At MNC, people are the ultimate differentiator. Employees drive great results by successfully developing the technologies and solutions that help solve the world’s toughest challenges in energy efficiency, energy generation, safety and security, and globalization. Retaining our top performers is key to our success.
Talent retention is a differentiator in outperforming our peers and good retention practices lower company expenses. The cost to replace an employee is approximately 1.5 times their annual salary when recruitment, training, lost productivity, and lost sales costs are included.
Beyond the financial impact, losing talented employees has additional implications. While there is a substantial cost for recruiting and staffing, there is also an additional cost in losing the institutional knowledge and the people “glue” that drives company culture. It is harder to measure that cost, but it is just as important.
Effective talent management strategies, with a focus on retention, ensure maximum return on the company’s investment in people. Annual goal setting aligned with business priorities and quality performance and development discussions provide managers an opportunity to ensure company has the right people, organized in the right way and motivated to do the best job for customers and the company every day.
Managers are in an important position to drive employee retention – this is a key part of their role every day. Spending time with their team, getting to know each direct report and his or her career aspirations, and looking for development opportunities are just a few ways managers can motivate and retain their talent.
