What is ‘actual cost’ of losing employees?

Can we think about the ‘actual cost’ of losing employees?

 All most all companies across the globe are deeply concerned about their employee turnover and for some industries such as software outsourcing service providers in India; their attrition ratio is almost 25% to 30%. Question is why some employee/s that has scored high on commitment to the company is now found low on energy? Why is he/she looking at other options? What is d-motivating him/her?

Employees, involved in active client communication are always seen as brand ambassador of the company by clients. If employee satisfaction and employee engagement are not taken seriously, it can have negative impact on client.  

Many articles, white papers, blog and suggestions are published on it from multiple perspectives. I personally feel that micro analysis of below mentioned factors can help to great extent in understanding the route cause, analyze and identify ways in which some sound strategy can be formed that can help reducing high turnover of employees.

Competence of an individual is highly influenced by a number of external factors like:

•         Degrees of low energy
•         Levels of ownership
•         Levels of motivation

There are many other factors however these three factors seem to me more important and clearly indicative for the management to initiate corrections in their policies.  Periodic assessment and ongoing corrections on above factors are crucial for every company to ensure reliability of their key employees.

Employees’ behavior is required to be aligned with satisfactory customer experiences. Think about it.

Bhartesh Sagar

Bhartesh.sagar@hotmail.com

January 17, 2014