The Importance of Employee Retention
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- Posted by AxioMobile
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By Sam Flores
The auto industry has typically been known for its high turnover, and not just in sales and F&I; other departments face this issue as well. It is a constant struggle to hire, train, and then retain employees. Management focus on employee retention is a key to eliminating the constant recruitment cycle.
How do you “keep” employees? Employees value being valued. But how do you measure “value”? A workforce is diverse, and not all needs, or motivations will apply to all employees. The goal is to build high morale by understanding the diversity in your workforce and meeting their specific needs. Some important elements to building high employee morale include: establishing training programs for continuous improvement, conducting periodic reviews, and creating a strong succession plans to promote from within.
As the economy gets stronger, it becomes more competitive for hiring companies to recruit from the same talent pool. More importantly, you run the risk of losing your existing staff. Retention is not always about better pay. Employees may want more flexibility in their work schedule, or better benefits, company perks, etc…
Do not get caught in that cycle of constant recruitment. Focus on initiatives that foster employee retention and this will likely lead lower turnover resulting in a stronger, stable, more experienced workforce that requires less training. There is also a greater ease of transferring institutional knowledge; the type of insider training that can take years to replace as key employees leave a company.