WAR FOR TALENTS

Why do employees “sack” their employees and move on to a rival Organisation within the same sector of the economy? Why are some Organisations struggling at retaining their employees? Let us just not analyse why. Rather, let us remind ourselves of little things to be done in order to win the War for Talents. Remember, little hinges swing big doors.

Employee retention is a very important though often overlooked issue in many Organisations. A lot of times, it is until employee turnover becomes a burden on most Organisations that they begin to look into their Human Resource Management policies to find solutions. So they turn to Employee Retention Strategies.

The cost of employee turnover to an Organisation include both hidden and unhidden costs. The unhidden costs include replacement costs, that is the cost incurred to recruit and select a replacement for the vacant position, lost manhours, that is the hours of productive work that is lost while the position is vacant, and the loss of business clients especially in a service industry where a client might want to follow a particular employee who is leaving the Organisation.

Hidden costs of employee turnover include the cost of the knowledge that leaves with the departing employee, the damage to an organization’s reputation when customer service falters due to low staffing levels, the blow to employee morale and increased job stress when remaining employees are burdened with the distribution of the departed employee’s workload. The list goes on. It is a tough war!

To combat this problem, there are a few strategies that should be put in mind. These strategies must be incorporated into the Organisation`s Human Resource Policies.

First is that a proactive approach to employee retention must be developed before employee turnover becomes an issue. The best way to do this is to recruit and select the right mix of employees right from the start. The knowledge, skills and attitudes (KSA) of a prospective employee must be a perfect fit with the job role. This way, the Organisation will avoid looking for curative measures because turnover would have been greatly prevented. If people are not well suited for their job roles, it is just a matter of time before they move.

Second, Organisations must utilize HR practices that emphasize individual employee growth such as investing in the employee by providing opportunities for Training and Development. This will improve an employee`s morale and commitment to the Organisation. A lot of Organisations think continuous employee training is an unnecessary cost. Wiser Organisations know better.

Third is that the top Management must be made aware of the need for them to openly commit to employee retention. Employees will want to stay on if they hear and see their Management show appreciation for their continual stay with the Organisation.

Fourth is that frequent employees’ surveys must be done to identify specific retention-related issues that need to be addressed before they lead to reasons why employees will want to leave. Instruments that can be used carry out this research abound, if only we look in the right places to find these instruments.

Fifth is that Organisations must ensure that they offer a work/life balance programme that allows the employee balance their responsibilities at work, at home and every other facet of their lives so they can find a sense of enriched life. Why can’t Organisations provided creche services for nursing mothers in their Organisations? Have you asked why some big Corporations pay for their Staff to register at some Sports clubs? For business-enhancing social networking right? True, but there are also personal benefits that accrue to those who are part of such clubs. It helps them to keep fit physically, knowing that a sound mind in a sound body is a tremendous asset to the Organisation.

Sixth, Organisations must provide great opportunities for career advancements. Many people leave Organisations when they realise that they are stuck in the rungs with no upward movement in sight. Organisationa charts might need to be revisited and adjusted. It might not necessarily mean increasing the layers but positions on a level can be increased to allow for increased responsibilities.

Lastly, Organisations must have a reward system that is good enough to retain its talent. The goal is not necessarily to pay the industry highest but to find a good point where employees will feel that their labor is well rewarded. If the Organisation is careless, it will lose out in the War for Talents because people want to work for Organisations where they feel rewarded. It is a known fact that no employer actually pays the true worth or value of an employee, but please, employees do not want to feel ripped off.

Designing an Incentive Programme for your Employees.

Between employers and employees, monthly salary payment is a legal obligation. In Unionised environments, a default of two months in the payment of salaries can lead to Union agitations.

Incentives are not so. Incentives are not legal obligations from employers to employees. Incentives are additional rewards that employers give their employees to show some measure of appreciation for their excellent performance. It is also a source of motivation for employees who have gone the extra mile to contribute to the success of the Organisation.

As good as the idea of incentive program is, it is a very sensitive one. It must be carefully designed and implemented such that the result will not be negative. Some of the negative results that may arise from a not-well-designed and implemented incentive program are, first, employees might start looking for ways to cut corners to be able to receive incentives, for example, signing for extra hours which they did not work. Second, employees who do not qualify for the incentive package might resent those who get the incentive.

To design a very effective incentive program, several factors must be considered.

First is that the real motive for establishing the incentive program must be well laid out and it must be in line with the Organisation`s strategic objectives. This will ensure that the cost of the incentive program is covered and it is understood as money-well-spent.

Second is that the criteria for qualifying for the incentive must be well spelt out. A rule of thumb is that the Key Performance Indicators (KPI) are agreed upon between the Human Resource Management and the employees at the commencement of the program, or maybe at the beginning of the year. KPIs are certain parameters that are established as benchmarks against which the performance of an individual employee is measured. The KPIs must be simple to understand and straight forward to evaluate. The KPIs must be stated and documented such that both employee and employer can easily refer to it. KPIs must also be established for work teams. The point at which a performance is judged to be exceptional must be well known. For example, it could be an increase of 25% in sales or a 40% decrease in downtime in manufacturing. Any performance above these set limits will qualify for an incentive.

Third is that the incentive package must be value-adding to the recipient. For example, the Organisation can decide to sponsor an excellent salesman on a two weeks vacation or offer to give educational scholarships to children of high performers. This way, the Management is seen to be interested in the employees’ overall well-being. It also brings a “feel-good” factor into the incentive program and this is necessary for the emotions of the employees.

Fourth and lastly, the award of these incentives must be done openly. It should not be a secret affair. Seeing high-performing employees openly rewarded will serve as a motivation for other employees and make the recipients to see themselves as role-models, thereby, keeping up their motivation.

As business owners and managers, we can invest in employee incentive programmes and get multiple returns in increased productivity. This sure translates into a more impressive bottomline for the Organisation. Remember, one of the primary reasons for being in business is to make profit. Treat your staff well and watch your business perform better than before.

WHAT`S IN A NAME???

In someone`s life, one of the most frequent questions he is asked is “what is your name?” In the same vein, the most important introduction you have to do is to tell your name. What makes a name so important? Why do families, especially in Africa and similar cultures of the world attach so much importance to a name? Child-naming usually comes with a lot of celebrations and merry-making. Why, in the last few months, have some people named their children “Goodluck”? lol. Some names have assumed a larger-than-life dimension such that they have become Legends and Institutions.

In this brief discourse, let us examine what really is in a name. We shall do this on three levels. Please come with me on this adventure.

1. AN IDENTITY TO A PERSON: a name is basically to give an identity to a person. There `s a saying in my place that “a child is given a name so that he can be identified the day he causes trouble”. As sarcastic as it may sound, it aptly describes the basic functionally of a name. Brand specialists know the importance of a name.

Taking it a little further, a name gives more than an identity to a person. It allows other people to tag your character. Just as you tag pictures on Facebook and when you place the cursor on the person in the picture, the name appears, so it is in people`s mind when a particular Character is mentioned a name pops up. For example, if you grew up in Nigeria in the ‘80s, like me, when someone mentions “Armed Robber” around you, some names are likely to pop up in your mind e.g Lawrence Anini or Shina Rambo.

If I may ask, what kind of characters elicit your name in people`s minds? A lot of people resent IBB today because of his past deeds. A lot of people still idolise Gani Fawehinmi today, because of what he lived and died for.

The Good book says “a good name is better than silver”. Do you have a good name? What do people say about you in your absence? That is why it is dangerous to surround yourself with sycophants because they will never tell you the truth about yourself. People perceive what you project. If you project a good image, people will perceive you as a good person, and vice-versa.

2. A LEGACY FOR YOUR DESCENDANTS: the primary people who inherit your name are your descendants. Do you care so much about the name they inherit from you? If the fathers eat sour grapes, the teeth of the children will be set on the edge. Years ago, a friend of mine got a huge favor when he was seeking admission into the University from a stranger in the Admissions Office who heard his name. The stranger took him up and inquired about his family, only to find out that he was the son of the man who helped him (the stranger) to get Admission into the University, maybe some 20 years before then. Now the roles are reversed, my friend`s Dad is retired, having worked in another University, the person he helped to get admission now is helping his son to get admission. What kind of reception would your children get when you are far away? I met a man who is the grandson of a well-known occultic man. His grandfather was a national figure in an Occult group in Nigeria such that it was the National leadership of the occult that buried him when he died. For a long time, I could not stop thinking of this man without remembering the kind of person his grandfather was. Your actions today go a long way in determing the Legacy you bequeath your descendants.

3. A MONUMENT FOR YOUR COMMUNITY: there is a Cenotaph in the town-centre where I grew up (Ilesa, Nigeria). It is in memory of a man who died 100 years ago. Ogedengbe Agb’ogungb’oro was the warrior who defended my tribe during the days of inter-tribal war in the 19th century. For his bravery, he is still remembered. Obafemi Awolowo will be remembered forever because he brought free western education to Western Nigeria several decades ago. It is of no use if you live in a mansion and people in the next compound to you live in abject poverty. Some people adopt the Ostrich mentality and they go to live in beautiful estates where they are oblivious to the poverty in the environment. How much does it cost to make a bore-hole to give a community safe drinking water? Someone I know celebrated his 30th birthday some years ago by donating four bore-holes to different communities. He spent just a million naira to do that. You may not have a million naira but you definitely have something. Another person took the bills of giving series of career guidance clinics to several secondary schools in a community. What do you intend to be remembered for in your community? Do not be a serpent that passes on a rock and leaves no marks. Youth Corpers have built hospitals and roads for local communities in some interior parts of Nigeria. What can you do? Do something positive to make your name outlive you. Let your name be a monument for your Community. The least form of influence is only to benefit yourself and your family. Let people who are not related to you rise up and bless your name for making an impact on their lives. Build a monument in the hearts of men by your impact. Let your name be a monument.