It’s been said that ‘home is where the heart is’. When it comes to an organization, it’s people make up the heart. Work, check; place, check; pay hike, check and office they say. Be it sole-proprietorship, partnership, joint-stock, all initiates with money, material, machinery, method and men (women too, of course!). The fact is that every organization grows and spreads gradually along with the employees. Recruitment and selection are but processes. Processes, that are meaningless if employees are not given the importance that they deserve once they’re got on-board. The identity of every organization is ingrained in its people. That is why the “People First” philosophy needs to be instilled into the very DNA of every organization.
Research and experience clearly point towards the fact that investing time, effort and money into increasing happiness at work is the surest way of increasing productivity. The cost of replacing an employee typically ranges from one to three times his or her annual salary. Thus, retaining talent is of prime importance. Especially in a time like ours where competition is fierce and while you may think that there are enough applicants to choose from, it would be unwise to forget that these applicants also have a wide array of companies to choose from. That is where your organizational culture and employer brand identity come into play.
According to a recent analysis done by investment firm Frank Russell Co for the Great Place To Work Institute, money invested in a portfolio of stocks of Fortune 100 Best Companies in 1997 and held through 2003, returned almost three times more (72.9% return) than the same amount invested in an S&P 500 portfolio (25.2% return) during this six year period. Customers, contractors, advertisers, other agencies, shareholders, & valuation fluctuate but the employees have the ability to hold the organization together through all of that. Employees often look to their organizations to satisfy their social needs and self-esteem needs. Making sure employees are happy and satisfied with the job, the working environment, remuneration, and most importantly the sense of belonging goes a long way in making them realize that you put people first.
That is thus where your priority should be – your people. No matter what strategic planning you do, no matter what breakthrough technology you adopt, no matter the kind of mergers and acquisitions your company goes through, without a happy and motivated workforce, your organizational machinery would come to a sad halt.
How do you make sure that you always put people first? Let us know at [email protected]