Employee retention tip of the month: tap internal talent when hiring.
January is the best time to hire, as we wrote in last week’s post. That’s a tried-and-true adage in the business world. Which explains why so many companies kick their talent search into high gear in the first few weeks of the year. Before firing up your Monster and Simply Hired accounts or messaging that headhunter however, we’d like to ask you a question: Is the help you need possibly hiding right under your nose? Or, in this case, maybe sitting in the cubical down the hall?
We read with great interest a recent Workforce article that discussed the 2016 talent forecast. In it, internal mobility was highlighted.
From the article:
Instead of focusing outside of their organizations for talent, many companies are integrating formal internal mobility programs with dedicated portals for employees to learn about opportunities and share their interests and abilities. Sourcing internally has its benefits, from a shorter time to productivity — existing employees already have an understanding of the business — to lower staffing costs, which as a result means better financial performance.
Managing Editor Rick Bell cautions that, to have a successful internal hiring, you have to make it a legitimately good move for your employee. If the new job makes the person miserable or resentful, it can have negative effects on many fronts, including productivity and your company brand.
What your existing talent brings:
- Reduced flight. If you only look outside of your organizations for talent, you aren’t helping retention. When organizations have some kind of internal mobility program, employees have opportunities to share their interests and abilities, and they can feel like they have been heard. Even if you don’t hire them for the position, you can learn about new strengths and motivators that can improve their experience and make them feel valued.
- Money savings. Filling positions internally has cost benefits, too. People who don’t need a complete onboarding or company training can get started in their roles faster, so there’s less loss of productivity. Less formal hiring processes cut traditional hiring costs, too—which have been estimated to be $25,000 – $50,000.
- Loyalty building. A promotion or desirable lateral move makes employees happy, of course. And happy employees are more likely to be loyal ones. Plus, internal mobility (provided it is seen as fair) can offer other employees incentives to keep working hard so that they can advance too.
- Field recon. If birds of a feather flock together, then maybe your previous great hire is flocking with your next great one. Your workforce can tip you off to great potential external candidates that they know professionally or personally outside of the office, people who may not even be looking for a job at the moment. By creating incentives for employees who recommend external candidates, you can make employees feel like they have a stake in who gets hired to improve the company.
Whether you need help with the hiring process or talent development, we’ve got you covered.
Today’s employers have to be proactive to avoid expensive bad hires, high turnover rates or damage to their company brand. It takes a strategic, broad approach to maintain a positive, productive and profitable workforce. Our team of HR experts is here to help you achieve your workforce goals. Email us, or call us at 610-443-0119 to discuss how myHR Partner training and myHR DirectLink Services can help your business.