Top 5 Ways To Reduce Onboarding Costs Of New Employees
April 12, 2023
It is common knowledge that it is expensive for an employer to recruit. Once you recruit, however, you tend to focus on the costs you see, such as travel costs associated with interviews, time for recruitment, advertising, and interview tests. Companies might even choose to use the help of a recruitment company or a headhunter and then they can quickly see that the costs grow even more.
The cost of onboarding new employees is thus often a seriously underestimated part of a recruitment process, something companies rarely think about. According to findings from a study conducted by the Society for Human Resource Management, the average cost of employee onboarding fees is around $4,100 per new hire. That’s a substantial amount of time and money to invest in bringing new employees on board.
Innovative Ways For Reducing The Onboarding Costs Of New Employees
However, onboarding new employees plays a vital role in any business and you need to be able to provide onboarding programs that are both successful, while not blowing your budget.
Although it sounds challenging, it can be done.
Here are the easy tips let’s checkout.
Invest In Onboarding Software
It can be very costly and time-consuming to recruit, train, and manage new employees. Many tasks must be completed to ensure a positive onboarding experience. Many small businesses are investing in new onboarding technology to make it easier for new hires to integrate into their organization.
Professional onboarding software for small businesses will help you create an organized workflow and automate tedious tasks.
This will increase productivity, create a positive onboarding experience for new hires, but also reduce employee turnover costs, increase workplace compliance, and create a better company culture.
Facilitate Group Training and Onboarding
Group training and onboarding sessions are another way to reduce your onboarding costs. Social environments that allow new employees to meet other like-minded people and have fun are great for helping them find comfort and enjoyment in the training and hiring process.
If the group training sessions are engaging and interactive, most employees will likely participate in a team cohesion that provides great value.
It’s always a good idea to have some fun icebreakers that can help build team spirit and make new hires feel like they are becoming part of something big. You’ll save time, money, and resources while still providing a warm welcome and creating an enjoyable work environment.
Consider Mentoring
Companies are spending huge amounts on training their employees. A smart way to use your resources is to pair new hires with veteran employees in a professional mentoring relationship.
It is free and fosters a warm and supportive environment for both new and experienced employees. Mentoring is particularly useful for on-the-job training. It is a great idea to pair a new employee and a veteran employee who have the same job position. This will provide a smooth and cost-effective way to train a new employee but also it will allow them to have someone to turn to for real advice and encouragement in their new role.
In addition, mentoring new employees allows the newcomer to get feedback from an experienced person who knows what works and what does not. This relationship is not just beneficial to the new employee. Studies show that people who help others reduce their stress levels and experience positive sentiments. Mentoring not only saves money but also provides valuable on-the-job training and creates trust between mentor and mentee.
Prevent Wasted Time
Employers and recruitment agencies don’t want staff members who waste their time. Slacking employees can also affect the productivity, motivation, and morale of their colleagues.
It is crucial to address these issues immediately and, if necessary take the necessary steps to correct the situation. Any less will result in wasted time and possibly more money.
Introduce Intuitive Digital Systems
More open to technology than ever before. Embracing modern technological solutions can bring a lot of benefits to companies, especially when they look to cut costs associated with onboarding and orienting new hires.
The task of orienting new employees is the responsibility of your human resources department. Human resources can help reduce the cost of onboarding by using digital training software that is intuitive and easy to use. The system can be used by new employees to help them learn about their roles and company values, traditions, and legal/policy issues.
Final Thoughts
The onboarding of the new employee process is very costly as it involves everything from writing job advertisements, conducting interviews, training, organizing, and more.
No matter how challenging it may seem, you must not neglect it as each new employee has a direct impact on the company’s overall growth. Consider the tips above and you’ll be able to lower your expenses while ensuring an excellent onboarding experience.
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