We’ll start by pointing out the obvious: the long-term success of any company depends on its workers and their loyalty. Simple as that.
So, why is loyalty so important?
Perhaps because it contributes greatly to the productivity of the business. Loyalty is directly linked to efficiency, and by that – it is also linked to productivity, as the loyalty itself can create the value required to put any business on the path to success.
We know this sounds so old-fashioned. Loyalty might be vintage goods and hard to find these days, but make no mistake: it is crucial to acknowledge the exceptional value of your employee’s. Without it, any organization is probably doomed to have only short-term success.
Of course, millennials are to be blamed for this loyalty popularity decline.
Millennials are changing the rules
Did you know that they are 3 times more likely to change jobs than non-millennials? And, 91% of them doesn’t even expect to stay more than three years with a current organization. In a Workforce survey, 80% of respondents agreed that their definition of loyalty in the workplace simply changed over time.
One might even say that the workplace became somewhat “transactional” for the employees. The idea behind the relation between them and their career is based on the mentality that the employee is now the one who’s the sole driver of his own career.
However, these new generations are not expelling the loyalty from the business-success equation. Loyalty is still important and present, it only changed its form.
If they fulfill their obligation to work and get the job done, whether one works for a company 10 years or 10 months, they consider that “loyal.”
So, now that we saw in which direction this value went, we can analyze its (r)evolution and a current state.
Loyalty – How to keep it?
Important as it is, loyalty must be achieved through different mechanisms and by strengthening a company’s culture.
Each organization, no matter how small or big it is, simply must put their focus on the empowerment of employee loyalty. In other words, the management must get creative in order for the employee to understand that they really care for them.
Two things are crucial in that venture. First one is creating a stress-free and a healthy working environment. The second one is packed into one simple word – “recognition”. It refers to awards that deliver status and acknowledgment of achievement. Here we are talking about anything from a simple certificate to top performers or a group incentive travel trip to exotic destinations. A television show Undercover Boss is a prime example of how popular culture perceives recognition and reward as prime motivating factors to building staff morale and retention.
It takes two to tango, so it is of the utmost importance for employees to understand the gestures that the organization is making.
Needs and Goals
Let’s be honest. We are motivated by our needs and goals. The thing is – those are constantly changing as we progress further through our career. A good employer, the one that is interested in success, will be also very interested to try and fulfill those needs in order to keep a good employee close.
For the very obvious reason.
We’ll list here just a few of many costs involved in replacing a new employee:
- Costs spent on the person leaving
- The cost involved in hiring a new person
- Training costs
- Lost productivity cost.
Get organized and be prepared to give something in return for the work of your team. And we are not thinking of salary alone. No. You’ve got to do more than that.
Here is a basic manual on how to keep your staff happy, to help them feel appreciated and to raise the productivity chart by doing so. Because, as you probably must know by now – happy employee equals valuable employee.
- First, get to know EVP – employee value proposition. What is EVP? EVP is many things: compensation, rewards, benefits, mentorship, employee brand and the work product itself, among other components. As a manager, you are the one who should know the EVP for each position within the company. For example, if you have on your hands an employee who is looking for his personal growth and advancement – be the first one to recognize and support that. Otherwise, someone else will. Go and make some proactive decision. Right now!
- Take some time to analyze thoroughly each employee’s review. Superiors should really know the direction of career development that every employee has on his mind. When understanding where an employee expects to go, the journey becomes so much easier. Co-pilot it.
- Connect to your staff. Get to really know them. Connecting on a personal level is human. We’re not machines or numbers or statistics.
- Help employees understand the benefits of being loyal. Do it by being the best example for them. Enhance your staff to enjoy all the benefits they earn. Do it by making those assets visible and reachable.
- Improve your company culture, as this is where employee loyalty can increase and just keep on growing strong. Make your organization culture a personal philosophy for each employee.
- Give people who work for you more freedom and control over the tasks they’re in charge of. By doing so, you trade trust for trust. And that is a great bargain.
- At the same time – Increase confidence in leadership. Provide training and encourage feedback. Be kind and understanding. Be supportive. Whatever you do, don’t be conceited and self-important.
- Often organize what can be called happy testing. Get to know what your staff thinks, the way they act, the wanted direction of their personal growth and all those things you need in order to complete the mosaic of every employee’s profile. Start with these:
- Personality test
- Strong assessments
- Technical assessments
- Psychological test
These tricks of keeping your employees happy and loyal are nothing but the tip of the iceberg of what is it that you, as a manager, can do for the staff. Aside from the fact that it is only human to treat your co-workers in that same manner – here lies another great benefit for the organization. Efficiency. It only goes up once these terms are achieved.
Not to mention you will be like a big, happy family. And considering the amount of time reserved for your business life – it definitely pays off.
In the end, just take a look at some pros and cons of loyal employees. Take a look at it from time to time.
Cons of having loyal employees in the organization:
- Costs and investments into programs to keep employees loyal.
- Saturation with current work can make the employee less motivated.
- No new ideas in the organization.
Pros of loyal employees:
- The lesser the personal problems, the greater the work will be.
- Stability versus turnover.
- More commitment towards their work.
- Less absent workers.
- A more successful business.
So, which ones do you prioritize?