A benchmark study by the Aberdeen Group claims to have evidence showing that best-in-class on-boarding programs lead to better retention of new hires (21-page pdf here - membership required). (Some have questioned Aberdeen's research methodologies -- see my recent recap.) On-boarding is usually about helping new hires succeed by communicating company values and culture to them, along with the routine training typically provided. Of nearly 800 managers surveyed, 70% listed “new-employee retention” as the primary reason for doing it, and 77% expected to have a formal on-boarding strategy within the next 12 months.
The study, All Aboard: Effective Onboarding Techniques and Strategies, was covered by Chief Learning Officer: “The organizations that achieved Aberdeen’s best-in-class status experienced, on average, a 100 percent improvement in the retention of new hires, a 60 percent reduction in time-to-productivity for new hires and a 57 percent increase in completion rates for on-boarding tasks, according to the report. Those in the best-in-class category have moved away from the simple, bare-bones on-boarding of the past to a more sophisticated process.” (FYI, a followup study of on-boarding in the high-tech industry showed that "30% of software companies achieved Aberdeen's Best-in-Class designation compared to 19% of those in other sectors.")
This all sounds promising. I was especially interested in Aberdeen's finding that a decent on-boarding program should begin as soon as someone accepts an offer, and extend 6 months long (because it often takes a new hire that long to decide whether to stay). But I'd like more detail on some of the claims made in the Aberdeen report:
100% improvement in the retention of new hires: Over what time frame? Was this true across the board, or did it apply more to lower-skilled workers rather than to professionals, men vs. women, etc.?
60% reduction in time-to-productivity for new hires: Who measured this, and how? Was this self-reported, or did objective people do it (i.e., someone who wasn't involved with the on-boarding programs)?
57% increase in completion rates for on-boarding tasks: Does this mean that companies who showed more enthusiasm for on-boarding observed more completion of on-boarding tasks? OK. As long as those tasks actually made a difference in new hire behavior.
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