A Back Office Silent Killer: Employee Turnover Impact on Staff

How Organizational Turnover Affects Your HR Staff & How to Fix it

 

 

The average American worker will ​​change jobs approximately every four years, according to reports on employee tenure from the Bureau of Labor Statistics. Some may get promoted to new positions or leave their employer for bigger salaries, better benefits, or more flexible schedules. Others may leave because they’re burned out and want a less stressful environment, more opportunities for advancement, or to have a greater social impact on the causes they care about. 

 

Whether it’s an internal change or true turnover, employees changing jobs or careers can be great for them but can be daunting for the team left behind. Oftentimes, this has a significant effect on back-office employees responsible for offboarding existing team members, coordinating final paychecks, terminating benefits enrollments, and updating the company organization chart. 

 

Many traditional HR management tools rely on siloed data, inflexible workflows, and tons of manual data management.  These elements can add unnecessary costs to HR operations and take HR team members away from higher priority tasks or opportunities to bring more strategic value to their organizations. As a result, HR executives hoping to ease the burden on their overworked, underappreciated teams may be inclined to seek new tools and technologies like integrated human capital management (HCM) platforms with expansive capabilities to simplify their daily operations.

 

More movement, more problems

Employee movement is an inherent challenge to businesses and one that shows no sign of slowing down. Surveys show that approximately 25% of US workers plan to leave their current positions for a myriad of reasons when the pandemic subsides. 

 

The anticipated increase of employee turnover will not only dramatically increase the cost of running the business — as much as 54% of an organization’s annual payroll, according to SHRM and other sources — but will also significantly increase the amount of work an already overburdened HR staff has to take on each day. 

 

Generally speaking, every departing employee requires offboarding, and new employees require all new records, onboarding and training. In addition to that, employees changing departments may need a combination of all three. 

 

Every aspect of that movement has corresponding data entry or management requirements, and when that data is housed in multiple software tools and/or locally saved spreadsheets, it can seem nearly impossible for teams to get it all entered quickly, accurately, and completely. 

 

Worse, the disparate nature of that data makes it exceedingly difficult to report on it, leaving department managers and business executives with little insight or trustworthy information about the state of their workforce and how best to address both the causes and the outcomes of employee movement. 

 

As HR teams try to position themselves as a strategic business planning partner to executive and finance teams, HR and business executives need on-demand access to rich, accurate, and complete information about every department and function across the organization so they can quickly address short-term business needs and have a clearer picture of what individual teams might need months down the road. 

 

Position management to the rescue

Extensive manual data management can put businesses at a distinct disadvantage. More comprehensive, fully integrated, and cloud-based HCM platforms can eliminate many of the hassles and inefficiencies that spreadsheet and single-use tool approaches create. 

 

These next-generation solutions feature a position-first architecture that brings much-needed clarity, transparency, and stability to an otherwise challenging situation for overwhelmed HR teams. 

 

Using conventional HR software and spreadsheets, HR teams can be found stuck recreating a record from scratch whenever an employee joins, leaves, or changes positions. In contrast, a position-based solution ties essential data like reporting structure, pay rate, benefits eligibility, and others to the position itself, rather than to the person who presently holds the role. 

 

Since all the positional data resides in a single, centralized database instead of multiple disparate sources, HR teams can leverage advanced workflows to automatically update information simultaneously across multiple forms and fields in a fraction of the time as doing so manually across different systems, and with virtually none of the errors common to manual data entry. 

 

Now, instead of working overtime updating a spreadsheet and another reporting tool and risking serious burnout that might compel turnover of their own, HR operators are free to pursue more strategic activities that can help reduce overall churn and better prepare the company for future success. 

 

They can tap into the rich data analytics and dashboards to slice and dice data — accurate, complete, and reliable data — to uncover previously hidden operations shortcomings hurting the business or new opportunities to gain competitive leverage. They’ll be able to glean whether staff turnover is due to poor onboarding and performance management, problems with particular managers, or if their employees are simply overworked and underappreciated to the point they seek out a different culture and professional environment. 

 

Position management-focused HCMs help to eliminate the critical blind spots that leave executives guessing about the health of their operations, and the tedium that renders HR team members as data entry specialists, wasting their considerable insights and business-critical skills. 

 

Next-generation HCMs like SyncHR HCM deliver accurate, complete, and reliable workforce data — historical, present, and even future — that HR, line of business, and executive leaders need to find effective (perhaps even innovative) solutions to employee turnover without the burnout, frustration, waste of valuable time and resources. 

 

Download “Position of Power” to learn more about position management and how a position-based HCM architecture can bring greater visibility, context, and  new staffing and business opportunities to your organization. 

 

 

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John Cuellar

John Cuellar

John is responsible for SyncHR’s product, engineering, and system operations teams. He is focused on streamlining the business processes related to HCM and finance by distributing SyncHR to all members of the workforce and by using patented security and workflow to control these developments. John is also responsible for delivering SyncHR as a cloud based application with “extreme ratio” financial metrics.

He has a background in engineering, workplace applications, and business administration, bringing over 25 years of experience deploying strategic HCM applications. Prior to co-founding SyncHR, John was the CEO of Harbor Technologies, since acquired by Mellon Financial Corporation. Previous to Harbor Technology Group, he spent an internship with the Swiss Bank Corporation in their derivatives pricing and trading group and also worked as a senior manager for the US Navy. John received his Bachelor of Science degree in Electrical Engineering from the University of California at Santa Barbara, and his Master of Business Administration from the Haas School of Business at the University of California at Berkeley.

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