It’s the classic management-labor relations question that most companies consider as they grow: Employees first or customers first?
At Precept Inc., employees come first “but clients are a close second,” founder and Chief Executive Wade Olson said.
The Irvine-based company helps companies administer health, retirement and other benefits for workers. It also acts as an insurance broker for customers.
Precept employs 120 workers in Orange County and San Ramon, with most in Irvine.
The idea behind the company’s employee-first philosophy: If you empower employees and treat them well, they’ll put customers first.
The company values workers “because our employees’ services is what we sell to our clients,” said Nichole Fitlin, human resources director.
Precept ranked No. 3 in the medium company category in the Business Journal’s inaugural Best Places to Work list.
The list was compiled for the Business Journal by Harrisburg, Pa.-based Best Companies Group, an independent workplace researcher that managed the registration process, conducted surveys, evaluated data and selected companies for the list based on overall scores from queries of management and employees.
Precept began focusing on employees about five years back. Olson said he charged President Chris Martin with developing a workplace culture around employees.
The focus has made the company more effective and profitable, according to Olson.
“I can draw a direct correlation,” he said.
Precept has a robust benefits package that offers health and retirement plans.
The work environment is casual, as is the dress code. Olson, who sets the tone, works in jeans and a collared shirt.
“It’s a fun and kind of laid back of atmosphere,” he said.
There are other perks.
There is a “fun committee” that puts together potlucks and other activities. Further perks include driving the company Prius, optional participation in the annual Mud Run benefit at the Marine Corps Base Camp Pendleton, yearly company picnics and incentives for posting on the company blog.
“We put together various activities that get people involved (with) at a personal level,” Fitlin said. “We are pretty much like one huge family.”
Balance
Employees cite a family atmosphere, being included in what’s going on and a flexible work environment as reasons they like working at Precept.
“They’re very big on work-life balance,” said Kimberly Addison, senior client service specialist.
She’s worked at the company going on four years.
“I have a lot of freedom here, a lot of flexibility,” she said. “I don’t stress out when I’m five minutes late. To me, that’s worth more than money.”
Her boss doesn’t mind if she works six hours or 10, so long as the work is done.
“They count on you to manage your time,” Addison said.
Precept allows telecommuting for some positions. About 10 people work offsite.
Parents can bring their kids if they need to. Dogs are welcome every once in a while.
Management has an open door policy.
“I like the fact that the management is so open,” said Lexi Ruben, who’s been with the company for six years in the marketing and communications department. “You don’t have executives in big offices behind closed doors.”
On the third Wednesday of every month, the company holds a “town hall” meeting, led by executives.
Employees get updates on the company’s financials and are encouraged to ask anything they want.
“The executive team listens,” said Lesa Haugh, executive coordinator to the president. “We’re all very much part of the company.”
The town halls and “lunch and learn” sessions help employees understand current topics, such as how national healthcare legislation might affect the company.
The meetings are a time to share stories of how the company makes a difference for employees at Precept’s clients. The company can help employees get insurance coverage for an alternative cancer treatment, or help find a lower cost prescription drug.
“Our whole business is based on the relationships we form with our clients,” Addison said.
Precept competes with companies such as Orange-based Conexis Benefits Administra-tors LP, part of Word & Brown Insurance Administrators Inc. in Orange.
Helping workers understand the often confusing world of benefits is part of the company’s stated “higher cause” of “making employee benefits work for America.”
Many employees have benefits but don’t have a good grasp of what they are or how to use them, Olson said.
Amid the recession, Precept became more conservative about spending. But the company maintained its perks.
“My employee relations budget was exactly the same as last year. It didn’t change,” Fitlin said.
The company contends that creating a great place to work helps draw and retain workers. Precept doesn’t have to resort to ads to find workers, Olson said. Most hires are referrals.
Precept employees from different
departments take part in interviewing candidates.
When Addison interviewed for her position she said she felt like it was a fit.
“I just immediately felt at ease and at home,” she said.
