A data-driven method of evaluating employee turnover can help any company understand why employees leave and improve retention
Fremont, CA: Employee retention is a primary goal for most HR departments, and employee turnover is the most common HR indicator. On the other hand, knowing company turnover rate provides little to help strategic company objectives. To gain meaningful understanding, a more in-depth examination of what is creating turnover in various sectors of the company is essential.
With its grasp of human capital fundamentals, HR is ideally placed in the company to guarantee that the workforce gets aligned with the business's goals at the lowest possible cost.
Now, more than ever, company executives want strategic insight and the capacity to swiftly and precisely forecast how turnover patterns affect sales and profitability.
Key phases of reducing employee turnover with HR analytics
• Identify your retention problem
Determine what is causing increased turnover by first examining the harm caused.
Surprisingly (or maybe not), it is not unusual in a single company for turnover to be computed in various methods, implying a lack of meaningful comparability throughout the business.
When many of the company's best and brightest people leave, they take all of their skills, expertise, and connections alongside them, placing the firm at a disadvantage.
• Look for the causes of employee turnover
Once the user has determined an employee retention issue, utilize workforce analytics to go deep into what's driving their employees to quit.
Using the resignation rates as a starting point analyzes with a clustering method to find what variables raise and reduce resignations. Based on this data, the user may successfully target and fine-tune their retention strategy (and not intuition or anecdote).
• Tackle turnover with a tailored employee retention program
Now that users know where they need to focus their efforts, they can develop a program based on what drives away and maintains important employees at their firm.
Ask questions such as, "Is it professional growth opportunities?" to understand what motivates a group of individuals to stay. What about education and growth? Adaptable workplace policies? If the user doesn't already know, talk to the associates and their leaders.
