Employee Onboarding Presented by Susan Ward, PhD Human Resources Association of Central Connecticut February 27, 2014
Tonight s Discussion Why invest in Onboarding Onboarding vs. Orientation What to consider for effective Onboarding Success factors Components from AMI Onboarding work Q&A Q 2
3 Introduction How many have Onboarding programs at their company? Is your program run by HR? How is Onboarding perceived in your organization?
4 Perspective How you onboard people will help set you both up for a great relationship.
5 Why invest in Onboarding?
Poor Onboarding has a negative impact on Engagement. Discretionary Effort 1 7 out of 10 workers are not engaged Productivity 2 Time to proficiency 4 to 26 weeks Retention 3 22% of staff turnover occurs within first 45 days 1 State of the American Workforce, Gallup 2013 3 Wynhurst Group, 2007 2 MIT Sloan Management Review, Winter 2005 6
Poor Onboarding has real financial costs. Cost of Turnover 1 ½ to 2x an employee s annual salary Cost of Lost Productivity 2 (due to new hire and transfer learning curves) 1 2 ½% of total revenue 1 SHERM: Onboarding New Employees Maximizing Success 2011; CAP Study Nov 2012 2 Mellon Financial Corporation Study 2005 7
Effective Onboarding has a real positive impact. Productivity 1 Effectively Onboarding new employees can improve job performance by up to 11% Retention 2 Participants of structured Onboarding programs were 58% more likely to be with an organization after 3 years 1 Corporate Executive Board Recruiting Roundtable Survey 2005 2 Wynhurst Group 2007 8
Effective Onboarding has a real positive impact on the business. Business Metrics 1 Onboarding can improve Customer Retention by 12-16% and Revenue per FTE by 9-17% 1 Aberdeen: Onboarding 2013: A New Look at New Hires Q:E 9
What s your experience? At your table, talk with your neighbor to describe an Onboarding disaster that you ve experienced OR a great experience What contributed to it? Q 10
11 What are the differences between Orientation and Onboarding? Characteristics of Orientation Programs
12 Characteristics of Orientation Programs Occurs on employee s 1 st day or 1 st week Several hours to 1 or 2 days One time event Focuses on New hires Addresses important paperwork Usually run by HR
13 What are the differences between Orientation and Onboarding? Characteristics of Orientation Programs Characteristics of Onboarding Programs
14 Characteristics of Onboarding Programs Starts before employee s first day Fully integrates the employee in the organization and role Maintains continuity and culture 90 days 1 year Designed to engage and motivate Success requires a collaborative effort
15 Orientation vs. Onboarding Orientation Onboarding Transactional Legal and Accounting W2 and legal forms Employment contract Direct deposit Company Security Regulatory Requirements Safety videos Training dates Human Resources Benefits Company information Vision History Who s who Company resources Logistics Office/cubicle Computer Phones/voicemail Relational Role relevance Expectations Partnering Performance objectives Goals Networking How to Coaching Support
Onboarding helps a New Colleague learn key aspects of the organization. Business orientation Expectations alignment Political Landscape Cultural adaptation M. Watkins 2010 16
17 Purpose of an Onboarding Program A way to manage transitions for new hires and transferring colleagues. Good stewardship of your investment in a new colleague. Maximize cultural fit with the business objectives and values.
18 A person s ability to integrate into an organization says more about the culture than about the individual.
19 Developing an Onboarding Program
What are your goals for the Onboarding program? OBJECTIVES SCOPE ROLL-OUT Align with culture and business strategy Engagement and Retention Productivity Learning and Development Organization Department Role New program or redesign? Use of technology? Existing systems? 20
Identify the project parameters you have to work within. Budget Timing Resources (internal vs. external) Program ownership Business sponsorship/alignment Stakeholder support Other. Q 21
22 Question Who do you think should have a formal role in Onboarding a new hire or a transferred colleague?
23 Onboarding requires collaboration and the New Colleague is the main driver. Hiring Manager Human Resources New Colleague Onboarding Partner Administrative Assistant
24 Decide what components to include. DATA GATHERING Interviews Surveys Focus groups INVESTIGATION External: Websites, programs, documentation Vendors
Depending on your goals, decide what content areas to include, such as Vision, Mission and Values Business Objectives Short-term Goals/Milestones Professional Development Cultural components Organization, Roles and Responsibilities Resources Relationships and Networking Regulatory Requirements/Training Q 25
26 Question What factors are required successfully develop or implement an Onboarding program?
Examples of Overall Success Factors Organizational commitment Business alignment Include the relationship as well as the tactical Quality and relevant content: maintain process Marketing and Communications Follow Up: Ensure usage Elicit feedback Measurement 27
28 The AMI Solution Onboarding Program Experience
Components from AMI Onboarding programs: Roadmap or schedules Check lists Easy-to-reference information Step by step processes Relationship map Learning log Other: specific tools based on client goals 29
30 Questions?
31 Thank you! Susan Ward sward@theamisolution.com