Exit Interviews? Try This New Twist

By Dick Finnegan

Dick Finnegan, Founder, Finnegan Mackenzie Resources

For decades HR managers have been gathering exit data from leaving employees, either in person or by way of an automated system. Much data is collected but little is done with it to improve overall management performance. Why is this?

Word on the street is that exit surveys are the most popular of all retention strategies. Actually, the word comes from conference meeting rooms where we constantly poll HR managers on (1) Do you conduct exit surveys in some form? and (2) Do you improve your company as a result? Question 1 results in raised hands from 90% of the audience whereas that number reduces to about 10% after asking question 2.

The reason for this discrepancy is because employees quit jobs because they can. This is the first principle in the Rethinking Retention Modelsm and reflects the frustration of conducting exit interviews and spreading the resulting data to the management team. Exit interviews fail as a retention strategy even though the logic of using them is sound: If you find out why employees leave, you can patch those holes and remaining employees will stay.

The main difficulty is that employees often times don’t tell you why they are leaving. Their urge to escape without conflict leads to a new Mom saying she wants to stay home with her baby when she really just wants to distance herself from her supervisor. Or a high-performer who claims “better opportunity” when we fail to ask the critical follow-up question which is “Why did you look?”

Other factors further compromise the process. Many companies convert exit surveys into mini opinion surveys and ask for input on pay, benefits, and a list of other conditions that give the leaver additional options for skirting the truth. While asking these questions seems like a natural add-on, they clutter the process because all we care about is why did you leave. And some leave reasons that are typically included fail to lead to solutions, with the most common example being attendance. Anyone who chooses to miss work is telling us a leave reason we need to dig deeper to understand.

So what’s a company to do? Take the ideas above and make exit surveys better, even if only to capture whether a leaving employee has been harassed or has another reasonable gripe. But a better idea is to move the exit survey one level up by asking managers to interview their subordinate supervisors every time that supervisor loses an employee. Key questions would include Why did this employee leave? What could you have done differently? Who trained this employee? How was this employee’s performance? Did you have any reason to suspect this employee would leave? How did this employee work with her colleagues?

The first key to retention is supervisor accountability. Supervisors suddenly develop better retention skills when they know retention is important in the eyes of the boss. Setting retention goals and holding supervisors accountable changes the landscape from “I’m sorry you lost Joan” to “How did you lose Joan? We really needed her.” Supervisors leave these discussions asking themselves what steps they must take to retain the rest of their teams. Rarely do traditional exit surveys result in the same change of direction.

Now is the time to rethink retention strategies as many surveys tell us employees are gearing up to leave. Your turnover might go up as the economy improves and more jobs become available, but try this idea and you’ll retain more workers than you would by following the traditional path.

Dick Finnegan is the author of “Rethinking Retention in Good Times and Bad” and Founder of the Retention Institute. You can learn more about his work at www.RetentionInstitute.com including the only online employee retention certification program in which candidates can earn up to 26 HRCI re-certification credits 

3 Studies on Employee’s Post-Recession Intentions

  • Deloitte warns companies to expect a “resume tsunami” as 49% are looking or plan to look as the economy improves (September, 2009)
  • Right Management reports 60% plan to look as the economy improves (November, 2009)
  • Execunet and Finnegan Mackenzie found more than 90% of executives would take a recruiter’s call and more than half are already looking (July, 2009)
Posted by on March 22, 2010. Filed under Retention, Thought Leadership. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

1 Comment for “Exit Interviews? Try This New Twist”

  1. I find it surprising that you suggest interviewing the supervisors of those who leave when several studies have shown the number one reason employees leave their job is their immediate supervisor. If an employee has issues with their immediate supervisor can we really expect that supervisor to know the real answers to the questions you pose in this article. Less than 10% of the executives I’ve provided consulting services to would give their boss candid feedback about their “areas for development” unless it was anonymous feedback, which is why we have 360 or multirater surveys. If this were the same for all employees in every organization than the supervisor’s manager could expect accurate data on why an employee left about 10% of the time. I hope no organization is making decisions about how to improve employee retention with such a low level of data accuracy.

    I understand the urge to hold supervisors accountable for retention because they should be. However, I think the best way to do this is to reward them for it. Make retention part of a company’s rewards programs and I’m sure you will see a change in supervisor behavior, and not just in how they treat employees but how they select them as well. Until this is done you are committing Steven Kerr’s “Folly of Rewarding A, While Hoping for B.” You can purchase a copy of this timeless management article at http://www.jstor.org/pss/255378. It is still a good read.

    In my experience, once an employee decides to leave you have already missed the opportunity to get honest feedback about why they chose to take another career opportunity. Only when an employee is engaged and still interested in making something out of the opportunity they have can you get real, candid feedback about what they like and don’t like because they are motivated to improve upon the situation. Once an employee has given up hope of improving the situation in their current position I believe you are better off waiting until a little while after they have made a change to ask them why they left, and I recommend you do it through a trusted friend or an objective third party. This will improve the accuracy of the data and show the former employee you are serious about making changes, and it will go a long way towards making that former employee consider coming back to work for your organization in the future.

    CorDell Larkin
    @cordellco
    http://www.linkedin.com/in/cordelllarkin

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