[font=Verdana","sans-serif]Nearly half of respondents believetheir ideal turnover would be 10% or less, and one-fifth consider it 10-20%. Almost one-third of respondents do not know what is best for their organization. [/font]
[font=Verdana","sans-serif]Is there an optimal level of turnover at your organization?[/font]
[font=Verdana","sans-serif] [/font]
[table] [tr]
[td]
[font=Verdana","sans-serif]0-10 %[/font]
[/td]
[td]
[font=Verdana","sans-serif]46%[/font]
[/td]
[/tr]
[tr]
[td]
[font=Verdana","sans-serif]10-20%[/font]
[/td]
[td]
[font=Verdana","sans-serif]19%[/font]
[/td]
[/tr]
[tr]
[td]
[font=Verdana","sans-serif]20-30%[/font]
[/td]
[td]
[font=Verdana","sans-serif] 4%[/font]
[/td]
[/tr]
[tr]
[td]
[font=Verdana","sans-serif]Greater than 30%[/font]
[/td]
[td]
[font=Verdana","sans-serif] 2%[/font]
[/td]
[/tr]
[tr]
[td]
[font=Verdana","sans-serif]I don’t know[/font]
[/td]
[td]
[font=Verdana","sans-serif]29%[/font]
[/td]
[/tr]
[/table]
[font=Verdana","sans-serif] [/font]
[font=Verdana","sans-serif]“In reality, employees always come and go, and some managers pay closeattention to what happens, while others appear not to,” said [/font][font=Verdana","sans-serif]Sandi Edwards, SeniorVice President of AMA Enterprise, [/font][font=Verdana","sans-serif]which provides organizations with assessment, measurement and tailored trainingsolutions. “Certainly no company wants or could achieve zero turnover, and every organization needs new people, new ideas, new energy. But runaway turnover can be a nightmare with skyrocketing recruitment and training costs, causing significant impact on the rest of the organization.”[/font]
[font=Verdana","sans-serif] [/font]
[font=Verdana","sans-serif]Moreover, employee turnover varies by industry, acknowledges Edwards. “Eachorganization must find what works best and seek the right equilibrium. What surprises us among the findings is the vagueness on the very subject of turnover. For instance, too many managers don’t seem to have a clear fix on what’s happening, and presumably on the relating costs, fiscal and otherwise.”[/font]
[font=Verdana","sans-serif] [/font]
[font=Verdana","sans-serif]Does your organization track annual employee turnover?[/font]
[font=Verdana","sans-serif] [/font]
[table] [tr]
[td]
[font=Verdana","sans-serif]Yes, we have a formal process[/font]
[/td]
[td]
[font=Verdana","sans-serif]42%[/font]
[/td]
[/tr]
[tr]
[td]
[font=Verdana","sans-serif]Yes, we have an informal process[/font]
[/td]
[td]
[font=Verdana","sans-serif]29%[/font]
[/td]
[/tr]
[tr]
[td]
[font=Verdana","sans-serif]No[/font]
[/td]
[td]
[font=Verdana","sans-serif]12%[/font]
[/td]
[/tr]
[tr]
[td]
[font=Verdana","sans-serif]I don’t know[/font]
[/td]
[td]
[font=Verdana","sans-serif]17%[/font]
[/td]
[/tr]
[/table]
[font=Verdana","sans-serif]“Forty-two percent oforganizations appear to have a good understanding of the comings and goings of employees,” said Edwards. “Another third tell us they have ‘informal’ ways of doing so, which at the very least demonstrates a lack of clarity. On top of that, 12% told us they don’t track turnover, and 17% of these managers admit they don’t know if their organization tracks it at all.”[/font]
[font=Verdana","sans-serif]According to Edwards, the survey findings cast light on anall-too-common gap between a company’s declared commitment to employees and the steps actually taken to support that commitment. “Annual turnover is another way of looking at retention. An organization doesn’t want to retain everyone, but a healthy organization should want to retain the great majority of its workers. Addressing turnover needs to be a priority and driven by the most senior levels of management. It requires a partnership between management and HR. In particular, managers needto be[/font][font=Verdana","sans-serif]sure they have identified the critical talent needed for future success and make every effort to retain and develop those employees.” [/font]
[font=Verdana","sans-serif]The survey was conducted from December18 to January 6 and respondents consisted of 977 management professionals drawn from the AMA database of contacts. [/font]
[font=Verdana","sans-serif]With more than 85 years’ experience andheadquartered in New York, [/font][font=Verdana","sans-serif]American Management Association[/font] [font=Verdana","sans-serif]is a global leader of comprehensive talentdevelopment. AMA Enterprise, a specialized division of AMA dedicated to building corporate and government solutions, transforms enterprise-wide talent to fuel a culture of innovation, high performance and optimal business results. [/font]
