According to a study by the Aberdeen Group, 86% of new hires decide whether they want to stay with a company or leave within the first six months. Meaning, your companies first impression is very important.
Losing employees is bad for productivity and the overall costs associated with hiring someone. In a study by the Center for American Progress, they found that businesses can end up spending 16-20% of an employees annual salary just to fill an empty seat with that whole process taking an average of 8 months until a new employee is even fully operational.
Making your new hires feel like they are being supported during their onboarding is critical. But because that can require a lot of effort across departments, things can easily fall through the cracks or not happen at all.
The difference an ECM system makes
Without an ECM system connecting your onboarding process, you have limited visibility, lost efficiency, and poor control. You need to loop in payroll, IT, training, legal, and all of the documentation that runs between each of them. When they aren’t synced together, a new employee might walk in on the first day with no computer or email access making your business seem disorganized and your new employee feeling undervalued.
With an ECM system, all of the documents related to an employee and their onboarding are captured and stored in one system. From there, HR managers can easily access all of the touch points making sure each one is rolling out properly and ready for when they start. This holistic view of the onboarding process is key.
When everything is already automated, your human resources department has the time to focus on engagement programs and retention activities that make them feel welcome during their first few months.
Determining what to change
To start revamping your onboarding process, look at the data you currently have and ask these questions.
- How long do employees stay with your company?
- Why do employees stay or leave?
- How valuable is training?
- Do employees have everything they need to start working on their first day?
If you can narrow down some of the weaker points in your process, you can start there.
For example, if employees are leaving because they don’t have an email ready and set up during their first week that may be something to look at within your IT process. Adding automatic approvals or reminders before a new hire’s first day will help make sure those initial setups aren’t overlooked.
Another common problem is that many employees feel like they aren’t being trained properly or for a long enough amount of time. Having all of the current training plans in one place to send around for input from different departments can help expand that program. Add in questions and approval sections so each department can contribute something and collaborate on new training plans moving forward.
On top that, automating your onboarding process wherever possible will minimize errors dramatically. According to an article in the Wallstreet Journal, More than 55% of I-9 forms have at least one error, each of which welcomes their own average fine of $1,000 per error. In 2015, one event and design production company found themselves owing more than $600,000 in fines due to paperwork errors.*
Organizing the data into one system and limiting the amount of human interaction needed for each form and paper allows you to address issues quickly, locate missing documents, and assure your new hire doesn’t have to deal with any paperwork errors or changes on their first day.
When your onboarding process is automated and every piece is visible from one location, your current staff isn’t running ragged trying to fill the gaps before the new hire arrives. Instead, they can focus on making sure they have a great transition and feel welcomed into the organization.
Learn more by downloading this infographic!