Happy new year. I know for many it is still holiday time, but I believe when there is quiet most do their best thinking. I am going to start off the year talking about how best to retain high performing staff.
When I am done with this, I will then look at how to ensure the nonperforming staff improve or leave without upsetting the cart much.
Many organisations continue to experience high attrition rates among their senior high performing employees. This is the time to try to shore up our borders so that these high performers do not leave. This must be deliberate and obvious.
With retention strategies that prioritize professional and leadership development, advancement opportunities, burnout prevention, flexibility, recognition programs, and fair compensation, you can keep high performers engaged and committed for the long run.
We let our people walk out because we do not understand the costs implication. In the short term, the average cost of replacing a full-time employee is between 150% to 200% of the employee’s annual salary. Also the average time for a new hire to reach full productivity is six to eight months.
I am referring to high performers who can be up to four hundred percent more productive than the average employee.
Calculate how much that costs in the long run, also taking into consideration how long recruitment takes, and that it may fail in the end.
This is because top performers can they invest as much as twenty percent more effort than the other employees.
There are even more long-term effects and costs. As good top talent leave, so do the best leadership prospects because research shows that identified high performers are three times more likely to succeed as future leaders.
Employee turnover naturally reduces productivity and performance as workload is redistributed temporarily or, indefinitely, among remaining team members.
Whether through increased pressure or burnout, work overload can lead to over fifty percent less productivity. And if they are high performers, the loss in output is often far greater.
There can be a shift in morale that can cause other top talent to question whether they should also be considering their next career move. Retaining top talent can help boost performance and improve overall team performance. These are just some possible costs.
There are thankfully various tips that can be employed to keep top talent happy, engaged, and ready to stay. To start with, invest in professional development. This is continuous deliberate training opportunities even though we know these days many free online courses exist.
Top performers are not the type to simply check a box—they want to do and be more—and they will seek out employers who support their career aspirations deliberately.
Fortunately, professional development is an investment that benefits both employee and the organization. Top performers are the lifeblood of any organization, often seeking more responsibility and leadership opportunities, consistently adding value, and contributing to the business’ strategic initiatives.
Attract and retain high performers by designing your learning and development initiatives to offer unique and diverse growth opportunities. In addition to typical skills-based training opportunities, consider coaching and mentoring programs high-potential cohorts, and other targeted learning opportunities that encourage and further develop top talent.
Internal mobility and career pathing are a significant focus area for high performers with high retention rates.
Also,provide opportunities for top talent to participate in developing the strategic vision of the company. Illustrate their future within the company while allowing them to shape what that future looks like and this goes a long way to keeping them engaged and loyal.
Recognize and reward high-performing talent. The best opportunity for recognition lies within teams and between supervisor and direct report not just HRM. Establish a standard for actively acknowledging and rewarding (whether financially or in other ways) the hard work and successful outcomes of your top performers to keep them from exploring other career paths.
Non-financial compensation and benefits as a means of attracting and retaining high performers works. Free snacks, weekly social events, and ping pong tables became the go-to recruitment calling.
However, the demand for competitive financial compensation is still tantamount for high performers, especially during today’s historic inflation rates and rising cost of living
Flexibility in working is top job search criteria for top talent. HRM should work with employees to identify what flexibility benefits they would like to have and integrate what you can into your workplace culture.
As challenging as this may be for some organizations, the benefits of retaining top talent will likely outweigh the downsides.
Create a culture where employees feel safe to express their workload concerns as well as prioritizing work-life balance and wellbeing, in order to address and prevent burn out
Top talent bring immense value to organizations in many tangible and intangible ways. Their engagement and motivation can be contagious, helping to lift overall morale, while their long-term vision can help to shape the future direction of the company.
Retaining high performers also has a compounding effect as their insights and feedback can reveal ways to attract and retain more top performers like them.
Given the benefits of retaining top talent, the effort needed to improve retention rates will be well worth it today, tomorrow, and for years to come.
