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Staff retention starts with dynamic environment

In the SME sector especially, skills retention is essential for success.

Ivan Epstein
By Ivan Epstein, CEO, Softline.
Johannesburg, 29 Oct 2008

Employee development is much more than classroom or online training. The most successful and valued development happens in the workplace. Such development is facilitated by mentoring and coaching from supervisors, and followed up with activities that allow an employee to exercise new skills. We've all seen how quickly training can dissipate, so the application of new skills is critical to success. Furthermore, development must be a continuous set of actions, not just a few training sessions.

We are not alone in the skills crisis; there is a global shortage of skills in the IT and other sectors. In the IT market here, however, the skills shortage is exacerbated by the continuous flight of human capital from the country, and the resultant rate at which companies are able to turn skills around. SMEs are particularly susceptible to the skills famine and although imperative for any size business, in this sector skills retention is paramount to success.

Crime and job creation, which are challenging to the government as well as the private sector, are continuing to drive skills to so-called greener pastures - and keep international skills from our shores. Government has introduced various skills development and job creations initiatives with the private sector, but we shouldn't be solely dependent on government-linked programmes. Each and every business leader needs to take the lead and drive in-house initiatives.

The working environment is always a good place to start. Creating an environment conducive to staff retention in today's ever-changing marketplace pays off financially. An environment which attracts, retains and motivates the workforce is one that gives employees a sense of pride and purpose in what they do. As part of a commitment to addressing the skills shortage, leaders at all levels have the responsibility for creating this work environment.

Watch and learn

It's not enough for people to have leadership potential; they must have character and the right setting in which to grow.

Ivan Epstein is CEO of Softline.

Many factors impact the development of the local skills base and potential skills base in the IT industry. Also, there needs to be a greater presence of mentors in the industry. What we often overlook is that internship programmes are a valuable development tool. These improve access to skilled resources, create more employment opportunities and contribute to the overall improvement of the economy. As internship programmes provide companies with access to a resource pool that is thoroughly assessed, they can then take on the intern permanently, eliminating the problem of finding the right candidate for the job.

Further ongoing training to enhance the performance of skilled employees is also critical. Companies must provide their skilled employees with further training to enhance their performance and to develop them as further motivation to remain with the company. In previous generations, it was common for people to join a company after school or college and stay there for a long period - up to 30 years in some cases. This is not the case today. People tend to job-hop after only a few years and this type of mobility can be damaging to an employer's bottom line and reputation.

This is why many companies emphasise hiring employees who show commitment to their particular organisation. So, on paper at least, a wide range of different roles could suggest an employee who is unsure of their loyalties. However, with graduates being more diverse than ever, there are many talented degree-holders who prefer to move around different jobs. In addition, the movement towards more freelance staff and temporary projects has changed the market picture. The result is that many recruiters have been forced to address the traditional prejudice exercised towards job-hoppers. Certain industries, like the IT industry, do understand or even embrace the peripatetic professional, but managers still need to know that the person has potential and is going to be an asset and bring value to the company.

Of vital importance

It's not enough for people to have leadership potential; they must have character and the right setting in which to grow. It is so critical, particularly in the early days of someone's development, that they be put into a congenial environment. An environment that threatens our sense of security or well-being splits our concentration from the cause. Young leaders need an environment in which they can concentrate on leading.

Many sectors today are affected by job-hopping and creative wage offers by corporations and international concerns.

We need to be responsible in the way we handle the skills shortage. It has been proven that investing in development and mentorship programmes can turn mediocre skills into valuable assets. If these skilled workers are placed in a positive, dynamic working environment, then the chances that they'll reciprocate with long service are higher than average.

* Ivan Epstein is CEO of Softline.

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