In part one of this double article, we looked at the reasons your talented employees are likely to leave your company to look for better options elsewhere.
Harnessing this insider knowledge, I would now like to move on and examine how you can retain your top talent by implementing a plan to encourage employee retention.
Losing good employees is costly in terms of lost productivity, training, and decreased engagement to think about - on top of the financial implications. And with the cost of employee turnover being anywhere up to 2.5 times your team member's salary, depending on their role, it’s time to make sure your team aren’t looking for alternative opportunities.
Let’s look at some of the stats around employee retention.
LinkedIn’s 2018 Workforce Learning Report showed a whopping 93% of employees would stay at a company longer if it invested in their career.
And according to a Gallup report, managers have a strong influence on their teams -- they account for at least 70% of team disengagement.
So, bearing in mind that personal development and manager influence are two of the main issues, what can you do to ensure employees want to stay with your company?
Get Your Company Culture Right
A recent workplace study by Glassdoor found that 56% of employees valued an excellent company culture fit over salary.
A pleasant place to work that offers scope for creativity, development, inclusion and safety is vital to employee happiness, as Maslow’s triangle of needs reveals.
Nurturing a ‘good’ company culture means establishing an environment where employees are respected and valued, where the company vision is embraced by everyone, and where communication, transparency and teamwork are paramount.
By providing a psychologically safe environment, you encourage employees to express their thoughts, concerns and plans “without fear of negative consequences of self-image, status or career." (Kahn 1990, p. 708)
Engage Employee Development Plans
Ignoring employee development can be potentially harmful, and yet it provides many benefits when implemented correctly. Let's take a quick look at the benefits of investing in a great employee development plan.
Having a development plan for each individual involves establishing a working document that both employee and line manager can actively refer to and implement. The aim of the plan is to develop the employee, helping them grow and achieve milestone goals along their career path.
A well-crafted employee development plan will motivate the individual to self-develop and align with the overall aims of the company.
Remember to recognise and celebrate milestones to keep morale high and show appreciation of achievement.
Invest in Lifelong Learning
Your ambitious employees will inevitably be looking for progression in their career. So, providing opportunities that allow them to refine their skills and potentially take on more significant responsibilities in the future will increase your overall retention rates.
Ongoing training and development will see staff loyalty and engagement flourish. And it isn’t just beneficial to your employees – you will profit from their new and improved skills, ensuring you remain competitive without having to re-hire in the future.
Communicate with Your Team
Not all who hear are listening.
Are you practising active listening with your team?
If you catch yourself thinking about your response while they are still speaking, then you’re already not listening anymore.
A good leader needs to be equipped with the skills to listen to employees concerns and suggestions, provide valuable feedback, communicate company goals and aspirations, assign tasks clearly and maintain a high level of transparency – consistently.
Being seen as trustworthy and honest will encourage your team to not only to want to work with you, but to want to stay in your employment and work together to achieve the business – and their personal – goals.
Get to Know Your Team
We’re not all the same.
Your team is made up of individuals, and one person’s working style is not necessarily the same as another's. Once you understand this, you can learn how to get the best out of everyone.
For example, your assistant buyer may appear a little reserved or your test laboratory manager seem somewhat dogmatic. But discovering and adapting to individual needs and drivers will enable you to create effective and productive relationships across the team.
You may discover that your maintenance manager prefers formal meetings to quick catch-ups, or that the production manager is more likely to respond to a phone call than an email.
Knowing, and responding to, how your colleagues ‘tick’ will create a more harmonious and productive working environment.
Show Your Appreciation
Sometimes the small things make all the difference.
Showing appreciation for a job well done can go a long way in boosting morale and creating ownership for individuals. From glitzy staff awards to a simple “thank you”, acknowledging good work might seem like a simple thing, but many large organisations seem to forget its importance.
Today’s employees, especially millennials, crave acknowledgement, and getting it can inspire them to work harder. Leaders who value their employees invest time in building better relationships, thus creating a supportive environment and happy employees – resulting in company success.
Statistics from Forbes bear this out: engaged bosses are 59% more likely to have and retain engaged employees.
Offer Work-Life Balance
It will come as no surprise that C-Suite and senior managerial staff are all too aware of the negative impact of a poor, overworked lifestyle – for themselves and their teams.
When employees are engaged, they feel invested in your business, and they're more likely to work harder towards goals.
Conversely, neglecting employee satisfaction can be dangerous for your team: a Conference Board study found that disengaged employees have a $550 billion impact on the economy.
So, it’s critical to ensure that you keep a harmonious balance between work and home life for your team. As well as maintaining a good office culture and open lines of communication, there are several additional ways you can monitor the wellbeing of your employees on a day to day basis:
Instigate a wellbeing programme
Be alert to anyone staying late regularly
Set aside time for individuals to talk to you on a one-to-one basis
If one of your team doesn’t appear to be engaged in their work anymore, then something is wrong.
The sooner you act, the more likely you are to be able to turn their motivation around and keep your valuable talent.
Engaging the strategies in this article will help you avoid losing your talented employees to your competitors, enabling you to increase overall retention, become attractive to other top talent and create an excellent workplace where everyone can thrive.
About Martin Veasey Talent Solutions
At Martin Veasey Talent Solutions, we have been working with blue-chip and SME businesses for over 35 years, both in the UK and around the world.
We are an independent consultancy company with highly qualified staff, including many degree and Masters educated consultants, with memberships of professional bodies such as the Chartered Institute of Personnel and Development and the British Psychological Society.
We have unique expertise in hiring for senior roles in Board & Senior, Supply Chain & Logistics, Purchasing, Procurement & Sourcing, Manufacturing & Engineering, Pharmaceutical & Life Sciences, Sales & Marketing, Human Resources, plus many more.
If you are looking to work with a highly accomplished recruiting partner, you can call us on 01905 381320 or get in contact today.