Employee Retention

Client Data

- Business Sector: Manufacturing

- Annual Turnover: 16m EUR

- Number of Employees: 95

Task: Vacon should solve employee retention obstacles.

Steps:

During the scoping workshop, the corporate values of the client, the status quo of the

client's company, rough structure, orientation, vision, currently perceived difficulties,

previously tried solutions and their results were presented. In this session, the client

presented the company, and there was a bilateral question and answer session on

general and roughly specific topics. The scoping workshop aimed to enable

Vacon to define the time and budget for an analysis phase, in combination with

determining proposed solutions for the obstacles described by the client, taking into

account for the company's core values along with the company's vision.

The Scoping Workshop was held with stakeholders online as per the client's needs.

After the scoping workshop, the Vacon team evaluated and assessed the relevant results

and communicated the findings. Based on this, an effort estimation for the

corresponding analysis phases took place and was presented to the company for

decision-making. Key Findings:

1. Misalignment with Mission, Vision, and Values:

o The scoping workshop revealed that there was a lack of alignment

between the company's stated mission, vision, and values and the daily

experiences of employees. This misalignment may have contributed to a

decrease in employee morale and engagement.

2. Organizational Structure Changes:

o Recent changes in the organizational structure were identified as a factor

affecting employee turnover and compliance. These changes might have

led to uncertainty, role ambiguity, and potential dissatisfaction among

employees.

3. Communication Gaps:

o Communication breakdowns were observed, both in terms of conveying

the company's strategic goals and in addressing employee concerns.

Inadequate communication channels may have contributed to

misunderstandings and frustration among the workforce.

4. Ineffective Initiatives:

o Past initiatives to address turnover and compliance challenges were

found to be ineffective. The reasons for their failure included poor

implementation, insufficient employee involvement, or a lack of follow-

through on action plans.

5. Data-Driven Insights:

o Analysis of turnover data and compliance records highlighted specific

trends and patterns, such as high turnover in certain departments or a

correlation between compliance issues and specific organizational

changes. These insights pointed to areas where targeted interventions

could be beneficial.

6. Employee Perspectives:

o Employee perspectives, gathered through interviews, revealed concerns

about job satisfaction, work-life balance, and the perceived impact of

recent organizational changes. Understanding these perspectives is

crucial for addressing the root causes of turnover and compliance

challenges.

7. Historical Context:

o The scoping workshop delved into the historical context of the challenges,

exploring whether there were recurring issues or patterns that persisted

over time. Understanding the historical context provided additional

insights into the challenges faced by the organization. Solution Design:

1. Alignment Strategy:

o Developed and implemented a comprehensive strategy to align the

organizational culture, policies, and practices with the company's mission,

vision, and values. Ensured that employees at all levels understood and

felt connected to the organization's overarching goals.

2. Communication Enhancement:

o Implemented measures to enhance internal communication channels.

Conducted regular town hall meetings, provided departmental updates,

and utilized digital communication platforms to ensure effective

information flow throughout the organization. Established feedback

mechanisms to allow employees to express concerns and provide input.

3. Change Management Protocols:

o Established robust change management protocols to mitigate the impact

of organizational structure changes. Ensured clear communication about

the reasons for changes, provided support to employees during

transitions, and addressed any uncertainties promptly. Implemented

training programs to help employees adapt to new roles and

responsibilities.

4. Initiative Revitalization:

o Revitalized existing initiatives aimed at addressing turnover and

compliance challenges. Revisited previous strategies, identified

shortcomings, and implemented corrective measures. Actively sought

employee feedback to ensure initiatives were tailored to address specific

concerns and were well-received by the workforce.

5. Employee Engagement Programs:

o Introduced employee engagement programs to boost morale and job

satisfaction. Implemented recognition programs, provided professional

development opportunities, and initiated programs to enhance work-life

balance. Recognized that engaged employees are more likely to be

committed to the organization and less prone to turnover.

6. Data-Driven Decision-Making:

o Established a system for ongoing data analysis to monitor turnover

trends, compliance metrics, and employee satisfaction indicators.

Enabled the organization to identify emerging issues early on and make

data-driven decisions to address them proactively.

7. Leadership Training:

o Provided leadership training to equip managers with the skills to lead

through change effectively, communicate transparently, and foster a

positive work environment. Acknowledged that strong leadership is

essential for navigating organizational challenges and maintaining a

motivated workforce. Employee Support Programs:

o Implemented support programs, such as employee assistance programs

(EAPs), to address individual employee concerns and well-being. Provided

resources for mental health support, stress management, and other

aspects contributing to overall employee satisfaction.

9. Continuous Improvement Mechanism:

o Established a continuous improvement mechanism to regularly assess the

effectiveness of implemented solutions. Collected feedback from

employees, monitored key performance indicators, and made

adjustments as needed to ensure sustained improvements.

10. Cross-Functional Collaboration:

o Encouraged cross-functional collaboration and communication to break

down silos within the organization. Fostered collaborative efforts to

enhance problem-solving, promote a sense of unity, and contribute to a

positive workplace culture.

Quantity Summary and ROI

Total man hours spend of Vacon: 800

Result: Savings and Capacity increase of 1,280,000 EUR ROI within two years.