For many HR executives the single biggest challenge of their job is to retain their good employees and managers in long run, difficult business conditions and work place challenges make their job more difficult, realizing this fact some industries consider maintaining a rate of 30-40% attrition as acceptable norm but with a price of high cost of employee turnover and recruitment, while this may be a reality with some industries, it’s also a fact that maintaining a low turnover can yield better economic value for the employers.
How do we achieve this? Well, it doesn’t take a lot, all it takes is to put right human resources management practices and tactics in place to increase employee retention:
Define your vision clearly
One key factor in employee engagement and happiness, is to provide them with a sense of responsibility, meaning and importance of their work. Offer a strong vision and goal for their work and increase their sense of belonging and loyalty to your organization.
Make sure that your vision is provided as a roadmap for your employees and they are made aware of steps needed to be taken to achieve it.
Involve them in decision making
In many cases we have witnessed people are just coming to work however are not engaged completely, this creates loss to growth of business, employees are more dedicated when they are allowed to introduce the ideas and concepts they feel are important to project.
Get your employees engaged in planning and decision-making about the work they are doing. That way the project becomes their baby, something they are more attached to, regularly take their input and use their ideas though this they have a vested interest in seeing the project succeed. This can not only empower and inspire employees, it can also lead to more productive ways of working that normally would be ignored during more stable times.
Create a positive work atmosphere
It’s a proven fact that working relation with the immediate supervisor plays a significant role for employee to make a decision to leave the company. The ground reality is many managers are ignorant how their conduct and decisions affect attrition figures. An effective retention strategy includes training managers on people matters and enhance their people management capability. Appropriately trained managers can use their wisdom to take right decisions in hiring plans and retention strategy which directly reflects in increasing employee engagement levels in the organization.
Many talented and ambitious employees are constantly searching for right opportunities to expand their knowledge base so that they stay up to date in their work area. If an employer does not offer enough learning and development opportunities, they risk letting talented employees go and end up with poor performers. Demotivation due to insufficient training or opportunities to acquire the required knowledge and desire to keep up with peer group inside and outside the company forces unsatisfied employees to look elsewhere for professional and own satisfaction. Contrariwise, happier and more contented workers supported through training initiatives are more likely to be loyal to their employer.
Pay right and Listen to the needs
Setting the right compensation and benefit standards are important too. Work with HR team to get current data on industry pay packages and get creative with benefit schemes, flexible work hours and bonus structures. Make it a process to review compensation and benefits packages at least annually.
Paying attention to employees’ personal needs and offer more flexibility is another important aspect which should not be ignored. Most of the times these needs are clashing with the business obligations which ultimately when ignored bring losses to business only (most of the times)
Evaluate, Measure and give TIMELY Feedback
Studies show a very dismal picture of how employees feel about performance reviews. When not implemented correctly performance reviews most of the times are considered as biased and unjustified whereas Performance reviews should offer a prime opportunity for a big win to increase trust and fortify company’s relationship with employees.
To achieve this, companies should take the right measures for ensuring that a comprehensive Performance development program is available for all associates and managers to create learning, development and coaching opportunities.
A continuous evaluation program and regular dialogue approach should be introduced to help determine what satisfies and de-satisfies the employees, while creating such process defined measures on work ethics, confidence levels, revenue and the engagement levels should be included for the workforce.
All employees need feedback and guidance from their manager or supervisor on an ongoing basis. Managers need to engage in an ongoing and timely dialogue about performance with their employees. This feedback session helps improve employee performance and also builds a strong working relationship between them and their supervisor that contributes to employee engagement and retention.
Employees who feel valued tend to stick around, thus all these concepts should be mapped to organization rewards and recognition system and as we know such talent management practices not only contribute to employee retention, they also create a high performance culture in the organization, which directly means regular profitable business results.