Employee Onboarding Benefits serve as the driving force that propels growth and helps businesses achieve its goals. Nevertheless, numerous businesses fail to recognize the significance of a meticulously designed process for welcoming and integrating new employees. The early phase of employment plays a vital role in nurturing enthusiasm, efficiency, and the general welfare of the workforce.
In this post, we’ll examine the numerous benefits of establishing a structured employee onboarding process and how it results in a more wholesome and effective team.
What is Employee Onboarding?
Employee onboarding encompasses much more than just the initial day of an employee. It encompasses the complete journey of preparing new hires, starting from the moment they sign their offer letter until they are fully prepared to assume all the duties associated with their position. Furthermore, the influence of onboarding extends well beyond the commencement date, as the onboarding experience of employees significantly influences their likelihood to stay with the company, their level of engagement, their productivity, and even the culture within the organization.
- Higher Employee Engagement
The initial weeks following the recruitment of a new staff member represent a pivotal period for fostering employee engagement. A well-structured onboarding program stands out as an effective means of channeling their initial enthusiasm and excitement into enduring motivation and heightened productivity. According to Gallup research, 70% of employees who report having had a positive onboarding experience would affirm that they hold the “ideal job.”
Employee engagement is the foundation of any flourishing business. An organized onboarding procedure can encourage a sense of commitment and belonging right away. By introducing new hires to the company’s culture, values, and mission, it establishes the foundation for a pleasant employee experience. Organizations can stress the value of each employee’s contribution to the overarching objectives and vision throughout the onboarding process. Organizations can create a strong sense of purpose and encourage active engagement by giving new hires chances to communicate with their coworkers, managers, and company leaders. Employees who are engaged are more likely to be motivated, successful, and satisfied, which improves general well-being.
- Higher Employee Retention
Employee turnover not only incurs expenses but also disrupts the overall harmony within the organization.
Recruiting and integrating new employees into the workforce comes with significant costs, and the expense of replacing them can amount to 40% of their annual salary. The financial burden becomes even more substantial when new hires depart within a short span of weeks or days after starting, and some may not even show up for their first day, as discovered in research by Lighthouse Research & Advisory.
Effectively onboarding employees has been shown to be a reliable method for retaining them, with some companies experiencing an impressive 50% increase in employee retention rates. Successful onboarding necessitates recognizing that it should commence prior to an employee’s actual start date. It involves establishing contact with new hires once they’ve accepted the offer letter and informing them of what lies ahead: who they will be in touch with, any tasks to be completed before their first day, and what to anticipate on their initial day at work.
A well-structured onboarding procedure is instrumental in helping new employees transition into their roles smoothly. It ensures they don’t dive into their responsibilities without adequate context, introduces them to their colleagues, and acquaints them with company protocols. The ultimate aim is for employees to feel empowered, enthusiastic about making contributions, and well-prepared, all thanks to a solid foundation of trust and knowledge established during the onboarding process.
- Increased Productivity
A well-structured onboarding process incorporates performance expectations for new employees, offering several advantages:
- ensures that every new employee has a uniform experience that is tailored to their job
- aids new hires in understanding how to succeed and adhere to onboarding objectives
- enables recruiting managers to determine whether new hires are ahead of schedule, on track, or falling behind in order to provide individualized feedback and support.
According to Harvard Business Review, formal onboarding can boost new hire productivity by up to 62%. Making a plan and sticking to it removes uncertainty for new hires, recruiters, HR, and hiring managers. So that new hires can concentrate on learning the ropes, key players can efficiently and accurately handle the administrative portion of onboarding.
- Stronger Company Culture
New employees should not experience their first day as if they’ve been dropped into unfamiliar terrain without a guide. This can lead to feelings of disconnection and uncertainty instead of providing reassurance that they’ve made the right decision in accepting your job offer. Additionally, just because they make it past the initial 90 days doesn’t necessarily mean new hires are a complete success. Losing employees before six months, or even a year in certain roles, can result in high turnover within your organization.
Implementing a standardized onboarding process for new employees ensures that everyone has access to the same resources and support, promoting their success. An onboarding plan creates a welcoming and valued atmosphere for each new hire while helping them grasp how their contributions align with the company’s objectives. Building a shared sense of purpose, transparency, and trust during the onboarding process facilitates the integration of these values into the company’s culture.
- Outstanding Employee Experience
When new hires accept your job offer, it’s likely because they had a positive candidate experience and anticipate the rest of their employee journey to be equally as good, if not better. An unorganized or non-existent onboarding process can leave new employees feeling bewildered and lacking in confidence. Furthermore, it significantly hinders their ability to learn their job responsibilities and meet productivity targets, ultimately leading to underperforming employees.
Conversely, a well-executed onboarding procedure bolsters new hires’ confidence in their decision to join your company and instills enthusiasm about their potential contributions in their roles. A structured onboarding process communicates to new hires that your organization values their long-term commitment and provides them with insights into what to expect throughout their tenure, thereby setting a positive tone for their overall employee experience. Consequently, enhancing your employee onboarding experience constitutes an investment in the entirety of the employee journey.
Bottom Line
When your small business starts to grow, HR becomes vital. You need someone who can help improve employee engagement and retention, a partner who will take care of payroll taxes and health insurance while you focus on your customers.
SW HR Consulting has been helping companies to build their teams and values for over 10 years. Contact us to find out more about our unique hr outsourcing services and see how our expertise can benefit you.
