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The 20/80…Turnover can zap the strength and competitive advantage from any organization. 80% of executives participating in a recent survey had changed employers within the last 2 years. And, if that was not bad enough, almost 50% of those appointed to the office of president of a US public company can be expected to leave within four years2.

Many companies are facing this issue, which survey after survey tells us is not about compensation. We believe this is an opportunity for leadership to step in and develop plans for valued executives.

There are no short-cuts for the basic blocking and tackling of retention - Executive-level retention plans need to be crafted to create “stickiness”. - It is our view that there are four basic dimensions that are critical to successful retention initiatives.

Link the individual into the organization and into the community. Look for ways to build their relationship to and within the organization through teams, mentoring, coaching, choosing their own clients. Additionally, increase their community relationships through there external interests of charity work and community groups.

Consider providing individualized Business Coaching to Key Executives. We have found that individualized Business Reality-based Coaching helps key executives with their fit in the organization and provides them with self-awareness which maximizes their ability to manage themselves and others. Plus, it demonstrates that the organization is interested in investing in their success.

Assure fit within the organization and the community. This is best done by looking at the stage of an executive (e.g., recent hire, new to division, lifer in home-office). For example, we know an executive who recently changed companies and has not once in his first six months been to lunch, or had an informal discussion with any of his peers nor his supervisor, the CEO. How well do you feel his new company is managing fit for his retention?

Increase the sacrifice the executive must make to leave Traditional themes here are retirement and long-term compensation in the form of options. A not so common sacrifice might be increasingly better seats each year for sporting events, and paid tuition for college bound dependent. Look for the golden handcuffs which fit most snug to each individual.


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