October 08, 2007, 8:26 PM — Employees matter. No, they really matter. In fact, as the forces of globalism and the proliferation of technology relentlessly level the proverbial playing field, it's safe to say that the men and women who work for you are everything. Think about it. Your competitors have access to the exact same resources as you. That means infinite choices exist not only for your customers, but for your employees as well. According to Joanne G. Sujansky, Ph.D, CSP, if you're not seeking ways to nurture them and meet their needs, they will seek greener pastures—and your customers will follow them over the fence.
"Many leaders don't realize that the rules of business have changed almost overnight," says Sujansky, founder and CEO of KEYGroup®. "The old paradigm says that your primary focus should be on keeping your customer happy. The new paradigm says the employee has taken over that spot. Keep her engaged and she'll keep your customers happy. Neglect her needs and she won't be so concerned about keeping her end of the bargain. In the end, not only will she go elsewhere, your customers may follow suit."
Make no mistake: when employees start searching for greener pastures, it's a bona fide disaster. After all, your employees are the face of your organization. They build strong relationships with customers and vendors, they know the ins and outs of your operation, they train new hires and indoctrinate them into the company culture. On top of that when you lose great employees, it hurts customer retention and the morale of the rest of your team.
And every time a great employee leaves, you have to shell out the cost of rehiring and retraining his replacement—a cost that studies have shown could range from 70 to 200 percent of that person's annual salary. You also lose that employee's institutional memory, another great asset for your company.
Clearly, preventing "greener pasture" syndrome must be top priority for today's leaders. And while it may sound self-evident, the best approach is to make your pasture the greenest. Ultimately, that means becoming what Sujansky calls a Vibrant Entrepreneurial Organization, or VEO: a company with a culture that allows that elusive sense of employee ownership to flourish. But in the short run, it means making your company a place employees truly want to be—and "lip service" won't do the trick.
"You might be proclaiming that you are the leading company in your industry or marketplace in huge letters on your mission statement," says Sujansky. "But if you're not backing up that sentiment in the day-to-day realities of the workplace, employees will quickly realize the truth. And by the way: it isn't always cash that makes green pastures green. When salaries are commensurate with the marketplace, other factors take priority. Good people stay where they are challenged, where they have the opportunity to develop and contribute, and where their employers take care of those meaningful little things that make their lives easier."
So here's the million-dollar question: What are these secret little things that will help you keep your employees engaged and productive? And on behalf of all of the non-mega corporations out there, how can you do it without breaking the bank? Here are 16 easy-to-plant (and inexpensive!) "seeds" that will help your pasture be the greenest for your future and current employees:
Seed #1: Don't misrepresent your culture. Engaging your employees starts with the first time you interview them. What do you say to your new hires about the company? Is it really an accurate representation of how your organization works? Do you tell them about exciting opportunities only to hold them back from new assignments until they "pay their dues"?
"When new employees find out how things are really done, not only will they resent you, they'll likely find somewhere else to work," says Sujansky. "One insurance company learned this lesson the hard way. The company took on 12 new hires whose values they felt matched the company's. However, after only two years all 12 of the new hires had left, citing the same reason: The values leaders said they stood for were not actually upheld. This company could talk the talk, but they couldn't walk the walk. Every company should be honest about the kind of work environment it represents."
"If your culture isn't quite where you'd like it to be, tell your new hires about the type of company you are striving to become, tell them how you are going to get there, and how they can help you get there," she adds. "They'll find the honesty refreshing, and it will help them get off to a great start."
