Although many businesses may think the best course of action is simply terminating unproductive executives, we suggest otherwise. Casey Kraus, EVP of TempWorks Software, has noted that while eliminating underperforming higher management can sometimes boost results in meeting the bottom line, too much turnover at the top can be detrimental to the overall health of a company – and where it is going. Executive and leadership turnover can hinder productivity in two ways:
- Anyone who has worked in a company long enough to make it to a leadership position acquires certain knowledge of the organization’s goals as well as how things generally operate. Although this knowledge seems trivial, introducing a new executive to the organization necessitates bringing that individual up to speed. Whether it is learning about the company’s clients, establishing inter-industry relationships or simply understanding company practices and protocols, this onboarding process takes time. Meanwhile, you wait on getting the support and answers you need for your business.
- The other problem with high executive and management turnover is that employees often become discouraged and confused. Workplaces are social structures and rely on a sense of trust and teamwork. However, if an employee like Sam (the person you call every day for software support that works overseas), is frequently adjusting to new leadership, then he cannot build the required trust that is needed to provide you the support and experience you expect. All this turnover can negatively impact the work place which will trickle down to you. Employees need to be able to trust and respect their leadership, but if there is a revolving door of talent, it becomes difficult to do so.
Is the support you are getting from your software provider enough? Do you know the future of your staffing software and how it will evolve?
At TempWorks, we are continuously in the business of promoting within. We focus on engaging our employees to maintain an industry high tenure – currently at 4.5 years, and investing in a large pool of talent to serve you now and into the future. All of this is driven by experienced and tenured leadership.