Cracking the Code of Retaining People

Leaders everywhere are talking about how to retain employees, attract good talent, and engage employees at higher levels. And honestly, they don't feel like they are winning this battle. This is being characterized as a talent problem. At the risk of being too blunt, I think this is actually a leadership problem.  

In this new operating world, employees' real needs and motivators have changed permanently. And leaders and companies simply have NOT figured out how to engage employees in ways that create the deep passion, engagement, and long-term loyalty they crave. Whoever figures out how to do this well will win and win big in the next 5-10 years.

So, what's really at stake here is defining the new talent value proposition that attracts and serves the best available talent. Here are two questions to answer to help you strengthen your talent value proposition moving forward. 

1. What is truly motivating the people I am trying to attract, retain and engage? 

Said another way, what is the "value equation" running in the heads and motivating the choices of the people/employees I want to attract and retain? Here is the equation that I think is running in the heads of most people when they think about work: 

The Money I get + the Needs/Motivators I get fulfilled
The Time + Energy I spend

 Like any equation, the maximum ratio between the numerator and the denominator determines how much engagement, passion, and loyalty you will get. So let's break this down.

Obviously, money is a core part of the equation. However, most employees state that once a certain level of money is reached (and especially when it's relatively on par with other alternatives), other motivators take over. In response, companies have shifted into expanding time off, benefits, office perks, etc. However, the real question is: what motivators are at the top of the hierarchy and truly driving choice and engagement? If you don't answer this question, you are throwing money in the dark, hoping it hits the target.

As I have illustrated in a past blog post, there are eight foundational life motivators. Understanding which of these motivators is most important clarifies how to attract and engage employees at deeper levels.  

For people who value Certainty and Security, health benefits, long-term disability, life insurance, etc. are more important than company social events, outings, and community building. For people who value Belonging the most, the opposite is true. For people who value Freedom, the ability to work remotely or the number of days off will reign supreme. For people who are driven by Relevance/Significance, they will only use some of their PTO. They are looking for recognition and reward for their efforts. For people who truly value Impact, the company's sustainability, give-back, or community engagement approach is what resonates.

Here is the key: there is a hierarchy of these motivators running in all of us. For all people, 2-3 of these motivators drive them at any given time, determining their "equation of value" regarding their workplace and employer. So if we are going to crack this code, we must understand which 2-3 are driving the people we are trying to attract and retain. And we have to build the operating environment and culture around these motivators. If we do this consistently, we will not only engage our people at higher levels, we will start to attract people who resonate with this approach. And we become known as a unique workplace in serving the needs of the people who resonate with our approach.

2. What is my unique leadership value proposition to attract and retain the best talent?

All value propositions are founded on a need-solution relationship. The "need" here is defined as the real motivators driving the people you are trying to attract and retain. The "solution" is what you will provide as a leader and/or company to fulfill these needs and motivators. The key to remember is that "value" is perceived by people as an EXPERIENCE and not a transaction. In other words, it's NOT about the things you do or what you give your employees; it's about their EXPERIENCE. So you must understand the experience that will fulfill the core 2-3 motivators you defined above. Then, build your company's operating environment, culture, and employee offerings around that definition of value.

When you re-establish the "win-win" between what serves the company and what fulfills the fundamental motivators of your employees, you will experience the alignment and engagement you are looking for. And when you crack this code of creating a culture that fulfills the highest priority motivators, you not only retain the key people you want, you attract people who perfectly fit your values and culture. If you do this well, it will become a significant differentiator between you and other workplaces in the coming years and allow you to attract the talent you need to grow and succeed.