Viewing posts categorised under: Talent Management
What are two-thirds of workers doing on vacation?
- What groups are stoking the request for work visas
- Why people can't find a job
- Where 75% of all new job growth came from
You can download the entire analysis HERE
Some surprises in the July briefing!Our July Employment and Business Analysis is now available for download. Some of the topics in this month's brief include...
- US salary bases to rise
- Job seekers rank 'fulfillment' above cool offices
- Survey on compensation and attracting talent
Turnover rates went up 45 percent last yearThis is a resposted article by Dr. John Sullivan . The original article appeared on the ERE site. There are few things that are more shocking to a manager then to have one of their top-performing employees suddenly quit on them. Some managers have described it as the equivalent to a “kick in the gut.” It is a shock not only because losing a key employee will damage your business results, but also because managers hate surprises, and as a result, they frequently wonder how they missed the signals that this person was going to leave. Employee turnover is always an important issue, but most managers are unaware of the fact that overall, turnover rates went up 45 percent last year. And because I am predicting that they will go up at least 50 percent this year, individual managers should be aware of the precursors or warning signs that can indicate that an employee is considering looking for a job, so they can act before it’s too late. After 20+ years of research on predicting turnover, I have found that if you approach the problem systematically, you can successfully identify which individual employees are likely to quit with an accuracy rate of over 80 percent. Firms like Google, Xerox, and Sprint, as well as several vendors, have developed processes for identifying who might quit. But for most managers, you must realize that you will simply have to develop your own identification process. So if you know of a manager who is worried about turnover, pass this list of turnover predictors to them so they won’t be surprised when their next employee announces that they are quitting.
The Top 10 Ways a Manager Can Determine if an Employee Is Considering a Search for a New JobEven though every employee is different, most individuals who have or that are about to enter job search mode can be identified using one of these proven actionable approaches. They are listed with the most impactful approaches appearing first for the majority of managers.
- Conduct individual “stay interviews” — many firms use exit interviews to find out why an individual employee is leaving their job. Unfortunately, asking on their last day “why are you leaving?” doesn’t provide useful information in time to prevent this turnover. A superior approach is to be proactive and to use what is known as “a stay interview.” A stay interview helps you understand why an individual employee stays in their job by simply asking them in an informal one-on-one meeting to identify the principal reasons why they stay, so that these important factors can be reinforced. As part of the interview, managers can also ask the employee to identify any major “frustrators” that have in the past made them, even for a moment consider leaving. As part of the interview process you can also ask your key employees to have the courtesy to provide you with a heads-up whenever they find themselves returning a recruiter’s call. Holding a stay interview with an employee has the highest predictive value because it is customized to the employee and it occurs before a decision to leave has been made.
- Proactively search the Internet for indications — the best way to find out if an employee is searching or is about to search for a job begins with looking at their LinkedIn profile to see if it has been significantly updated recently. You can also search niche and large job boards to look to see if they have posted their resume or you can do a simple Google search on this employee in order to find if they have recently updated their resume. You can even ask an Internet-savvy person to create a “spider” that will continually search the Internet for LinkedIn profile and resume updates that are made by your key employees.
- Previous job tenure can predict — one of the most accurate predictors of when someone will leave a job is their average tenure in the last few jobs. If an employee has a pattern of leaving a job after a certain number of months or years, it only makes sense to examine their resume to get a good indication of when they are likely to leave again. Obviously it’s better to underestimate their departure date, so that the worst that will happen will be that you will begin “too early” to try to retain them.
- Identifying past reasons for quitting can predict — most employees are consistent in the factors which caused them to leave previous jobs with the cause to consider leaving their current job. That is why it is a good idea to ask new hires during interviews or as part of onboarding specifically “which specific factors caused you to leave your last jobs?” Managers need to be vigilant in order to spot whether those past reasons for quitting may be reoccurring in their current job.
- Identify those in high-turnover jobs — frequently, employees get the idea to leave simply because other employees in their same job family are leaving to what they consider to be better jobs. Managers should work with HR in order to develop what is known as a “heat map”, which simply indicates which jobs, teams, and business units are currently experiencing a high rate of turnover. Managers should then obviously target their own most desirable employees (i.e. innovators and top-performing employees) who are in those high turnover jobs for retention efforts. Because research has shown that 50 percent of new hires are unhappy with their job decision and 46 percent of new hires fail within 18 months, it makes sense for managers to particularly target all recent hires in any job as high probability turnover risks.
- Someone close to them leaves the team — having a manager, a close colleague, or even a close friend leave the team can provide a powerful impetus for an employee to leave. In many cases the exiting employee may actively encourage them to follow as a referral (as many as three to five employees will follow an influential employee). But the thought of not being able to work alongside a great friend, having to work under a new manager, or having to train a new hire may be enough to drive them into considering a new job.
- A career-damaging event occurs — for most employees, simply having a weak manager or an uninteresting job isn’t by itself enough to cause them to look for a new job. Instead, an additional catalyst or negative event (a.k.a. career trauma) is needed that the employee considers serious enough so that it actually damages their future career. These negative events might include having a major project canceled, a project proposal rejected, major layoffs or a re-organization, being rejected for a promotion, being assigned a new manager, or a major resource reduction or staff cut in their job area.
- Recognize when an employee’s career stage is ending — most individuals go through predictable stages or steps as they progress through their career. Many employees change jobs when they reach the end of a stage or phase of their career. Those career stages often include entry-level, becoming a journeyman/ professional, becoming a team lead, promotion to a higher level and eventually complacency and preparing for retirement. So if their manager pays attention to and plots those career stages, they can in most cases predict approximately when an employee is likely to enter job search mode. Important outside-of-work life events can also cause an employee to move into their next career stage. The life events that can trigger job search include marriages and divorces, new births, children reaching school age, the last child finishing school, deaths, health issues, a large amount of their company stock vesting, an extremely negative performance review, and certain landmark ages (turning 30, 40, 50, or 60). There is no precise formula here but if a manager pays close attention to where an employee is in their career cycle and to their major life events, they can get an indication of when an employee is likely to begin looking.
- Identify employees who are “overdue” for important things — one of the key frustrations for employees are when they perceive that they are unjustly overdue for something important. It’s partially an equity issue, in which they see others unfairly getting things before them. But it is also an internal desire to keep moving, growing, and learning, as well getting new tools, opportunities, and challenges. When they feel “overdue,” they become frustrated and begin looking for a new opportunity. Common overdue factors include too long a period since their last pay raise, promotion, training opportunity, a chance to lead, but also (especially among techies) upgrades in their tools, equipment, computers, and mobile phones.
- Recognize when a top performer feels underused — top performers and innovative employees are unique in that they will begin considering a new job simply if they feel “underused.” Almost all top performers want to be continually challenged, as well as to make a major contribution. As a result, managers need to be aware that once a top employee feels that their skills are either eroding or that their talents are being underused, they will likely begin considering leaving (Google research indicates that the feeling of being underused is their No. 1 reason). You can find out if an employee feels underused by simply asking them or by talking to their close coworkers. Of all turnover issues, this is the easiest one to solve because the employee simply wants to do more challenging work.
Some Additional Lower Impact Identification ApproachesAlthough they didn’t make it in the top 10 list, here are some other effective approaches to consider. Identify the office “gossip” (a.k.a. super-knower) who seems to know everything going on in the office and ask them to informally let you know when they suspect that a key employee is looking. Their best friend at work and your own firm’s recruiters are also likely to know who is actively looking. Managers should also realize that there is a high probability that employees who have recently increased their visibility by writing blogs, doing YouTube instructional videos, or by suddenly speaking at conferences are doing it to attract recruiters. Frequent absences and especially those that are for only half of a day and on Fridays should be noted as possible indicators that someone is interview. And finally be aware that the No. 1 cause for employee turnover is often a bad manager, so be aware that you may be the most impactful reason why your employees leave.
Final ThoughtsI’ve never seen a manager’s job description where it specifically outlined their responsibility for identifying key employees who are likely to quit. As a result, I have found that nearly 95 percent of managers simply make no formal attempt to periodically sit down and systematically identify key team members that are likely to leave. As turnover rates increase and as the economy continues to improve, managers need to realize that top employees not only have the choice of going to a competitive firm but they now have expanded opportunities to create a startup (known as the garage factor). Failing to be proactive has high costs because once an employee announces that they are leaving, it’s extremely difficult and expensive to get them to change their mind. I’ve tried to outline the simplest and easiest to implement approaches in this list, so that all that is required is for an individual manager to set aside the needed time.
"... there is more competition between companies for the talent that is available!"Companies all sizes, in all areas of business, want the best candidates. However, the employee-candidate paradigm has been reversed. Because of the shortage of talented candidates, there is more competition between companies for the talent that is available. Today its not the candidate having to sell themselves to the company, it is the Hiring Manager's responsibility is to "sell" the quality, financial stability, and advancement opportunities of the company to the candidate. It is essential that firms revise their recruiting procedures and do not let the best candidates get away. Some simple adjustments should be enough for your company to stop those high quality candidates from going elsewhere. Quick Response Once you decide to fill a position, be committed to that decision and make hiring decisions quickly. View the hiring process like a project and ensure you meet your goal of hiring the "best candidate" in the shortest amount of time. Indecisiveness, time delays, budget reviews, etc., send a message to the candidate about the company's lack of focus. If you wait two weeks following an interview to make an offer, your ideal candidate may have already accepted a job offer from elsewhere - even from one of your competitors. Streamline the Hiring Process Do you really need second and third interviews ? What about using Digital Interviews or live video interviewing? If you ensure that all the participants in the hiring process are available for the first interview, then decisions can be made quickly and effectively, ensuring that your firm has a better chance of recruiting the top talent. If You Want The Best... If you want the best...then you will need to pay the best. It may not be what most companies want to hear but it happens to be true. Don't misjudge the pay rate, benefits, perks, etc., necessary for the best quality candidate to accept the position; don't play games with lower than market rate offers. Keep abreast of changing salary scales, and price your jobs competitively. If you don't know what the current market rate is, hire a recruiter who does and who can advise on all aspects of the recruiting process. Get The Right Help Bringing a professional recruiter in at an early stage will help prepare your company for the hiring process. A top-notch recruiter will ask the right questions to help you identify your company's needs and will also help you identify human attributes (personality, communication skills, corporate culture, etc.) that the "right" candidate should possess, including "must-have" attributes and "preferred" attributes. Choose a recruiter to work long term and they will soon be attuned to the exact needs and requirements of your company. Include the recruiter on your company's hiring team. A preferred recruiter is very helpful in structuring job descriptions so they stand out and attract candidates. In addition to recruiting top talent, good recruiters possess skills to help candidates evaluate and accept good offers. This “third-party-input” to the candidate during the decision is critical to avoiding turn down and defusing counter offers. With a streamlined recruiting procedure and the right approach to the top candidates, your firm will be one of those getting the best talent while your competitors are still wondering how that perfect candidate managed to get away.
"Personality can open doors, but only character can keep them open." ~Elmer G. LettermanWhat About Politics? Political Astuteness is something that you may not learn in school; however, it plays a significant role in success in business. "Man is by nature a political animal." ~Aristotle
Take ControlIt's important to keep in mind that you are responsible for your own career. Don't Expect the Human Resources Department to plan your career. In fact, don't expect anyone else to be concerned about it either. There may have been times in your career when someone has taken an interest in your promotion; however, it has usually been in their own best interests to do so. Remember, companies are in business primarily to make a profit.
Dress for successThere is a clear distinction between how a President, a Senior Vice-President, a Vice-President, and District Manager dress. You should dress just a cut above your current level.
Above Everything, Have Integrity"If you have integrity, nothing else matters. If you don't have integrity, nothing else matters." ~Alan Simpson You will find that the concentration of integrity increases the higher you go in an organization.
Remember Who You Work ForIt's true that where your treasure is, your heart will be also. There will be ample opportunities on a daily basis to complain about your employer. Resist those opportunities. Keep in mind that (1) you chose this company, (2) they pay you, and (3) you can leave if you want. The leaders of the company will not be impressed by your ability to complain.
Make Your Boss and Your Boss's Boss Look GoodThe next rung on your career ladder is most likely your boss's job. Hopefully, your boss will be promoted, which will leave a vacancy. If your boss is not going anywhere, then the next level will have a major impact on your next position. Who are the Leaders of the Company? Find out the background of the company executives. What career path did they take? Chances are, they will value those credentials above others. Take note of great people in the company and get connected to them. If possible, find a way to work for them. If not, establish a network with as many of them as possible. Don't be afraid to ask one of them be your mentor. You will be surprised how many people will be interested in helping in this regard.
Learn the Rules"Whoever gossips to you will gossip about you." ~Spanish Proverb Watch What You Say or Write. Assume that anything you write or say will be read or heard by everyone in the company. E-mail makes it easy to respond emotionally. Before you respond to an irritating e-mail, take a minute to calm down, then, write the e-mail. If you have a tendency to send harsh messages, save a draft and review it sometime later to ensure the tone is business appropriate. Arrive Early and Leave Late, but Not Too Late. You want the reputation of a hard worker, but not one that can't get their work done. This principle also applies to taking work home. Over the long-term, you want to have a life outside of work. Maintaining a work/life balance will keep you engaged in your job; therefore, more productive. Find Out What Your Boss Wants and Deliver. Regardless of your personality, relationships, or good looks, you must be productive. For your boss, it means doing what they want, no matter how silly it may seem to you. "Always do more than is required of you." ~General Patton Give People Credit. Don't take credit for yourself. This is important for a variety of reasons. First, you need people to help you get things done. Second, when people recognize people who work for you, you get the credit as well. Third, it's the right thing to do.
ConclusionWhen It Comes to Your Career 1. You're Responsible 2. Remember Who You Work For 3. Learn the Rules As Bill Karnes put it, "Eagles don't flock; they fly alone. And eagles soar above the rest of their world. So, too, do people who start things, who lead groups or who otherwise set themselves apart from the crowd."
Monthly Executive BriefingIn this briefing, MMS Group President Richard Yadon talks about three numbers that employers must understand to be successful in 2014. Tell us how you will use this in your 2014 strategy...
Use These Strategies To Get The Job OfferNursing careers in case management are exploding. Organizations offer these RN jobs to only the most qualified case managers. Nurse case managers who want to be competitive must have a specific interview strategy to get the job. In this video MMS Group President Richard Yadon outlines three specific interview strategies all nurse case managers must use to get an offer. Let us get to know you. CLICK HERE to Complete a FREE Digital Profile
Richard Yadon will be presenting the Careers With A Purpose workshop beginning April 22. This five week, interactive series is designed to accelerate career growth. Participants will learn practical steps they can implement immediately. Careers With A Purpose is being offered by The Peoples Church and will be held Mondays, 6:30 PM, on their Franklin Campus beginning April 22. For more information and to register CLICK HERE. Space is limited so be sure to register today.
How can you accelerate your job search?
…. By using the insider knowledge executive recruiters use every day!Put my experience as an executive recruiter to work. Learn a few recruiting “truths” that may surprise you. Did you know that the most qualified person does not always get the job? So who does end up getting hired? Join me for this workshop and I will share the tips and technique that will get you in front of the right managers so you can demonstrate value, that leads to the job offer! I use these “insider” secrets every day to help people get hired and I am going to share my top five with you on Thursday, January 10, 2013.
Click Below to RegisterThe 5 Secrets Executive Recruiters Use to Get People Hired is my first free seminar of 2013. During this one hour presentation you’ll learn:
- Resumes, what to leave IN, what to leave OUT
- What makes employers want to see you
- Who should get your resume
- How to stand out from others
- What it takes to find a new job
- How to find employer “Hot Buttons”
- What questions to ask in interviews
- And more….