Just as the best defense can be a good offense, the best way to reduce employee churn isn’t necessarily to guard against it, but to actively improve retention efforts starting with the hiring process on.
While there may not be one secret, fool-proof method of retaining employees, there are a few things that make a big difference, Fred Wilson writes. In a post for his AVC blog, Wilson lays out six factors that, together, are the key to employee retention. At the top of the list is communication. “Employees need to know where the company is headed, what they can do to help get there, and why,” Wilson writes. “You cannot overcommunicate with your team. Best practices include frequent one on ones between the managers and their team members.”
In addition, Wilson underscores the importance of setting yourself and your employees up for success by getting the hiring process right, paying special attention to culture and fit, and creating a clear career path for your most talented people. “A healthy company doesn’t churn more than five or ten percent of their employees every year,” Wilson argues. “And you need to be healthy to succeed over the long run.” Read his full post for more on how to improve your employee retention and make sure your company is staffed for success.