Company Culture

A man and woman and text reading "The Importance of Person-Environment Fit When Hiring"

The Importance of Person-Environment Fit When Hiring

The Importance of Person-Environment Fit When Hiring 1016 528 Sprockets

Hiring managers sometimes focus too much on the qualifications and experience of applicants that they ignore something that can be even more important: whether or not the applicant is a good fit for their organization. So, how do you evaluate this in applicants? We’ll explore several types of person-environment (PE) fits that matter when scoping out new talent for your organization. We’ll also consider some person-environment fit examples and suggest tools that will help you identify the perfect-fit candidates.

What Does Person-Environment Fit Mean?

Person-Environment fit theory is based on the assumption that people perform at their best when they are in an environment that closely matches their needs, skills, and personalities. Typically, within organizations, you can identify which employees are great fits for their position and the company culture.

Hiring managers can rely on intuition, to an extent, to predict who is likely to fit in well. However, gut instinct may not always be the most reliable resource, especially in larger organizations that hire many people in different departments. One way to get over this hurdle is to establish a framework with reliable criteria to predict whether someone is a good fit before you hire them. An excellent place to start is understanding the various types of person-environment fits.

The Different Person-Environment Fits

Person-Vocation Fit

Person-vocation fit is something that goes beyond your organization and focuses on the individual. It’s based on the notion that employees may not always be in the profession that best suits them. For example, if Sam is a computer programmer and spends his time daydreaming about making independent films, he likely will not be an ideal employee for your company. This exceeds any personality clashes someone may have with Sam and speaks to his suitability for a specific profession. Therefore, when vetting out if someone is a vocation fit, understand how the individual’s aspiration fits within the job. Understanding how they foresee themselves growing in the position is an excellent indicator for if they’re in the right career or not.

Person-Job Fit

Some applicants may have a strong interest and aptitude for a career, yet they still need to find the right job. When seeking the ideal candidate, try to scope out if the daily activities of the job match with the person’s background, interests, skills, and goals. If not, it’s likely that either the employee or the organization will be dissatisfied with the arrangement.

Person-Organization Fit

To address this one, you need to be clear about your own company culture and the type of applicants that would make the ideal fit. For example, you may have hired Susan for a job that she’s perfectly qualified for, and she might have appeared to be the ideal applicant on paper. However, her personality may not blend well with your organization. If your company encourages independent thinking while Susan is accustomed to a more structured environment, the person-organization fit will not be an ideal match.

Person-Group Fit

One of the main aspects of most jobs is working in a team. An individual may click well with the company as a whole but may not fit within a specific group or department. When considering a candidate, you need to predict if they’ll be a helpful addition to the team. Questions such as, “Can you tell me about a time you worked well with a team?” are good options for determining whether an individual is a good person-group fit for your company. 

How Can Recruiters Find the Ideal PE Fit?

Now that you’re familiar with the different person-environment fits, you want to find applicants who are an overall good match. This means finding applicants that are the right fit for their vocation, job, group, and company. In other words, you want to look at the person-environment fit that includes all of the factors listed above. So, how can you identify such specific candidates?

Pay Equal Attention to Hard and Soft Skills

You want candidates who have the skills and experience necessary for the position. However, don’t overlook soft skills, such as communication, teamwork, and flexibility. It’s often a person’s soft skills that determine whether they’re a good fit or not.

Create a More Productive Workplace

It is challenging to determine if someone is a good fit for their organization. But with the knowledge of PE fit, you can better identify a candidate’s needs, skills, and personality, making the hiring process easier. By using the principles of person-environment fit, you can establish: 

  • A more efficient hiring process
  • A more harmonious workplace
  • Less employee turnover
  • Higher productivity

Use Personality Assessments

A personality assessment is one of the most reliable ways to find out what makes someone tick. Answers to common interview questions, while helpful, aren’t always truthful. A personality assessment, on the other hand, goes quite a bit deeper than simple questions. There are special programs to help you accomplish this. Sprockets’ personality assessment software matches applicants based on the top-performing talent at your company. 

It does this by using a Mental Makeup Analysis (MMA) report that analyzes over 50 characteristics to deliver a comprehensive report. Then, applicants are scored on a scale from 0 to 10, providing a precise prediction on how good a fit they are likely to be.

Establish a More Effective Hiring Process

A woman on a laptop hiring applicantsBy screening applicants with assessments before interviews, you can cut down on the number of interviews and only talk to the most promising applicants. This will result in more insightful and productive interviews. You can also use Sprockets’ applicant matching software that creates a unique profile based on the top-performing talent at your company. This profile is used to screen candidates and make a data-driven decision on whether or not they’re the right fit before you interview them, saving you time and money. 

Find out more about how Sprockets can help you find candidates who are the right fit. We offer personality assessments and other innovative tools that will help you find the ideal candidates for your organization.

A fast food service worker and text reading "How to Retain Employees: Lessons From Top Franchises"

How to Retain Employees: Lessons From Top Franchises

How to Retain Employees: Lessons From Top Franchises 1016 528 Sprockets

It can cost $5,864 every time an employee leaves your company, according to a study by The Center for Hospitality Research at Cornell University. Plus, you must consider the “hidden” costs of turnover, like lost productivity, reduced team morale, and worse customer service. It’s time to turn the tides on turnover and learn how to retain employees. And, there’s no better way to discover employee retention strategies than by looking at some of the top franchises.

Explore a few options below or simply do what many successful franchise owners and operators have done to improve employee retention: Use Sprockets. Our AI-powered platform is proven to reduce costly turnover by revealing which applicants are the most likely to succeed and stay long-term.

Learn How to Retain Employees

McDonald’s

This fast-food giant has the solution to your hunger, and they believe they’ve found an answer for improving employee retention as well. In recent years, McDonald’s has increased wages and offered more enticing employee benefits. Crew members can enjoy hourly pay that’s slightly above minimum wage as well as paid vacation and a tuition assistance program. The franchise plans to raise overall wages to an average of $15 per hour by 2024. What makes these incentives particularly compelling is that they are offered to all workers — both part-time and full-time employees.

Chick-fil-A

If we look at Chick-fil-A’s business model, you’ll find a 60-year-old initiative to retain high-quality employees by creating and maintaining positive workplace cultures. It all starts with a focus on recruiting applicants who are the right fit for Chick-fil-A’s culture. Hiring managers look for matching traits in the three C’s: character, competency, and chemistry. Participation in Chick-fil-A’s company culture also goes beyond the front-line workers. Leaders must value open communication with all team members, and every guest should feel as if they are part of the positive environment at each location.

ComForCare

High employee turnover is not only a concern for QSR franchises. The problem extends to the home health care field as well. In fact, Home Care Pulse reported that caregiver turnover hit an all-time high of 82% in 2018. Luckily, some top franchises and business owners have implemented strategies to tackle their turnover rates. One example includes Mark Turnbull of ComForCare, who has increased training opportunities, consistently monitors retention rates, conducts exit interviews, and tries to match caregivers with patients to create the best possible relationships and work environments.

Top Franchise Brands Trust Sprockets to Improve Retention

Cellphones with fit scores to help with recruiting employeesAll of these three franchise brands (and many more) trust Sprockets’ AI-powered platform to improve employee retention by an average of 43%. Our sophisticated solution augments sourcing efforts and reveals which applicants are the ideal fit for your business — before you even interview them. It finds the common thread between your top performers and potential hires, enabling you to make better hiring decisions and reduce costly turnover.

Schedule a free demo today to improve employee retention like these franchise brands have done!

A man and woman in an office and text reading "How to Use HR Tech to Elevate Your Company Culture"

How to Use HR Tech to Elevate Your Company Culture

How to Use HR Tech to Elevate Your Company Culture 1016 528 Sprockets

Focusing on company culture is more important than ever as work attitudes change. Having a strong culture enables businesses to hire better-fitting employees in terms of skills and personality. Moreover, well-defined values make it easier for everyone to stick to a mission. 

Conversely, a non-existent or poorly defined company culture will result in disengaged employees, and products and services can suffer—resulting in lost customers and revenue. 

For many HR teams, creating a strong company culture is difficult. HR tech can help by freeing up time and making your processes more efficient. This technology also has many other benefits when elevating company culture.

What Is meant by HR tech?

The term “HR tech” is used to define all software that eases the administrative burden of HR teams. It can be used to screen applicants, analyze employee performance, and save time.

Examples of HR tech include employee analytics software, payroll automation systems, and application tracking systems.

The Biggest Challenges When Creating a Company Culture

Finding People With the Right Skills and Personalities

Recruiting employees with the skills businesses need is difficult enough, and the complexity mounts when HR teams also need to consider personalities. If team members don’t share values or buy into a company mission, nurturing a culture that inspires growth and innovation is problematic. 

When seeking to hire people that are a good match, teams must be crystal clear about what they’re looking for. Fine-tuning job descriptions and filtering searches will help. 

Mergers and Acquisitions

Though the average value of merger and acquisition (M&A) transactions declined in 2020 compared to 2019, M&As were still an essential part of growing many businesses.

A graph titled "Number & Value of M&A Worldwide"

Source: IMAA analysis; imaa-institute.org

Such practices can help companies increase their market share, consolidate assets, and more. However, if companies are not careful, M&As can also pose a threat to their company culture. If the two businesses and their employees aren’t on the same page, internal clashes can happen. 

If a business is looking to complete an M&A, it must look beyond the financial aspects alone and consider how to mitigate potential risks to its culture. 

Scaling Without Losing Identity

When scaling a business across numerous locations, or from startup to corporate, neglecting culture is a serious risk. This is particularly true when scaling across diverse regions. 

Becoming a global brand without sacrificing company culture is possible. Apple and Spotify are two examples of businesses that stuck to their original mission, despite serving hundreds of millions of people. Both have scaled without losing their corporate identity through good planning and strategizing. 

As the company expands, HR professionals should ensure every new hire can contribute to their existing culture and reinforce the company’s core values. 

How to Use HR Tech to Elevate Your Company Culture

Use Screening Software to Find the Right Fit

Remote and hybrid work mean that HR teams can expand their recruitment internationally. However, being unable to meet in person can make identifying and selecting the best-fitting applicants more challenging. 

More companies are turning to technology to help. In July 2020, research published by McKinsey & Co. revealed that 85% of surveyed executives have sped up their companies’ digitization process.

Graphs representing companies using HR tech

Source: McKinsey Global Business Executives Survey, July 2020

If teams are not already using the technology, screening software can help to find the right employees quickly. Instead of manually sifting through resumes and cover letters, HR teams can focus on other important tasks.

Use Messaging Solutions to Improve Communication

In Glassdoor’s Workplace Trends 2021 report, the company pointed out that 70% of its employees want a hybrid working agreement in the future. With team members spread across different locations and working at different times, however, communication becomes more important than ever.

Slack conducted a remote working survey in 2020 that highlighted the challenges of communicating using such models. They showed that 14% of the platform’s users still found that inefficient or slow communications and processes impacted them. For participants not using Slack, that figure rose to 21%.

A graph on workplace challenges

Source: Report: Remote work in the age of Covid-19, Slack, April 2020

Though messaging solutions won’t solve all of HR teams’ problems, having the tools in place will allow colleagues to set expectations and boundaries. With effective communication, employees will feel engaged and supported while upholding the company’s culture and vision. 

Use Onboarding and Offboarding Software

To emphasize and improve company culture, businesses should pay equal attention to their onboarding and offboarding processes. 

When integrating new hires within a company, giving them a run-through of the mission statement and values—and how they fit into the big picture—is essential. 

When their time with the company is coming to a close, outgoing employees are a great source of feedback. HR teams can use this information to tweak their current practices accordingly. 

HR tech is a capable tool to help welcome and say goodbye to employees in a way that elevates company culture. Teams can use survey software to gather feedback when offboarding and engagement technology to support their onboarding program. 

Invest in Analytics Software

Measuring employee performance is about more than how much money a person brings into a company. HR professionals also need to monitor employee engagement and offer growth opportunities. 

To reinforce company culture, businesses need employees who are willing to improve and innovate for their benefit, and the benefit of the company. 

An effective way to measure how employees are doing is by investing in HR analytics software. These platforms enable the department to benchmark data, analyze why employees are leaving, and more. 

Invest in Technology to Invest in Your Culture

Elevating company culture is a team effort, and the tools they use can make all the difference. Investing in HR tech is a great way to improve company culture by saving time and energy on manual work. HR teams will also find that they can gather information faster, engage employees better, and spread their message more effectively.

HR tech also allows hiring managers to screen potential employees, helping your company to achieve a balance between skills and personality. 

Author Bio

Dean from OnTheClockDean Mathews is the founder and CEO of OnTheClock, an employee time tracking app that helps over 10,000 companies all around the world track time. 

Dean has over 20 years of experience designing and developing business apps. He views software development as a form of art. If the artist creates a masterpiece, many people’s lives are touched and changed for the better. 

When he is not perfecting time tracking, Dean enjoys expanding his faith, spending time with family and friends, and finding ways to make the world just a little better.

Restaurant workers and text reading "How to Create an Effective Employee Engagement Plan"

Here’s How to Create an Effective Employee Engagement Plan

Here’s How to Create an Effective Employee Engagement Plan 1016 528 Sprockets

It might seem daunting to develop a new employee engagement plan from scratch, but it’s a crucial step to achieving success with any business. The benefits, alone, should motivate you to get together with your leadership team and brainstorm some ideas. Employees who feel more connected with their team members and the workplace can be healthier, happier, and more productive!

While it’s challenging to develop a custom employee engagement plan for your business, it makes a huge difference when you start with the right workers. Sprockets helps you build teams that mesh and work well together by revealing the common thread between top employees and incoming applicants. Schedule a demo today!

What Is Employee Engagement?

Simply put, employee engagement refers to the level of dedication and commitment that someone feels in relation to their workplace. There are various strategies to increase employee engagement among team members, all of which you should consider when creating your plan. After all, every business owner wants workers who sincerely care about their work and contribute their fair share of effort toward achieving company goals.

A Guide to Developing an Employee Engagement Plan

Recruitment

First of all, ensure that you highlight the company’s mission and core values in job postings that follow best practices for recruitment. By clearly outlining the type of environment a future employee would experience, you will attract more like-minded people to apply. Plus, it weeds out those who will not be a good fit – before it’s too late.

Example: Sprockets is a software-as-a-service (SaaS) company that values innovation, sustainability, and individual growth. Our employees are driven by new ideas, are compassionate, and challenge traditional values to bring about positive change.

Onboarding

Outlining the onboarding process, beyond filling out paperwork and going over where to find the fire exits, is crucial to adding a new employee to an established team.

Example: New marketing employees have weekly meetings with their manager to discuss personal development opportunities and any questions, comments, or concerns with workload or environment. During the first week of employment, the marketing team will go out to lunch with the new employee. The marketing team will have quarterly outings to encourage camaraderie and transparency between departments.

Goal Setting

Outlining goals for a position gives an employee a sense of purpose. Tying their goals directly to the company’s goals and values is a way to effectively display the impact of their work and why they are essential to the company.

Example: The marketing coordinator is responsible for creating content and emails to fuel the sales team with leads. With a company goal of 100 new customers in Q2, the marketing team will need to generate 1,000 leads.

Communication From Leadership

Planning quarterly staff meetings with employees from every department and level is an excellent way to show transparency and build engagement. When employees see the bigger picture outside of their daily tasks, it gives them a greater sense of purpose.

Example: You’re invited to our quarterly meeting! We will share an overview of our company goals and accomplishments for the past quarter as well as introduce plans for the upcoming quarter.

Recognition Programs

Employee recognition can significantly increase employee engagement. From giving someone a shout-out to submitting a nomination for a company-wide meeting, it always helps to recognize hard work. Employees will return the favor with even more great work and motivation.

Example: We will recognize one or more hard-working employees at each weekly meeting for their contribution. In the monthly newsletter, directors from each department will submit the name of an employee who has gone above and beyond in order to reach goals. Employees also get the opportunity to nominate their coworkers for recognition in one of three categories: innovation, team building, or going above and beyond. Winners will receive $50 gift cards.

Career Growth and Development

Whether someone has been with the company for 15 years or recently joined right out of college, all employees can benefit from personal development in the workplace. While not everyone will want to partake, those who do will appreciate it and likely become more engaged. Consider these strategies to improve employee engagement and reduce employee turnover:

  • Lunch-and-learns with a relevant speaker for specific departments
  • One-on-one coaching for new tools and technology
  • Matching new workers with an established employee as a go-to mentor
  • Setting aside time to discuss specific skills they’d like to learn

Performance Reviews

Did you know that 43% of highly engaged employees get feedback on their work once or more per week? Receiving feedback on work instills a sense of trust in employees. It shows that their work is being reviewed and appreciated. The other significant factor here is that engagement drops after an employee’s first year at an organization. By having set performance reviews, employees realize that leaders are still paying attention to their work.

Example: Schedule weekly check-ins and annual performance reviews. (An annual review should not be the first time that an employee hears a piece of feedback.)

Build the Best Team From the Start

Cellphones with fit scores to help with recruiting employeesIt’s crucial to hire applicants who will mesh well, succeed, and stay long-term, ultimately making it much easier to maintain high employee engagement. It makes an immense difference in workplace culture, too.

That’s where Sprockets comes into play. Our AI-powered solution creates a unique success profile for your business based on the mental makeup of your best employees. Then, incoming applicants are matched against this benchmark to ensure you hire the best candidates every time with pinpoint precision. (The average Sprockets user reduces costly annual employee turnover by 22%!)

Schedule a brief demo today to improve employee retention and engagement.

Two happy men with text reading "3 Signs That Applicants Are the Right Fit for Your Team"

How Do I Know If an Applicant Is the Right Fit for My Team?

How Do I Know If an Applicant Is the Right Fit for My Team? 1016 528 Sprockets

It may seem impossible to identify the ideal applicants, especially when you can’t dedicate much time to the hiring process, but it becomes easier when you know what signs to look for. Don’t rely solely on resumes and cover letters. You might waste time on poor interviews and increase costly employee turnover due to bad hires.

Instead, pay close attention to indicators that suggest who will be the right fit for your team. You can also use the AI-powered solution that’s trusted by numerous business owners and managers: Sprockets. It reveals which applicants share personality traits with your current top performers, empowering you to make better hiring decisions and improve employee retention.

3 Signs That Applicants Are the Right Fit for Your Team

1. Genuine Enthusiasm

When it comes to determining job fit, excitement and enthusiasm are crucial. However, this can be challenging to identify at first because most applicants will come to you in an enthusiastic manner. You may attribute this to putting on a fake persona to land the job, while other times, it’s genuine.

So, how can you tell who is really enthusiastic about becoming a member of your team? The first thing to look for is how they approach the initial interview. Is the conversation one-sided, where you do all the talking, or are they truly engaged and show interest? You can also listen closely to how they speak about previous positions and workplaces. These can be major indications of how their behavior will be if they end up working for you.

2. Company Culture Fit

If you’re hiring for fit, then you absolutely need to take your company culture into consideration. Just make sure you meet with your leadership team beforehand to clearly define your ideal workplace culture. This makes it easier to create a list of personality traits to look for in candidates.

Let’s take collaboration as an example. If you value open communication and teamwork, then hiring someone who mentions that they prefer working alone may not be the best move. It would be a lose-lose situation for them and your entire team.

3. Enjoyable Interview

It can feel repetitive and tedious to conduct several interviews for an open position. So, it’s always a pleasure to meet an applicant that makes the interview an enjoyable experience. It’s a positive sign when the conversation is constructive, productive, and flows naturally. That’s typically someone you want to bring onto your team, especially if the role involves customer service. This is incredibly important because there are many candidates who check all the initial boxes but are not personable.

Note that this does not mean you should hire purely based on this aspect of the interview only since nerves often play a part in an applicant’s first impression. It should just be taken into consideration if you are ever conflicted between choosing one candidate or another.

Let Sprockets Find the Right Fit for You

Someone on a laptop hiring hourly employees with SprocketsIt’s challenging to find the best applicant, even if you look for the right signs throughout the hiring process. Luckily, Sprockets can do the heavy lifting for you with the power of artificial intelligence and natural language processing.

Sprockets reveals what makes your top-performing employees tick and evaluates incoming applicants based on that benchmark. You’ll be able to see who has the highest likelihood to succeed and stay long-term with the click of a button, ultimately reducing costly turnover and enabling managers to focus on daily operations. It’s trusted by numerous happy customers and proven to increase employee retention by 43%!

A line of people with resumes and text reading "The Importance of Industry Experience vs. Mental Makeup"

Industry Experience vs. Mental Makeup: Which Is More Important?

Industry Experience vs. Mental Makeup: Which Is More Important? 1016 528 Sprockets

Have you ever wondered what the best employees have in common? Do they possess specific industry experience, or do they share a particular mental makeup? Why do they stand out among their colleagues? And, is it possible to predict which applicants will be top performers before you hire them? Get the answers to all of these questions, and find out how to identify the ideal candidates!

Industry Experience vs. Mental Makeup

Industry Experience

It’s difficult to dispute that industry experience can be a critical factor in determining an employee’s success. That’s why many hiring managers and recruiters seek applicants who have a certain level of education and level of proficiency in “hard skills” or technical knowledge, depending on the role. 

These workplace skills are significant when hiring workers for your company since you want to hire workers who are well-equipped to handle the job at hand. (However, applicants with no experience can actually be better hires!)

Mental Makeup

On the other hand, mental makeup refers to the mindset or attitude of a person in regard to various circumstances. This is often understood as a set of “soft skills” that an employee possesses in the business world. Some of the most common and sought-after soft skills include communication, critical thinking, leadership, positive attitude, teamwork, and work ethic.

While industry experience can be critical, a preferable mental makeup potentially leads workers to a higher level of success in any role, making it essential to consider when hiring applicants. Consider asking specific questions that evaluate soft skills during interviews.

So, Which Is More Important?

The short answer is that both industry experience and mental makeup are crucial, especially when deciding which applicants to hire. You want to ensure your crew members are capable of completing tasks efficiently, but you shouldn’t gloss over the importance of soft skills. Identifying key characteristics and personality traits, especially ones that foster team harmony, is critical to achieving success and improving employee retention. You need to know when to prioritize soft skills over hard skills.

Sprockets Helps You Find the Balance

A woman on a laptop hiring applicantsAttempting to analyze both industry experience and mental makeup by yourself can be complex, expensive, and time-consuming. Moreover, wrong decisions can lead to bad hires, causing you to go back to the drawing board and spend even more time and money on the hiring process.

Luckily, Sprockets makes it simple. Our AI-powered hiring solution identifies your current top performers’ characteristics, creating a benchmark, and then evaluates incoming candidates to predict their success before they are hired. The platform even augments sourcing with free job postings and virtual recruiters that enable managers to focus on daily operations.

The average Sprockets users see a 43% improvement in 90-day retention, 37% less time spent on the hiring process, and a 22% reduction in annual turnover. Join the list of happy customers today!

A man and woman in an interview and text reading "Recruiting Employees vs. Finding the Right Fit"

The Difference Between Recruiting Employees and Finding the Right Fit

The Difference Between Recruiting Employees and Finding the Right Fit 1016 528 Sprockets

It’s time to evolve the way that everyone thinks about the hiring process. So, let’s start at the beginning: recruiting employees. One of the best ways to improve the recruiting process is to simply stop “recruiting.” 

That might sound counterintuitive, but you just need to look at it from a different perspective. While recruiting implies the generic practice of sourcing applicants for a job, “finding the right fit” is what we should really be doing. This takes recruiting a step further to source and screen applicants who are most likely to succeed and stay long-term.

Recruiting Employees vs. Finding the Right Fit

Whether you’re a hiring manager or a business owner, it’s important to stay up-to-date on the best hiring practices. Here’s a breakdown of how and why you should do it:

The Recruiting Process Is Outdated

Just because a certain way of doing something “works” doesn’t mean we should continue it. In fact, it’s essential to keep evolving, pursue better alternatives, and consider the paths less traveled. In this case, you should go beyond paying to post jobs on the same job boards, waiting for applications, and weeding through the endless list of resumes.

“Fit” Empowers Every Member of Your Team

When you focus more on finding the right fit and identifying the ideal soft skills, like communication and collaboration, you empower your entire team to succeed. These soft skills can often be more important than workplace skills or industry experience. A team member with several years of experience could be detrimental to the business by lacking the ideal personality traits, so it can be beneficial to consider applicants with little to no experience but have the right “fit.”

How to Identify Fit

Cellphones with fit scores to help with recruiting employeesIt can be difficult to identify the right personality traits via typical recruiting and screening practices, like interviews. Luckily, Sprockets’ AI-powered platform provides all the tools you need to find applicants who are the ideal fit for your team. You can post jobs for free to millions of hourly job seekers, send personality assessments with the click of a button, and see “fit scores” that automatically predict an applicant’s likelihood of success. The list goes on! 

Schedule a demo today to see how Sprockets can help you hire applicants who are the precise fit for your needs and improve employee retention.

Someone packing up their desk with text reading "How to Identify the Warning Signs of Employee Turnover"

How to Identify the Warning Signs of Employee Turnover

How to Identify the Warning Signs of Employee Turnover 1016 528 Sprockets

Employee turnover remains one of the most significant issues that businesses experience, especially in the restaurant and home health care industries. Turnover drains a company’s budget and time and affects overall productivity, but it can be difficult to manage.

Although there might not be a perfect solution that completely eliminates turnover, you can begin to combat the issue by learning to recognize certain red flags. Identifying the warning signs of employee turnover is essential to avoid staffing issues and ensure your business runs smoothly. It can also help you notice problems in the workplace and fix them, ultimately improving overall retention.

4 Common Warning Signs of Employee Turnover

1. Changes in Work Routines

When employees begin to miss deadlines or submit sub-par work, it may be an indication that they have started to check out. Each of us has a bad day from time to time, so you should address this issue with sensitivity to gauge the cause effectively. However, you should note apathy about missed deadlines and errors.

2. Absenteeism and Tardiness

When employees who are always punctual and never miss work start reporting to work late, leaving early, or asking for several sick days unexpectedly, something might be wrong. They could be modifying their schedule to meet with prospective employers or undergoing significant personal issues that could affect their mood. Either way, you should talk to them to understand punctuality changes and try to work with them to improve their situation in the workplace.

3. Change in Attitude 

If a team member who rarely complains starts to say negative things about their work or seems disgruntled, it could be an early sign of turnover. Their poor attitude and comments could also begin to negatively impact the rest of the team, ultimately reducing productivity and company culture.

4. Low Engagement

When friendly and talkative employees suddenly stop engaging with other workers, it could be another red flag. Breaking routines and leaving acquaintances and friends is one of the hardest parts people experience when leaving a company. Therefore, when you notice that employees have begun to pull away and remain quiet, they might be preparing to leave.

Reduce Costly Employee Turnover With Sprockets

A woman showing a laptop screen of the Sprockets hiring platformAnother major step toward improving retention is to implement Sprockets’ AI-powered solution to your hiring process. Our sophisticated software creates a unique success profile based on the mental makeup analysis of your current top-performing employees and gives applicants a “fit score” based on this benchmark. You’ll instantly see which applicants are worth interviewing, will succeed, mesh well with the team, and contribute to your company’s success.

A tired woman and text reading "The Top Reasons Why Employees Leave a Company"

The Top Reasons Why Employees Leave a Company

The Top Reasons Why Employees Leave a Company 1016 528 Sprockets

One of the best steps toward reducing employee turnover is to understand precisely what causes it. Some businesses, especially franchises in the QSR and home health care industries, experience particularly high turnover rates. The factors can vary, but we created a quick list of common reasons why employees leave their companies to help you improve retention.

6 Reasons Why Employees Leave Companies

You might think that low income is one of the leading causes of employee turnover. However, research has revealed that only 12% of workers quit their jobs because of money. Here are some of the top reasons why employees leave their companies:

1. Lack of Flexible Work Arrangements

Today, most employees want more flexible schedules. They no longer search for a typical 9:00 to 5:00 job, which requires them to stay in the office daily. They often choose to work for an organization that allows them to work remotely at least once per week. Our increasingly digital work environment gives us many reasons why we should enable our employees to work remotely.

If a company starts to offer a more lenient schedule, applicants might choose it over competitors. About 37% of workers would leave their companies for another organization that allows them to work remotely. Correspondingly, 82% would become more loyal to their employers if given a more flexible work schedule.

2. Lack of Appreciation

An employer’s failure to appreciate their workers is one of the significant causes of employee turnover. Employees want their performance noticed, especially when they put in extra effort or work additional hours. However, many employees feel undervalued or underappreciated, and 66% say they would leave their job due to lack of appreciation.

This number is high in millennial workers, as eight out of ten say they would quit their jobs if their present organizations do not appreciate them. A simple “great job” or “thank you” can help employees understand that managers value their efforts and contribute to improved retention.

3. Lack of Progress

Employees understand progression in different ways. For example, some may feel that they want a promotion or salary increase to progress, while others may define progress as acquiring new skills. It does not matter what they would like to work on, who they work with, or how the organization compensates them. When managers fail to give employees room to grow, they get tempted to search for new opportunities and leave companies. Employers should create career and educational advancement opportunities for staff.

4. Poor Workplace Culture

Overall workplace culture also determines employees’ length of stay. Corporate culture begins at the top, and it is one of the essential elements that contribute to employee retention. Although companies have different cultures, always ensure it gives employees a sense of belonging.

Workers appreciate an environment with transparent communication, clear direction, and respectable and approachable managers. An unwelcoming organizational culture is one of the top reasons for employee turnover. 47% of individuals who actively look for new jobs do so due to bad corporate culture.

5. Excessive Workload

Although employers might want to reward high achievers with more tasks, they must be careful when doing so. When employees get overwhelmed with their job’s demands, they tend to leave for other organizations that provide more manageable workloads. Managers should ensure that their teams have manageable workloads. If you increase an employee’s list of responsibilities, pair it with a promotion, salary increase, or other noticeable benefits.

6. Changes in Personal Life

A change in personal life is one of the reasons employees leave a company, but it’s one that it’s difficult to avoid as a manager. For example, a worker may relocate to a new country for themselves or family members. Additionally, changes in their health can cause an employee to quit their job or look for a more accommodating position. While you do not have control over changes in employees’ personal lives, you can always support them in the workplace and through any major transitions.

Reduce Employee Turnover With Our AI-Powered Solution

A woman on a laptop hiring applicants with no industry experienceAlthough employees quit their jobs for various reasons, paying close attention to these factors can potentially help retain your best talent. And, when crew members inevitably leave, Sprockets makes it easy to find new workers that perform like your best employees.

Our sophisticated hiring solution combines artificial intelligence, natural language processing, and over 80 years of psychological research to predicts an applicant’s likelihood to succeed and stay long-term. Building the best team, and saving time and money, is as simple as adding our brief survey to your recruiting process. Sprockets even has an easy-to-use platform and integrates with other major hiring tools!

A woman with a headset and text reading "Maintaining Morale in the Workplace After Employees Leave"

Here’s How to Maintain Morale in the Workplace After Employees Leave

Here’s How to Maintain Morale in the Workplace After Employees Leave 1016 528 Sprockets

It’s inevitable for employees to leave workplaces, whether it’s for them to pursue another opportunity or their manager decided to let them go. However, when influential employees leave, the remaining team members may get frustrated about the situation or worry about their own position. These negative emotions might lead to low morale and reduced productivity. Leaders must then apply their skills to rejuvenate the workplace culture and positive atmosphere.

8 Ways to Boost Morale and Motivation in the Workplace

If you’re a manager, especially in the QSR or home health care industries, you likely deal with a high rate of employee turnover. Therefore, it’s crucial to know how to rebuild team morale after an employee — or several — employees leave, whether voluntarily or involuntarily.

Here are some strategies to maintain morale in the workplace after employees leave:

1. Re-Affirm the Team’s Vision and Goals

When employees leave their workplace, some rumbling in the workplace might occur as the remaining workforce might wonder about the future of the business. The remaining labor force needs reassurance that the company will still meet its long-term goals and be successful. Remind the team about the company’s vision and the significant roles they all play in that.

2. Be Open and Transparent

If you decide to let employees go, the remaining team members might wonder why you came to such a decision. In most situations, it is alright to provide an explanation and invite any questions or concerns your employees might have. This can put them at ease about their job security and workplace environment. 

(When informing the team about the reasons for termination, ensure that the engagement is a one-on-one meeting with open-ended questions. However, you might not be able to share all the contract’s termination details due to legal requirements in the state.)

3. Praise Employees for Their Contributions

The remaining team needs to be made feel appreciated for their contributions toward meeting the company’s short-term and long-term goals. As you commend their work, you need to put it appropriately for them to see the sincerity in the appreciation. Some people give their best in every team, and they need recognition through awards or recognition. Such credit will create a humane picture in the remaining employees’ minds, and they will remain focused on meeting the company’s goals.

4. Treat Laid-Off Employees With Respect and Dignity

If you have to terminate an employee for any reason, make sure you follow the due process and do so respectfully. If you handle a firing or layoff poorly, the ill-treatment will only create resentment within the remaining labor force. The remaining labor force will be less disgruntled if their former colleagues get treatment full of respect and dignity even as they leave.

5. Lighten Workers’ Mood

Buying free lunch or morning coffee for the remaining staff may improve the workplace’s mood. The company may also opt to take the workers for a trip or a social outing. During the event, the management should freely interact with the remaining employees. It might be a good opportunity to communicate why the decision was necessary and the next step the team will take to reach their goals together.

6. Emphasize Work-Life Balance

Management should create time for the employees to enjoy their social life with their families to increase their morale and prevent burnout. The administration can promote work-life balance by coming up with flexible schedules and remote working opportunities. Management should also avoid engaging workers while they are outside the workplace.

7. Organize Team-Building Activities

One of the most common ways to create a positive relationship between managers and their teams is to schedule team-building activities. Team-building creates collaborative cultures among teams, which is necessary after a significant layoff at work. If you are looking towards maintaining morale in the workplace after employees leave, a team-building initiative is one of the approaches to adopt.

8. Address the Workload Burden

Whenever workers leave, there is an unallocated workload that will have to be shared by the remaining staff if there is no immediate replacement. Adding extra work could cause resentment. If you are firing some employees, consider having them replaced as soon as possible. If the workload is to be re-distributed to the remaining workforce, consider informing them positively. You might want to consider even adding something to their paycheck.

Improve Retention and Team Morale With Sprockets

Two happy employees in a kitchenOne of the best ways to avoid the reduced morale associated with employee turnover is to hire the right applicants in the first place. Sprockets’ AI-powered solution predicts an applicant’s likelihood to succeed like your current top-performers, fit well with the existing team, and stay long-term. Users experience a 43% improvement in retention, on average!

Schedule a brief demo today to see how it works and start building the ideal team. You’ll save valuable time and money during the recruitment process and see an increase in overall productivity.