would not have been doing their accounting for three years.

On the other hand, we would like to retain their business if they would give us a chance to place an equally talented sub (or myself or Barb) for a few weeks at no cost to them. I really believe if the economy had not tanked just then, we would have kept their business. They made a tough decision during a time of crisis. Can’t blame anyone for that.

Don’t burn any bridges – with your clients, that is. However, when trust is broken by an employee or a subcontractor, be very careful not to allow that person the opportunity to repeat the behavior. On a proactive note, be sure to put into place more rigid structure to keep others from following her lead.