Think back to all of the different managers you’ve had in your professional life. There’s a good chance you've had some of the good managers, and some of the bad managers. There's also a good chance you've had one of the few great managers you'll never forget. These types of managers helped you become the professional that you are today. Exceptional managers aren’t just nice to have around, they are the difference between a successful company and one that performs poorly.
As such, it’s no surprise that as much as 80% of employee turnover is due to poor management. Employees tend to leave managers, not the company. Knowing this, here’s a simple employee retention idea -- invest in your managers.
Note: For more employee retention strategies, download our new eBook “10 Strategies for Building an Outstanding Employee Retention Program on a Small Business Budget." (Click here to download.)
Why Your Managers Hold the Key
Your managers should be one of your biggest time investments. They are an integral part of your company and are key in reducing employee turnover. Not only do they have the responsibility of managing various teams, but they are tasked with conveying the company’s mission, vision, direction, and brand.
Setting Up Managers for Success
Capture the Vision: If you can get your managers to feel as passionate about your company as you are, you’re set. The question is, how can you do this? Something you must first ask yourself is, “do I clearly understand what the vision of my company is?” If not, figure it out - write it down. Once you know your vision inside and out, share it with your managers. Help them see your big picture - the future and what you want your company to become. Ask your managers for feedback and ideas as well to help them hop on board.
Communicate: If there is one thing that will severely damage a company’s ability to be successful, it is the lack of communication. You will have to make it a priority to communicate with managers, and your managers will need to do the same for their departments. Encourage your managers to have open communication with those they manage. No one likes to feel they cannot talk about a potential problem, or submit a great idea they have. Make it a priority for managers to provide an environment conducive to communication and inspiration.
Increase Productivity, Reduce Turnover
Once your managers have started to capture the vision of the company and they are conveying it to their departments, you’ll begin to notice a change. Employees will start to stick around and turnover will be much lower. Furthermore, productivity will increase as well. That’s because a happy employee is a productive one. Investing in your managers will result in a successful company that is ready to work and thrive.
In fact, 29% of employees waste one to two hours a day and 21% waste two to five hours in a day - many of these employees that are wasting time are in direct result of their management. When managers successfully incorporate the vision and passion of the company with their everyday activities, employees will be less likely to waste time because they too understand the vision and feel they are a part of it.
Investing in your managers is a simple and cost-effective employee retention idea. Training, developing, and instilling your small business’ vision into your managers will empower them to have positive impacts on each employee - they’ll become the managers that your employees remember the rest of their lives.
What are your employee retention ideas? Leave a comment below.