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Impacts of onboarding on your company

Impacts of onboarding on your company

Both the induction and onboarding processes are ways of familiarising new employees with the organisation and its work culture. While induction consists of intensively orienting the new employee during the first two days, onboarding is a much longer process that requires special attention from any HR department. When organisations carefully plan their onboarding processes, new hires are shown to feel valued, their morale is boosted, they integrate more quickly, and they are more productive.

The importance of onboarding

The onboarding process is about giving new employees a sense of belonging and integrating them into the culture so that they know how to behave in the organisation. If this process is not done well, it is common for the new employee to feel isolated or unappreciated and therefore leave the company.

"Up to 20% of employees leave within the first 45 days of joining the company."

- Forbes

Given that the onboarding process takes at least 3 months, onboarding has become a valuable asset in retaining employees and reducing turnover in the long term.

Methods of incorporation

Organisations tend to put systems in place to ensure that the new employee is integrated and accepted as quickly as possible. Broadly speaking, there are two methods that companies tend to use in their onboarding process to make this happen:

  • Assign a mentor: assign a figure to serve as a role model, usually in a senior position.
  • Mentoring programmeMentoring programme: assigning a peer figure not only to teach them, but also to introduce them and be their friend in order to form social relationships.

Benefits of good onboarding

Some of the benefits of good onboarding are that the new hire:

  • Settles in and integrates into your team quickly
  • Understands the organisation's values and culture
  • You become productive quickly and work to your full potential.
  • Feels respected and valued

In terms of direct benefits for the company, good onboarding also:

  • Improved retention
  • Save time and money
  • Provides all necessary information

Cost savings from onboarding

Onboarding is not as expensive as you might think. While the cost of filling a job, according to SHRM, is $4,425, the hours managers spend on training cost companies an average of $1,252 per hire, and onboarding paperwork takes up 10 hours of HR time.

However, these costs could be even lower with the use of HR software. How? Let's break it down:

  • Automated onboarding process: automating the different stages of the onboarding process and visualising the stage the new employee is in helps predict when the new employee is most likely to start being more productive and ensures that the process goes according to plan.
  • Document management and e-signature: HR software that uses e-signatures and allows you to manage documents with a few clicks will help you to reduce the time spent on paperwork to a minimum.
  • Internal communication and training: easier access to a library of training content and internal communication channels will not only help your new employee feel part of the company sooner, but will also make them feel engaged and learn faster.

If you're looking for an HR software that includes all these tools, look no further: niikiis is the all-in-one HR software that will help you take your new hire experience to the next level. To find out how to automate your onboarding process, manage your documents and use e-signatures and much more, request a free demo and we'll show you everything you need to know - you're only a couple of clicks away!


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