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1:00 PM ET Definition of Onboarding Definition of Orientation Case Study Strategy Designing the Process Mechanics of the Process Definition of Onboarding Definition ... – PowerPoint PPT presentation

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Title: 1:00 PM ET

100 PM ET
Best Practices in Onboarding and Employee
Michael Moretti Sr. Staffing Analyst HR.com mmore
  • Introduction
  • Definition of Onboarding Orientation
  • Case Study
  • Designing the Process
  • Mechanics of the Process
  • The Return on Investment
  • Top Ten Objectives
  • Summary Wrap-up
  • QA

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  • In January 2003 a survey of 5643 workers
    conducted in the U.K. found that 4 of new hires
    had such a disastrous first day that they never
    went back.
  • Reed Executive
  • Consider
  • How fast do your new employees become key
  • Does your organization proactively build
    relationships with newly hired top talent?
  • What distinction does your organization make
  • on boarding and orientation of new hires?

Definition of Onboarding
Onboarding is the process that starts with the
first contact of a potential new hire - building
and establishing engagement earlier in the
employment stage and continuing after the
traditional orientation program ends.
Definition of Orientation
The Orientation program is a part of or one stage
of the more comprehensive on boarding process.
The is the stage designed to educate new hires
about your company and more specifically about
their job functions. These programs need to be
consistently applied to all new employees and are
usually spread out over a number of days.
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Case Study
  • 150,000 employees
  • 35,000 hires
  • HR discovered the attrition problem could
    actually be traced to employees' very first days
    on the job.
  • The result was a renewed respect for the
    orientation program that ultimately led to a vast
    overhaul of the organization's existing program
    and the development of new tools that would
    better equip managers to welcome new hires.

  • Task force dubbed Strategies and Tactics to
    Achieve Reduced Turnover (START).
  • Task force consisted of 65 to 70 people ranging
    from directors to managers to hourly workers.
  • Within the broader framework, START was divided
    into approximately a half-dozen subgroups, each
    charged with examining a different aspect of the
    employment experience, such as recruitment and
    hiring, training and development, pay and
    rewards, rewards and recognition, and

Designing the Process
Mechanics of the Process
  • Stage One The Pre-Offer
  • Earliest stage in the onboarding process
  • First impressions are being formed
  • Make a positive and realistic impact on the
    employees understanding expectations of the
  • Involve a variety of people in the interview
  • Actively manage candidates expectations and
    communicate clearly
  • Give candidates a realistic overview of their

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  • Stage Two Extending the Offer
  • Provide detailed and relevant company information
    to candidate
  • Customize the new employee package to the
    specific job family should include information
    on benefits, insurance policies, practices, job
    description of the role and an employee handbook
  • Provide a site tour to show where they will work
    and introduce them to their new colleagues

  • Stage Three The First Day
  • Take advantage of a new employees enthusiasm
  • Ensure they leave at the end of the first day,
    week and month with the same level of enthusiasm
  • DO NOT cram too much information into the first
  • Introduce the new employee into the company and
    their role e.g. plan an informal breakfast or
    lunch meeting to welcome the new candidate by
    existing staff

  • Stage Four - The Orientation Program
  • Structure a comprehensive tour
  • Educate attendees about your company
  • Provide a well designed series of learning
    modules Divide the orientation program into 2
  • Organization - Everyone
  • Elements of the job Specific to the role
  • Solidify organizational goals and familiarize new
    employees with company terms

  • Stage Four Continued - The Orientation Program
    The Organization
  • Comprehensive Tour might include
  • Company Vision
  • Introduction to the Structure, Executive Team and
    Key Personnel
  • Company Approach to the Market
  • Client Success stories and project highlights
  • Marketplace trends
  • Human Resources policies, procedures
  • Training and Development
  • Functional Responsibilities

  • Stage Four Continued - The Orientation Program
    Specific to the Role
  • Tour Modules might include
  • Department responsibilities
  • Role responsibilities and accountabilities
  • Specific skills required technologies,
  • Specific knowledge required
  • Career paths and opportunities

  • Stage Five Post Orientation
  • Onboarding process continues
  • Clearly define and communicate the
    post-orientation stage
  • Pay close attention to the new employee and
    provide ongoing care, concern and a sense of
  • Clearly monitor performance against role
  • Actively demonstrate commitment to the new hire
  • Extend this stage until employees first year

The Return on Investment
Consider How do you measure your ROI? Cost
Avoidance Cost Reduction Increased Revenues
  • 1. Streamlined Cost and Time Efficiencies
  • Large variable costs associated with
    implementing onboarding orientation programs
  • Cost of time spent by recruiters and hiring
    managers selling the company, the vision and
    future opportunity to candidates
  • Cost of time spent by trainers and managers to be
    involved in the programs preparing and
    transferring knowledge
  • Cost of travel, accommodation and meals when new
    employees meet centrally to engage in this

  • 2. Maximized new employee performance
  • Increase quality and effectiveness of the process
  • Accelerate an employees learning curve
  • Reduce the number of days it takes them to become
    productive to equal an average tenured employee

  • For example
  • 120 The traditional number days to reach the
    average performer level
  • - 105 Less new number of days to reach the
    average performer level
  • --------------------------------------------------
  • 15 Equals number of days saved
  • (productivity improvement in days)
  • 150 The average cost of employee for one day
    (based on 40K/yr)
  • x 15 multiplied by the number of saved days
  • --------------------------------------------------
  • 2,250
  • 1,000 Less employee onboarding costs
  • --------------------------------------------------
  • 1,250
  • Equals the ROI (125)

  • 3. Reduced Turnover
  • Design the process to address the needs, concerns
    and interests of your new top performers
  • Bring on new employees in a positive way and keep
    them happy and motivated
  • Internally market and promote company
  • Replacing employees is costly

(Based on 40K per year)
  • A comprehensive, extended onboarding process is
    essential to ensuring your new hires become
    effective faster.
  • Recognize the distinction between Onboarding and

  • Stage One The Pre-Offer Make first impressions
  • Provide positive information about the company
  • The results will carry on further into the
    candidates time with your organization
  • Stage Two Extending the Offer
  • Issue a comprehensive onboarding pre-employment
    package containing all relevant contracts
  • Slowly introduce the new employee to their daily
    working life

  • Stage Three The First Day Capitalize on a new
    employees enthusiasm.
  • Maintain the new employees energy by making
    their first day as positive as possible
  • Be attentive to their needs and do not overwhelm

  • Stage Four The Orientation Program
  • Break into two intensive modules
  • Organization Everyone
  • Elements of the Job Specific to the Role
  • Highlight all aspects of your company and allow
    the new employee to walk away with a complete
    understanding of all company initiatives and
  • Include a Tour that includes organizational and
    role specific modules

  • Stage Five Post-Orientation
  • The evaluation stage when the orientation program
    is completed
  • Assess your new employees and identify areas for
    further learning
  • Increases the likelihood of information retention
  • Ensure a system is in place to measure your ROI.
  • Identify your reduced costs and increase

  • Maximize the use of technology
  • Utilize communication tools and audio-visual
    solutions to help the employee interact with your
    companys key people
  • Consistent, across-the-board training

Summary Wrap-up
  • Goals of an effective Onboarding process
  • Engage new employees in a reinvented process
    called onboarding
  • Engage new employees in comprehensive orientation
  • Measure value to the organization in terms of
  • Reduced costs
  • Faster productivity
  • Return on salary costs
  • Increased employee retention

Michael Moretti Sr. Staffing Analyst HR.com mmoret
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