Monday, 27 October 2014

The True Facts from Exit Interviews


By Paul Bertrand

October 27, 2014

I was speaking to an executive recently who shared with me their biggest concern being   excessive turnover.  Not a good one.  As we know the costs out of the issue are so detrimental to profitability. When asked what might be causing it, compensation was given as the factor. 

Based on my presentation and further discussions of key important factors of the organization, we may have concluded something different at the end of our meeting.

What the research1 tell us is that 70% of the time someone leaves, or worse planning to leave (disengaged), is due to reasons directly controllable by their managers. 

Your exit interviews from your departing employees tell you compensation is the cause.  “Leaving for more money” they tell you.  Is this correct?  Be aware that the pay reason is an easy way out of getting into any specifics.  Nobody wants to burn the bridge behind them.

Data from a study found that 89 percent of managers believe that most turnover is caused by better pay. Yet, 88 percent of voluntary turnovers, something besides money is the root cause. This astounding disconnect between belief and reality allows managers to deny responsibility for correcting and preventing the root causes of employee disengagement.

The great news is that recent findings done by Effective Managersand the Telfer School of Management at the University of Ottawa gets us closer to the root cause through grounded research.  Through benchmarks, highlighting strengths and weaknesses, leaders can now have a clearer picture of what is the root cause by surveying their management, not employees.  No guessing.  Facts that can help you determine causes. 

Contact Canadian People Management to learn more about this new solution and how you can be leading your industry, your organization, your team, to greater results. 

1.      Leigh Branham, The 7 Hidden Reasons Employees Leave- The Saratoga Institute had a database of 19,700 exit and current employee surveys
 

Paul Bertrand is founder of Canadian People Management Inc. which is based out of Pickering, Ontario. His company specializes in organizational effectiveness development through solutions tailored to strengthen his client’s cultures, leadership and teams.
www.cpeoplemi.com
 


 

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