Despite the obvious availability of qualified people out there, where there are too many chasing too few jobs, the attrition rates in many organizations are very, very high. Why? The reasons are many and varied, but ask any manager who works for you to define what a leader should be and I bet they would struggle.
Ask them to define "human capital" and most will be wide off the mark with their thoughts on the subject. Management ability is not something that can be passed on through the genes; it’s a skill that requires nurturing over a period of time. Not everyone of our managers has the ability to create credibility, develop trust and have a personal understanding of those who work for them. We need to start investing a little more in those who run our companies if we are to stop the needless loss of revenue and productivity as a result of poor management decision-making.
Where do we start? Everyone will have his own reasons why a company loses good people every year. I’m sure a popular answer would be pay and working conditions, and this, to an extent, is true, but much too simple an explanation in reality.
One aspect, which could be a key reason for such high rates of attrition, is the fact that we just don’t always recruit well. So here is a five-step process, which we should consult as part of the planning stage before we look to recruit anyone.
1. What is the company’s mission and vision?
A less than unified plan will affect all aspects of the business, like space, technology, finances and, of course, staffing. Your company may have one, but do you also have one at a departmental level?
2. Are the goals clearly demonstrated to the staff?
Are you sure your staffers really understand where they fit into the equation? Many will be able to repeat these company statements in parrot fashion, but do you really believe they know what these all mean?
3. How well do you assess the employees’ capacity?
Awareness, understanding, proficiency, authority, motivation and talent. Do we have defined job roles with which the staff could be assessed? Do we set goals and have a continuous measurement of the success? How often do we appraise the staff anyway, once a year? Should we be not looking to increase this?
4. Once we have dealt with number 3, we can then ask the question: Do we need to train, move, eliminate or recruit?
5. Then implement, measure, modify.
Nothing stays the same. We need to review the situation in line with the growth and direction of the company.
Maybe, if we take a harder look at the contributions our staffers make and the potential contributions they could make, we may just make smarter hiring decisions rather than just reaching for the pile of resumés and CVs. You’ll never know you may find the future managers who will guide your company in the years to come.
"You cannot build a cathedral until you build the foundations."