Doug Dennerline, CEO of Betterworks
We tend to think that the Great Resignation is hitting everyone equally, but what we see in this data is that employers need to consider real change to retain their talent.
MENLO PARK, Calif. (PRWEB) May 10, 2022
Betterworks, the leader in modern performance management software, today released its first annual research report for HR professionals: The State of Performance Enablement: Redefining performance management to develop top talent and reduce churn.
Almost half of the employees surveyed in the report (46% ) say they are planning to look for new jobs in the next year. These employees are more likely to be running from companies to get away from their old job (72%) rather than toward exciting new opportunities (28%). Career goals and advancement are high on the list of reasons employees have resigned, but nearly 1 in 3 of those who have stayed say they could still be lured away by better career development opportunities.
“Voluntary turnover is not inevitable,” said Doug Dennerline, Betterworks CEO. “We tend to think that the Great Resignation is hitting everyone equally, but what we see in this data is that employers need to consider real change to retain their talent. Employees are telling us they like their companies, but if they aren’t enabled to perform and don’t get the career development they need, they are leaving anyway. Companies who are focused on what employees want — development, feedback, and career growth opportunities — will see lower levels of churn.”
The survey found that employee experience and satisfaction are significantly impacted by inadequate performance and feedback processes. Respondents demonstrated a clear appetite for more agile goal setting, 1:1 feedback, and more frequent career development and growth conversations. Nearly half (48%) of survey respondents say they feel “trapped” by out-of-date goals by the end of the quarter or year. And people who feel trapped in goals also say they don’t like working at their companies, are less likely to think they’re working on the right things — and are more likely to be looking for a new job.
Employees who check in more frequently with their managers on goals and growth were less likely to say they are looking for work and more likely to be looking internally for career opportunities. However, more than half of respondents say they do not have these conversations more than twice a year.
Dedicated technology also represents a real opportunity for companies hoping to ensure a positive employee experience and retain their talent. Nearly 60% of employees say they do not have a helpful tool to document career goals and determine the skills needed to reach them. The survey also found that having underperforming tools for performance enablement can be worse than having no tools at all.
“The survey found that a lack of good performance enablement processes and technologies strongly correlates with employee turnover intent,” said John Schneider, Betterworks CMO. “Companies that are not investing in or giving employees what they need to do their best work will continue to struggle with churn. Employees who have ongoing check-ins with their managers, which include discussion of their career development goals and plans, are much more likely to be satisfied, engaged, and planning to stay with their employers.”
Additional key insights and findings from the report include:
- All-in-one systems aren’t cutting it: Only 20% of managers who use feedback and goal setting in the same software they use for payroll and benefits say that such a broad solution is able to always meet the needs of their team. Similarly, only 16% believe their HCM is always capable of supporting employee feedback and goal management.
- Existing calibration processes are insufficient: Less than half of managers say they have a fair, transparent, and effective tool for calibrating, auditing, and balancing reviews and rankings.
- Succession planning is subpar: Only 1 in 3 managers say they have an effective way to plan succession on their teams.
Read the full report to learn more.
Survey Methodology:
The Betterworks Performance Enablement survey was conducted by Betterworks® from February 16-23, 2022. This is the first annual deployment of this survey. The final sample of the survey was composed of 2506 randomly selected fully employed persons (aged 18 or older), balanced for gender and age, who are employed at organizations with a staff size of 500 or more employees. Respondents were randomly provided by independent market research firm SurveyMonkey, with 1520 respondents from the US and 986 from the UK. The survey had a margin of error of +/- 3 percentage points at a 95% level of confidence.
About Betterworks:
Founded in 2013, Betterworks develops best-in-class performance management solutions that enable exceptional results and put employee experience at the heart of how companies align, motivate, retain and develop their people. Unlike monolithic legacy HR technology, Betterworks’ lightweight and enterprise-ready SaaS solutions for check-ins, feedback, employee engagement, and recognition are built to scale for businesses of all sizes. Our customers’ employees are proven more engaged and satisfied in their roles, which is why industry leaders like Intuit, Freddie Mac, Asurion, Udemy, Vertiv, HCSC, and the University of Phoenix rely on Betterworks to manage and enable performance. Betterworks is backed by Kleiner Perkins, Emergence Capital, and John Doerr.
For more information, visit http://www.betterworks.com.
