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The Zigzag Principle by Rich Christiansen

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HIRING SMART

As you add resources to your business or your life, you still need to keep your cash flow heading in the right direction. Obviously, you don’t want to begin hiring if doing so is going to put you in the red. But as you hire, you need to be clear in your mind, and with those you hire, that if the business becomes less profitable, you will have to decrease resources. This may seem harsh, but if you have employees in your organization who are not getting you to cash, it puts the whole company at risk. It is better to lay off those people who are not performing or creating value so you can create opportunities for more employees in the long run.

I was a middle manager in a company that hired a lot of employees but did not become profitable. ...

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