17 Jul THE ART OF EMPLOYEE RETENTION
Hiring potential employees is a crucial element in an organization and plays a detrimental role in shaping the future of the company. However, what is more demanding and daunting is cultivating the art of retaining the good and potential employees. It comes as no surprise that a high turnover of employees leads to a massive cost implication on the business owners in terms of time as well as efforts.
People leave bosses, not companies- A quote of Employee Retention
Quite often, business owners come across a situation where they hire strong candidates and build a robust team that adds significant value to the growth of the company. But soon these employees choose to quit the organization on the pretext of ‘better prospects elsewhere’ or ‘inability to stick to one company for a long duration’. A study has found out that around 50% of employees quit the company to get rid of their bosses. Also managers account for 70% variance in employee engagement. Nonetheless, as owner of the company, it is crucial for you to dig deep and find out the underlying factors that lead to rapid attrition and take corrective measures. Let us take a look into some of the practices at workplace that can play a significant part in employee retention and improving the overall productivity at workplace.
- Communicate Effectively
An effective communication at workplace is not only about being verbal but also involves several non-verbal gestures like eye-contact, body posture and the sense of touch. Conduct regular meetings with your employees to keep a track of their progress and also to address their issues. Create an open platform to encourage employees to speak without hesitation with their managers. Meeting ‘virtually’ with your team members, especially over skype or facetime periodically results in a major communication barrier between you and your employees. In cases where work involves operating from remote locations, try to meet your team in person at least a few times a year, as and when possible. Doing so leads to a belief amongst employees that their managers care about their daily activities and are interested in their projects and performances.
Consistent communication in all forms, be it in person, or on phone or via electronic medium fosters customer engagement and leads to happy and motivated employees. A survey conducted has highlighted that employees with managers who hold regular meetings with them are likely to be three times more engaged as compared to employees with whom managers do not communicate that often. Effective communication results in their managers understanding their employees in a better way and acclimatize to their work behavior, leading to better workplace productivity.
- Reward Deserving Employees
Employees who feel that their efforts are being appreciated and their success is celebrated are more likely to have a sense of belongingness with their managers. It also fosters team spirit as employees feel motivated to work harder towards a common goal. Companies like Google and Facebook include Happy Hours and team gatherings to reward deserving employees. Some companies even send congratulatory emails to employees to appreciate a well performed task.
A well balanced reward system in organizations revolves around 4 crucial aspects: benefits, compensation, recognition and appreciation. Quite often, companies tend to miss out on one or more of these factors resulting in demotivated employees. Recognition of staff at workplace reinforces their behavior and drives an organization to excellence. It also boosts the employees’ morale and fosters employee engagement that creates a ripple effect with its spread far and beyond other employees as well.
- Train your employees
In order to encourage employees’ engagement in an organization, it is pivotal to invest in training programs that can empower employees and increase their knowledge pool in their area of operation. For sales team in particular, training programs should be emphasized on to give them a better insight into company’s products and services that can allow them to make good sales and achieve their targets. A research has mentioned that by incorporating effective sales and training programs, attrition rates in a company can drop down by at least 30-40%.
Another effective practice is to conduct effective orientation programs for new employees that takes them through the entire journey of the company from the very beginning. Doing this helps in bridging the gap between the new employees and the company thereby creating an environment of inclusion for them. ‘Mentor’ your employees from time to time to help them deal with any obstacles that might come their way while reaching their goals. Be approachable to your employees so that they can discuss their issues at any point and feel confident in staying focused on their goals.
- Focus on ‘Stay’ Interviews
Conducting ‘Exit Interviews’ is a common practice that most companies and their HR team adhere to, to gain insight into reasons for their employees to quit job. However, what most companies fail to realize is that it is equally crucial for companies to ask their long-tenured employees what makes them feel like working for the company for such a long period. Asking them questions like ‘what motivates you to stay in this company’, ‘what is your take on your manager’, ‘what one thing you would want to improve here’ can help a great deal in understanding your employees better.
On the basis of the survey conducted on a group of employees, devise optimum retention strategies at workplace to reduce the number of employees leaving the company in the future. Doing this would help in a positive work culture as employees seek for an environment where they are made to believe that their interests are being nurtured and their issues are taken seriously.
- Strengthen Human Resource Strategies
Finally, focus on building a diverse and extensive HR team that can handle various domains in HR. A single HR personnel is not very capable of looking after employee benefits, perks, reviews and other HR related tasks and so a dedicated team is required to handle each task with utmost sincerity and dedication.
Additionally, a company should also encourage the recruitment of a director or a senior management in the HR team who can bring along with him tons of experience from his previous professional background. He or she would also be capable of streamlining the employee structure and processes within the company to the best of his/her ability. A well informed HR manager can also share their knowledge on employee laws and latest trends and foster various programs and perks periodically to keep the employees motivated and dedicated towards their goals.