In 2017, Fortune reported that 87 percent of employers said improving employee retention was a critical priority for their organizations.¹ The leaders of these organizations are obviously aware that high turnover has become a major problem. CNN money said that the average person will have 4 jobs by the time he or she is 32 years old.² Furthermore, depending upon what type of position an employee is in, losing a worker can cost companies a lot of money. Kimmel and Associations reported that replacing an employee who makes $100,000 per year could potentially cost organizations $50,000.³
Understandably, organizational leaders are actively looking for methods in which to promote employee retention. Utilizing a learning management system (LMS) is an effective way to do this.
An LMS, also referred to as an ‘eLearning system’, is basically a computer program designed to ensure employees have access to training at all times. This type of online platform generates reports on each employee’s learning path and delivers them to administrators, giving instructors the information needed to individualize learners’ experiences.
By using an LMS, company leaders can continuously train employees from their first day on the job to their last. What’s more, an eLearning system can help increase the length of an employee’s time with an organization.
Related Reading: What Is an LMS?
There are several reasons why an LMS helps to promote employee retention; here are a few examples:
1) An LMS maximizes company culture -- Company culture plays a significant role in employee retention and turnover. The Infographic The Statistical Case for Company Culture4 stated, “A Columbia University study shows that the likelihood of job turnover at an organization with high company culture is a mere 13.9 percent, whereas the probability of job turnover in low company cultures is 48.4 percent.” Read about how an LMS maximizes company culture and thus increases employee satisfaction in our blog article How to Quickly Transform Your Company’s Culture with an LMS.
2) An LMS engages employees in training -- Training is often not the most exciting aspect of an employee’s work experience. An LMS can elevate the training experience to one that is more engaging, and quality training can encourage employee retention.5 First, an LMS enables leaders to design effective content that includes audio, video, games, and simulations. Second, an eLearning system itself is an engaging vehicle of delivery for training content, allowing employees to have constant, convenient access to training through a feature called mobile learning.
3) An LMS equips employees with skills that ensure job competence -- Depending upon his or her job, an employee needs to possess specific skills, both technical and non-technical, in order to be competent at work. An individual who feels confident in his or her position may be more likely to remain loyal to an employer. Delivering regular training via LMS is a surefire way to impart both hard and soft skills that can ensure job competence and possibly decrease employee turnover.
“Organizational culture that is engaging, positive, and employee-centered attracts and retains top-performers. Employers can take a step toward changing company culture for the better by implementing a quality social LMS.” -- TOPYX
An LMS could be the missing piece of your organization’s turnover prevention strategy. Learn more about the role of a learning management system in the prevention of turnover by reading our blog article Hold Onto Your Employees with a Social LMS.
To get on the fast track to retaining employees more effectively, request a free demo of TOPYX LMS.
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