Retention Metrics Unveiled
Part of The PIRATE Way — Stories about scaling up engineering teams.
As we continue exploring employee retention, we reach the intersection where quantifiable metrics meet qualitative insights. Here, the amalgamation of data illuminates the path we’ve tread and casts light upon the trails yet to be discovered.
Background
Two cardinal metrics stand as the sentinels of retention — attrition and the engagement survey. Similar to a nuanced NPS, these metrics offer a dual perspective; they reflect the number and nuances of employee stay and departure.
Metrics Explored
Team Size Attrition
Examining attrition is an exercise in precision and perspective. While monthly churn offers immediate insights, a long-term lens, such as a 12-month accumulated view, unveils patterns and trends instrumental to strategic planning.
Gergely’s insights into deciphering excellent and bad attrition levels further underscore the need for a nuanced approach. Our hiring approach — whether geared towards minimizing false negatives or positives — casts a defining shadow on the attrition metric.
I advocate for a false negative approach, characterized by cautious hiring, for it mitigates the impact of new member departure, curtails the cultural disruption a bad hire can engender, and shields the new hire from the turbulence of transitioning into a role they might not fit.
Experience Attrition and Tenure Analysis
Yet, the narrative of attrition is multifaceted. Experience attrition calls for a shift in focus from the sheer number of departures to the ‘experience’ vacuum it creates. Here, we measure the percentage of months of experience lost to attrition against the collective domain knowledge of the remaining team. It’s a metric that lends depth to our understanding, factoring in the qualitative loss that numbers often obscure.
Another way to analyze this is the tenure of departing employees. High attrition among new hires may indicate issues with onboarding or job fit, while departures of tenured employees can signify problems with career progression or workplace culture.
Regrettable and Non-Regrettable Attrition
Intertwined in the tale of attrition is the concept of ‘regrettable’ and ‘non-regrettable’ departures. Not all exits weigh equally. Some are mutual unfoldings; others, losses reverberating through the team’s corridors. Differentiating between the two not only refines our metrics but enriches our responses, shaping retention strategies that are as empathetic as they are effective.
Engagement Survey and Sentiment Analysis
Beyond attrition, the Engagement Survey stands as a barometer of employee sentiment. When modeled like NPS, it quantifies the often intangible aspects of employee experience, offering numerical insights for trend analysis and target setting.
Beyond NPS, incorporating open-ended questions and sentiment analysis can yield more profound insights into employee morale, challenges, and aspirations.
Social and Team Building Metrics
As we explore these foundational metrics, the metrics outlined in our previous discussion on Team Building and Social Strategy echo with renewed significance. Participation rate, budget deployment rate, and employee satisfaction are not isolated metrics but integral threads weaving the intricate tapestry of employee retention.
Closing Reflections
In the alchemy of data and insights, every metric and every piece of feedback is a catalyst. They do not just measure but shape the organizational landscape, carving pathways for enhanced belonging, engagement, and collective triumph.
As we tread these pathways, each step, each insight is not just a revelation but a contribution, co-creating a workspace where every employee is retained and revered, not just present but profoundly engaged.
Remember: This is a blog post from “The PIRATE Way” series.
