« January 2008 | Main | March 2008 »

February 29, 2008

HP Happiness Experiment - Work Environment Has a Dramatic Impact on Happiness

smile.jpgEveryone is jumping on the happiness bandwagon. Why? A happy employee is not only good for the individual but it is good for business.  

HP is taking a lead in the happiness arena. What is their philosophy – “business runs better on happiness”. We can’t agree more. Let’s look at one of the experiments conducted by HP. While the conclusions would be very obvious to anyone who believes that a happy employee is good for business, it also provides powerful evidence to those more skeptical that the conditions in which your employees work can have a direct impact on their happiness and productivity.  

The HP experiment was led by cognitive neuropsychologist Dr. David Lewis who designed a test to determine the impact of different working conditions on employees. The question – would freedom and flexibility make people happier and more productive?

What did they do? They built two different environments. The first resembled a chicken farm with cramped, cluttered surfaces and slow PCs and bulky CRT monitors. The second was designed to give people the space and technology they needed to get on with their job, as well as providing the worker’s in the second office the option to work from home, if they chose.

What were the conclusions?

The workers that were given the freedom, tools and trust to work in the second office experienced a dramatic improvement in their mental well being.
  • Productivity shot up by 400 percent.
  • Stress levels feel by more than 50 percent.
  • IQ scores increased by an average of 28 percent.
  • Blood pressure was lower.
  • Short term memory improved. Volunteers retained 33 percent more information.


    •  

So what is the conclusion? Providing your employees with good working conditions, technology and trust has a dramatic impact on people’s happiness, wellbeing, IQ and productivity. Have a look around your office … Are your maximizing the happiness and productivity of your employees? Thank you again to the Chief Happiness Officer for pointing us to this information.

 

Posted by Judy McLeish at 10:08 AM | | Comments (0) | TrackBacks (0)

February 28, 2008

Trends Asia: If Your Face Fits, You'll Get the Job

bulldog.jpgA recent Financial Times article caught my attention – if your face fits, you’ll get the job!

According to the article, if you notice a discreet but alert man sitting quietly in the background at your next job interview in Asia, you had better hope that you don’t have a thin face or ugly ears. What on earth?

Interestingly enough, many Asian businesses still use the ancient art of face reading to determine whether or not they should hire a candidate.

So what are they looking for?

 

  • A long and beautiful ridge in the outer ear and sparkling eyes denote intelligence.
  • Erect shoulders suggest leadership.
  • A big nose and thick ears indicate an ability to garner wealth.
  • But watch out for candidates with lopsided mouths, eyebrows that turn up and a crooked nose (dishonesty), a prominent, pointed chin (impatience) or thin cheeks (low energy).

     

According to the ancient practice, done correctly face reading can determine who will bring profit to a business and who won’t cheat. While the article suggests that companies don’t really hire or fire based solely on face reading, it is a way to focus on the character of the individual and to identify areas in which to probe more, if required.

Certainly, the practice of face reading is not used in North America, but we do use other techniques to help gauge the character of the individual such as psychometric testing and a battery of other tests. While we may not agree on the method, it is critical that companies determine methods to hire candidates “who not only can do the work, but who will do it”.

 

Posted by Judy McLeish at 01:06 PM | | Comments (0) | TrackBacks (0)

February 27, 2008

Can Starbucks Deliver Perfection?

Yesterday in an unprecedented move – Starbucks closed all of its stores in the United States early to retrain baristas on espresso basics. We all know that Starbucks has been under increasing criticism and profitability challenges, but will three hours of training, a pep-rally and a new promise do the trick? Only time will tell.

Today, Starbucks opened its doors with a new promise – “Your drink should be perfect, every time. If not, let us know and we’ll make it right.” According to Starbucks Chairman and Chief Executive Howard Schultz, the 135,000 baristas who were trained pledged to uphold "the uncompromising standards and quality that have made Starbucks the world's coffee leader."  

Given what we have experienced recently at my favorite Starbucks, it is about time that they focused on the basics. We only hope that this is not a “one-off” training event that ends up delivering short on the promise to deliver perfection.

 

 

Posted by Judy McLeish at 06:43 PM | | Comments (0) | TrackBacks (0)

Social Responsibility Attributed to Increased Engagement

Companies based on socially responsible principles are on the increase. Businesses like Innocent Drinks, Cafe Direct and Divine Chocolate have been huge successes in recent years. Let's have a look:

Innocent Drinks was founded on the basis that they will try to do the right thing. “It is part of our quest to become a truly sustainable business, where we have a net positive effect on the world around us.” The success of Innocent drinks has been overwhelming:
  • Turnover was expected to reach GBP75m (US$141m) by the end of 2006 on the back of soaring smoothie sales.
  • The Innocent brand now accounts for around two-thirds of the UK smoothie market, which in 2005, grew by 73% in value terms.

Cafédirect is about one thing and one thing only – quality products that bring a better quality of life to people around the world. Cafédirect Fresh Ground and Instant Coffees, Teadirect Teas and Cocodirect Hot Chocolates are available across the UK, and increasingly overseas, in major supermarkets, independent shops, as well as direct to your door through our online shop. According to their website – “Our business is unique. Growers hold shares in our company, sit on our Board of Directors and have a say in how the business is run. It's a system that benefits everyone and we've been delighted to see it influence many major companies.”

“Cafédirect pays growers a fair price that's above the market rates. So our growers receive a reliable income and we receive the best quality produce – and that's great news for everyone. What's more, we invest a significant part of our annual profits back into our growers' businesses, giving them more control over their own lives and the chance to build a better future for themselves and their families.”


Divine Chocolate launched the first ever Fairtrade chocolate bar into the UK confectionary market in 1998. Named in 2007 the social enterprise of the year, the company is 45% owned by a cooperative of thousands of Ghanan cocoa farmers.

Divine Chocolate’s innovative business model gives farmers a voice. All the cocoa used in Divine Chocolate is grown by the members of Kuapa Kokoo, a cocoa farmers’ cooperative in Ghana, who are also part-owners of the company. The members of Kuapa have a say in business decisions “from bean to bar,” and benefit not only when they sell their beans at a Fair Trade price, but also from a share of the profits. Members of Kuapa Kokoo have decided to re-invest the Fair Trade premium back into their communities, by building wells, and funding schools and health clinics. The company turned over £10.5m, grew at 26% and made more than £500,000 in profits.

In addition to giving back to communities and “doing the right thing” there are other benefits to participating in corporate social responsibility. According to Kenexa Research, an organization’s active participation in corporate social responsibility efforts has a significant influence on employees’ engagement levels and views of senior management.  Among the six surveyed countries, the research indicates that working for an organization where employees positively view CSR efforts has a significant, favorable impact on how they rate their pride in the organization, willingness to recommend it as a place to work and overall satisfaction. Furthermore, those employees with favorable opinions of their organizations’ CSR activities are more likely to say they intend to stay relative to those who have unfavorable opinions of their organizations’ CSR efforts.
 

No wonder we are seeing more and more entrepreneurs following in the footsteps of these inspiring companies!

Posted by Judy McLeish at 03:54 PM | | Comments (0) | TrackBacks (0)

February 26, 2008

What Are Your Employees or Ex-Employees Saying About You?

JobVent_logo.gif

Have you ever wondered whether or not you should join a company? You just completed the interview process and while everyone seemed positive – how do they really like working there? Do they love their job, or hate it?  What would they say about the company if they could review it anonymously?

Well, now you can review what it is like to work at a company. JobVent is a site that tracks who within a company “loves their job” or “hates it”. The website enables employees/or ex-employees to rank a company across a number of dimensions:
  • Pay
  • Respect
  • Benefits
  • Job Security
  • Work/Life balance
  • Career Potential/Growth
  • Location
  • Co-worker Competence
  • Work EnvironmentIt then provides a score and the number of reviews for that individual company.
What did we find most interesting about this site?

Well, for starters, it provides some insight into a variety companies. Of course, not every comment can be taken seriously – as it could be just the view of a couple of disgruntled employees.

But, could you discount a positive score of 346 from 111 reviews? That is for Verizon Wireless, who scores high on the “I love my job” list! Wouldn’t this information be attractive, if you were thinking of joining Verizon, I think so!

Other examples of companies on the “I love my job” side include; CareerBuilder.com, Boeing and Walgreens.

Now how about those that say they “hate their jobs”. Companies that fall into this list include; Progressive Insurance, Hewitt Associates, Enterprise Rent-a-Car, Northwest Airlines, Wal-Mart, Sobeys and Cablevision. Some of these companies have a significant number of negative reviews. Would you discount 343 largely negative reviews? I don’t think so!  

Let’s look at an example. Hewitt Associates claims that “our business is people”. Yet, they received a score of minus 6118 from 343 reviews.  The sheer number of people claiming that they “hate their job” at Hewitt made me take notice. Not only would I probably think twice about working there, it would certainly make me question their ability to consult on HR issues or foster employee engagement in another environment. Have a look at what people said about working at Hewitt:
  1. Respect – respect started out great eight years ago, now there is none. Just work, work, work, work and work some more.
  2. Benefits – they aren’t bad, but I am fairly healthy and have never had to use them.
  3. Job security – job security is gone. They are continuing with Year 2 of layoffs.
  4. Work/Life balance – absolutely none, they will own your soul. They want at least 50 hours a week, a LEAST!
  5. Co-worker Competence – this used to be the best and the brightest, now everyone left and took all of their knowledge with them.
  6. Work Environment – overall morale is low – it feels like everyone is depressed.

    7. Personally, I like the concept of this site. It provides real examples of what it is like to work in a company across a number of meaningful dimensions. While, I am sure that we should discount some of the reviews, it would be hard to discount hundreds of reviews about a company.  Let us know your thoughts.

     


           

           

Posted by Judy McLeish at 10:11 AM | | Comments (0) | TrackBacks (0)

February 25, 2008

Happiness = Connections and Meaning

Thank you to Lisa Earle McLeod at the Huffington Post for inspiring this post.

Employers are scrambling to find the “secret sauce” that will attract and retain key talent. They are talking about work/life balance, flexibility, unusual perks and benefits all with the goal of becoming an employer of choice. But what do workers really want? What really drives our happiness? Is it a free latte? More balance? Better child care? A company car? While there is no doubt that all of the above are attractive perks and benefits – they don’t actually contribute to our happiness.

In fact the thing that so many employers and employees are forgetting is that we are all happier when we are connected to others and we know that what we are doing has meaning – that we are making a difference. That our life has purpose.

It’s as simple as that.

According to Lisa, it's been proven time and time again, by everyone from the researchers at Harvard to religious leaders, we human beings need both pleasure and purpose to be happy. And we need to experience them both at the same time.

With all the focus on making a company more attractive by offering an increasing amount of perks and benefits – everyone seems to have somehow lost sight of the basics. That we all want to be happy and that perks and benefits won't do it!

We agree with Lisa, that companies must think of ways to foster connections. And they must ensure that everyone understands that what they are doing has meaning – that there is a purpose to all of this. “We human beings are hard-wired with an innate desire to create meaningful connections while we're on this planet and to make a contribution that outlasts our stay on it.”

But before you quit your day job, you should know that you don't have to create world peace to give yourself a reason to get out of bed. Sometimes your life's purpose is something as simple, elegant and meaningful as being a great friend or boss.

We like Lisa’s advice, figure out your purpose, get present in the moment and decide to be happy instead.

Thank you Lisa.

 

Posted by Judy McLeish at 11:22 AM | | Comments (1) | TrackBacks (0)

February 22, 2008

Is Your Client a Certified #****!?

bookcover.jpg

I recently witnessed a customer who could be described a certifiable. I was interviewing a Branch Manager when I heard the screams of an irate customer outside the office. They were yelling so loudly that their high-pitched voice echoed throughout the entire bank branch. I, and everyone else in the branch, could hear what they were saying:
  • I’m in a hurry and don’t think I should have to wait in this line-up. (The line-up was under 5 minutes).
  • What is wrong with you people – don’t you know who I am? (The individual was certainly not anyone worth knowing)!
  • I can’t believe that you are making me wait – don’t you know I am going on a vacation! (Huh, boy this person needs more than a vacation!)

I quietly watched, as the Manager I was interviewing stepped out of her office and dealt with the unreasonable demands of a customer. She remained calm. She remained professional and above all else she made her staff feel better even though they had come in contact with such a difficult indivdiual!

We all know that if these individuals are not handled properly they can sap the life out of the employees who have to deal with them on a regular basis. After having experienced this completely unreasonable customer – I frankly wondered how the frontline employee could ever enjoy their job. 

We recently came across a post that highlighted that there is now a test that can help assess whether or not a client is a certified #*!*#. You can use the test to help decide if it is worth the trouble to keep working with a client. You can use it to screen future clients or you can take the ACHE as a self-test to see if you are causing the problem.
 

Click here to take the Test (ACHE) developed by Bob Sutton and see how many of your clients are certifiable!

Posted by Judy McLeish at 03:18 PM | | Comments (0) | TrackBacks (0)

February 21, 2008

The Power of Twitter

twitter.gifImagine getting laid off from your company and then chronicling the experience for the whole world to see. Well, it just happened to Ryan Kuder who was fired from Yahoo.
 

For companies who have largely ignored the rise of social networking sites – this article will make them realize the incredible impact that these sites are having and how fast content and news spread. What was once private information between the employee and the employer is now anything but!  

Thank you to Gautam Ghosh for finding this incredible story. Click here to read more from Gautam.

Posted by Judy McLeish at 01:43 PM | | Comments (0) | TrackBacks (0)

NotchUp Trys New Recruiting Formula

notchup-logo.pngWe have all heard about the war for talent and the frustration of trying to find a good candidate through a head hunter or a job board. Well, there is a now an interesting job site called NotchUp that brings a new twist to the traditional formula – companies have to pay applicants to come in for an interview.

So what’s the catch?

According to the Web site, the goal is to give companies a chance to go after those employees who aren’t actively looking for a job. The site lets you set whatever price you like per interview, but also provides a calculator that takes into account your current position, experience, education, and salary to come up with a number. The idea - if a company is willing to pay you to inerview, they must be serious.  It acts as a filter for both the employer and the prospective employee.

According to the site, Google, Facebook, and Powerset are all corporate beta testers using NotchUp for recruitment. NotchUp is still in beta. The only way to get into the site right now is to be invited by a current user.So how does it work?

  • Set up your profile – if you already use LinkedIn, NotchUp just imports your LinkedIn profile.
  • Set your price and you are ready to go!
  • If you refer someone to the site, who gets an interview you earn a 10 percent referral fee.
  • As employers search the site, they can make offers to interview you, which you see in your inbox.
  • The service is free for job seekers, and companies pay NotchUp a fee for each resulting interview.

The verdict on NotchUp is still out. While there are many nay-sayers, I am sure that we can all remember the interview process and how often they turned out to be a waste of our time and effort. So in the case of NotchUp - even if you don't get the job, someone is willing to pay you for your time and effort and that is certainly refreshing!

Posted by Judy McLeish at 10:20 AM | | Comments (0) | TrackBacks (0)

February 20, 2008

What Style of Manager Prevails - Dictatorial or Empowering?

Did you know? In the UK, the proportion of managers who say they work in empowering organizations has fallen from 37% to 25% since 2004.

According to a study by the Chartered Management Institute, Britain’s bosses are becoming more dictatorial in style causing increased absenteeism among staff and lower productivity.  The Chartered Management Institute surveyed managers at every level and asked them to describe the organization in which they worked. They could select three characteristics from a list of 10, ranging from "authoritative", "risk averse" and "secretive" to "accessible", "empowering" and "trusting".

  • The institute said: "The most widely experienced management styles in UK organizations are bureaucratic (40%), reactive (37%) and authoritarian (30%). Fact - all three have become more common, increasing by at least 5% since 2004."
  • Over the same period, the proportion of managers saying they worked in empowering organizations fell from 37% to 25%. The results of these findings are overwhelmingly negative for companies. According to the Institute:
  • Staff in organizations with a top-down dictatorial style were less likely to enjoy their work and more likely to have high rates of sickness absence.
  • "The effect of management styles on performance can be marked. It has a direct bearing on the levels of health, motivation and commitment linking employers and staff.

    • "It is disappointing that bureaucratic, reactive and authoritarian styles prevail in the UK, when entrepreneurial, accessible and empowering styles are associated with far higher levels of motivation, health and productivity."
     

    What type of style prevails at your company?

Posted by Judy McLeish at 10:52 AM | | Comments (0) | TrackBacks (0)

February 19, 2008

Looking Back 20 Years: Jack Welch Describes the "A" Team

The Gallup Organization has consistently demonstrated that having the "right people in the right jobs" is critical to improved financial performance. Employees and managers who are the “right fit” for their roles are naturally more engaged and more productive.

The best companies focus on hiring the right people and ensuring they are in the right roles. Take a look at Jack Welch who gained a solid reputation for his business acumen and leadership strategies at GE. During his tenure, GE increased its market capitalization by over US$400 billion. Jack Welch remains a well-regarded figure in business circles due to his innovative management strategies and leadership style.

Let’s have a look at what Jack Welch said over 20 years ago about the type of individuals and capabilities that he was looking for. While the language is both harsh and blunt, Welch manages to capture some of the key components of employee engagement – including the importance everyone buying into the vision and clearly communicating it, energizing and drawing out the best in employees, coaching to succeed and building a team comprised of the right players in the right roles.

Here is an excerpt from the 1997 GE annual report:
 

As we move toward 2000 and beyond, with Six Sigma permeating much of what we do all day, it would be unthinkable to hire into the Company, promote or tolerate those who cannot, or will not, commit to this way of work. It is simply too important to our future.

And as we “raise the bar” to Six Sigma ... we must raise, again, the bar of quality as it applies to ourselves. The reality is we simply cannot afford to field anything but teams of “A” players.

What is an “A”?

  • At the leadership level, an “A” is a man or woman with a vision and the ability to articulate that vision to the team, so vividly and powerfully that it also becomes their vision.
  • An “A” leader has enormous personal energy and, beyond that, the ability to energize others and draw out their best, usually on a global basis.
  • An “A” leader has “edge” as well: the instinct and the courage to make the tough calls — decisively, but with fairness and absolute integrity. As we go forward, there will be nothing but “A’s” in every leadership position in this Company. They will be the best in the world, and they will act to field teams consisting of nothing but “A” players.
  • The best leaders — the “A’s” — are really coaches. What coach, with any instinct or passion for winning, would field an Olympic swimming or gymnastics team, or a Super Bowl team, that wasn’t made up of the absolute best available? In the same vein, what business leader worthy of the name would even consider fielding a team with anything other than the very best, the “A” players? This is now the business of your Company: “A” products and “A” services delivered by “A” players around the globe.

    Let us know your thoughts.

     

Posted by Judy McLeish at 03:59 PM | | Comments (0) | TrackBacks (0)

February 18, 2008

Fact: Success = Creation of Customer & Employee Advocates

We can be sure that every company is talking about two things – how to create and foster customer and employee advocates. While, some companies may call them different things the objective is the same. To:
  • Create customer advocates who will consistently speak positively about the brand, buy more from the brand, stay with the brand, and strive to make the brand better.
  • Create engaged employees who will consistently speak positively about the organization they work for, who will stay with the company, and who will consistently go the extra mile.

Why are companies focused on these two things? Simple - the creation of loyal customer advocates and engaged employees has a direct impact on the bottom line.

So what’s the catch? Creating customer and employee advocates is no easy feat. That is why it is so refreshing when we find examples.

Have a look at this website by Dave Werner. Notice the tab at the bottom right of the page that says “Wachovia”. Click on “Wachovia” to find out that Wachovia is not only Dave’s bank, but he is so committed to his bank that he provides a video, flash presentation and suggestions on how to improve the navigation and usability of the website! No wonder every company is striving to create customer advocates!

Now imagine if we could translate Dave’s same passion and engagement internally.

 

Posted by Judy McLeish at 10:53 AM | | Comments (2) | TrackBacks (0)

February 15, 2008

Are You Ready for the Corner Office?

A top executive coach says that leaders are made as well as born, and that leadership can be learned.  If you want to find out if you have the skills to be a good leader – TAKE THIS QUIZ in Fortune magazine.  We took the test and scored 70/100 – apparently not a bad score, but we are not ready for the corner office!

How did you do are you ready for the corner suite?

Posted by Judy McLeish at 09:10 AM | | Comments (0) | TrackBacks (0)

February 14, 2008

What's Love Got to Do With Engagement - Everything!

valentine.jpgGiven that it is Valentine’s Day, we thought that we should look at what place love has in business.

Love in the workplace:
“It might sound slightly bizarre, but one of the key beliefs of effective leadership is to be madly in love with all the people you are leading.” Ken Blanchard

 

“People want to develop, people want to make a difference, people want to get involved and people want to be magnificent. I think people are motivated to be magnificent only when the person who is leading them is ‘in love’ with them.” Ken Blanchard

This isn’t “soft stuff”:

“What is love? Love is playing every game as if it is your last.” Michael Jordan

“I’d much rather have a company led by love than by fear.” Herb Kellher, Retired Head of Southwest Airlines – the most profitable airline in US aviation history.

“To be in the all Blacks is about loving what you do. It’s about caring for each other. The team is a family and you love your family. If you love your mate you’re willing to look after him and you’re going to do anything for him. That’s the beauty of playing in a team. You have 15 guys who all have one goal in mind rather than a set of individual goals. The aim is to be successful. The aim is to win and to everything you can to make yourselves better players and better people. At the same time you want to help your mates be better players and better people, the same as you would for your brothers and sisters.”  Sean Fitzpatrick, Captain All Blacks New Zealand

What is your company doing to foster love in the workplace?

Posted by Judy McLeish at 08:56 AM | | Comments (0) | TrackBacks (0)

February 13, 2008

Looking Back 35 Years: Wal-Mart's Founder Always Believed Employees Key to Success

walmartlogo.jpgEveryone is talking about how to engage employees. They are talking about the importance of fostering an environment where employees will want to stay and to strive to “go the extra mile”. But is this really anything new?

If you look back at the history of Wal-Mart, you would quickly recognize that the notion of employee loyalty and commitment is really nothing new. Sam Walton, the founder of Wal-Mart, always recognized that the employee or associate (as they are called at Wal-Mart) was the most important ingredient to success.

Let’s look back at the 1972 annual report from Wal-Mart:

Our fiscal year ending January 31, 1972 must be considered Wal-Mart’s best ever. Our total sales were $78,000,000, a 77% increase over $44,000,000 for the previous year.

We’re certainly proud of the records set by our Company during this past year. Full credit must go to our dedicated and loyal employees. Everyone in the Company made significant contributions last year toward accomplishing these outstanding results.

I am totally confident that Wal-Mart will have another outstanding year in 1972. We’ve been fortunate in assembling capable and dedicated management talent. These people, plus an outstanding group of store managers all of whom are on generous bonus incentives based on store profits, will continue to provide us with excellent leadership and management skills. Our Management and your Board have agreed they want to continue in the present direction by:
  • Putting in dominant new full line stores in the medium size and smaller communities.
  • Continuing our policy of maintaining true discount prices.
  • Being extremely control and expense conscious.
  • Continuing to develop loyalty, morale and enthusiasm among all our personnel. Of all of our assets, I must count this last ingredient the most important.
     

In 1972, Sam Walton talked about what every company is talking about today. How to create loyal employees, with high morale and enthusiasm for the company they work for. You can say many things about Wal-Mart, but there is no denying that its founder, Sam Walton understood that employees were the most important ingredient to success. He recognized early on that employees wanted to be appreciated and rewarded for their efforts and that loyal and enthusiastic employees were powerful competitive differentiators.

Great companies have always had the employee at the center of everything they do. The challenge for the rest will be translating talk into action.

 

Posted by Judy McLeish at 01:54 PM | | Comments (0) | TrackBacks (0)

February 12, 2008

Does Your Organization Cultivate Happiness?

 

happy.jpgWe love the research done by Chiumento on the factors that make British people happy at work. While they admit that a happy employee is not necessarily an engaged one, there is a striking correlation between what makes employees happy and what engages them.

So what is it that makes employees happy?

Here are the top ten factors that make employees happy at work, in rank order:
  1. Friendly, supportive colleagues
  2. Enjoyable work
  3. Good boss or line manager
  4. Good work/life balance
  5. Varied work
  6. Belief that we’re doing something worthwhile
  7. Feeling that what we do makes a difference
  8. Being part of a successful team
  9. Recognition for our achievements
  10. Competitive salary

Now, if organizations would focus on how to foster an environment where employees could maximize their happiness - they could benefit substantially.

Happy employees = happy customers = happy shareholders.

For more information on cultivating happiness at work have a look at the Chief Happiness Officer's blog!

 

Posted by Judy McLeish at 02:00 PM | | Comments (0) | TrackBacks (0)

February 11, 2008

Fact: On-Boarding Key to Engagement

Did you know? According to the Wynhurst Group, new employees decide whether they feel at home or not in the first three weeks in a company and 4 per cent of new employees leave a job after a disastrous first day. And the cost of losing an employee in the first year is estimated to be at three times salary.

Did you know? New employees who go through a structured on-boarding program are 58 per cent more likely to be with the organization after three years. How effective a company is at its on-boarding process can transform a new hire into a dedicated employee, eliminating the cost of turnover and any bad word of mouth. Yet, far too many companies still rely on a reactive on-boarding process that fails to create an experience that truly engages new hires. What can a company do to ensure that build engagement from Day 1?

 

  • Implement a formal on-boarding process. The best companies already understand that implementing a process is critical to building engagement - The Aberdeen Group in Boston found that 76 per cent of companies implemented a formal on-boarding process for new hires in 2006 compared with 40 per cent in 2005.
  • Remember first impressions count. Companies are increasingly recognizing that the first impression a new hire makes of their work environment is critical to improving retention rates and improving the company brand. A new employee that feels engaged in the company on the first day of work will have a greater likelihood of staying with the company. New employees arrive on the first day with a mixture of excitement, nerves and enthusiasm. A non-existent or poorly planned on-boarding process can turn a carefully recruited employee into another statistic. A company should strive to see the new employee leave at the end of their first week, first month and first quarter with the same enthusiasm they had on the first day.
  • Foster a sense of belonging and connectedness. Companies should aim to connect hires to each other, build opportunities for them to connect with their direct reports and peers and provide early and meaningful exposure to Senior Executives.
  • Socialize the new employee. Part of engaging a new employee is introducing them to the company, its history, its vision and its values. Share stories about the company, share why it’s great and build pride in the brand.  
  • Provide information to the new employee. Building engaged employees starts with ensuring that they understand their role and responsibilities and how their role contributes to the overall success of the company.  Start by providing the employee with the key responsibilities of their role and responsibility. Talk about goal setting, targets and expectations and provide them with the information and tools they will need to be successful from Day 1.
  • Implement a mentor program. Assign mentors or coaches to help new hires in first 90 days. Mentors are to educate new hires and should be trained listeners. They need to be well respected and well-networked within the organization.
  • Create an on-boarding process that extends to at least six months. Fostering an environment that has engaged employees does not happen overnight. Make sure you create a process that enables new employees to continue to network, that checks-in on new hires and provides regular feedback and information sessions.
  • Ask for feedback. The best companies recognize the importance of the on-boarding session. Ask for feedback and learn from what you hear. Did you know? Only 5% of organizations undertake reviews of recent inductions and may be missing out on ideas for continuous improvement.  (Von Rohr & Associates)
     

     

Have a look at the impact the first day of work can have - read this blog post by William Goo. What is the on-boarding experience like at your company - does the process make your new hires want to come back?

 

Posted by Judy McLeish at 01:50 AM | | Comments (1) | TrackBacks (0)