New Study Shows Why Onboarding Is More Important Than Ever
Remember your most recent “first day” at work? Chances are, you do. It can be an emotionally charged time, full of uncertainty, excitement, and a lot of other mixed emotions.
This makes it a perfect opportunity for employers to create a lasting positive impression. The message to convey is “We’re so happy you’re here, and we can’t wait to see you succeed” not “Who are you, again?”
An employee onboarding program is an excellent way to achieve this. Employees who are onboarded in a structured way are 69 percent more likely to stay at a company at least three years, a recent Society for Human Resource Management (SHRM) study found. It also found that these employees reported higher job satisfaction, were more committed to the organization, experienced lower turnover, showed higher performance levels and lower stress levels, and (no surprise) were just overall more effective in their careers.
Dealerships struggle with retaining employees even more than other businesses do, with turnover still as high as 74% for all sales consultants in the first year, and much higher for women.
Combine that with the fact that a new Gallup study shows that 88 percent of employees believe that their organization mishandled their onboarding, and dealerships have an excellent opportunity to really wow their new employees. Interestingly, the study also showed that just over half of all employees are looking for another job.
Replacing a lost employee can be very pricey. Numbers vary, with percentages hovering around 25% of the employee’s salary. One Center for American Progress study citing 11 research papers published over a 15-year period found that the average cost of turning over a highly skilled job is 213% of one year’s compensation for that role!
The SHRM recommends remaining aware of and committed to the “Four C’s” – the building blocks – of onboarding:
is the lowest level and includes teaching employees basic legal and policy-related rules and regulations.
refers to ensuring that employees understand their new jobs and all related expectations.
is a broad category that includes providing employees with a sense of organizational norms – both formal and informal.
refers to the vital interpersonal relationships and information networks that new employees must establish.
Luckily, software is available today that can help your dealership succeed at onboarding across all of the C’s.
AutoAlert’s Pando communication and collaboration platform offers a human resources solution that assigns and keeps track of HR tasks. It also files and tracks all assets.
Videos can be created and shared through Pando, covering compliance topics such as rules and regulations, but also very importantly introducing new hires to company culture and immediately connecting them to it.
The tool also provides a great opportunity for clarification of the new employee’s role, as it makes communicating with her manager and other coworkers unobtrusive and quick.
Keep in mind training as another a key ingredient to happy employees throughout their lifetime with your dealership.
Get started today, and see where the new year takes you and your team!