Using Digital Onboarding Solutions to Reduce Involuntary Turnover
24 October 2018
Onboarding solutions are offering more and more everyday. It’s time you reviewed how new employees are onboarding into your business to ensure it’s as efficient, compliant and engaging as it can be.
There are few instances in the employee lifecycle as important as the onboarding process into their new role. This is the time when employees are most engaged and focused on becoming a part of the team, so let’s maximise this opportunity and use the enthusiasm for best results!
The onboarding process today covers both pre-employment and post-employment and offers a seamless candidate experience.
Pre-employment onboarding includes:
- Offer and contract creation, approval and notification to candidate
- Candidate acceptance, tax, banking, superannuation, and eligibility
- Candidate questionnaire for other information (e.g. next of kin, uniforms)
- Policy acceptance
Post-employment onboarding covers:
- Day 1 readiness for all people involved (e.g. IT, payroll, HR, managers)
- Induction and orientation
- First 30, 60, 90 day programs
Why invest in efficient onboarding?
Having an efficient onboarding program has the following benefits:
- Improves new starter engagement
- Increases communication
- Drives automation and reduces manual entry, duplication and data errors
- Eliminates printed paperwork
- Speeds up offer process, ensuring the selected candidate accepts your role instead of your competitors
- Sets the expectation of the candidate that you are a great business and reinforces their decision to select you
- Reduces early involuntary turnover, increasing retention rates
Here are our top 8 reasons why implementing a digital onboarding solution is both the easiest and best option:
When a new employee starts out with your company and sees how easy their onboarding is, they’ll be impressed, and become confident they’ve chosen a forward-thinking business.
Introduce new employees to current staff and present information about your business before day one. This leads to greater transparency, communication and collaboration, and removes frustration from onboarding process improving new employee engagement
- Save Money and the Environment
Paperless onboarding saves money, as information is stored electronically. This reduces the need for paper, ink, filing storage space, pens, paperclips, and many other expenses that add up, however most importantly, valuable time. Paperless onboarding also eliminates physical materials and saves money – reducing your environmental impact.
Candidates supply the information you require and no information means no acceptance. An audit trail is automatically created that makes it easy to show when materials were delivered, reviewed, accepted, and filed.
Digital onboarding is performed using the internet and mobile phones, forms and orientation materials can be sent to employees instantaneously after hiring decisions have been made. Reducing the time to fill even further.
- Automated Notifications
Today’s solutions completely automate notifications such as acceptance of the agreement to line manager, HR, IT and Payroll; reminders can also be scheduled for the new starter via SMS two days before starting, reminding them where to go and what time and also when a new hire’s probation period is ending.
- Form Validation
Online forms contain inbuilt validation. For example, your tax file number can be easily checked as a valid number, and invalid numbers are rejected. Similarly, BSB codes and superannuation fund USI numbers can be easily checked. Bank account numbers can be checked (they are actually a number!), including correct length (how many times has an employee entered their VISA number for their bank account?!).
The most efficient onboarding software solution will at a minimum be connected to your recruitment, HR and payroll systems. But also ideally to the rostering, timesheet (if not included in HR or payroll systems), CRM, ERP, security, and Active Directory. Modern digital onboarding solutions have many connectors and can integrate to almost anything.
Don’t waste your recruitment dollars!
It takes time and resources to attract talent, so it makes sense that you ensure you have a great onboarding experience for new hires. In a recent survey, 36% of new starters said they did not have basic equipment such as a computer on their first day. This caused them to feel like they were joining an unprofessional business and can lead to rehiring or negative feelings about their decision.
Businesses that do not invest in their employee onboarding process may experience higher staff turnover. Research shows that 23% of employee turnover happens before the employee’s first anniversary and that the organisational cost of replacing an employee is up to 3 times the employee’s annual salary .
Increase Employee Engagement and Retention
A well-executed onboarding strategy has a positive effect on new hires and should lead to greater employee retention, which reduces costs of re-employment. Recent statistics show that 69% of new hires are likely to stay with the company for 3 years if they have a positive onboarding experience. Further statistics have also found that 33% are more likely to look for another job in the first 6 months based on a poor onboarding experience.
Since 2003 we’ve helped hundreds of businesses across Australia with their business operational, compliance and engagement strategies by providing the HR tools to drive efficiency and ultimately make your life easier, allowing you to add real value to your business. Complete our Contact Us for and we’ll call you to discuss your needs and how we can help.