Did you know that up to 50% of new hires who leave within the first six months do so because of ineffective onboarding? Onboarding is therefore a crucial step in the lifecycle of your organization's talent. When this process is effective, it can improve employee retention, accelerate productivity and strengthen the commitment of new employees. But how do you know if your onboarding process is really effective?
In this article, we show you how to measure and optimize your onboarding process with concrete HR data and relevant performance indicators.
Why measure the integration of new employees?
The first reason to measure your onboarding process is that if it's not effective, it can cost you dearly:
New hire turnover: At Kara, we find that over 30% of new hires leave within the first 45 days.
Financial impact: The cost of replacing a new employee who leaves within 6 months is prohibitively expensive.
Lost productivity: Ineffective onboarding delays the full contribution of new employees, in addition to the time it takes for your employees to train them.
Measuring your onboarding process can help you detect weak points, identify what's working well and improve the new employee experience for better organizational results. Here are some performance indicators for evaluating your onboarding process:
New employee retention rate
Why: The retention rate of new employees after 30 days, 90 days, 6 months and 1 year is a direct indicator of onboarding success.
Time to productivity
Why: This indicator measures the speed at which a new employee achieves a satisfactory level of performance.
New employee satisfaction rate
Why: This gives you a snapshot of the newcomer experience, enabling you to make adjustments to your onboarding process if necessary. Onboarding surveys are an excellent way of gathering new employees' impressions of their integration. This information can then be cross-referenced with data from your systems and the resulting analyses. That's why Kara also offers a survey solution.
New employee engagement rates
Why: An engaged new employee is more likely to stay and actively contribute to the company.
Training completion rate
Why: This helps to assess the effectiveness of the training modules provided during induction. However, this indicator should be complemented by a measure of success or impact of training, such as the percentage of knowledge acquired or practical application in tasks.
How can People Analytics be used to improve the induction process?
Centralize your data
The first step is to centralize your data in one place. Use HR tools to collect and analyze new employee data (departure rates, feedback, etc.). No, your HRIS won't let you do this.
Identify trends
You'll then be able to use your data to detect trends or significant deviations in certain areas of your organization (e.g. higher departure rates in certain departments).
Create dashboards for integrating new employees
Once you've analyzed your organization's priorities and priority areas of intervention, build a dashboard that presents the indicators you need to monitor the health of your onboarding process in real time.
Involve stakeholders
As we often say, it's important to share the results of your analyses with managers, HR teams and senior management to ensure collaborative and informed action.
In short, the integration of your new talent should never be left to chance. By regularly measuring your efforts with People Analytics, you can transform your onboarding process into a real lever for retention, performance and engagement. We therefore recommend that you take the time to clean up your data (to ensure good quality), and invest in the right tools and strategies to ensure that every new employee starts their journey with you on the right foot.
And you? What indicators do you use to measure the integration of your new employees?
Comentários