Employee Onboarding: The true cost.

69% of talent acquisition professionals say their job is getting harder according to a recent poll at an In-house Recruitment event. Hiring Managers, and senior leadership, quote recruitment as an ongoing headache.

Throw in the fact that 90% of employees will decide to stay, or go, within the first few months of joining your organisation, we absolutely need to be talking more about onboarding.

The saying “You never get a second chance to make a first impression” has never been truer for employers, than now. With many industries competing heavily for talent, 90% is not such a surprising statistic.

You need to hook new employees, and win over their hearts and minds...and quick!

So, how does your organisation rate on making that first impression?

Do you remember your first day in your current organisation? Your first week, month, 6 months?

The nervous excitement, the process, the paperwork... the overwhelm?

Chances are there is room for improvement. Right?

For most organisations, onboarding is still heavily process-driven, and often limited to a desk, a quick “induction”, a tower of paperwork and a “good luck” approach.

Which, after being romanced at interview, is a bit of a letdown for your new employees. Whether you have given them a branded mug, or not!

It is no surprise that many of them are wondering whether you are long-term relationship material.

Companies are now starting to put a monetary figure on turnover and productivity rates, with UK businesses estimated to lose over ￡4 bn per year on attrition alone.

The average cost of replacing an employee is ￡31 000 - you do the calculations! The impact of losing a leader can be over 3 x salary, and with much wider team implications.

Feedback points towards the employee “front end” experience (or lack of!). Ultimately, a poor onboarding experience is the match that lights the fuse, increasing the likelihood that the new hire will leave over the coming months. Or stay, and not hit the mark. 

In my role as an onboarding and career transition coach, I live and breath this every day.

I was brought in to work with a senior medical leader who was about to resign after 2 months in role. During our first session together, it was obvious that she was a great hire and she didn't really want to leave. As with any major change at work, the transition had knocked her confidence. We established 3 things that she needed:

1) Clarity around role and expectations

2) A transition plan, focusing on the right foundations

2) Support, and a sounding board, to support her navigate the challenges

We nailed the first and second points quickly, and I stepped in for number 3.

Her confidence sky-rocketed, she started delivering quickly, and she even went on to be promoted within 18mths. (This time she did not need me!)

I saved the organisation ￡160 000, months of recruitment and the wider team and business implications - the cost had just that one leader left.

In a study undertaken by Careerbuilder in 2017 only 9%, of the 2300 Hiring Managers and HR professionals surveyed, believed that their current onboarding process is effective. That leaves a whopping 91% with work to do. 

So, the question is: Is your organisation part of the 9% ..... or the 91%?

Without a doubt, your organisation cannot afford not invest in onboarding.

Investing up front and giving your employees the best chance of success from Day 1, is not only the right thing to do, it will absolutely give you a strategic edge on your competitors.

So, if you have work to do, and would benefit from receiving my "Top 10 tips for the ultimate onboarding", drop me an email to: [email protected]

Jenn

Career Transition & Onboarding Coach.