Are You Tired of Losing Valuable Employees? Here’s How to Train and Build Leaders From Within Your Team
Creating a leadership pipeline within an organization can save a company — here’s how to do it.
Losing good people is expensive. In 2017, Gallup estimated replacing one employee to cost anywhere from half to double that person’s annual salary. That translates to between $660,000 to $2.6 million per year for a 100-person organization with an average salary of $50,000.
That costly burden makes it even harder to survive in a competitive labor market, and today’s market is more competitive than ever. According to a 2020 study by Crayon, a market and competitive intelligence tools supplier, 90% of businesses surveyed feel the market has become more competitive; 48% of respondents said it had become “much more” competitive. Add in an exhausted workforce and fears of recession, and most companies today would struggle to survive the loss of good people.
Company founders and executives depend on their leadership teams for stability. While we as leaders try our best to build loyalty and engagement to keep them, we also need a plan if it ever comes down to having to replace them. Record-breaking quit rates are only finally starting to slow down. Considering how costly and difficult it is to attract and recruit high-quality talent to replace those who leave, everyone should aim to train and recruit leaders from within. This way, we not only offer them a reason to stay with our company, but we also develop their talent and potential contribution to it.
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The Best Employees Display These 6 Characteristics
Good employees are rare and valuable. Here’s how to identify them.
When I sat for a panel discussion to go over my expertise in the board space recently, one of the main topics revolved around identifying a quality outside board member. To me, this is an easy answer: The qualities that make a great board member are the same ones that would make a great employee.
Like a great board member, a great employee has expertise and education, which are easily identified through the accumulation of credentials over time. But even without experience, good employees exist — people with untapped potential and the drive to work harder and excel at what they do — with a strength of character that’s challenging to build in someone when it doesn’t come naturally. To avoid letting these good employees slip through your company’s proverbial fingers, here are six traits to look for to identify them:
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