Have you ever known a time when retaining top talent was not a crucial agenda for corporations? In growth markets, change markets, disruptive times and more so during difficult times - a pandemic for example.
In tight economies, employee retention is a critical issue as the costs of employee turnover are increasingly high, industry norm suggests as much as 33% of an employee's annual salary depending on the role and impact. A CAP study indicated that average costs for leadership executive roles can be as much as 213% of annual compensation.
In addition, there are “soft costs” that also impact a business’s - such as lowered productivity, decreased engagement, training costs and cultural impact.
Considering we are all currently in the middle of a work revolution, companies must rethink their approach to talent management, acquisition and retention.
More than ever, retention of talent with capabilities such as adaptability, technological literacy and people-management - that enable businesses to keep up with changes, should be a core business strategy. Unfortunately, most struggle to keep star performers on board.
Why do people join your company? Why do they stay? How do you ensure you retain them? How can you alleviate their fears and keep your top performers committed and engaged especially during times of change and uncertainty?
Hard questions, companies that pay close attention to these aspects tide through difficult economic times better than their competitors because they recognize that business’s success rests largely on your ability to retain your best employees.
If you consider effective employee retention strategies across leaders in any industry - be it Google, Amazon, Hyatt, Facebook - come in all shapes and will look different depending on a variety of factors that are pertinent to your industry, the size of your organization, as well as its culture and demographics.
However, that said, certain overarching themes appear over and over again, including trust, collaboration, values and purpose, personal development, and authentic communication.
Using these ideals as a guiding principle, let’s have a look at four simple things businesses – regardless of sector –can do to keep their A-player’s on board.
1. Authentic Communication
The last thing people want is to be left in the dark about what is going on within the business and what may potentially impact them. If your employees are unsure of the changes that are to come and hear rumors through the grapevine, they might be tempted to look for alternative opportunities early.
Communicate authentically, provide your people with a sense of security and as far as possible, share your plans ahead of time. So also, on the flip side, open communication channels allow them to highlight issues that need to be addressed.
2. Culture of Ownership and Corporation not of Mistrust
During changing economic circumstances, maintaining a focus on fostering a culture of ownership and cooperation keeps employees positively invested in the success of the business and creates a personal, emotional bond to the company that few others can recreate.
An intensely competitive internal environment unfortunately brings about an undertone of “every man for himself” which is detrimental for a company while trying to navigate difficult business conditions. At ecap we can assess leadership dynamics and synergies at your top-table and help you craft sustainable and effective people strategies that will directly impact performance and help your business successfully navigate the future.
3. Offer Support, Personalised Growth and Development
Vocalize your support and encouragement through your organizational hierarchy. When employees feel empowered, they are more than willing to tide through changing circumstances with you. If you are unsure about the level of employee wellness or employee’s growth mindset in your organisation, ecap can help you with it through our tools. We can help your employees receive clarity of their personal values, and then create a personalized growth and development plan that enables employees to live those values in their careers. It is this demonstration of long-term commitment to a culture of health and wellness that will inspire employees to stay and grow with the business.
4. Cultivating Futuristic Growth Mindsets
Creating a mindset that fosters visionaries is a strong positive step toward cultivating an internal team of resilient ambassadors for growth and change.
While you, as a business, undergo and embrace change, it is essential that communication is kept open and as transparent as possible with employees. The trick to retaining your top performers is keeping them informed, engaged and objectively optimistic about the future - In turn, they will help you grow through adversity.
In summary, business performance in times of adversity can be index-linked to how cohesively, as a unit, your executive or leadership team operates and communicates. Take a look at your leadership team dynamics and how that may be perceived by your employee base.A chain is only as strong as its weakest link.
Author: Renee Tauro
- Head of Client Engagement at www.ecap.ae