Supply Excellence — Are You at Risk of Losing Your Top Talent? Take this Quiz to Find Out.

Are You at Risk of Losing Your Top Talent? Take this Quiz to Find Out.

February 27th, 2007 · by Tim Minahan · No Comments · skills rectruitment and development

Concerns over finding, training, and keeping the best talent have reached an all-time high among supply management executives. On the spot to deliver continuous improvements in supply costs and performance and to contribute to corporate value in the form of improved risk management and innovation capture, supply execs report that their teams lack the skills to keep pace with these new demands. Even worse, those that have secured top talent are worried about losing it.

In recent weeks, the supply management talent crunch issue has been at the fore in Aberdeen Group reports, comments from ASU supply chain guru Professor Joseph Carter, and from leading purchasing talent coaches. Over at Services Safari, blog master Brian Sommer provides a list of leading indicators for when your employees may be considering a move.

(Personal side note: Brian is a veteran technologist, consultant, and advisor to the world’s largest enterprises and software firms. I have had the pleasure of collaborating with Brian in the past, and can confidently say that he ranks among the the most knowledgeable experts on professional services and human capital management.)

Here’s Brian’s top warning signals that you may be losing your top talent:

Employees who suddenly show an increased use of sick, vacation or personal days
Employees who exercise stock options, particularly if they exercise all of their options
Employees who get a new boss
Employees who get a new boss and suddenly get a lower than average performance review
Employees who get transferred to a new organization unit against their wishes
Employees who have not had a material raise in 24 months

Brian is quick to point out that one of the leading reasons companies lose “A players” is due to incompetent managers. Says Brian: “Sadly, too many firms promote workers into management or executive roles before these people have demonstrated the ability to understand what truly motivates people, show flexibility when it comes to accomodating great people, and really understand their employees.”

Not surprisingly, Brian also offers a litmus test he uses with potential executive hires:

When was the last time you invited a group of employees to your home for a casual meal?
How often do you take employees out for a bite of lunch?
How many of your employees’ spouses/significant others have you met (and spent some time getting to know)?
Does your car/home look pretentious compared to those of your average employee?

Brian recommends that every manager and executive should be measured on how well they retain people. He says a successful manager should be able to retain staff at least one year longer than the industry average. The reasons are obvious: “When you retain people 12 months longer than average, then recruiting costs plummet and training costs fall,” says Brian. With many supply management organizations orchestrating transformational improvements, employee retention can make or break success.

Email Forward & Bookmarks