The loss of skilled workers hinders the development of companies: Orders remain unfilled.
Customers lose confidence.
Turnover decreases.
We help companies to stop this turnover-damaging development.
Stop the brain drain!
Fluctuation is detrimental to sales
For a variety of reasons, high staff turnover always leads to a loss of revenue:
- The company cannot grow as fast as the orders would allow.
- New specialists have to be trained and familiarized.
Valuable time passes before they are as productive as their predecessors. - The loss of skilled workers leads to a loss of quality and customers lose confidence.
- The company has invested heavily in skilled employees who are now deploying their skills elsewhere, sometimes even with direct competitors.
How can companies curb staff turnover?
How we stopped the fluctuation in this company
The medium-sized communications service provider with 2,400 employees is doing well, but the company cannot grow as fast as it would like because of the shortage of skilled workers.
The company does succeed in hiring new employees.
At the same time, however, too many skilled workers are leaving.
The managers of this company are convinced that they offer their employees the best conditions.
They feel vindicated by successful recruiting, even though more skilled workers leave the company than new ones join.
We were commissioned to identify the causes of the high staff turnover and to define and implement countermeasures.
Neuralgic points
We found that employees leave the company either after one week, after one month or after six months.
- After a week, new employees realize what is actually required of them and find that they receive little support.
- After one month, new specialists are familiarized to the extent that they can take on more responsibility.
At this point, they should be given special support.
This is rarely the case. - At the end of the probationary period after six months, managers unilaterally part with underperforming employees with a focus on turnover, without considering the consequences for the system as a whole.
Costs of staff turnover underestimated
In our analysis, we note:
The company is aware of the high fluctuation.
However, due to missing or non-transparent figures, it does not recognize how much turnover the fluctuation actually costs it.
Management, Human Resources and Operations have indeed come up with measures to curb churn.
However, they are implementing the measures only half-heartedly in view of the supposed low priority.
Nobody feels responsible
The company focuses unilaterally on sales and turnover.
No one feels responsible for staff turnover; management, human resources and operations blame each other.
Commitment is lacking, no clear goals, timelines and responsibilities are specified.
As a result, the operational pressure on managers and employees continues to increase.
The company reacts to this with poorly thought-out strategies and the problem continues to worsen.
Transparent figures make staff turnover a top priority in the boardroom
The actual costs of staff turnover, which we disclose in our analysis, are so high and relevant to sales that they immediately become a top priority for the management board.
While management previously believed it could easily replace departing employees with new ones, it has now become much more important to keep skilled professionals in the company, given the unexpectedly high costs of staff turnover.
A jolt goes through the company
The change in awareness spreads quickly from the top to middle management and from there to the entire Group.
Managers now make it their business to retain their employees and invest in them instead of wearing them out.
Instead of formulating nice-sounding ideas and doing little, team leaders now name responsibilities, set goals, define timelines, and consistently implement actions.
Outflow reduced by 20 percent
The result of the change in awareness is a 20 percent improvement in the fluctuation rate in just six months.
As a side effect, recruiting is also becoming more successful.
