[PARADIGM SHIFT]
WHY BUILD
A GREAT PLACE TO WORK?
Basuri Dutta
Aniruddha Kulkarni
Practice Head at the Great Place to
Work® Institute India
Project Manager at the Great Place to
Work® Institute India
1. Attract & Retain Talent
82 percent High Trust Retention Employees
like the culture and want to work there for long
3 percent Prisoners at Work Employees are
present yet disconnected from the culture
6 percent Birds of Passage Employees like the
culture but may not be fully invested
9 percent Flight Risk Employees are
disconnected and not invested in staying long term
As any manager knows, high voluntary turnover
is an issue you just don’t want to have. Many people
cycling in and out of a company not only erodes the
culture, but is also incredibly expensive. With the
inevitable replacement costs, loss of organisational
knowledge, and impediment to productivity among
other problems, studies estimate that the average
cost of turnover can be up to 200
percent of the exiting employee’s
base salary and 12 percent of a
company’s operating budget.
At India’s Best Companies to
Work For – 2018,
22
One of the best ways to reduce
voluntary turnover and its fi nancial
burden is to focus on developing
a High-Trust, High-Performance
Culture TM . At the Fortune 100 Best
Companies to Work For, an average
of 87 percent of all employees say
they ‘want to work here for a long
time.’
Prisoners @
Work
BEST
3%
VS
Rest
6%
Flight Risk
BEST
9%
VS
Rest
15%
High Trust
Retention
BEST
82%
VS
Rest
71%
Birds of
Passage
BEST
6%
VS
Rest
8%
Taking everything into account, I would
say this is a great place to work.
| Vol. 9 Issue 6 • Sep-Oct 2018, Noida / Pre-Event Edition
In high-trust cultures, employees
have a mutual respect relationship
with their managers and fellow
colleagues, as well as a deeper
connection to their daily tasks that
strengthens their overall sense of
purpose at work. As a result, people
want to stay.
Of course, some turnover cannot
be avoided as people experience
life changes, such as retirement or
relocation. However, reducing and
preventing turnover should be a top
priority for all organisations since it
signifi cantly impacts: