How Can We Lose The Core Backbone?

core staff Reservation is a systematic problem, and systematic problems must be solved systematically.

After more than an hour's interview, M's manpower. Resources Liu Yanmu, the manager of the Department, sent another candidate to leave. This is the fourth candidate for a senior structural engineer. The candidate who has just left has some experience in structural design work in other electronic enterprises, but there is no way to be competent for the urgent design and development work of M company. Manager Liu feels that he still needs to continue to recommend the headhunting company. He picks up the phone and picks up the phone: "Hello, is manager Li in?"

M is an automotive electronics company. Founded in 2000, it began to mainly engage in household electronics, and later turned to the development, manufacture and manufacture of automotive electronics. Sale The products are mainly for China and the Asia Pacific market, with more than 800 employees at present. In 2010, as the financial crisis eased and the demand for labor increased, the turnover rate in the first half of the company rebounded to 20%. The company's sales department, marketing department, design and development department managers and technical engineers have the highest turnover rate, and the turnover of these departments is not what M company wants to see. In addition, the other middle managers are not very stable. The average entry time is less than 3 years. Some even take the initiative to leave in less than half a year. What annoy Liu Yan is that these two kinds of people are very scarce in the talent market, and it is hard to find a suitable one. Sometimes, Liu Yan wants to meet the employment needs by lowering the recruitment standards, but this will lead to criticism from the deputy general manager in charge of human resources work and no approval from the relevant departments. Due to the high turnover rate of key departments and positions, M is likened to other competitors by "Whampoa military academy", which has trained others. How to formulate effective strategies and measures to retain core employees has become an urgent problem for enterprises.

Clearly define core staff

What kind of person is the core employee of an enterprise? What kind of people leave will cause losses to the enterprise? What personnel are the focus and reservation of the Ministry of human resources? Here we need to clearly define the standards of core staff so that we can adopt targeted retention strategies.

1. strategic standards

According to Chandler's organizational theory, the organizational strategy determines the structure of the organization, and the structure of the organization is composed of several posts. Organizations with larger strategic inputs need to set up corresponding strategic positions, and employees in strategic positions play a key role in the future development of enterprises. 10 years ago, M enterprises realized that China's automobile industry will have a long-term development and decisively shift from the household electronics industry to the automotive electronics industry. By acquiring some domestic automotive electronics enterprises, enterprises quickly owned a number of automotive electronic design and development personnel. These people are strategic core personnel in the strategic transformation of enterprises, and they play a key role in the development of enterprises. Facts have also proved that M enterprises successfully completed the industrial transformation benefit from their contributions.

2. performance standards

In the context of establishing a sound performance appraisal system and pursuing continuous improvement in performance, performance is an important criterion for judging employees' value. Those employees with high performance have become the core employees valued by enterprises. The assessment system based on KPI (key performance indicators) requires performance indicators to be decomposed from the overall level of the enterprise to the internal organization and to the employee level, forming a downward pressure on the Pyramid structure. Individual performance and organizational performance form an internal causal chain. Management recognizes that the overall performance of enterprises must be based on the performance of lower level organizations and positions. Employees with outstanding performance will naturally become the core employees that enterprises attach importance to, because their performance is of great importance to the performance of their units.

3. alternative criteria

The standard of strategy and performance standard is to evaluate employees' core staff from the internal level of the enterprise, while the alternative standard is to measure employees from the perspective of external market. According to economic standards, the price of scarce and substitutable commodities is difficult to obtain, and their prices will rise. Employees with irreplaceable characteristics, though they are difficult to become important employees from the aspect of strategy and performance, but on the one hand, they are still necessary for enterprises. On the other hand, these people are hard to recruit from outside talent market, and it takes a long time to cultivate such employees. For example, this year, the M company has made leapfrog development goals. In order to achieve the R & D objectives of enterprises, we need more ordinary developers who have experience in the industry, but these kinds of talents are very limited in the market. Only half of the required personnel have been recruited in half a year, and the gap is still very large.

Core staff loss

The difficulty of core staff retention and high wastage is a common problem faced by enterprises. What are the reasons for the loss of core employees? Liu manager of M selects the core employees according to their strategies, performance and alternative criteria, and surveys their job satisfaction and resignation ideas. The final findings are also useful for other enterprises.

According to the stratified sampling method, 50 questionnaires were distributed, 48 were recovered, and the effective recovery rate was 94%. The main contents of the questionnaire include three parts: (1) basic information; (2) job satisfaction; (3) loss intention and resignation thoughts and reasons.

1. remuneration factors

Consistent with Liu Yan's usual understanding, salary is the most important factor for core employee turnover, but there is a deeper reason. These core employees generally have low job satisfaction, and the reasons for their performance are: (1) lack of regional competitiveness and industry competitiveness. 42% of employees believe that the salary of the company is not competitive in the local market, and 65% of the employees believe that the compensation is not competitive in the industry. (2) income distribution is unfair. 59% of employees believe that their income is not closely related to personal performance, and does not reflect the return on personal contribution. (3) pay adjustment is not timely. In enterprises, a very prominent phenomenon is often noticed. The salaries of new employees are generally higher than those of older workers engaged in similar work. After in-depth analysis, the author thinks that when the enterprise adjusts the salary of the employees, the salary of the old employees tends to be compared with the internal ones, and less refers to the external market, that is, it is mainly compared with the personal income increase and the income of other colleagues; the salary for new employees tends to be compared with the external market. Therefore, once the overall salary growth of enterprises is lower than the increase of external market pay, it is inevitable that the salaries of new employees are higher than those of internal employees. 48% of the employees in M think that the salary adjustment is not in time, most of them are older employees aged 5 years or more.

2. career development

The core staff is in the key position of the enterprise, with outstanding ability and strong career development needs, hoping to have more opportunities and take on more important tasks in the enterprise. This psychological need is not only the result of their core employees but also the reason why they become more important employees. It is this kind of enterprising spirit that keeps them consistently above their performance level, and also makes them more sensitive to any obstacle to career development. In the survey of core employees, M found that compared with ordinary employees, they had higher expectations for career development, and had lower evaluations of the opportunities currently offered by enterprises. 39% of employees felt that the company had no definite promotion opportunities, and 17% of employees did not know clearly. According to Fromm's expectation theory M=V * E, M is the energy that motivates one person; V is the titer, the value of the goal to the individual; E is the expected value and the probability of reaching the goal. The enthusiasm of employees, internal demands, external opportunities. The core employees of M have strong desire for career development, but there are not many opportunities provided by the company, and the probability that employees can realize their professional ideals is not high, so the enthusiasm of employees will be frustrated. The frustration of employees can be sustained in the short term, but in the long run, there is no exit for enterprises, and the possibility of his resignation will increase.

3. sense of achievement

A sense of accomplishment is a feeling of pleasure or success when a person completes something successfully. Core employees have higher requirements for themselves, and hope that their work can achieve their desired goals and have higher achievement motivation. The sense of accomplishment is the feeling that they accumulate through their success in their career development. They are the reasons why they are superior to others. Therefore, frustration or mediocrity is unacceptable to such employees. M's survey showed that 67% of employees clearly indicated that they could accept more difficult jobs, heavier responsibilities and greater pressure. At the same time, enterprises are expected to provide more training opportunities to enhance their professional and technical capabilities.

Core staff retention strategy

1. continuous improvement of human resource management system

The retention of core staff is a systematic problem, and systematic problems should be solved systematically. And the strategy of "headache and pain" is only a temporary solution to the "symptom solution" of the immediate problem, and can not eliminate the fundamental problem. The perfect human resource management system includes a series of subsystems, such as human resource strategy, organization, recruitment, remuneration, performance and staff development. It is simply considered that the core employee retention is a raise, although it can make employees maintain certain stability, but the short-term incentive characteristics with strong salary have limited long-term incentive effect on core employees. Moreover, compared with other employees, if the core employees' remuneration level is high, it is easy to cause internal injustice, resulting in the loss of enterprise efficiency. The overall strategy should be taken as follows:

(1) human resources planning: the type, demand and access channels of core employees.

(2) pay: according to the salary level of the external market, we should adjust the salary level, reasonable salary structure, dynamic pay adjustment mechanism, performance-based pay, management or ESOP.

(3) posts and promotions: dual career development, job rotation, and more internal recruitment for design management and professional technology.

(4) performance: scientific and standardized performance indicators design, goal setting, positive and effective performance feedback.

(5) communication: advocating advanced management "walking management", maintaining direct communication with employees, regular team activities, and open and honest corporate culture.

(6) staff development: providing targeted internal and external training, tutorial system, evaluation and training of subordinates' ability development.

2. stable two-way psychological contract

Unlike the obvious written labor contracts, many enterprises ignore the fact that there are psychological contracts at the psychological level, which means that the commitment between the owners or managers and the core employees has the characteristics of rights and obligations. Sean, a famous American management psychologist, believes that psychological contract is a kind of coordination between individuals' dedication and desire to gain, and the organization to provide for the individual's expectations. There is an exchange of interests between enterprises and employees. This exchange shows that enterprises must satisfy their employees' needs and development aspirations, and employees should also make contributions to physical and mental strength according to the requirements of enterprises. Both sides are convinced that the benefits provided by each other can be rewarded. The psychological contract of employees is based on such a foundation. Enterprise credit is the key, and employee satisfaction is the core. The principle of the change of psychological contract is the principle of reciprocity between input and return, that is, the employee's contribution to the enterprise should be answered in time, otherwise, the contract will be broken.

The performance of two-way psychological contract is that the owners or managers of an enterprise have the right to require employees to pay for the enterprise, make contributions, and also have the obligation to provide remuneration and development opportunities for their employees. They are psychologically responsible for their employees, rather than assets that can be allocated. As employees, they have the right to require enterprises to return their contributions to their own contributions, and also have the obligation to do their best to recognize the psychological identity of the enterprises. The idea of collectivism and collectivism in Chinese culture is deeply affecting employees. If we can establish the concept of "enterprise as the home", it will play a very good role in stabilizing the workforce. Although the concept of "enterprise for home" is set up in concept, it does not mean that employees are the private property of an enterprise, and can be managed according to the paternalistic style. We should always remember that employees are social people, especially for professional managers.

3, create employer brand.

Employment relationship is a commodity trading relationship between an enterprise and its employees. Employees trade in labor, and enterprises pay their salaries. Just like brand is one of the important characteristics of commodities, corporate brand, namely employer brand, is an important factor for employees to recruit employees. A good employer brand can attract talented people, and it can also make the existing employees feel proud from their hearts. This situation is generally reflected in the fact that listed companies have a better impact than non-listed company, and foreign-funded enterprises have better attractiveness than domestic enterprises. This brand benefit is accumulated over a long period of time. It is self-evident that the best employers who appraising each year through various ways will attract and retain employees. Because a good employer brand does not necessarily provide the highest salary in the industry, it can save a certain labor cost for the enterprise. To build employer brand requires enterprises to have standardized management and pay attention to the development of their employees, including occupation, skills and psychology.

4. long-term incentive strategies for the future

Some top managers and important professional and technical personnel in core staff have the value of human capital besides the general human resources. Because of the separation of ownership from management, modern corporate governance needs to solve the principal agent problem. There are two levels of principal-agent relationship in Enterprises: one is the principal-agent relationship between shareholders and managers; the two is the principal-agent relationship between managers and employees. The incentive mode based on salary incentive is always unable to solve the problem of "moral hazard" and "adverse selection" of managers in the course of enterprise operation. The fundamental reason is that the interests of owners and managers are different. The owners hope that assets can be added to value and pay attention to the long-term value of enterprises. Because of the limited nature of enterprises, operators are more concerned about maximizing short-term interests. The most fundamental way to solve the problems arising from the inconsistent interests of the two interests is to solve the problem of the unification of ownership and business operators, and equity incentive becomes the main solution. Shareholders give up part of their shareholdings to managers or important professional and technical backbone, so that they can partly own the ownership of enterprises and obtain the residual claim of enterprises, so that they can be consistent with the interests of shareholders. The main way of equity incentive is option incentive, setting certain conditions, and the granting party has certain right to long-term exercise, so that the personal interests of the granting party are closely related to the interests of the enterprise.

Countermeasures for reducing core staff turnover

1., establish the core staff turnover early warning mechanism.

No matter how good the enterprise can not completely avoid the loss of staff, and even a certain percentage of the loss rate is good for maintaining the vitality of enterprises. The difference between core employees and ordinary employees is that they will have some important impact on the enterprise in the short run or long term. Therefore, when adopting the strategy of "blocking", it is necessary to establish an early warning mechanism, and the human resource management department can discover potential risks in time. The measures can be communicated with people in the talent market, understand the types of talent gaps in the market, the proportion, distribution and historical status of the loss of core staff, the achievement of various departments' performance, the survey of employee satisfaction and resignation intention.

2. properly managed employee turnover management

When the core employees' turnover can not be avoided, direct managers and human resources management departments must be calm and correct. They should not be regarded as cheating or betrayal of enterprises. They should be considered as employees' life choices or even some opportunities, because they may become customers of enterprises, and they can also affect the reputation of enterprises. Therefore, these people must be allowed to leave the company easily, facilitate the separation process, leave interviews and listen to their final voices, so as to improve the management of enterprises, and sincerely welcome them to return to the business any time.

3. the construction of a hierarchical workforce.

The formation of a reasonable echelon of talents can, on the one hand, avoid the aging of employees, and on the other hand, it can reduce the losses caused by core personnel to a minimum. The human resources management departments should train managers and professional technical personnel as an examination content. It clearly indicates that managers who have no successors can not be promoted, and a professional and technical backbone is responsible for serving as mentors for immature employees. To provide opportunities for managerial staff, to take up managerial positions, to provide professional and technical positions for employees who are interested in professional technology, and to establish a perfect qualification management system, so as to form a gradient capability system.