Trends in Onboarding and Retention in 2013

(Editor’s Note: Today’s post is brought to you by Allied Van Lines®, a leader in the moving and storage industry with more than 75 years of experience. For a second year, they are championing a research project, Allied HRIQ, aimed to provide business professionals with data on current workforce trends. We also have an exciting LinkedIn group~ Allied HR IQ~ where HR professionals can network and share ideas about happenings in the HR space.  I encourage you to join today!  I have partnered with Allied Van Lines® in the past and am excited about this year’s survey results.)

Trying to find and then take the time to make sense of and look for valuable and relevant takeaways from the multitude of research and surveys about the workplace, talent management, and management trends can be quite challenging for most of us with busy, full schedules. And the folks at Allied get this, which is why they have asked HR bloggers like myself, Trish McFarlane, and Sharlyn Lauby to jump in and not only take a look at the recently completed data from the Allied HR IQ survey, but also to highlight what we felt like were some of the most interesting and important findings.

As Sharlyn shared earlier this summer, the Allied HR IQ survey put out some great information on telecommuting.  Give her article a read because, as we all know, this issue is still on the minds of many professionals. And later in the year, Trish examined the recruiting and relocation survey focus areas in her piece here.

I’ve been asked to look at the onboarding and retention components of the survey results.  I have to tell you, the full survey results are well worth your time to read, but in case you’re pressed for time, here are my key takeaways on these important topics:

Onboarding:

Some key findings from the data about new employee onboarding:

While onboarding is usually ‘owned’ by HR, (83% either led by corporate HR and/or Unit HR), there is usually not a specific budget allocated for the process, with 87% of respondents indicating that onboarding costs were simply baked in to overall HR spend.

In onboarding, success is not totally tied to the size of an organization’s budget - companies that evaluated their onboarding process as ‘Highly Successful’ spent, on average, over 50% less than companies rating themselves only ‘Somewhat Successful.’  However both groups spent significantly more on onboarding than the ‘Not Successful’ group.

Highly successful onboarding programs distinguished themselves in several ways - by clearly communicating employee expectations, incorporating formal and informal coaching and mentoring programs, and encompassing senior and line managerial participation in the onboarding process.

Finally, and perhaps the most interesting data point related to onboarding,  respondents indicated it takes about 8 months for new hires to be fully productive in the organization, a time horizon that did not vary much no matter how small or large the organization.

What can you take away from these findings?

Clearly, the best onboarding programs are ones that maintain a high degree of personalization, i.e., where the individual employee needs and situation are being considered and valued. Elements like specific goals and expectations, a high degree of managerial and leadership involvement, and the realization that onboarding should start sooner (even before the first day on the job) and last longer are just some of the hallmarks of successful programs. As we will see in the data about employee retention, a successful employee onboarding experience will pay dividends far into the future, and will clearly provide a fantastic return on investment.

Turning our attention to the Retention portion of the study... 

Retention

Similarly, several interesting findings were revealed from the survey respondents’ assessment of their retention strategies and their success (or shortcomings).

The Allied HRIQ survey participants indicated that only 76% of their new hires remained with the organization for one full year. Given the 8-month time to productivity finding from above, losing a full quarter of new hires before one year is kind of a distressing statistic.

To build upon the first point, only 62% of new hires who were retained for a full year were viewed as ‘Meeting or surpassing expectations,’ meaning 38% were performing at a sub-optimal level.

Why are so many new hires leaving before one year? Not surprisingly, the number one factor reported by the survey respondents was the employee’s ‘Relationship with their manager.’ This finding supports that often-repeated maxim that ‘People join companies, but they leave managers.’ Career advancement opportunities ranked next on the list of leaving reasons, reminding us that even new employees are concerned about their future career prospects with the organization.

Lastly, many companies, even quite large ones, are not doing a good enough job of asking and assessing executives’ willingness to relocate, even while reporting that this willingness and ability to actually relocate is an important factor for their advancement opportunities.

There are several interesting implications of the retention data from the Allied HRIQ survey, but if I could focus in on one element, it would have to be the level and attention of the employee’s direct manager and how that affects outcomes. As we saw in the onboarding data, a high level of managerial involvement led to better onboarding programs. And this type of attention and personalized development and management seems to also have a profound influence on retention. The data suggest that the most important factor in an employee’s first months with the organization is the relationship they have with their manager. So smart HR leaders will strive to ensure they work closely with these critically important managers to provide them the tools, resources, and capability they need to effectively guide new employees in their first months with the organization.

Final thoughts

Onboarding and retention will continue to be two necessary and important functions for the HR leader, and while most organizations feel like they are doing at least an adequate job in these areas, as the Allied HRIQ survey reveals, there is always room for improvement.

I encourage you to check out the full Allied HRIQ survey results here, where you will find lots more information and insight that can help to make your onboarding and retention efforts even more effective.

SPORTS WEEK #2 - It's good to have enemies

Note to readers: As I have had a really busy Summer and early Fall preparing for the now recently concluded HR Technology Conference, the posting frequency here has been pretty diminished lately. Additionally, I find myself well behind my regular number of 'sports' posts that form the basis of my contribution to the annual 8 Man Rotation E-book on sports and HR. So I have declared this week of October 21 to be 'Sports Week' on the blog. I'm shooting for 5 days of sports-themed posts to make sure I don't get dropped from the 8 Man crew. So if sports takes are not your thing, check back in a week of so, when I will probably have another equally inane theme working.

Onward..

Quick bit of background for the non-NBA fans that might be reading this.

There are two NBA franchises that call Los Angeles home - the Lakers, who have been one of the most successful teams in all of North American sports over the decades, and the Clippers, who have been one of the least successful, inept, and downright sad organizations in their history. Additionally, both teams play their home games in the same arena - the Staples Center. 

If you are a casual or even a non-fan of the NBA chances are you at least know the famous Laker teams led by all-time legends like Jerry West, Kareeem Adbul-Jabbar, Magic Johnson, Shaquille O'Neal, and Kobe Bryant.

You have probably not ever heard of the Clippers. The Lakers have consistently played for and won championships, while the Clippers at best have been a faceless also-ran, and at worst, have been the laughing stock club of the league.

But in the last couple of seasons the fortunes and outlooks are starting to shift, just a little for the Los Angeles teams. The Lakers, beset by injuries and the aging of their star players are in a downward trend, while the Clippers, with much younger and dynamic stars are more optimistic than ever about their chances to compete for the NBA title.

To add to the Clippers' sense of optimism, the team hired a new coach, the respected Doc Rivers, who has won a title as coach of the Boston Celtics, and is widely regarded as one of the top 5 coaches in the sport. The presence of a leader like Rivers, along with the group of young and talented players has the Clippers thinking big for the upcoming season.

But before the Clippers can 'win' the NBA, they need to first climb out of the shadow of their much more well known, and successful (at least historically), co-tenants of the Staples Center, the Lakers.

And Doc Rivers has, before the first game of the new season has even tipped off, fired the first blow on his home turf - by ordering the Lakers' 16 NBA Championship banners that hang from the Staples Center rafters be covered up with posters of members of the current Clippers squad when the Clippers are playing their home games. 

Some details from the Ball Don't Lie blog:

The Los Angeles Clippers and Lakers both moved into the Staples Center during the 1999-00 season, the only NBA teams to share an arena. Since then, the Lakers have hoisted five NBA championship banners to add to their 16 in total, alongside two other conference titles in that span. In that time the team has also added two more retired numbers to the jerseys that hang at the top of the arena, bringing that total to nine, while also hoisting two tributes to the championship Minneapolis Lakers and late Hall of Fame broadcaster Chick Hearn.

In that time, the Clippers have accomplished … well, they made it to the second round a couple of times.

New Clippers coach Doc Rivers is attempting to change that. After the laissez-faire turn of former coach Vinny Del Negro, the former Boston Celtics coach has decided to instill a defensive mindset and more consistent offensive philosophy for a Clippers team that disappointed with a first round exit in last year’s playoffs. And to drive a team-first point home, he’s asked the Staples Center to cover the Lakers banners when the Clippers take hold of the arena. From the Los Angeles Times.

Said Rivers, "Listen, I think this is our arena when we play," Rivers said. "So I just thought it would be good that we show our guys. No disrespect to them. But when we play, it's the Clippers' arena as far as I know."

To the non-sports fan this may seem pretty insignificant, as in, 'So what, the Clippers are covering up the Lakers banners when they are playing. Big deal.' 

But to a professional team, and their fans, these championship banners symbolize excellence, dedication, sacrifice, hard work, and ultimately team pride.  To cover them up is a like an insult or a gesture of disrespect, (at least that is how I would interpret the move).

But from Rivers perspective, the decision makes complete sense. His team can't even think about winning the NBA title until they begin by 'winning' their home court. And unique to the Clippers, winning their home court means conquering one of the most successful, and world famous sports franchises of them all, the Lakers.

Life is better, or at least more interesting with a few enemies.

Batman needed the Joker. Luke Skywalker needed Darth Vader. Maverick needed Iceman.

I am sure Rivers and the Clippers want to be the 'new' Lakers in Los Angeles, but to get there they are going to have to see their neighbor as more of their enemy.

And to crawl out from under the Lakers' shadow, covering up the banners that testify to Laker success is a smart move. Sure, it may tick off the Lakers, but that is the idea I think. You can't climb to the top without making a few enemies along the way. 

SPORTS WEEK #1 - The futures market for your career

Note to readers: As I have had a really busy Summer and early Fall preparing for the now recently concluded HR Technology Conference, the posting frequency here has been pretty diminished lately. Additionally, I find myself well behind my regular number of 'sports' posts that form the basis of my contribution to the annual 8 Man Rotation E-book on sports and HR. So I have declared this week of October 21 to be 'Sports Week' on the blog. I'm shooting for 5 days of sports-themed posts to make sure I don't get dropped from the 8 Man crew. So if sports takes are not your thing, check back in a week of so, when I will probably have another equally inane theme working.

Onward...

Last week a really unusual story dropped about NFL Houston Texans player Arian Foster's plan to essentially 'go public' and have a personal Initial Public Offering. Through a sports management company called Fantex, the plan is for Foster to float shares in himself that would enable investors to have a claim on 20% of his future career earnings.  Fantex is looking to sell as much as $10 million in Foster equity, taking a half million fee for themselves for the trouble. It is also a pretty good deal for Foster, (assuming the $10M in shares gets snatched up). He gets essentially an advance on $10M of future earnings he may or may not even realize. The shelf-life of NFL players, even top stars like Foster, is notoriously short. One bad step or rough tackle to the knees and the newly 'listed' Foster might not earn another dollar in the NFL.

While the Arian Foster story is kind of a goof, and one that seems to only have even a chance of actually working due to his notoriety and fame, it did get me thinking about the feasibility of similar career earnings investment schemes for 'normal' people.

Would there be a potential market for shares of your future career earnings for example? Could you convince someone to invests $50 or $100 in you today with the promise of a potential windfall as you climb the corporate ladder or start up the next big App that all the kids will be using next year?

And if the market for 'you' might not be so hot, how about your kids? The ones that you are going to have to help get through college and are likely to end up back in their middle-school bedrooms with you after they graduate? Could you maybe help them float an IPO that just might raise enough money to put them in a 2007 Camry and a studio apartment downtown so you can finally create that game room in your house you have been dreaming about since 1995?

The Foster story is basically absurd and it probably won't amount to much, but it does make you think about your own career a little bit I think. 

If you actually were a publicly tradable security what would your market look like?

Would there be an intense battle by investors to get in on your IPO action?

What would your ticker symbol be?

LIVE Tonight - #HRHappyHour recaps HRevolution and HR Tech

HR Happy Hour 172 - HRevolution and HR Tech 2013 Recap

LIVE - Thursday October 17, 2013 - 8:00PM EDT

Call in on 646-378-1086

Follow and join the backchannel conversation on Twitter - use the hashtag #HRHappyHour

This week the HR Happy Hour is back with a special LIVE show with a recap and review of all the happenings at the recent HRevolution and HR Technology Conferences.

Join hosts Trish McFarlane and Steve Boese for a look back at both events - the sessions, the parties, the exhibits and all the fun from what was a memorable HR week in Las Vegas.

You can listen live tonight at 8:00PM EDT on the show page here, or using the widget player below:

Check Out Business Podcasts at Blog Talk Radio with Steve Boese and Trish McFarlane on BlogTalkRadio

If you were in attendance at either HRevolution or HR Tech, then you are invited to call in to talk with Steve and Trish and to share your thoughts and observations from the events.

Who made you think?

Who made you laugh?

What was the most amazing HR Technology that you checked out?

We will hit all the highlights and also have a few laughs as well.

You won't want to miss this one, as the HR Happy Hour returns with a LIVE show, Thursday, October 17, 2013 at 8PM EDT.

Making the most of the time you have

This is probably an 'Off-topic' kind of post except for that it falls squarely into the category of 'Things that are interesting to me' and therefore at least in the broad definition for this blog is actually 'On-topic.'

Check out the Tikker - a watch that not only tells you the time, but tells you the time you have left.

And the folks at Tikker mean that quite literally, the watch displays, based on information you provide on your current age, habits, BMI, etc., how much time in years, months, days you have left to live.

Why would anyone want to glance down at your wrist in hopes of determining (variously) if and by how much you are going to be late for work, how much longer this interminable opera/play/ballet your significant other dragged you to is likely to drone on, or to make the mental calculations that start with 'If I go to bed now, then I will still have 5.5 hours of sleep before the big meeting tomorrow, that should be enough', and instead be reminded that you only have precisely 41 years, 8 months, 12 days and some hours left upright?

Well according to the folks behind the Tikker project, the stark display and countdown of your time left will make you appreciate that time more, help you to make better decisions about how you use that limited and diminishing time, and even make you happier. 

From the Tikker project's Kickstarter page:

As a group we first started working on the idea of Tikker 2 years ago (although we have dwelled on the concepts of time and happiness for well over 10), and we've come a long way since those first development meetings. What started as an idea slowly took form in sketches, models and concept prototypes. It wasn't long until the project took on a rather morbid name – Tikker has come to be called "the death watch" by the people in and around the development group. But despite it's nick name we really doesn't see it as one.

"Forget all about "smart watches" that will keep you connected to your work email 24/7. How about a watch that is designed to actually make you happier, and help you get a better life? A happiness watch. That's what Tikker is designed to do."

It is an interesting concept for sure, that being forced to contemplate more directly the limited time you have left would lead you to be more thoughtful and even could change at least some of your decisions about how you use parts of that time.

Would it make you 'happier', to see every day the countdown clock winding down, winding down?

Hard to say. 

But it is pretty likely that just about all of us spent potentially large parts of this time we have doing things we really would prefer to not be doing. Of course many of these are from necessity - we have to work, sometimes at jobs we don't enjoy to provide for ourselves and our families, we have to rake the leaves, have to take the odd colonoscopy and so on.

However, it's also likely that we spend a fair chunk of our time on silly things that we choose to do, and rationalize this by convincing ourselves that we have to do to them, and don't really have a choice. Which is also silly, because of course we do.

Anyway, I found the Tikker kind of interesting. I am not sure I would want to wear one though. I am not totally convinced it would make me happier.

But then again maybe it would lead to some better decisions. 

And I just spent 31 minutes I will never get back writing this post.