What do you do if your employee retention and satisfaction rates are low in Business Strategy?

Proactive assessment of employee engagement and satisfaction is always a preferred strategy then a reactive one. However, if you fail to see leading indicators of your employee satisfaction decline, make sure to follow both top-down and bottom-up approach to analyze the real root cause of the situation. Surveys and interviews can provide telling insights specially if performed anonymously.

CULTURE EATS STRATEGY FOR BREAKFAST! Well thats a popular saying in corporate, isn't it? Its a fact that no matter how well-crafted a business strategy may be, its success hinges on the underlying company culture. While data-driven insights are invaluable, they only tell part of the story. Low employee retention rates often stem from a poor company culture. More than just employee engagement, it's vital to address the specific pain points of employees & build from there. Ultimately, everyone works to earn a living, but the culture, team dynamics,& management's attitude toward all levels of employees profoundly impact their motivation & satisfaction in their day-to-day work. Pay & Culture has an equal importance in employee retention!

It is very important to take a data-driven approach at this stage. You need to look at how your service offering differs from that of competitors, so you need data on competitors in terms of industry and geography. Then you should also analyze the internal data. In terms of compensation, you need an external review (comparison with competitors and fairness of the value proposition to employees) and internal data (review of internal equity). Don't forget that the type of pay is just as important as the amount of pay.

"If you don't give your employees opportunities to develop, someone else will." - Jack Welch, Former CEO of General Electric....Being in leadership it is important to map the potential causes for low retention and satisfaction. The organization should host confidential focus groups or hold one-on-one interviews to delve deeper into specific concerns and get a in depth understanding of employee sentiment. Data analysis to get insights about trends in absenteeism, performance reviews, and internal job applications to identify potential red flags.

Si las tasas de retención y satisfacción de empleados son bajas en la estrategia empresarial, es crucial identificar las causas subyacentes. Realiza encuestas de satisfacción, entrevistas y análisis de datos para comprender los problemas específicos. Luego, desarrolla e implementa medidas correctivas, como mejorar la comunicación interna, ofrecer programas de desarrollo profesional, reconocer y recompensar el desempeño, y promover un equilibrio entre trabajo y vida personal. Fomenta una cultura de retroalimentación abierta y trabaja en estrecha colaboración con los empleados para abordar sus preocupaciones y mejorar el ambiente laboral.

An important part of your value proposition is your corporate culture. Employees need hope. Create dreams and hopes for advancement, a sense of equality, teamwork and a supportive culture. Remember that fear and hope do not mix. So try to replace fear with support and coaching in the leadership style of hope. Do not neglect DEI issues. Focus on diversity, equity and inclusion and reinforce the culture of dialogue and feedback without fear to create hope for employees.

Me encanta esta recomendación, muy acertada. Supongamos que los valores están “vivos” en la organización, y tras una revisión inicial acordamos que son los adecuados. Además, contamos con un ambiente de comunicación transparente y un sistema interno de celebración y reconocimiento congruente con nuestra cultura, el cual goza de credibilidad entre los equipos. En este punto, el margen de mejora es reducido y bastante desafiante. Una medición adecuada de la cultura arrojará números por encima del 85%. Entonces, ¿cómo podemos elevar estos números? No debemos distraernos con el benchmark o las mejores prácticas. La recomendación es: enfocarnos en las necesidades individuales de las personas, preocuparnos de hablar su lenguaje de aprecio.

"A company's culture is the sum of the behaviors of its people." - Brian Chesky, Airbnb Co-founder. Indeed if one can focus on providing the work culture that enhancing the ability to learn ,implement, doe experiments and protecting them even if something gets failed ,the employee will feel ownership in whatever they do. People want to work in a culture where they feel respected, appreciated, and challenged. Organization can think of team building activities ,employee recognition program, well being programs to establish bets culture.

Ante tasas bajas de retención y satisfacción de empleados, prioriza la mejora de la cultura empresarial. Comienza por comprender las preocupaciones de los empleados a través de encuestas y retroalimentación. Luego, implementa cambios significativos para fortalecer la cultura, como promover la transparencia, fomentar el trabajo en equipo, reconocer los logros individuales y colectivos, y ofrecer oportunidades de desarrollo profesional y equilibrio trabajo-vida. Comunica estos cambios de manera clara y consistente para generar confianza y compromiso entre los empleados.

Although today we no longer talk so much about employee retention but about free choice, it is important to manage cultures with clear employee value propositions that evolve with the profile of new behaviors.

If we examine the evolutionary waves of the employee value proposition, we will find that we have moved from satisfaction to commitment, then to engagement, and finally to employee experience. The next step is hope. By creating the possibility of progress, human resources will find hope and optimism, which will improve employee retention and productivity.

Si las tasas de retención y satisfacción de empleados son bajas, enfócate en estrategias de crecimiento de la oferta laboral. Realiza encuestas y análisis para identificar problemas. Implementa medidas correctivas como mejorar la comunicación interna, ofrecer desarrollo profesional, reconocer el desempeño y promover el equilibrio trabajo-vida. Fomenta una cultura de retroalimentación abierta para mejorar el ambiente laboral.

Professional growth is not only related to promotions, employees also seek to expand their capabilities with training opportunities, exchanges, exposure in spaces for exchanging experiences, etc.; In this way they see their potential developed and generates great commitment

Understand that "growth" means something different for everyone. While an organization cannot always do individualized development, ensuring consistent opportunities across the organization and creative support (e.g. flexible hours, sabbaticals, etc) can go a long way towards supporting individual development goals.

Employees are often annoyed about two things when it comes to payroll. Given my job, I get paid less than my colleagues in other companies, and that's not fair! Given my job, I receive less than my colleagues in the company, and that's not fair! Given the knowledge, time and energy that people put into their work, we need to have a fair value proposition and if employees feel that they are not in proportion to the value they create, they will either leave or stay and their productivity will be very low, and worst of all, they will likely create a toxic work environment.

Compensation is not only money but compensation in benefits and also emotional, in addition to other issues such as recognition and opportunities.

Unpopular opinion: employment is a contract- a days work for a days pay. RETENTION requires that base salary is supplemented with other benefits (health, retirement, life insurance, PTO, bonuses, Flex Time, etc.) In the US it has become difficult because of economics, systemic challenges and societal constructs. So yes, do the research against industry standards and expectations. And then, decide where you want and can afford to be in that continuum based on your strategy. Once you decide - be honest with employees and potential employees about what is and is not possible in base compensation and what additives are a part of your total package. Finally, own the outcomes of your comp decisions on talent acquisition and retention.

The organisation needs to understand that the people who join in business strategy roles want to see action . They like to create new things and witness the implementation of strategies they roll out and the ultimate outcome. They clearly have innovation and growth mindset. If their strategy suggestions do not get implemented or the decision making at top management is too slow, such employees tend to loose interest and that’s when their retention becomes a challenge. In order to keep them engaged positively then robust strategy implementation plan needs to be well in place . The roll out needs to be time bound to bring in results and that’s what keeps such people going and make them stick around .

"Employees who feel that their work is meaningful are more productive, more engaged, stay longer, and are more likely to go above and beyond." - Kenexa ,HR software company. Create a inclusive environment for every counterpart so that they get feel important in the decision making. if that is not possible at least keep them informed. Provide regular and constructive feedback to employees. This helps them understand their strengths and areas for improvement, and shows you value their contributions. Acknowledge and celebrate individual and team achievements publicly.

I would first of all evaluate the performance and profitability of the organisation and the performance of team members. If organisation is profitable then there is a need to discuss the compensation system with management and provide solutions to retain the performers. On the other hand if employees are not performing up to the mark, I will focus on developing a suitable performance management system. This will communicate with employees that organisation wants to improve performance and give rewards to them. I either case I will focus on retaining talented people and let go the non performers and negative people ...

The biggest cause of people's dissatisfaction in the organization is the existence of a wrong organizational culture. If, based on the organizational culture, we are reprimanded for our wrong behavior, in whatever position we are, the feeling of dissatisfaction will diminish to a great extent. People will find that each person is valuable in their own positions. The existence of such an organizational human culture, causes us to find the roots of the dissatisfaction, follow up on the solution of that dissatisfaction, and in case of errors and mistakes, we compensate to achieve satisfaction.

◼️Addressing low employee retention and satisfaction rates requires a comprehensive strategy focused on understanding root causes and implementing effective solutions. ◼️By identifying specific issues through assessments and feedback, businesses can tailor solutions to improve compensation, enhance leadership, promote work-life balance, offer career development opportunities, foster positive company culture, and gather ongoing feedback. ◼️Through proactive measures and a commitment to prioritizing employee well-being and growth, organizations can create a supportive and fulfilling work environment that attracts, retains, and motivates top talent, driving long-term success and fostering a culture of excellence and innovation.

Do not neglect new trends and research. Don't forget that talent acquisition is now being replaced by talent access and work-life balance has been replaced by work-life fit.

If employee retention and satisfaction are low, start by identifying root causes through surveys or interviews. Address issues such as poor communication, lack of growth opportunities, or a negative work environment. Implement strategies to improve communication channels, offer training, and foster a positive culture. Provide competitive compensation, recognition, and career development opportunities. Continuously monitor metrics and adjust strategies to create a more engaging workplace for long-term success.