HayGroup HR EXPO WORKSHOPS Retaining Talent in Difficult Times: Why Productive Workers Leave… and how to keep them Why Productive Workers Leave… and how to keep themBy: Harry Meintassis, December 3 rd, 2004 Talent Management

HayGroup HR EXPO WORKSHOPS 2 Where Are We Going Today? Why Retention Is Important (The Business Case) What Drives Employee Retention (Our experience) Is Your Organization At Risk? (Lets reflect) Build a Customized Retention Strategy (Towards Action)

HayGroup HR EXPO WORKSHOPS 3 Retention: Always a Key Priority Your people are your best competitive advantage In tough times, retention is also a concern One third of the workforce – gone in 3 years! The war for talent will continue in the years ahead – knowledge-based economy, demographic trends Turnover is a symptom, not the problem

HayGroup HR EXPO WORKSHOPS 4 Turnover is Costly Cost of replacing employees is equivalent of 18 months salary The “hidden” costs of turnover may be even greater, in terms of: – Disrupted customer relationships – Lost organization – and job-specific knowledge – Increased strain on remaining employees

HayGroup HR EXPO WORKSHOPS 5 Turnover is Inevitable The “social contract” surrounding employment has been rewritten The challenge is to manage turnover, rather than to eliminate it – focus on retaining key talent and minimizing the disruptions associated with turnover

HayGroup HR EXPO WORKSHOPS 6 Why are your people leaving?

HayGroup HR EXPO WORKSHOPS 7 Compensation is not the only issue Employees’ major concern is with opportunities for personal development and growth – Employability Understanding the organization’s strategic direction and confidence in senior management are essential Key Predictors of Retention

HayGroup HR EXPO WORKSHOPS 8 Fortune Survey of Most Admired Companies Summary of Findings — Employee Retention Most Admired Companies: – Take culture and values seriously – Know success attracts the best people — and people sustain success – Identify precisely the kinds of people they are looking for – See career development as an investment – Promote from within – Reward performance – Measure work force satisfaction

HayGroup HR EXPO WORKSHOPS Is your Organisation at Risk? “What are your strengths & weaknesses?” “What should you be focusing on”?

HayGroup HR EXPO WORKSHOPS 10 Manage by “facts” vs gut feelings  Need objective, accurate diagnosis to predict talent losses  All you have to do is ask!  Where are the biggest payoff areas?  Understand the differences between loyalty and satisfaction. “Know thyself”

HayGroup HR EXPO WORKSHOPS 11 Show them you care! “We will give you the tools to help you grow and advance because we care about your career growth”

HayGroup HR EXPO WORKSHOPS 12 People in different jobs are committed for different reasons Management – New opportunities, top management ability Professionals – Coaching from superiors, clear direction Sales – Recognition IT - Opportunities for advancement Clerical – Use of skills and abilities

HayGroup HR EXPO WORKSHOPS 13 Who do you really want to retain? Who has the competencies to do the job now or in the future? Who adds the most value to your organization Who will be most difficult to replace?

HayGroup HR EXPO WORKSHOPS 14 Benchmark the Competition What turnover levels do your competitors have? What do your competitors offer in terms of: – Pay and benefits – Opportunities for advancement – Development/ training – Challenging work – Flexibility

HayGroup HR EXPO WORKSHOPS 15 Be lean- but not mean ! New “People first” thinking needed – Nurture good people and the strategies will be executed, tasks will get done What is the next step for the employee? “People don’t leave jobs, they leave their managers”

HayGroup HR EXPO WORKSHOPS 16 It is all about leadership! Leaders: – Provide feedback and direction – “Walk the Talk” – Communicate how people are an organizational asset critical to success – Develop high potentials into future organizational leaders – Create succession plans

HayGroup HR EXPO WORKSHOPS 3 Souri str Athens Tel. +(30) Fax +(30) URL: PEOPLEBEFORESTRATEGY

HayGroup HR EXPO WORKSHOPS 18 Back up

HayGroup HR EXPO WORKSHOPS 19 ManagementProfessionalsClericalSalesIT Opportunity for advancement Coaching and counseling from one’s superior Type of workRecognitionOpportunity for advancement Ability of top management Company has clear sense of direction Use of skills and abilities Opportunity for advancement Ability of top management Use of skills and abilities Chance to do interesting and challenging work Opportunity to learn new skills Chance to do interesting and challenging work Recognition Work-family balance Ability of top management Company has clear sense of direction Use of your skills and abilities Cear sense of direction Use of skills and abilities RecognitionPay Chance to learn new skills Work flow well organised Respectful treatment Coaching and counseling from one’s boss Respectful treatment PayOpportunity for advancement Physical working conditions Company has clear sense of direction PayType of workPhysical working conditions Job SecurityYour ideas adopted and put into use “Committed” vs. “Leaving Soon”