Recruiting the best talent and building strong teams is just half the work done for organizations. The real work lies in retaining them for the years to come. Though employee retention matters for all businesses, it is vital for young startups. At the initial stage, you cannot afford to compete on remunerations, which is the reason why you may struggle with high turnover. At the same time, this is the phase when you need an amazing and committed team the most to take you through the sustenance stage and get your business established. In such circumstances, it makes sense to go the extra mile for retaining the top and motivated employees in your organization. Here are some proven and effective employee retention strategies for new businesses.
Fine-tune your recruitment process
It might sound surprising, but employee retention in startups can actually depend on good recruitment processes. The effort you invest at this stage shows up in the form of employee engagement and satisfaction. Conversely, the flaws and errors in the recruiting process are often the reason for the employee leaving sooner rather than later. Avoid making unrealistic commitments at this stage, which is one of the common mistakes that startups make. Additionally, make screening a priority because your focus should be on onboarding only the right candidate.
Involve employees in decision making
New businesses have to work with what they have got. It is often hard to scale resources, particularly human resources. Involving people in decision making is a good idea because it delivers twin benefits. While you get fresh and innovative ideas, the approach fosters a sense of trust and loyalty in the team. Moreover, you can listen to the inputs and suggestions but still do your own thing. Obviously, this gives your employees more reasons to stick with the company rather than leave it.
Invest extra effort in employee experience
Employees today value experience as much as the remuneration, they get from a job. Investing in employee experience is a good idea if you want your business to benefit from increased employee engagement and retention in the long run. The key lies in making a shift from employee-centric processes to the programs that are designed to enhance employee experience. Investing in a smart HRIS technology also gets you on the right track.
Prioritize team building
Besides improving processes, you need to prioritize team building and strengthening if you want to make people stay in your startup. Without any doubt, building a business from scratch is team sports. The stronger the team spirit, the more powerful its ability to take your business on the road to success. Team building requires creative thinking with exercises that are fun, light and engaging.
Work on organizational culture
Another employee retention strategy that no startup can ignore is to build a positive organizational culture right from day one. Remember that work culture is not just meant for big and well-established brands but should be part and parcel of every business. Make sure that you consciously design, maintain and steer your company’s culture in a positive direction. This will attract people to come and experience the work culture and stay with the business for the years to come.
Maintain work-life balance
Startups work differently as compared to established businesses. Although you will have to follow the industry norms and employment regulations to decide your work timings, you need to maintain work-life balance stringently. This can be a big challenge for start-ups because weeks can get long and working on weekends is a normal thing. Startup employees appreciate time-offs so that they can relax physically and mentally and this has an impact on the retention rate as well.
Offer learning and growth opportunities
Making your employees stay even during the tough initial stage boils down to how well you treat them. While salary and perks matter, good learning and growth opportunities are even more important for individuals who join new companies with an open mindset. Send them for training and workshops that you can afford. Also, incentivize them as and when you can. Even small tokens of appreciation go a long way in making the team stick with your organization. Making inspirational speeches and team discussions a part of your routine is another good and cost-effective idea for motivating people.
Retention sounds like a big word but it is easy to ensure, provided that you take a human approach towards your workforce. Startups, in particular, need to prioritize people because they can be the real catalysts for survival, sustenance, and growth in the long run.