Keep 'em if you've got 'em
Here are seven ways managers can increase employee retention
By Stacey Bledsoe, Contributing Editor -- Industrial Distribution, 4/1/2001
Do you want to know how to increase employee retention? The answer is pretty simple: orient, educate, and communicate with your employees.
You can increase your retention rate by setting employees up for success from day one with your orientation process. Follow this with good cross-training, motivation, involvement, and communication. In business today, the front line employee wants to be valued. You, as their manager, can show them that they are valued in the way you approach them. Here are seven ways you can make a difference in retaining your employees:
1. Create an orientation program
First, start out on the right foot by creating a successful orientation program for your department. When people start a new job, they are more concerned with themselves. Over time, they become aware of how they fit into the team, and later if properly orientated, they see how they fit into the big picture. It goes from, "What am I trying to accomplish?" in the early months, to "What are we trying to accomplish?" months down the road.
By creating a formal orientation program, you are able to control what employees are exposed to from the beginning. If you don't, then you risk them being orientated by someone in the department who does not have a favorable view of your company. This decreases the chance of employee buy-in significantly. If you can't wait to start a new employee on the day of orientation, you can at least pair up the new hire with a positive employee who will make a good impression. Words of caution though: Don't wait too long to introduce the culture of the organization. Employees are extremely impressionable their first days on a new job. This is an opportunity that you as a manager want to seize.
2. Share information
You can increase your chances of keeping employees if you have good communication. Again, make them a part of the team by involving them in the process. Hold weekly department meetings and use this time to update and educate them. Make the meetings important by giving them information that is applicable to them personally. Communicate information about benefits, stock price (if you have a stock option plan) and changes in company policy. So many times people learn about company programs and organizational changes long after they have been implemented. You can make a difference by giving them timely information. Share articles from industry publications so they know what the competition is doing. Never waste an opportunity to make a meeting count. Ask employees to share feedback and ideas. Use the meetings to make them feel important.
3. Encourage ongoing education
You can also increase retention by creating a learning organization. This can be done in formal or informal ways. Maybe you don't have the budget for a training specialist on-site. Here again, take advantage of your employee meetings. Have managers and supervisors from other areas come and talk to your group about their expertise. Encourage employees to take advantage of your tuition reimbursement program if you have one. Find out what they want to learn about and tell them where they can learn more about it. Direct them to a local career counselor if they are unsure.
The idea is to show them that you care about their goals. Also, for local learning, use open-book management to educate your team about your company's goals, stock price, Internet site, benefit programs, etc. Never assume that they know these things. By getting involved in their education, you are reinforcing that the company cares about them. I have worked for organizations with two very different approaches to sharing company information. What I have found is that employees respond favorably to learning about the goals of their organization. This is also a great marketing tool for your employee stock purchase or profit sharing plan.
4. Cross-train employees
Use cross-training as a retention tool. You are not only molding the future leaders of your company, but you are also creating a group of people who can do anything you need them to do. This creates a sense of pride and teamwork, keeping entry-level workers from reaching burnout as quickly. Cross training is important in creating the team. As employees adjust to the culture of your organization, their thinking goes from "How is my performance?" to "How is my team's performance?"
5. Recognize a job well done
Retain employees by sharing successes and learning from failures. Be sure that you give credit where credit is due. Informal feedback can go a long way. Recognition programs are also a great way to motivate people, but a sincere "good job" makes a difference. Never underestimate the power of a positive word. By the same token, when employees make mistakes, don't reprimand them harshly. Explain how they need to change, but be sure to end your discussion on a positive note. Don't forget that you are human, too, and that you make mistakes.
In many instances, I have witnessed entry-level workers with the most mundane work who have the best attitudes and spirit of teamwork. They attribute their happiness and success to their manager who is continuously motivating them. One innovative thing a manager did to motivate her team was to photocopy her hand and routinely distribute a copy to employees. She calls it a "pat on the back." This inexpensive positive reinforcement is an amazing and exciting phenomenon.
6. Set attainable goals
You can retain employees by giving them goals. Set realistic goals; post them and consistently review them with your team. Explain the goals clearly and tell them how to win. People can't be expected to reach the finish line if they don't know where it is or how to get there. Don't assume that your employees know your expectations either. After they understand what's expected, hold them accountable.
7. Be a company of inclusion
Finally, you can improve retention by involving your employees in the decision-making process. Ask for suggestions and take them seriously. Explore the advantages and disadvantages of each suggestion with your employees. You'll not only show them you value their ideas, but that they add value to the team. You may reduce your operating costs by implementing feasible suggestions. Even giving employees the ability to change their lunch time by 30 minutes or an hour can be the difference between a happy employee and a frustrated one. This is a simple example of a change that doesn't even take extra money out of your budget.
There are many ways you can improve your retention rate. You will not have to spend as much time interviewing applicants and training new people due to turnover if you spend a little extra time at the beginning. Set employees up for success by giving them a proper orientation. Then show them you value them by giving them good communication and timely feedback. Help them to continue learning by getting them involved in appropriate training and/or turning your staff meetings into mini training sessions. Finally, you need to make sure to involve your employees in the decision-making process. A happy employee is a loyal employee. You will retain people for life by showing them they are valued.
Stacey Bledsoe is human resources coordinator for McKessonHBOC Medical Group, a world provider of pharmaceutical and medical-surgical supply management. She works in the Orlando distribution facility and can be reached via e-mail at stacey_bledsoe@mckgenmed.com.


















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