Top talent is in short supply and companies are having a hard time attracting them. Key skills like engineering, analytics, and mathematics are even scarcer. So retention has become a top priority for many companies.
One of the most effective ways to increase retention is to invest in engaging your employees. Nowadays employees are no longer looking for a career; they are looking for an experience. If your idea of engagement is to make your employees suffer through a performance appraisal once a year, you may be on the wrong track. There are many performance management tools available online which can help you engage with your employees on a regular basis.
This retention problem has gone so out of control that some companies have even structured their organizations in anticipation of a high employee turnover rate. The positions in such companies are designed so that new recruits can be trained quickly and are easily replaceable.
It doesn’t go easy on the pocket also. Studies show that losing an employee can cost companies even more than the annual salary of the employee. If you are trying to figure out how the cost can be so high, let me explain. Once a company loses an employee it first has to spend money to hire his replacement. This includes running advertisements or paying an agency to do the hiring for them. Then comes the cost of training the new recruit. After that is the cost of errors and mistakes made by him. And lastly, there is the cost of affecting the company culture.
So, if your company is facing the same problems here are some tips-