It’s 2018 and the winds of change have brought a stronger economy and tax laws beneficial to the business sector. With more cash on hand, many companies are investing in R&D and infrastructure.
But muddying an otherwise rosy picture is a decades-old conundrum for companies the world over: How to stop employee turnover? Already high turnover rates are projected to go up.
The Status Quo Must Go
Businesses are still trying to stem the turnover tide with solutions that have failed for decades. Remember those watertight compartments on the Titanic? They sounded great, they were really expensive, and… they were ineffective.
The conventional employee retention programs — the same old workplace surveys, across-the-board incentives, action plans, meetings, and luncheons — sounded great. The jury is in: These programs were expensive and ineffective. Instead of plowing into icebergs, managers sped straight into the high-turnover trap:
- Since 2009, employee resignations have steadily increased.
- Since 2009, employee engagement hasn’t budged.
The Root of Poor Retention Rates
Research shows employees who don’t trust their managers are much more likely to leave their jobs. What makes them lose faith? Managers haven’t been held accountable for building a healthy organizational culture based on trust. And, sadly, trust is not something that can be taught in a weekend. Seminars are no substitute for taking proactive steps that lead to true culture change.
Our Proven Solution: Finnegan’s Arrow
Finnegan’s Arrow, named after our founder, Richard Finnegan, is the business-driven, proactive solution for building trust, boosting retention rates, and reducing turnover. Organizations across dozens of industries have implemented it. An Indiana manufacturing company, a Florida hospital, and a U.S. auto repair shop are a few of the numerous success stories: The organizations saw turnover rates fall 44%, 67%, and 70%, respectively.
How Finnegan’s Arrow works:
- Dollars: Calculate how much money current turnover rate costs the business; seeing a real dollar value is an instant cure for complacent management.
- Goals: Managers, supervisors, and team leaders must set monthly or bi-monthly goals for their turnover and new hire turnover performance.
- Stay Interviews: Leaders are trained and certified to conduct Stay Interviews with each employee, asking them five questions related to the employee’s level of engagement and likelihood of retention. Leaders find out what specific actions would lead to both outcomes.
- Forecasts: Leaders project the duration of each employee’s tenure. They obtain assistance to find out what actions, if any, could be taken to retain top-performing employees identified as short-termers.
- Accountability: A healthy organizational culture built on trust is impossible without accountability regarding retention goals and forecasts. Managers file monthly or bi-monthly reports to show they are meeting goals.
Reverse the Turnover Trend
How to stop employee turnover in the current economic climate conducive to it? Adopt the proven, business-driven, proactive solution: Finnegan’s Arrow.