In any business, your team is the backbone of your success. Attracting top talent and retaining skilled professionals is essential for maintaining the high standards that your clients expect. While financial metrics provide insight into the cost-effectiveness of your HR strategies, they don’t capture the full picture of your team’s engagement, satisfaction, and overall productivity. To truly optimise your talent acquisition and retention efforts, it’s important to track non-financial key performance indicators (KPIs) that reflect the health and dynamics of your workforce.
Non-financial KPIs offer valuable insights into your employees’ experiences, from their satisfaction with the workplace environment to their commitment to your company’s long-term success. By closely monitoring these metrics, you can identify areas where your talent strategies may need adjustment, ensuring that you’re creating a workplace that attracts and retains the best in the industry. This proactive approach not only helps you build a stronger, more motivated team but also enhances your business’s ability to deliver outstanding results consistently.
Below, we explore the most critical non-financial KPIs that your business could track to better manage talent acquisition and retention. By focusing on these key metrics, you can gain a clearer understanding of your team’s needs, make informed HR decisions, and foster a work environment that supports both individual and business growth.
Possible Non-Financial KPIs for Talent Acquisition and Retention
What It Measures: The percentage of employees who leave your company during a specific period.
Why It’s Important: High turnover can indicate underlying issues such as job dissatisfaction or inadequate compensation, which can affect your ability to retain top talent.
What It Measures: The average time it takes to fill a vacant position from the moment it’s advertised to when a candidate accepts the offer.
Why It’s Important: A shorter time to hire suggests an efficient recruitment process, which is crucial for quickly securing top talent in a competitive market.
What It Measures: The overall satisfaction of your employees, typically gathered through surveys or feedback forms.
Why It’s Important: High satisfaction scores are often linked to higher retention rates, better performance, and a positive workplace culture.
What It Measures: The degree to which employees are committed to their work and the company, often assessed through engagement surveys.
Why It’s Important: Engaged employees are more likely to be productive, stay with the company longer, and contribute positively to the work environment.
What It Measures: The percentage of job openings filled by existing employees rather than external hires.
Why It’s Important: A high internal promotion rate indicates strong career development opportunities within your company, which can improve retention and morale.
What It Measures: The percentage of employees who complete assigned training programs within a given timeframe.
Why It’s Important: High completion rates suggest that employees are actively improving their skills, which benefits both their personal development and the overall quality of your services.
What It Measures: The percentage of new employees who remain with the company for a set period, such as six months or a year.
Why It’s Important: This KPI can indicate the effectiveness of your onboarding process and whether new hires feel adequately supported and integrated into the team.
What It Measures: A composite measure of diversity within your workforce and the inclusivity of your workplace culture.
Why It’s Important: Promoting diversity and inclusion can enhance creativity, improve employee satisfaction, and attract a broader range of talent.
What It Measures: The average number of days employees are absent from work, excluding approved leave.
Why It’s Important: High absenteeism can signal issues with employee health, morale, or engagement, which may need to be addressed to improve retention.
What It Measures: The percentage of job offers that are accepted by candidates.
Why It’s Important: A high acceptance rate indicates that your company is seen as an attractive place to work, making it easier to secure top talent.
As with all KPIs and goals in general, ‘less is more’, so ideally you will select the handful of KPIs that are of greatest importance to the business to track and report on at top-level management. The further down the organisation you go, some of the more granular KPIs are likely to be ideal for middle or junior-level management and, of course, for team members.
For a much more comprehensive list of Key Performance Indicators for managing Talent Acquistion and Retention and much more, please click the link below.
Click Here for a More KPI’s for Managing Talent Acquistion, Retention and Much More
In summary: By selecting the non-financial KPIs that are most appropriate for your business, setting targets, and tracking performance against those targets, you can quickly gain a comprehensive understanding of your talent acquisition and retention performance. These insights will enable you to make informed decisions that foster a positive, productive workplace, ultimately leading to sustained business success.
Note: We are not advocating that you include ALL of the above KPIs on your website, you should select those you feel are most appropriate and enclose a link to a pdf that requires the site visitor to provide their email address to access a more complete list, that then gives them the full list above.
Another consideration: You do need to ensure anyone in your organisation that may end up talking to clients knows enough about the KPIs listed to be able to talk knowledgably about them to provide clients with a consistent, reassuring and professional experience.
