Companies with an active onboarding program retain 91% of their hires after the first year and have employees who are 18 times more likely to feel committed to their employers.
First impressions drive last impressions!
Working with the generation of job hoppers — the millennials — how you onboard your employees decides their future in your company. A Gallup survey states that 6 out of 10 millennials are open to new job opportunities at any given time. 21% of them have changed jobs in the last 12 months.
Millennials have become the consumers of the workplace. For leaders of a growing company, the challenge is not only to attract potential talent, but also to retain them for the long run. While the entire employee lifecycle is crucial to turn employees into brand ambassadors, employee onboarding i.e. the first 90 days sets the stage for success, or failure!
Companies that have an active onboarding program tend to retain 91% of their hires after the first year of joining.
In this article we will cover everything you need to know about onboarding employees the right way.
Employee onboarding is more than just a formal introduction. To be effective, the onboarding process needs to cover all technical, social, cultural, and procedural aspects of hiring a new member.
A great onboarding process ensures that the employee fits in with the company brand image, workplace culture, mission, and meets the skill requirements for the chosen role.
It also sets out the tone for future interactions that happen between the employer and the employee. When employees are boarded well from day one, it tends to create a seamless integration into the existing workforce. In the long run, it increases the employee's productivity and supports employee retention.
Before we dive deeper into the onboarding process, let us first look at the cost of poor employee onboarding on an organization.
Often the results of poor onboarding are not evident at the start of employment. The most visible result of poor onboarding is high employee churn or attrition.
In a fast-growing company, time is money and bandwidth is low. Therefore, a high voluntary attrition rate not only increases the financial cost of employee acquisition, but also ends up wasting other people’s time and effort that could be used for high value activities. A culture of attrition also leads to poor morale at the workplace.
Here’s what happens when employees are not onboarded properly —
UrbanBound found that of all the employees who did not meet their performance goals in the first year, 50% did not receive a formal onboarding. With new employees that are not started with the right tools tend to take more time to familiarize themselves with the new work environments. This could mean that a substantial time of the hiring is spent learning things that could have been tackled at the onboarding plan. Something as simple as operating a coffee machine needs to be part of any onboarding efforts. Small steps like these do show the employee that people care and make them feel comfortable.
When the hirings' expectations are not in sync with the work settings, it could lead to frustrations and lack of interest in the work assigned. The chances of such employees seeking other avenues cannot be ruled out, which could lead to workers' failures.
It has been noticed that firms that have a good onboarding process tend to have less churn of employees. Thus, the cost incurred in having an effective onboarding program would be offset by the savings accrued in reducing the hiring of new employees. In addition, studies have indicated that 20% of new hiring churn occurs during the first 45 days, and having an effective onboarding plan reduces this significantly.
Often, the reason for low confidence of the employee is feeling isolated and unsupported. A lack of understanding of the new employee’s expectations from the employer and the job (such as career development opportunities) leads to low employee engagement due to low morale. This eventually leads to employees looking for other job opportunities soon.
A high attrition rate of new employees creates a poor image of the company they are working in. Today, 84% of employees say that they may leave their jobs if they receive an offer from a company with an excellent employer reputation.
For fast growing companies, a poor employee brand image is quickly propagated across the industry, making further hiring hard to do or more expensive to achieve.
On the other hand, taking the time or care to onboard employees can lead these amazing benefits.
According to research, about 86% of employees decide whether they want to stay with the company in the long run or not in the first 6 months. An effective onboarding would mean that employees have lesser chances of leaving in the first year at work. This significantly cuts down on employee costs and leads to better productivity at the office. 69% employees are more likely to stay with an organization for 3 years, if they experience great onboarding. A great first impression definitely goes a long way!!
Companies that tend to have a good onboarding schedule tend to report up to 50% better new hire productivity at the workplace with happier and fulfilled employees most of the time. When expectations are clear, goals are set, resources are distributed well, it leads to higher productivity.
The cost incurred in new employee onboarding is often offset by a better return on investment. Most clients report having a satisfying experience while interacting with the companies having an effective onboarding program.
Naturally, happier customers equals higher revenue. When employees are happy and engaged, they go the extra mile in their roles to improve the company's profitability. This could mean increased revenue of up to 60%. There seems to be a greater focus on the new hiring than places without an onboarding process.
The top driver of a high performance team is psychological trust. Gallup research says that 75% of employees leave due to poor relationships with their bosses.
Taking the time to build a comfort zone for new hires in the workplace builds relationships beyond mechanical workplace transactions. Frequent check-ins, 1:1s, all hands in the initial days reduces initial isolation and creates a sense of belonging which further results in high employee engagement.
62% companies say that the primary objective of employee onboarding is to integrate them into the organizational culture. Because ultimately, a company culture is what drives employee performance, engagement, and overall experience.
Especially, in hyper growth companies, integrating new employees into the culture soon and well minimizes the risk of quick attrition. Thus saving time and resources on rehiring.
Now let’s look into what a standard employee onboarding process looks like in a hyper growth company.
For fast growing companies recruiting and retaining top talent is a challenge in itself. Today new employees want a customized onboarding experience to feel connected to their new place of work. With more companies opting for a remote or hybrid workplace model since the pandemic, onboarding has become more challenging.
While fast-growing companies or scaling start-ups may not be able to provide the high brand value or bigger financial rewards to the new joinees, hypergrowth companies can indeed offer them the excitement of being part of a bigger purpose that the big companies often fail to provide. Make sure to capitalize on this when onboarding a new employee.
Being a fast-growing company, your onboarding program must include the following —
Integrating a fresh joinee to the existing company culture usually takes about 3 months and introduction to resources, company handbook, and people they need to have access to for doing their job well.
The onboarding process must be clearly laid out to the employee to the best extent possible. It is essential to have a timeline — from the time a person is hired to when he is joining the organization. It is useful to break the onboarding journey into the first 30-60-90 days and set clear objectives for each period. Every employee is unique and has their own unique needs and expectations. Engage people ahead of time to customize the onboarding process for them when they join.
All it takes is a smartphone and a video clip about the people with whom the new employee will be working on setting the tone for the first few weeks at the new workspace. It really doesn't cost much and can significantly impact the employee than a series of lectures or PowerPoint presentations. If you are working remotely, using Zoom, Google Meet for video conferencing, 1:1s, or weekly all hands, or recording instructions in Loom goes a long way to eliminate the feeling of alienation. Guided 1:1s are extremely crucial to troubleshoot any problem new hires are facing and build a feedback culture.
The best place to start charting out onboarding process steps is with the employees already with an organization. By seeking out feedback on their experience and integrating the views and thoughts of the employees go towards making a good onboarding program. Also, ask for continuous feedback from the new joinee, especially during the first 90 days, to understand the pain points and solve accordingly before they snowball into bigger problems that lead to untimely resignation.
It is important for the new hiring to understand what the management expects from him more so in fast growing organizations where roles might often overlap. In return, the worker must be given an idea as to what to expect from the employer. Let them know how the performance metrics they will be measured against. The matching of expectations properly can lead to a more satisfied group of employees and a smoother employee-employer relationship.
An effective onboarding plan is often set apart by the attention to the fine details rather than the big points. For instance, most new employees would know all about the product portfolio of the new company and if an effort is made to manage the daily commute to the place of work, it would go a long way towards making their stay at the workplace comfortable and stress-free.
The onboarding process must not be a single flow of information but a closer interaction between the new employee and the management. This would set the tone for future cooperation between the two and puts just the proper perspective on each other.
Most fast moving companies today tend to have a mission and vision statement. This would be meaningless unless it is conveyed effectively to the new employees. It helps new joiners interact with the existing employees to understand how the promoters' vision is being put to actually work.
As has been laid down in the book, “The Alliance”, by Reid Hoffman, Ben Casnocha and Chris Yeh, “The importance of onboarding is significantly increased these days since the average turnover at work is less than four years and lifetime employment strategies are out of date.”
Onboarding new employees, especially in a remote set-up, is challenging. Using specialized software for this purpose often streamlines the process. However, you must remember that onboarding is about building connections with the new member, making them a part of the team, and eliminating the initial feelings of isolation. Tools can help with the systematic processes, but how you treat them is what ultimately determines the success of onboarding.
Be warm. Be kind. Be supportive.
Like what you read? Now see it in action in your team, book a free demo with our experts today!
It is no longer an assumption that the traditional approach to annual goal setting and review has run its course. The VUCA world demands more quick and adaptable business models.
While the agile values and methodology was initially created for software delivery, you can apply the same to transform how you set and achieve your business goals.
In this article, we will focus on:
Traditionally, goal setting has been a very static and long-term process for organizations. Here are a few key components of traditional goal setting and performance management:
This form of goal setting and performance management had relevance for organizations operating in steady and stable market conditions.
However, in today’s VUCA world, the pace of change is skyrocketing and organizations unable to tide with the same are finding it extremely difficult to survive, let alone thrive.
Some of the reasons to reimagine goal setting for VUCA world include:
While it may not be apparent in the first look, agile and OKRs are quite complementary and combining the two can be a great step for growing organizations. Here’s why —
Here are a few reasons why you should combine agile and OKRs for your organization:
Now that it is clear why working agile and OKRs together makes sense for growing organizations, let’s quickly explore the top ways in which you can apply agile techniques to your OKR framework to make goal setting and performance management suitable for the VUCA world.
In this last section of agile and OKR for better goal setting and performance management, we will uncover the top framework.
We have combined the best components of different frameworks like waterfall goals, delivery agile, scaling, full stack agile, into a single framework with 5 major components that can help you enhance the complementary potential of agile and OKR
This approach can help you leverage the benefits of agile methodologies and OKR framework to impact all aspects of organizational structure for achievement of goals, including the culture, strategy, initiatives, tactics, etc. The framework is premised on:
If you are struggling with combining agile and OKRs for your organizations, chances are you are focusing on activity based key results which often resemble agile steps, leading to confusion and inability to meet goals.
For instance, if you have an event coming up and wish to successfully execute the same, the objective will be common, with specific value based key results for each team.
If you look closely, while the objective is shared, key results are spread across sales, marketing, and even product/ services teams
Your agile and OKR framework should enable you to get the best of both worlds when it comes to results. Agile results by nature are qualitative in nature and focus on the features that you wish to ascertain in a specific period of time. On the other hand, OKRs are driven by metrics. Thus, you can use a combination of the two for effective results:
The combination can help you create an ideal balance between outputs and outcomes which are both critical when it comes to goal achievement and performance management.
Using data and not relying solely on opinions will help you set agile OKRs which don’t under or over estimate the goals. For instance, if the market data on traffic to a new website in your industry is 20,000 clicks in one week, your OKR can focus on reaching 25,000 to make it aspirational but achievable up to 80%.
However, if you set the target at 50,000 or above, it will become too far fetched and the team might not even strive for it. On the flip side, if the target is only at 10,000, it will not encourage your employees to push the boundaries. Thus, you need to replace opinions and command OKRs with data backed experimentation.
Self organizing teams are important for growing organizations as they proactively take onus and ownership of achieving OKRs and lead to a greater degree of success. Step away from controlling detailed plans for each OKR and encourage the leadership to provide direction.
To conclude, if you combine agile and OKR, you have for yourself a clear model for success which you can easily apply to goal setting and performance management. Furthermore, leveraging the right technology resources can help you stay on track and enable you to thrive in the VUCA world.
Like most fast growing organizations, you might also be leveraging the OKR methodology to set, implement and facilitate effective goal setting to maximize growth. If not, you should start using OKRs ASAP.
OKRs not only provide an excellent goal setting framework but also drive high performance when implemented strategically. Most importantly, with enhanced goal visibility and transparency, OKRs ensure that everyone is on the same page which is the foundation of a cohesive and high performing culture.
In this article, we will discuss 8 ways in which you can adopt the OKR methodology to build a thriving company culture.
A high performance and thriving company culture is based on the foundation of clarity and focus. When there are 100 things to focus on, your employees will eventually lose sight of what’s actually important and might feel burdened with non-priority tasks. This will lead to a poor employee experience and limited productivity, both situations that prevent an impactful culture.
However, when you apply the OKR methodology, you will be able to limit your focus on 3-5 top priorities which will attract attention, energy and efforts across the organization. You will then be able to create a high performance culture by dedicating all your resources to the key priorities to realize impact.
A culture that thrives on collaboration, teamwork and alignment is one which creates maximum impact. The OKR methodology can help achieve this in an effective manner. On one hand, everyone is clear about their role in the OKR achievement, which makes collaboration seamless because everyone is on the same page and no one steps on the shoes of others.
On the other hand, OKRs can help your employees align their responsibilities and tasks with the overall vision of the organization, motivating them to contribute to the big picture.
To learn more about how to align teams using OKRs, read this
Recent times have shown that uncertainty and ambiguity will continue to mark the new normal. Thus, a culture of agility, resilience and responsiveness is critical for fast growing organizations. The OKR methodology can help achieve the same.
OKRs are cognizant of the changing environment and have the flexibility to be adapted to the same.
More importantly, you can leverage the OKR methodology to foster a culture that focuses on outcomes and is not fixated on the tasks to achieve the outcome at hand.
One of the top challenges of building a great company culture is a siloed approach and annual reflection. This leads to surfacing of major risks and problems which result in high rates of attrition, absenteeism and lower levels of motivation, productivity, etc.
However, the OKR methodology adopts an approach of continuous engagement and reflection. You can create a regular cadence to check OKR progress for each of your team members, even daily is effective.
This continuous engagement and reflection can enable you to preempt risks before they surface and leverage the power of communication to address them in real-time. Invariably, a culture built on continuous engagement leads to greater impact and high levels of performance as well as employee satisfaction.
The lack of transparency is one of the key obstacles for many fast growing organizations that seek to create a thriving company culture. A way out often seems difficult to navigate. Fortunately, the OKR methodology can help address this challenge as well. When you use OKR, especially with the support of an effective OKR tool, you can facilitate high levels of transparency.
Everyone in the organization will not only know their role, but also will have a complete view of the level of performance for others. Such transparency can help you increase coordination of efforts and give everyone the visibility of what’s happening across the company.
You may agree that most fast growing organizations these days seek to replace a strict hierarchy with a more flat organizational structure that facilitates inclusion of diverse ideas, thoughts and opinions. However, many struggle when it comes to actually implementing this thought.
Adopting OKRs can solve this problem.
By nature, the OKR methodology is based on a collaborative foundation where a top-down approach compliments a bottom-down approach for goal setting.
This suggests that while the skeletal structure of the goals might be laid down by those in the top leadership, you can give all employees the freedom and autonomy to create OKRs for their teams and verticals.
When your employees participate in setting the OKRs they have to execute, the level of ownership is much higher. Thus, you can leverage the OKR methodology to create a thriving culture built on greater ownership and a flat organizational structure.
With a focus on continuous engagement and reflection, the OKR methodology can help you facilitate open communication and feedback. Many studies have shown that a culture that facilitates regular feedback along with open channels of communication is more likely to thrive than one which does not.
In the OKR methodology, when you constantly track your OKR progress (download our free template for tracking OKRs), you will be armed with data backed insights to offer regular feedback for your employees. Furthermore, you can also leverage the same to start meaningful conversations with your team members in case you feel that there is any kind of disconnect. Such open communication can help you create a truly inclusive culture when employees feel their voice is heard.
Finally, a company culture that thrives has two major components supporting it, accountability and recognition.
The OKR methodology is an answer to both these challenges.
Now that you know how the OKR methodology can help you in many ways to create a thriving culture, it is also true that as a fast growing organization with multi-pronged focus, leveraging OKRs is a challenging task. To address the same, you can collaborate with an integrated OKR tool like SuperBeings to automate the OKR adoption and maintenance.
With SuperBeings, you get to —
With performance management becoming a critical part of organizational success, giving effective employee reviews is becoming a crucial part of a manager’s responsibilities. While regular employee performance reviews focus on illustrating the strengths and what worked for employees and the organization at large, there needs to be an equal focus on areas of development in case of poor work performance.
If you look closely, writing negative employee reviews is often considered to be more difficult because the words need to be chosen very carefully. It needs to have a developmental tone rather than a critical one.
As the term suggests, negative employee reviews are reviews delivered to employees who have underperformed and need to be pulled up to the expected levels. It involves a variety of components which include:
To get actionable ideas of how to deal with poor performance issues at work, read this
Writing and delivering negative employee reviews is very important for any organization that seeks to maintain a high level of employee performance. It is critical to ensure that:
When you are writing negative employee performance reviews, you need to be extremely cautious of the words you choose. Using the right words will help the receiver acknowledge and work on the suggested points, while using words that are too harsh or critical can lead to adverse consequences. There are a few reasons which make the choice of words extremely important.
The same review when offered with the right words can be more powerful and have a larger influence.
For instance a statement like ‘you interfere too much in the work of others’ can be seen as a personal attack and may yield a defensive response from the receiver.
However if you frame it in a different manner like ‘if you give others greater autonomy and freedom to work in their own way, you will be able to inspire greater creativity and innovation’, you will be able to put your message across and also help your employees understand how it will make a difference.
Download: Free guided 1:1 meetings template to get personalized meeting recommendations
In addition to being cautious of the words you use, there are a few other tips which you must keep in mind while writing negative performance reviews, including:
While giving negative reviews is difficult, don’t beat around the bush and get straight to the point. However, instead of directly saying what isn’t going well, try adopting the sandwich approach. Start with a positive comment, add areas of improvement and end it with some suggestions and action items.
Example: Tina has an excellent eye for detail and is very dedicated to her work. However, she often misses the deadlines which has led to a delay in 30% of her projects resulting in poor client experience. It would help her performance greatly, if she is able to prioritize her work better and keep an organized calendar for timely delivery. She can consider using the latest project management tools to facilitate better prioritization.
Second, negative employee reviews should focus on the job or the role and not the person specifically. Steer away from using words or phrases which may end up combining performance and personality of the person. Your review should be specific towards performance challenges and not generalize that performance challenge is a personality trait.
Example: Instead of saying, “you are not punctual”, you can say that “I have seen you arrive late for meetings frequently, leaving shorter time for discussions. It would be best if you could be more punctual to respect others' time and make the most effective use of the same.”
When you are writing negative performance reviews, you must focus on the progress and how a change in behavior and attitude can help them in the long run. Simply mentioning what went wrong and the associated process might lead to demotivation.
Example: Some of your work has had grammatical errors in the past, maybe because you were trying to complete a lot at once. I am sure if you prioritize some tasks and create an action plan, your work quality will be better.
Don’t simply give negative employee reviews about the problem area, but back it up with facts and data points. This will help you illustrate a pattern and establish that your review is not based on a single incident. Also, it will make your review more credible and authentic and not just a few words strung together. This will also help you in being very specific.
Example: It has been observed that 40% of your customers claim that you don’t have adequate knowledge of your product, leading to a poor experience.
There might be some performance parameters which are difficult to add quantitative data points to. In such cases, you can offer specific examples of underperformance, especially if it has been repetitive. It is ideal to have at least 2-3 instances of poor performance to make your point stronger.
Example: It has been noticed that in the aspiration to get your work perfect, you end up delaying projects. It was observed in project X with client A, project Y with client B as well as when the internal submission for Z was due.
Pro-tip: Use our free Performance Review Phrases template to get 50+ examples of writing a negative review positively
Once you write the negative employee reviews, you exactly know what you want to say to your employees. However, the way you deliver it also has a big impact on how it is received. To make the process simple, we have compiled a list of some of the best practices to help you deliver a poor performance review in the best way possible:
If you are delivering a negative performance review, it is best to do it in person, or if your team is remote, over a video call. If you deliver it over an email, you cannot be sure of the tone and context in which your words will be read.
It might backfire by being read as more critical than developmental as per the intent. Furthermore, when you are delivering the negative reviews face to face, you can also use your gestures and body language to facilitate authenticity and empathy.
No matter how poor the performance has been, when you are delivering negative employee reviews, you should stay away from yelling or using foul language. Since the focus is on facilitating development for your employee, yelling will only defeat the purpose, making the employee demotivated and pushing them towards even lower levels of confidence and motivation. Furthermore, it will negatively impact your organization from an employer brand perspective. It can also create a negative impact on the wellbeing of your employees.
While delivering the review, you may want to add some personal stories or anecdotes if you have yourself been through something on those lines. This will help you connect better with your employees and make them trust you more. Furthermore, it can enable you to illustrate how they can turn poor performance into something better with a live example in front of them.
Your negative review shouldn’t be a monologue where you deliver what you have written with the employee absorbing it as a passive recipient. Instead, make it a dialogue by putting forward questions to understand the reasons behind poor performance and how you and the organization as a whole can help turn the table. Hearing their side of the story is extremely important before deciding on the next steps.
When you are delivering negative employee reviews, you need to create a safe environment. It should not be harsh and the employee should feel comfortable in receiving what you have to offer. Also, make sure you deliver the review privately and not publicly shame your employee. They should see it as a developmental conversation in a safe environment, where they can also voice their opinions.
Finally, negative employee reviews need to be regular and not come as a surprise to your employees at the end of the year. Regular reviews will give your employees enough room to improve their performance. Furthermore, it will give them a clear picture of what to expect when the year closes.
To learn how SuperBeings can help you have guided conversations around negative performance review with AI recommendations based on performance and goals history as well as maintain a steady cadence to maximize the impact of such conversations, see this
After you have delivered the negative reviews to employees, the natural next step is to create a plan for improvement to help your employees reach the level of performance you expect out of them. This is a critical part of the performance management and talent development process for employees who have been consistently underperforming. Here are a few ways you can help your employees improve their performance.
If you have reached this level of negative employee reviews, you and your employee would be on the same page about their level of performance. Thus, it is best to create a list of action items that can help them improve their performance. To create the next steps, you must:
Next, your focus should not only be on planning the action items, but documenting them as well, because once they are out of sight, they’ll be out of mind. Furthermore, documenting them will help you remember the agreed steps and track progress every now and then.
Clearly document what needs to be achieved, by when and how. It can be a good idea to encourage your team members to constantly document their experience as well to help discuss what has been working well and what needs to improve.
Depending on the performance issue, you may want to introduce a performance improvement plan for your employee. It is a formal tool to address performance challenges which outlines specific goals and expectations along with clear actions that need to be undertaken over a duration of 30-90 days.
For more details on PIP, check out A guide to implementing a performance improvement plan (PIP)
You also must set up a cadence to discuss performance improvements or challenges once the next steps are agreed upon. Unless you connect regularly to discuss the status, you might find yourself at square one at the end of the next performance review period as well.
Depending on what needs to be achieved, you can set a weekly, fortnightly or monthly cadence to connect with your poor performers. While it may be seen as a regular review, it will also act as a reinforcer for them to ensure there is some improvement everytime the cadence to meet comes up.
When you are determining the next steps, it is important to identify the associated metrics as well. For instance, if you want your employee to become more detail oriented, your metric can focus on reduction in errors by a specific percentage over a specific duration of time.
The metrics will help you measure whether or not there has been an improvement in the performance as desired or not. At the same time, the metrics will help your employee move towards a specific goal.
While you have a set cadence, you may also want to check-in or follow up from time to time to make your employee comfortable enough to reach out to you in between your cadence for connecting. The follow ups can be over emails or calls or simple messages to check if everything is on track and to offer them any support whichever is needed. Especially in the beginning, you may need to check from time to time in case there’s any additional support that the employee needs to work on the action items.
Finally, to ensure that your negative employee reviews translate to impact, you must focus on evaluating progress. Use the metrics you defined to gauge the level of progress and document it whenever you evaluate the same. This will help you establish a trend over time.
Furthermore, if you feel the progress is below expectations, try to understand the rationale behind the same to check if putting the employee on a performance improvement plan will make more sense.
By now, you must have gained a clear understanding of how to write, deliver and follow up on negative employee performance reviews constructively. If you are keen to learn how best to connect negative performance issues with regular 1:1 meetings with your team members with technology, book a quick demo with one of our executives. We would love to show you around :)