The Great Resignation of 2021
John Elliott • Oct 12, 2021

The Great Resignation of 2021


In a phenomenon now dubbed the ‘Great Resignation’, employees are quitting their jobs in droves, many determined to change careers altogether. These anomalous numbers attracted attention when they began spiking in the autumn of 2021, particularly in the foodservice, hospitality, and retail industries so beleaguered through the pandemic. The trend has now spread to almost every other industry, throughout the world. Depending on the survey, something like half of all employed people are actively on the market.

 

There are several factors driving this. The first – and most nebulous – is a general working malaise. It’s not altogether surprising; as we all now know, a global pandemic isn’t easy or stress-free to live through. In addition to typical stress levels in any job, every employee has been working through a period of increased anxiety and unpredictability for eighteen months and counting, in many people causing symptoms similar to burnout.

 

Naturally, some people were already dissatisfied with their job or workplace, getting ready to move on prior to the onset of COVID. If they were fortunate enough to have continued secure employment, they hung onto it as they watched friends lose their jobs. This has led to an unusual level of pent up frustration as things begin (at least in some ways) to return to normal.

 

There are a great many employees who were asked by their employers to work from home through the pandemic, and discovered – no surprise here – that they enjoyed it. Now that their employers are requiring that they return to the office for their work, they’re questioning why, reluctant to give up the flexibility that they’ve enjoyed without a good reason for doing so.

 

It’s also not hard to imagine that income replacement programs offered by governments to support unemployed people have caused some of those people to question even the nature of employment itself, returning to ‘the grind’ only grudgingly and looking for something different.

 

With this multitude and range of reasons why people might be dissatisfied and considering walking out the door, how can you avoid your employees being part of this number? There are three strategies that are always valuable for keeping your finger on the pulse of employee engagement, but especially so right now.

 

Check In

If you want to understand where your employees’ heads are at, the first step is to ask. For larger organizations, this might mean conducting a broad-based employee engagement survey, or a series of brief ‘flash polls’ (protect employee anonymity if you want honesty, which may mean engaging a third party to conduct this kind of research).

 

Checking in, though, doesn’t necessarily mean surveying. Now is a great time to encourage managers at all levels of the organisation to touch base with members of their teams: sitting down for regular one-on-ones, communicating with intention, getting a sense for how engaged people are feeling in their work and what could be improved. Be ready to set aside ego, make it safe and acceptable to speak up, to really listen, and to respond to concerns (either with changes where it’s possible and appropriate, or with good explanations why some concerns can’t be alleviated).

 

Show Appreciation

There are many things a company can do to make employees happy: compensation increases, bonuses, more perks and benefits, promotions and professional development, and more. Time and time again, though, employees report that one of the most critical things their employer can do to make them want to stay is to show appreciation. To recognise their good work, and to let them know that they’re a valued member of the team. It costs nothing to say, “Thank you, really nice work”, either publicly – like an email to the whole team recognising one person’s specific contribution – or one-on-one (remember that some people cringe at public recognition just as much as others crave it).

 

It’s been more difficult to show appreciation to employees working out of the office; the natural conversation points at which that recognition would happen are harder to come by. Now, perhaps more than ever, is the right time to show your employees that you appreciate their work and commitment to the company through the challenging last year and a half.

 

Question the Status Quo

Many companies have asked their employees to be flexible throughout the pandemic. Creating, then working from home offices – some more makeshift than others – almost overnight, continuing to work while children of all ages are home from school or daycare, trying to remain alert and engaged through yet another video meeting (“I think you’re on mute, Michael ...”).

 

If you’ve asked your employees to work from home, and are now asking them to return to the office full-time, know that some of them are questioning why. Of course, this doesn’t mean that you must move away from onsite teams in favour of remote employees. It only means that it’s helpful to understand your own reasons for asking your people to come back, and how you can make it work better for everyone.

 

For many managers and companies, it’s the innovation and energy flowing from more collaboration. But collaboration doesn’t happen automatically just because everyone’s back in the same space. If this is your goal, what structures or processes will you put in place to foster the kind of in-person collaboration you’re looking for? For some companies, it’s more about the close working relationships and camaraderie that are knit from a tight social fabric. That’s great, but not every employee thrives in the same kind of social culture. What programs and activities will you initiate to allow everyone to experience – and contribute to – the social environment you want to create?

 

Be aware, as well, that many temporarily-remote employees have experienced a kind of work-life balance and flexibility that they’ve never had before. For these employees to be happy back in the office may mean proactively encouraging behaviours that preserve that balance (prompting people to take a head-clearing walk over a full lunch break, instead of eating at their desks, for example), and offering a greater degree of flexibility to deal with personal and family commitments.

 

Whatever status quo has meant for your organisation, be open to questioning why you’ve always done things the way you’ve done them. Whether they change or not, you’ll have a greater sense of purpose and intention about what you’re creating with, and for, your employees.

 

These three strategies can help strengthen your employee satisfaction and engagement at any time. Now more than ever, though, they might just be the keys to preventing your best people becoming part of the Great Resignation.


Executive introducing new leader as part of executive onboarding process
By John Elliott 09 Apr, 2024
The arrival of a new executive heralds a period of opportunity, transformation, and, inevitably, challenge. The process of integrating this new leader – onboarding – is a critical, often under-emphasised phase that can significantly influence the trajectory of both the individual's and the company's future. So why do so many organisations fail to get executive onboarding right? The High Stakes of Executive Onboarding The adage "well begun is half done" resonates profoundly in executive onboarding. Harvard Business Review reveals a startling statistic: as many as 40-50% of new executives fail within the first 18 months of their appointment. This failure rate is not just a personal setback for the executives; it represents a substantial cost to the company – often up to five times the executive's salary. The reasons for failure? Poor cultural fit, unclear expectations, and inadequate onboarding support top the list. But what makes the consumer goods industry particularly challenging for new executives? It's a dynamic sector where consumer preferences shift rapidly, supply chains are complex, and competition is intense. Here, more than anywhere else, an executive's ability to adapt and lead effectively from the outset is paramount. The Multifaceted Challenges in Onboarding The failure of many organisations in the consumer goods industry to effectively onboard new executives is multifaceted: 1. Tailored Onboarding Versus Standard Processes The provided text emphasises the necessity of a tailored onboarding process for executives, distinct from standard employee onboarding. This is particularly relevant in the consumer goods industry, where executives must navigate unique market dynamics, consumer trends, and complex supply chains in Australia. Tailoring the onboarding process to address these specific industry challenges ensures that executives can hit the ground running with a clear understanding of the landscape they will operate in. 2. The Role of a Dedicated Onboarding Team The concept of a dedicated project team for executive onboarding, as implemented by Palo Alto Networks, could be highly effective in the consumer goods sector. Such a team could focus on providing industry-specific insights, facilitating connections with key stakeholders, and ensuring that new executives understand the nuances of the Australian consumer market. This team would act as a bridge between the executive and the unique aspects of the Australian consumer goods landscape. 3. Engagement During the Notice Period In the consumer goods industry, where market trends and consumer preferences can shift rapidly, keeping executives engaged during their notice period is crucial. This period can be used to familiarise them with current market analyses, consumer behaviour trends, and ongoing projects. This proactive approach ensures that the executive is well-informed and ready to contribute from day one. 4. Cultural Orientation and Familiarity Building a strong cultural connection is vital in any industry but takes on added importance in consumer goods, which often relies on understanding and adapting to cultural nuances to succeed. Regular touchpoints that orient the new executive to the company's culture, values, and consumer-centric approach can help in crafting strategies that resonate with the Australian market. 5. Collaboration Among Various Teams The need for collaboration between HR, Reward, Performance, and Talent teams is pertinent in the consumer goods sector. This collaboration can ensure a unified approach to addressing the specific challenges and opportunities an executive might face in this dynamic industry. For instance, understanding the compensation frameworks and performance indicators specific to different departments within a consumer goods company can aid an executive in making more informed decisions. 6. 'Just-in-Time' Resources The idea of providing ‘just-in-time’ resources is particularly beneficial for executives in the fast-moving consumer goods sector. Given the rapid pace of change in consumer preferences and market trends, having access to real-time data and concise, relevant information can be invaluable. This approach allows executives to stay agile and make decisions based on the latest market insights. 7. Understanding of Performance Cycles In the consumer goods industry, understanding the timing and nuances of performance cycles is critical. This is especially true in a market like Australia, where seasonal trends and events can significantly impact consumer behaviour. The onboarding process should include education on these cycles, preparing executives to plan and execute strategies effectively in sync with these fluctuations. The Role of the Board in Facilitating Successful Onboarding The board of directors plays a pivotal role in the onboarding process. Their actions, or lack thereof, can set the tone for the new executive’s tenure. What should they be doing? Pre-Onboarding Engagement: The process starts before the executive's first day. Boards must ensure clear communication about the company's vision, challenges, and expectations. This early dialogue helps align the executive’s mindset with the company's strategic goals. Structured Onboarding Plan: Developing a comprehensive, customised onboarding plan is crucial. This should cover not just the operational aspects of the role but also the cultural and interpersonal dynamics of the organisation. Mentorship and Networking Support: Assigning a mentor from the board or senior leadership can accelerate the integration process. Additionally, facilitating introductions and networking opportunities within and outside the company is invaluable. Regular Check-Ins and Feedback: Ongoing support doesn’t end after the first week or month. Regular check-ins to provide and receive feedback ensure any issues are addressed promptly. Performance Metrics: Clear, early-established metrics for success help the new executive understand how their performance will be measured. Enhancing Executive Performance through Effective Onboarding The correlation between effective onboarding and enhanced executive performance is well-established. A study by McKinsey found that executives who had a successful onboarding experience were 1.9 times more likely to exceed performance expectations. Furthermore, these executives reported feeling more integrated into the company culture and more effective in their roles earlier than their peers who experienced less structured onboarding. Effective onboarding leads to better decision-making, faster strategy implementation, and a more cohesive leadership team. It builds a foundation of trust and understanding that is crucial in the high-stake, rapidly evolving consumer goods market. Onboarding as a Strategic Imperative Effective executive onboarding goes beyond mere orientation – it is a strategic process that lays the groundwork for long-term success. As we've seen in the consumer goods industry in Australia, a well-planned and executed onboarding process can be the difference between a flourishing leadership tenure and a costly misstep. In an era where the cost of failure is high and the speed of change is relentless, consumer goods companies must view executive onboarding not as a perfunctory checklist but as a fundamental building block of sustainable leadership and organisational success. Remember, your new executive's journey is a reflection of your organisation's commitment to leadership excellence. Invest in their onboarding, and you're investing in the future of your company.
two men are sitting at a table with a laptop and talking to each other .
By John Elliott 18 Mar, 2024
Explore the pivotal choice between internal talent acquisition and hiring via executive search firms in the food and beverage industry for optimal growth.
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