7 Questions About Retention

Today completes a journey through 7 questions on each of the key areas of leadership:  Hiring, management, development, and retention of top performers.

The 7 questions in each of these areas is meant to be an opportunity for self or group accountability.  Why?

• Only when your employees are fully engaged can your clients consistently have great experiences being served by your company.
• When leaders are spending too much time replacing staff then you are wasting time, losing money, and missing opportunities.
• In regards to retention, studies have concluded the cost of losing an employee is 1X-3X their annual compensation when you take into account the full impact of the loss.

I encourage you to ask questions during our free webinar on interviewing job candidates at 3PM Tuesday, December 2.  Register here.

Here are 7 questions every leader should ask about how you are retaining top performing employees.   In particular, make certain you ask these questions about your most productive, profitable, and personally fulfilled people, but ideally you consider how well each employee is being retained:

#1 Meaningful Work:  How well is the employee's work aligned with their unique work values?

If you are using our MANAGEtoWIN Talent Assessments, then how well are you appealing to their two most intense work values, and the statements they confirmed are the best way to work with them?

When is the last time you reinforced something they did on the job as it relates to their core values?

When is the most recent time you gave them an opportunity to work on something that specifically related to their core values, and did you communicate that when discussing it with them?  How did it go?

Meaningful Work is the second strand of 3strands LEADERSHIP.

#2 Strategic Plan:  Yes, I am back at this again.  Does each person have an employee strategic plan - a job description on steroids - so they are focused on achieving meaningful work?

Did they help write it? Are they staying up with it - goal review weekly, expectations review as needed, but no later than quarterly, and career path review quarterly?

#3 Follow-up:  Are you consistently following-up with each employee?

Are they on track with their employee strategic plan? Have you followed-up and followed through, as Frank Ernesto of NDSE would say, on every commitment you have made to each employee?

When was the last time you confirmed you are meeting their expectations as a manager, as defined in their strategic plan?  And confirmed they are meeting yours...

#4 Retention Interviews:  Have you done an informal retention interview with each employee during the last six months?

This is an offsite coffee meeting or meal, or during a drive to a client or golf game.  It is NOT a list of questions to ask and check-off, but is is a crucial check-in to confirm they are fully engaged, their expectations are being met, and they feel part of the team.

Email me if you want my list of sample questions.

#5 Value Them:  How have you reinforced each employee is a valued member of your team?

Sincere Gratitude is the third strand of 3strands LEADERSHIP.  It is critical that you regularly, properly, personally, and sincerely appreciate your people.  Some of this is formal recognition, but much of it is how you follow up with people, encourage them SINCERELY, and compliment them indirectly in front of others.

#6 Incentive Pay:  Do your employees have opportunities to earn unlimited compensation based on their performance?

Every employee should have 25% or more of their compensation based on performance.  There should be no limits to their pay when they over-perform.

Years ago I was working with Microsoft Dynamics Presidents Club member companies.  One of them wanted to hire their first sales person.  We discussed compensation.  I suggested top performing sales people earn $100,000 or more.  He replied, "Oh no, we would never want a sales person to earn that much money.  We are thinking more like $60,000."

I do not think their company repeated as a Presidents Club member the following year...

In contrast, at the same time another Presidents Club member was paying a young sales rep in his twenties over $400,000 for blowing his quota out of the water.  Why not?  The commission plan still made certain the company made its profit.

Sales people examples of performance pay are easy, but everyone should be paid on performance and rewarded generously when times are good.

#7 Proud Parent:  Do you have a true story about each employee that boasts about how proud you are of them?

Why not? Let your people hear you speak highly about them and their accomplishments.  Do not repeat the same story over and over again, but give them confidence you are a "proud parent."

Think about how much you like it, even when it is embarrassing, when someone you love or admire speaks well of you. Do the same.

If you do these 7 things well as a manager, then you significantly increase your ability to retain top performing employees.

Don't wait.  Take Sanctuary time this weekend to answer these 7 questions and act upon your answers.  You will be glad you did.