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Retention Strategy

What is a Retention Strategy?

The practices deployed by the companies to reduce their employee turnover rate and increase their retention rate is called retention strategy. The primary objective of this is to make sure that the employees’ expectations are met to keep them engaged and productive for the longer- term. However, aligning the retention strategy with the company’s goals for an ensured maximum return on investment is challenging.

What Are The Benefits Of A Retention Strategy?

Employee retention plays a vital role for any organization. If the turnover of the employees is high, it means you are losing both good and talented employees and the unproductive ones. A strong retention strategy battles the employee turnover well. Here are some of the benefits of having an effective employee strategy;

  • Cost reduction in hiring new employees
  • Balanced productivity
  • Better customer feedbacks
  • Effective management
  • Lesser burnouts

Frequently Asked Questions

What are the consequences of a low retention strategy?

The lower retention strategy leads to employee burnout. Due to this the employee turnover ratio increases and the company loses its employees. The turnover might be of good employees too. If the strategy is not feasible the employees might feel demotivated to work and the environment in your workplace becomes unproductive.

Why its important?

It helps your firm to lower the employee turnover ratio. This keeps the employees acknowledged about the company’s transparency and the goals in a well specified manner.

What is customer retention?

Customer retention means the company’s potential to turn the customers into repeat buyers and prevent them from switching to another product.

What are the factors to keep in mind while building a retention strategy?

While building a retention strategy the employers should keep in mind about the organization's goals and their employee standards. This policy should promote employee engagement, improve the employees willingness to work for your firm, and increase productivity.

How to improve employee motivation?

To improve the employees motivation a flexible retention strategy should be implemented which encourages the employees to work in a productive way.

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