Mitigate Risk by Cross-Training Employees

For small businesses, cross-training can be particularly valuable and an effective way to mitigate risk. With fewer employees, the loss of a key team member can have a significant impact on operations. By cross-training multiple employees in key functional areas, you can help to mitigate risk and ensure that your business can continue to function effectively, even in the face of unexpected absences.

Key areas for a cross-training program:

• Document your key processes. You cannot cross-train if you don’t know the process. These written processes will turn into training documents as you implement your program. The first step is identifying key processes and procedures and having your current people that are doing these functions to get them down on paper or documented through short videos.
• Communicate to your team. Inform employees before starting a cross-training program. Help your team understand the purpose as to why the company is cross-training your team which may include preparation for organizational growth, new industry standards, to cover functions when someone is on vacation, or to adjust to a changing structure that’s focused around roles and responsibilities. Continue to communicate with your team throughout the process with status updates and next steps.
• Present cross-training as an opportunity. Your employees may be more resistant to cross-training if it feels like it’s an obligation or a threat to their roles. You can help them feel motivated by highlighting the benefits, like developing different skill sets and having a better understanding of how their contributions positively impact other parts of the business.
• Start with a small pilot program. Test the waters with a select group of employees to get a better understanding of what works and what needs to be tweaked. You can then expand the program later as you gain insight and experience.
• Determine cross-training hours. Figure out how much time can be dedicated to cross-training for each team to still run efficiently. This may include setting aside a few hours each day or setting aside full days for a certain period of time to focus on cross-training. If your business is seasonal, ramp up cross-training during your low seasonal period.
• Listen to feedback. You may learn that some employees have already started cross-training on their own. You can use this kind of valuable feedback to fine-tune your official cross-training program.

In today’s fast-paced business environment, it’s more important than ever to ensure that your company can continue to function smoothly even if key employees are unavailable. Cross-training isn’t just about risk mitigation for your business – it’s also about employee development. Long-term benefits may include improved productivity, reducing the risk of work disruption, boosting employee morale, and preparing your business for unexpected situations.

If you have questions about how these changes may affect you, please call 215.675.8364 or email us to speak with a business advisory professional today.

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