Retention

January 31, 2017

Woman in focus standing in foreground with several others out of focus in background

When it comes to hiring, the stakes are high. A bad hire can cost your company more than $50,000, while the right hire can increase your company’s performance.

So is it better to hire externally or promote internally? Should managers devote more time to finding external candidates or invest in their teams so they can be promoted some time down the line?

The answer is: it depends. Here is an overview of the benefits of promoting internally and the benefits of hiring externally, as well as some particular circumstances that could make one or the other better for your company.

The benefits of promoting internally

The benefits of promoting internally read like a checklist designed to please managers. Lower costs? Check. Better performance? Check. Better morale? Check and check.

It’s true. Promoting internally has a lot going for it, including:

January 20, 2017

New employee shaking hands

Recruiting a new employee is a time consuming and important process. It’s also an expensive one. HR professionals estimate recruitment can rack up costs equalling between 15% to 30% of a position’s future salary. With the average hiring period lasting 10 to 12 weeks, and possible temporary staff having to be hired in the interim, recruitment is ideally something you only do once.

If you recruit the best candidate, they’re more likely to stay with your company longer, and that’s positive for your finances. A report from Oxford Economics found it costs more than $39,800 USD to replace a staff member once they’re hired.

The bottom line is this: make efforts to recruit for retention, otherwise your company risks hemorrhaging talent and capital.

What to Look for in an Employee Recruit

There are a number of ways to tell whether a candidate would be interested in staying with your company in the long run.

September 12, 2016
How To Maintain Employee Retention

HR manager onboarding a new employee

Onboarding is critical to employee retention. Why? Well, the sooner your new employee is comfortable in their role the sooner they’ll be able to contribute. BirdDogHR’s Michelle Stedman recently wrote an article about the importance of onboarding for Business Woman Media.

Personalization isn’t just a trend; we’re seeing the benefits everywhere from the classroom to online shopping and well beyond. Personalization adds value to the individual and fosters faster growth so, naturally, it benefits onboarding.

In her article, Why You Should Customize Onboarding Induction for Employees, Stedman discusses several different ways that you can increase the value of your onboarding process and retain your new talent.