ARE your staff smiling? The latest workplace findings suggest that a happy, relaxed team of employees are the backbone of a successful, productive company.

Finance solution provider Bibby Financial Services is urging owners and managers to work on improving office morale after finding happy, motivated staff keep a business running smoothly.

It’s investigation found employees who are content with their life at work are far more likely to remain with a company for a longer period, which means businesses can avoid having to go through the often painful recruitment process.

Martin Bennison of Bibby Financial Services said: "A happy and motivated team is something that isn’t necessarily easy to achieve, but the benefits that can be reaped far outweigh the effort required in creating it."

In order to help small business owners and managers get to grips with fostering good morale, Bibby Financial Services has developed the following top tips:

Team communication – a positive environment is created by good communication between employers and staff at all levels. This means everyone is aware of what is happening in the company and feels a sense of involvement.

Be a good listener – the key to a successful partnership is being prepared to listen. Spend time with your staff so you are aware of how they feel about different aspects of the business.

Trust is key – empower valued staff to make decisions and avoid a blame culture by acknowledging that mistakes are an inevitable part of the learning process.

Career progression – set a clear career path for all staff as almost 80 per cent of workers say they do not know where they are heading. If employees are happy with their career progression they will be less likely to look elsewhere.

Training for employees – encourage staff at all levels to learn new skills as increasing their learning and development can result in improved morale.

Hire suitable employees – make sure the right people are recruited in the first place. Avoid the temptation to fill job vacancies too quickly as taking a little more time to find the right person will almost certainly pay greater dividends.

Stay flexible – staff with families are more likely to stay with a company that is flexible to family and personal needs. The Equal Opportunities Commission has found nine out of 10 employers have experienced improved staff retention rates as a result of flexible working practices.

Staff incentives – introducing an effective incentive scheme can not only ensure you get the best out of your staff, but also help retain them for longer.

Social environment – creating an area where staff can have a comfortable tea break or a quick catch-up is good for team spirit.

Celebrate success – make all employees aware of any success within the company. Praising those responsible gives employees a greater sense of self worth and achievement.

Mr Bennison added: "By putting these tips into action owners and managers can create a fantastic working environment for both themselves and their staff."