Eighty-nine percent of employers believe that people quit them for more money. This is a key misperception; the percentage of employees who actually do relinquish their jobs because of money equals only twelve percent. Listed below are the ten most frequently mentioned issues that employees say cause them to leave a company.
Chip Wilson, Founder and CEO of 360Solutions stated it well: "A company is designed to get the results they are achieving." We all know a company is only as good as its workforce. Investing in your people is the smartest single thing you can do to ensure the company's health and stability and consistently increase revenue year after year.
Engaged employees perform 20% better and are 87% less likely to leave an organization, resulting in better bottom line revenue. Remember it is not about the cost of training, it is about the money saved because of the investment made in developing a high performance team.
The average turnover rate across all industries is 15% while the level of job satisfaction is dropping. From a study of 500 managers and senior executives, more than 40% expect to leave their current jobs within two years, and 20% expect to leave their current job in six months or less. More than 44% of these managers reported that employee turnover and the resulting loss of expertise had cost them valuable customers (1). Turnover cost can easily reach 150% of an employee's annual salary, when developing new talent, rather than investing in the training of an existing employee. To bring this to life, let's assume that the average salary of an employee in a given company is $50,000 per year. By taking the cost of turnover at 150% of the employee's salary, the turnover expense is then $75,000 per employee who decides to leave the company. For a mid-sized company of 1000 employees which has a 10% annual rate of turnover, the annual cost of turnover is 7.5 million dollars. We also need to consider costs that are hard to estimate like the loss of corporate memory, continuity, experience, morale, and most importantly the disruption of customer service (2).
The most unproductive mistake that companies make when forced to make tough decisions is cutting their budgets by reducing the training, development and education offered to their employees. As a result, trust and loyalty are disappearing and quickly becoming a lost treasure. Employees have to bear an increasing workload and are expected to maintain high quality production, even as morale is sinking to an all time low. The uncertainty of who will be laid off next in this time of diluted company character and conscienceless actions has fostered a catastrophe. The result is a raw wound where trust and job security used to be. Now more than ever, it is time to invest in your team. No excuses. No rationalization.
The challenge is clear. How you choose to exercise your leadership and vision today will determine the positioning of your company for years to come. Companies all over the world are recognizing and understanding the value and importance of investing in their people. Because of this we are currently witnessing and experiencing an incredible surge in outsourced training.
This where 360Solutions comes in. Our extensive library of curriculum has been used by companies such as SER National/Department of Labor, BAE Systems, NASA, Colgate, Hewlett-Packard, IBM, Proctor & Gamble, Ford Motor Company and hundreds more. By exploring and taking advantage of our effective and relevant training programs, company leaders can achieve their goals of empowering and engaging their team to create a high performance organization. In addition to meeting the training needs of companies around the world, a 360Solutions Strategic Partnership allows entrepreneurs to take control of their destiny through their very own lifestyle business and realize the dream of personal freedom, professional success and financial independence.
Whether you are interested in developing your team and taking your company to the level of a high performance organization, or if you have a burning entrepreneurial spirit and desire the security and freedom of owning your own training and consulting firm, 360Solutions is your answer.
With significant growth over the last 11 years, 360Solutions has been recognized as one of the strongest providers of high quality employee training on the market today. Founded in 1997, 360Solutions started with the focus of helping individuals launch, build and operate their own training and consulting business. Today, 360Solutions has grown to be an international organization with over 500 strategic partners throughout the world, including master partnerships in Canada, Mexico, Australia, Ireland, UK, Argentina, Russia and South Africa to name a few. Our success has been based on several factors:
Constant training materials updates: our growth has come because of our extensive product line. Continuously updated by expert developers, this course line includes a wide range of innovative subjects such as: Leadership, Strategic Planning, Emotional Intelligence, Building Trust, Sales and Marketing and Executive Team Building. The 360Solutions library is the most extensive on the market. Each program contains a leader's guide, digital presentation and student workbooks. With our private label program, we can customize each program to drive your brand and message.
State of the Art e-Learning Technology, 360Solutions' aggressive approach to High Tech-High Touch Marketing has led to the development of great programs. These programs include private label learning materials and over 1,750 e-Learning courses. The commitment to blended learning and advanced technology has separated 360Solutions from all other training and development companies. With respect to human capital 360Solutions is a trusted business partner to the world's leading organizations.
We focus on innovative ways to help clients reach their performance objectives and combine that thinking with industry experience to deliver results that work.
We deliver practical ways to improve business by designing, communicating and managing highly effective Training Programs.
The 360Solutions team is passionate about our mission. Our Core Values include:
Integrity - We are honest and sincere in all dealings with our customers, partners, vendors and associates.
Trust - We have faith in the honesty and reliability of our customers, partners, vendors and associates.
Knowledge Share - We encourage the acquisition and sharing of knowledge that leads to the development and success of our associates, partners and customers.
Customer Success - We provide high value products and services that help our customers and partners grow and prosper.
Empowerment - We believe that each of us has the ability to make good decisions and the wisdom to seek guidance when we are unsure.
Results Oriented - We define what success means for each function and provide the tools, guidance and feedback to achieve the desired results.
With Strategic Partners around the world, 360Solutions provides our clients with the highest level of service and expertise. To learn more about how our dynamic training programs can help your company or to explore the opportunity to become a Strategic Partner, contact 360Solutions today.
1| Martin, C. Managing for the Short Term:The New Rules for Running a Business in a Day-to-Day World (Doubleday).
2| Bliss, WC. Cost of Employee Turnover. Small Business Advisor.;Branham, L. Keeping the People Who Keep You in Business: 24 Ways to hang on to You most Valuable Talent.(AMACOM).
3| Source: Saratoga Institute, Diengagement Study