According to recent studies 40% of working professionals experience some type of career transition every year. Of this, 20%-25% are recent graduates just entering the workforce. Half of all new hires leave a position within the first 18 months on the job. Why are these numbers so important? They show the amount of turnover a company faces each year when bringing in new employees. In today’s economy, hiring the right employee and keeping employees has become a primary goal of many businesses.
Onboarding.
On-boarding is the next big thing in many companies these days. With the right on-boarding plan of action, you can take a new hire and position them for longevity and success within your company. So, let’s start with the most basic question- what is on-boarding? On-boarding helps new hires adjust to social and performance aspects of a job so they can quickly become productive members of the business. It’s a mechanism, a tool that is used to successfully transition new employees into the company. On-boarding programs, if planned well, help a new employee gain the knowledge, training, skills and behaviors to become effective members of the company. An on-boarding program that is done successfully and is planned out thoroughly can reduce turnover rates by 20%. The primary goal of on-boarding is to go beyond the basic “new comer orientation”. Most basic orientation programs for new employees only last a few weeks and then the employee is expected to dig their heels in and get to work. What many companies today are finding out is that for a new employee to be successful in any position, they need to become accustom to the company’s work philosophy, social norms, ethical practices, mission statement, overarching goals and individual goals. This directly correlates with human behavior, cultural differences, and individual and company expectations. And all of these factors center around one thing- communication.
3 Ways to Avoid High Turnover Rates Within Your Organization
Employee Characteristics.
If you are concerned with high turnover rates at your company, then the first basic step you need to look at within your on-boarding plan is employee characteristics. What type of employee do you hire the most? Do you gravitate toward certain characteristics in an individual? Have you identified characteristics you would like to see in new hires? Research shows that the most successful on-boarding programs include the hiring of employees that possess certain traits, including a proactive personality type, curiosity, openness, agreeableness, and someone who displays more extravert characteristics. Your first step is to identify your company characteristics (what you value, mission statement and company culture) and then closely match a new hire’s characteristics with what you have identified for the company. The biggest mistake businesses make that results in high turnover, is not hiring the right fit for the company.
Behavior of the Company and Employee.
Strong on-boarding programs hinge on their effectiveness. In order for your business to reduce turnover, an effort not only has to be made on the employee’s part, but on the part of the company as well. Relationship building, mentoring programs (that are built into at least the first full year for a new hire), open communication, constant feedback and employee networking are all building blocks to the longevity of an employees stay with a company. These foundations not only reduce an employee’s stress level, they help promote job satisfaction, increase productivity and help them quickly adapt to social norms and acceptance.
Company Commitment to Onboarding.
The degree to which a business maximizes its on-boarding program will determine its level of success in reducing turnover rates. A passive on-boarding program is typically seen as unsystematic; only covering general compliance and role classifications. Failing to address cultural and technical aspects of a business will increase the likelihood of new hires leaving or being relieved of their job within the first 18 months. Providing new hires with a sense of formal and informal organizational norms and establishing vital interpersonal relationships and networks will help strengthen the success of a new hires position within the company. Another vital role is a sound human resource management program that encompasses compliance, cultural norms, social norms and thorough job expectation. HR and management should also team together to develop mentoring programs for new employees. These tactics are essential to establish a well rounded employee that not only fits with your company’s overarching expectations but helps them establish their personal role in a company’s success.
How Can WorkSource Help?
WorkSource Staffing takes the time to understand the needs of your business. With years of experience in the staffing industry, we know the importance and value of finding the right candidates for your business. Contact our team at WorkSource Staffing today to learn more.