Steps To Circumvent Costly Employee Turnover
While employees may leave your organization for any number of reasons, one thing is certain – turnover is costly. In fact, according to a recent blog by Maria Valdez Haubrich, three-fourths of employees plan to quit when the economy improves.
Replacing a senior food & beverage industry executive can easily add-up to tens of thousands of dollars. To prevent employee turnover from cutting into your company’s profits, use these tips to retain your best people:
Accurately appraise your cost of replacing a manager or executive. In addition to the direct costs of recruiting, screening, interviewing and hiring, you must also calculate:
- Opportunity costs (time HR and hiring managers could be spending on other productive activities)
- Costs of vacancy in the position (impact on customers and team/department members, lost productivity)
- Costs of replacing knowledge that leaves with the employee
Determine who is leaving and why. To decrease turnover, you must first understand why it’s happening. Go through exit interviews and question co-workers to uncover:
- Who is leaving. Look for patterns in age, tenure, performance level, sex, department/job category, etc. to see if you can develop a “turnover profile.”
- Where they are going. Are you losing employees to a competitor? Are they going back to school? Moving out of town?
- Why they are leaving. Ask co-workers why other employees left. Additionally, hold a focus group to find out what motivates your existing workforce to stay and what threatens their commitment to your organization.
Create a focused plan. You won’t be able to stop turnover completely, so use the information you gather to create a plan that targets your most costly turnover. Often, these are strategic jobs with a long learning curve and/or requiring extensive or specialized knowledge. Focus your retention efforts where they’ll have the biggest impact on your organization’s long-term success.
One of the best ways your organization can guard against turnover’s negative effects is by working with a trusted food & beverage recruitment and assessment firm such as Kinsa. We offer tremendous advantages to employers:
- A wide range of service options to suit your specific placement needs
- Up-front assessments, by dedicated and experienced recruiting specialists, to ensure the best match for your available position
- Minimal disruption to your organization and no loss of focus
- Value-added services, such as initial compensation ranges, marketplace climate data and position profile development
- Access to the recruitment firm’s extensive candidate database, as well as regional and national recruiting networks
- Satisfaction guarantees
Kinsa Group – A Better Way to Hire Food and Beverage Industry Professionals
Hiring on your own can be an expensive, time-consuming and frustrating process. So why do it on your own? Contact Kinsa today. For over 25 years, we’ve delivered highly qualified professionals and senior-to-executive level management candidates through our unique recruiting process.
Our dynamic staff of skilled recruiting professionals will make your next hire a success – guaranteed.