Employee Retention Strategies: Why Employee Turnover Rates Matter

Employee retention is all about developing a strategy that enables an organization to retain the services of high performing employees for as long as it is mutually beneficial to both the employer and the employee. Over the past twenty years, the length of time people stay in one job is becoming shorter with each passing year. As a result, talent retention has suffered. In response to this, more and more managers now place greater emphasis on the implementation of effective employee retention programs and use performance profiling to monitor regularly employee turnover rates.

But, what’s all the fuss about? Isn’t the fact that people now reinvent themselves many times during their career a good thing? Doesn’t this benefit both employer and employee alike?

Employee Retention

During my thirty plus years working in the field of corporate reconstruction, I have been privileged to work with some highly successful leaders. In the process, it has become clear to me that, when it comes to team building, they all follow a pretty straightforward series of steps:

In addition, they take key team members with them when they move to new challenges. When I ask them why, their response is invariably that:

• Fitting a new person into a team carries with it a high risk of failure.
• Bringing employees to peak performance can be fraught with difficulty and takes time and patience.
• Every time the Talent Retention process fails, everyone suffers. Great leaders understand that bringing in a new staff member, only to have to let them go, is disruptive to both the individuals life and the success of the organization.

The 80-20 rule applies. Managers spend 80% of their time focused on poor-performing team members and, for the most part, in this era of high employee turnover, this means more and more, managers are being forced to spend time with new recruits, instead of building their existing employees to peak performance. Talent retention matters because bringing a new staff member into a team represents a management burden that negatively impacts both customer service and ‘bottom-line’ performance.

Performance Profiling is a user-friendly human resource tool that accurately predicts whether the individual completing the Performance Profile Questionnaire is well suited for the open job position. Using job-specific performance factors, it estimates the possibility the individual will obtain high-performance ratings in the specific role applied for.

The Performance Profile function is the foundation of the award-winning Talent Chaser evidence-based business management system that provides human resource professionals with the tools necessary to ensure the placement of the right people in the right roles in your organization.

Read our case study to learn how Talent Chaser helped one national organization improve employee retention by 100%.