Joey Coleman, a world-renowned speaker and bestselling author, shares insights on employee retention and experience. He discusses the staggering costs of turnover and the importance of onboarding. Joey emphasizes the critical first 100 days for new hires and provides strategies to enhance their experience and engagement. He offers tips on career pathing, ensuring employees can see their growth potential, and highlights the significance of personal relationships and clarity in roles to foster a thriving workplace culture.
Effective onboarding significantly reduces turnover by enhancing employee experience and increasing retention rates by up to 70%.
The initial 100 days for new hires are critical, with proper support and communication essential to prevent new hire remorse.
Career growth opportunities and regular check-ins on aspirations foster engagement and retention, addressing why 24% leave due to stagnation.
Deep dives
The High Cost of Employee Turnover
Employee turnover presents significant financial challenges for businesses, costing them anywhere from 100 to 300% of an employee's annual salary for replacement. In the U.S. alone, the financial impact from turnover reaches over $700 billion annually. Beyond monetary costs, turnover negatively affects team morale, productivity, and workplace culture. This cycle perpetuates itself, as lowering morale can lead to further employee departures, thus affecting the overall efficiency of the organization.
Importance of Effective Onboarding
A well-structured onboarding process is crucial for retaining new hires, as between 20 to 50% of employees quit within their first 100 days due to a lack of effective onboarding. New employees often feel a sense of 'new hire's remorse' if they do not receive a thorough introduction to the company, which can lead to confusion and disengagement. It becomes vital for employers to implement systematic and meaningful onboarding practices that highlight the significance of new hires within the team. A solid onboarding strategy can enhance retention rates by 70% and boost productivity by 82%.
Common Mistakes in Onboarding
Three prevalent mistakes in onboarding include inadequate communication after job acceptance, poorly planned first days, and neglecting ongoing acclimation support. Maintaining communication during the gap between job acceptance and start date is essential to reinforce the candidate's decision and avoid new hire remorse. The first day should create a memorable experience that actively engages the new hire rather than overwhelming them with chaos. Additionally, employers often neglect to plan for the critical days following the first day, leading to a disjointed onboarding experience.
Key Elements of a Successful First Day
A successful first day should prioritize making new hires feel welcomed and integrated into the team. Steps like a warm introduction round, a special lunch, and meaningful conversations about their roles can significantly impact their initial experience. Ensuring that the new employee feels valued and appreciated from day one lays a solid foundation for their future in the company. Effective onboarding starts with making the initial experience as engaging and supportive as possible, setting the stage for long-term satisfaction and retention.
Understanding Employee Motivations and Career Paths
Career progression and a clear path for advancement are vital for employee retention, with 24% of employees leaving their jobs due to a lack of upward mobility. Leaders should periodically check in with their team members to discuss their aspirations and career goals, as understanding their interests allows for a more engaged workforce. Companies can promote individual growth by tailoring development opportunities based on employee feedback while simultaneously aligning these with organizational objectives. Keeping an open dialogue about career paths enhances employee satisfaction and fosters a collaborative work environment.
Especially when it feels like you did everything you could to keep them, short of a 7-figure salary and 6 months vacation. 🤦
But, according to my guest today, world-renowned speaker, consultant, and bestselling author of Never Lose an Employee Again Joey Coleman, there’s probably a lot of crucial onboarding steps you’re missing with your new team members.
Today’s conversation is about more than employee retention. We’re diving into the world of employee experience, and how getting it right can save you tons of time, money and headaches by lowering turnover and building a killer culture.
Episode highlights: - Get an inside look at Joey Coleman’s framework for building killer employee experiences, as outlined in his bestselling book Never Lose an Employee Again. - Learn about the importance of the first 100 days of an employee’s time with your company, and how to optimize their experience for long-term retention. - Get tips on designing organizations that allow high performers to grow into careers, rather than feel like they’re in a “dead end job.”
00:00-Intro 01:29-The true cost of turnover 04:45-Why people quit after just a few months 13:51-Why proper onboarding is essential (even though it's a lot of work) 21:25-The goal of an onboarding system: The 4 R's 32:57-How to optimize the first day on the job 43:24-The importance of the First 100 Days 47:23-How to create career paths that keep A-players around 58:42-Connect with Joey