Long-term risks associated with turnover spikes
An increase in turnover is far from a promising way to ring in the new year. In fact, Gallup estimates that voluntary resignations cost US businesses $1 trillion annually. Below, we pinpoint how a surge in turnover can negatively impact every aspect of an enterprise’s performance:
Employee morale dwindles
Frequently, an uptick in resignations causes workloads and stress levels to skyrocket. Employee turnover also impacts onboarding, as key points of contact with niche expertise may no longer be around to bring new hires up to speed. Given that Glassdoor linked great onboarding with an 82% retention boost, diminished training capacities can contribute to ongoing turnover issues.
Product or service quality deteriorates
The adage “practice makes perfect” rings true. Employees must become familiar with new processes and workflows before they can reach optimal performance. If an enterprise is taxed with filling a host of vacancies simultaneously, there is a risk that the quality of their service or product will falter.
Revenue takes a hit
According to the Society of Human Resources Management, the average cost per new hire is $4,129 and it will be 8 months until this staffer reaches full productivity based on findings from Harvard Business Review. In addition to costs surrounding training and onboarding, the recruiting process itself can be expensive and takes over a month on average.
CX standards slump
73% of all respondents rank customer experience as one of the top factors surrounding purchasing decisions, based on PWC research. Despite this, less than half of those surveyed are satisfied with the service they receive. Retaining employees who are familiar with internal processes can go a long way towards improving consumer satisfaction.
6 intranet features to prioritize in the new year
Poor retention rates don’t have to be part of your enterprise’s 2020 story. The right digital tools can drive employee loyalty and reduce churn risks. Some intranet features that play a critical role here are as follows:
#1. Update L&D sites to designate internal growth pathways
The more confident employees feel about internal growth opportunities, the less likely they will be to look elsewhere. Research from Glassdoor supports this notion, as a study finds a 5% probability increase that employees will stay at their current organization when they feel confident about existing opportunities. A modern intranet can fuel internal growth through designated L&D sites that house upcoming workshops, bespoke portals for new opportunities, and on-demand webinars.
#2. Revamp recognition features to boost sentiment
68% of respondents believe recognition initiatives improve retention rates, according to the Society of Human Resources Management. Intranets with a host of spotlighting tools, including customizable badges, homepage takeovers, and social media shout-outs, which can be utilized to reward exemplary employees.
#3. Make 2020 the year for employee feedback
The surest way to know if employees are happy? Ask them. Digital workplaces make it easy for stakeholders to source employee feedback through customizable forms capabilities that can be disseminated to key groups, such as new hires or line managers, to gain nuanced input. Once the results are in, built-in analytics offer streamlined takeaways that can identify potential pain points and offer insight for revolutionary intranet solutions.
#4. Give your homepage a makeover
For many employees, the intranet homepage is one of the first things they see daily, so leaders should take advantage of it. Targeting capabilities take digital workplace experience to the next level through centralized tools and specialized updates.
#5. Launch an initiative that resonates
Drive home the fresh-start mentality that is prevalent in January by launching an impactful initiative. Reflect on company-wide goals to pinpoint a movement that connects to key values. Popular choices include a focus on health and wellness, an emphasis on giving back, or prioritizing emerging talent. Once an initiative is selected, use multi-media communications pathways to generate buzz and ensure that the objective is on everyone’s radar.
#6. Automation features level up employee experience
Automated features such as chatbots and virtual assistants can help alleviate frequent pain points and mundane administrative tasks, in turn boosting productivity and improving each employee’s digital experience. Enterprises that invest in cutting-edge workplace tools are likely to benefit from a streamlined workforce that feels empowered to reach optimal performance.
Take advantage of an intranet to reach new heights in 2020
Based on a recent NBC article, January is the best time to land a new job, which means every enterprises' retention rate is at risk. A comprehensive digital workplace boosts employee satisfaction from the start by equipping users with the tools needed to maximize performance. If you are interested in reducing the churn risk at your organization while also paving the way for unprecedented growth, get in touch with our digital workplace experts.