Talent Retention

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    Retaining Talent

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    LBW CONSULTING

    Leadership

    Visionary companies were six times more

    likely to promote insiders to chief executive

    positions than the comparison companies

    - from Built to Last by James Collins and Jerry Porras

    who studied 36 visionary companies in USA

    over a 100 year period

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    Business Context

    Competition

    Shorter business cycles vs. Longer ones

    Customer has choices

    Innovation

    Leadership building

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    Business Context

    Globalization

    Technology Leverage

    Cross cultural and cross border

    Scale and Size

    Speed and momentum

    Talent shortage

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    Implications for Talent

    Cost of attrition can be as high as 4% of sales and 15% of profit

    Cost of Attrition (12 to 18 months compensation for seniormanagement and 3 to 6 months for others reported by Haygroup Research)

    Abundance of opportunities (cross sect oral movements). 1/3rdof the employees want to leave in next 2 years.

    Compensation levels shooting up (cheaper to higher expat

    managers for some sectors and higher level jobs)

    Average Employee tenure expected to be around 2 to 4 years.

    Expectation Management

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    Major causes for attrition

    Employer brand and sense of competition

    Careers moving forward

    Opportunity to use skills and Abilities

    Incompetent managers

    Lack of mentoring and handholding

    Quality of top management

    Sense of direction of the organization

    Overwork and Burnout

    Compensation at Market is assumed

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    Impact Of Supervisor

    The immediate boss defines your work environment.

    If the boss sets clear goals, knows you, trusts you andinvests in you, you may forgive the company.

    If the boss is insecure, people insensitive, lacks competence

    & confidence would an employee stay?

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    High Retention Supervisor

    Honesty and Integrity

    Teamwork

    Ability to motivate and engage

    Clarity of thought and Action

    Feedback and listening skills

    Open and Available

    Likes to be surrounded by Talent

    Speaks candidly and directly

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    The Thin Line

    The line between firmness and harshness,

    between strong leadership and bullying and

    between discipline and vindictiveness is very

    fine but has to be drawn.

    Dr. Abdul Kalam

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    Managing Performance

    Keep things simple. Do not get trapped in the complexity

    of the system.

    Frequent interactions, 30 minutes a month.

    Focused on the future.

    Encourage employee to keep track of his performance and

    learning.

    Career discussions and guidance at least once in a year.

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    Need for Psychological lock-in

    Money/Rewards Bonding and ownership

    Over promising Realistic expectation setting

    Self Development Leading and handholding

    Strategy/ finance focus people developmentfocus

    Physical Attrition Mental attrition

    Treating Employees as employees treatingemployees as customers

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    Home Grown Management

    From now on, choosing my successor is the

    most important decision I will make. Itoccupies considerable amount of thought

    almost every day.

    Jack Welch in 1991

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    Retention strategies

    Creating diversity at work place rather than clones and

    uniformity

    Exposure to competitive landscape and creating burning

    platforms

    Self and subordinate development goals to be made an

    key component of Appraisal process.

    Think tank programs for future talent pipeline

    Elevator pitches and competitions on business issues

    Conduct Stay Interviews to predict attrition rather

    than a post mortem

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    Retention strategies

    Rerecruit star employees back into company

    Job stretch for high achievers

    Make sure that critical business impact positionsare staffed with high quality talent

    Compensation should be market linked and notinternally focused.

    Dont misrepresent your company while hiring

    Pay to learn new skills not linked to the currentjob

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