Prakash Menon advises on how to attract, grow and retain the staff with management potential
In my course of work, I meet several CEOs across the region and the globe, and the hot topics of discussion remain: top talent management.
I observe quite a few companies struggling to retain top talent. Good employees, even at very senior levels, just up and leave. However, the problem is not limited to retention alone. Companies today are finding it equally difficult to attract top talent and making them grow.
During discussions with CEOs and other C-suite employees of various companies, I realise these people might have got the entire picture wrong. They are focusing on the wrong things, no wonder they are not being able to achieve the desired results.
Most CEOs think they lose top talent because of the money factor. That is not entirely true. While a competitive compensation package is no doubt important, the top talent do not worry about it much. They are already being paid well, and hence, it would be wrong to say money is the top reason top talent leave organisations.
The second myth that CEOs have is the top talent leave because they feel they are not being promoted enough. Its not true. The top talent are already at senior positions and are looked after really well. Companies can keep on promoting them, but there comes a point when it hits the glass ceiling, and then there is not much scope for promotion. After all, not everyone can be promoted to CEO. Hence, I can say it confidently that promotion (or the lack of it) is not something that top talent leave organisations for.
What are the reasons top talent quits?
Lack of self-directed learning
This is the top third reason urging top talent to quit. Employees work for the same company for two to three years or sometimes more. They feel stagnated after a while when they realise there is no scope for new learning. They get bored and hence, as the first opportunity presents itself, they jump and grab it. I am not saying push your top talent to do PhD, but throw sufficient and constant challenges towards them. It will help them learn, innovate and come up with new ideas. But, more importantly, it will help them stay back where they are, in your organisation.
Culture is everything
The second top reason pushing employees to leave organisations is that they dont feel valued any more. They think they are culturally misfit. Well, culture is eight times more valuable than strategy. And, Peter Drucker, the Management Guru, agreed too when he said: Culture eats strategy for breakfast. So when your employees do not feel valued anymore and are not happy, they quit.
Leaving a legacy
It might be unbelievable for some, however, its true. The top most reason the top talent leave organisations is because they want to build something unique and something inconceivable, however, they are not getting the opportunity in their current position. Most employees want to be known as revolutionary innovators such as Steve Jobs. They want to leave a legacy they want to be known for. And if they do not see that happening in the current organisation, they leave.
In a nutshell, though money and promotion are important, the top three reasons why the top talent leave organisations are: a lack of self-directed learning; poor organisational culture; and the unavailability of opportunities to leave a legacy behind.
Prakash Menon is a Partner, Leadership Transitioning with Stanton Chase Dubai and is one of the top 10 Global Executive Search Firms.