#3 ROEI Series: 7 Areas of Focus to Minimize Turnover and Increase Retention
ROEI Series: #2 addressed the advantages of an engaged workforce and how investing in the reduction of employee turnover can result in a significant cost reduction.
This month, we look at the 7 Areas of Focus to Minimize Turnover and Increase Retention.
Focusing on the following 7 Areas will go a long way in minimizing your staff turnover:
#1 - Information: Modern human resource management systems contain a wealth of information that gives managers and executives the insight needed to make the best possible decisions about the workforce.
#2 - Communication: Lack of (or poor) communication causes frustration and misdirected energy. Company values, vision and mission, job expectations and performance feedback are not just “nice to know, “but essential for any employee to function well.
#3 - Work environment: Provide an environment to stimulate interaction among co-workers to generate the flow of ideas and high morale. In a survey of 2000 employees 65% believed they are more efficient when they work closely with their colleagues and 30% said their workplace did not promote spontaneous interaction and collaboration. Self-service portal allows the employee to be more self-sufficient and to operate more efficiently
#4 - Employee Engagement: Widespread use of social media and the web has already demonstrated value in terms of improved employee performance, creativity, communication and “informal learning”. A self-service portal empowers employees with access to their personal information and to be able to process requests. Employees want to be self-sufficient and be able to do their jobs efficiently.
#5 - Employee Recognition: To compete in the global workforce environment, an effective employee recognition program is a necessity. Recognition delivers appreciation and acknowledgement of an individual’s or team’s performance. Recognition programs usually consist of rewards, awards and incentives.
#6 - Training: Effective training and development programs help your employees learn skills needed for new projects or advancement resulting in less employee turnover. Management with poor leadership and people skills often drive away the most talented employee. Management training has a twofold return on the investment – retention of employees and increased productivity.
#7 - Compensation and benefits: It is important to choose a balanced package that includes:
- Work/life Balance: holidays, paid time off, flexible work arrangements
- Financial security: Retirement plans, Pension plans, disability insurance, life insurance
- Health & medical insurance: Insurance for Health, dental, vision, gym memberships
- Career development/personal growth: Tuition reimbursement, seminars, computer based training etc.
Watch for our July Article #4 ROEI Series: "How to Reduce Sick Leave"