The Importance of Onboarding New Employees for Your Organization

Did you know that 70% of new hires decide within the first month if a job is right for them, with 29% making that decision in the first week? Companies typically have about 2 months to make a strong impression and influence a new hire’s long-term retention with an excellent onboarding experience.

As a learning professional, you aim to help your learners succeed and achieve their goals. Similarly, as an employee, you want to make a significant impact on your business. Effective onboarding is crucial for both learner and business success. Proper onboarding helps new hires perform better, boosts business retention rates, and highlights the impact of your learning programs.

What is Onboarding?

According to BambooHR, “Onboarding is a human resources industry term referring to the process of introducing a newly hired employee into an organization. It’s an important part of helping employees understand their new position and job requirements. It’s the process that helps them integrate seamlessly with the rest of the company.”

The Importance of Onboarding New Employees

Think back to your past job experiences – what kind of training did you receive? Was it effective? How long did it last? Which job did you feel most prepared for, and was it because of the training? Onboarding courses might seem time-consuming, but they are essential for new hires, helping them ease into their roles and adapt to the company culture.

Introduction to Company Culture

A Deloitte survey found that 80% of organizations offer some level of remote and hybrid work. However, 43% of businesses reported challenges in creating a remote company culture, and only 28% of remote workers felt strongly connected to their organization’s mission and purpose in 2023.

A strong company culture fosters a sense of belonging, crucial for a loyal and productive employee. Onboarding is the time to introduce new hires to the tools and knowledge they need to grow and succeed in your business.

No ‘Stupid’ Questions

Regular check-ins are vital for new hires. They provide opportunities for new employees to ask questions and connect with their team, while managers can monitor progress and identify areas for improvement. This benefits everyone involved.

Understanding the Role

New hires need a clear understanding of their role, responsibilities, and performance metrics. Onboarding ensures this understanding, helping new employees reach their potential by aligning training with the company’s strategy and setting clear personal and professional growth objectives.

How Onboarding Impacts Employee Performance

Effective onboarding goes beyond reducing onboarding time and standardizing training. Organizations with strong onboarding strategies start with a few courses and a single goal, then expand to a comprehensive process that benefits both employees and the business. Identifying desired outcomes and measuring their impact is crucial.

A strong onboarding experience boosts new hire engagement, loyalty, and productivity, ultimately benefiting the business. Companies with effective onboarding see a 43% reduction in employee turnover, according to Gallup.

Improved Performance

A solid onboarding process increases productivity. Companies with effective onboarding report 70% greater new hire productivity compared to those without any onboarding procedure. This leads to more success for employees, the business, and customers.

Increased Retention

Onboarding significantly increases employee retention. Companies with a structured onboarding process experience 80% greater new hire retention, and 69% of employees are more likely to stay for three years if they had a great onboarding experience. This reduces the costly and time-consuming fallout of high turnover.

Boosted Employee Engagement

Employee engagement measures how motivated employees are to contribute to organizational success. Onboarding effectively engages employees from the start, with 54% of companies reporting higher engagement through onboarding programs. This positive impression sets clear expectations for each role.

Cost Savings of Onboarding

Hiring a new team member is expensive, costing an average of $7,500–$28,000, including job board fees, background checks, and training. Effective onboarding saves money by reducing turnover and ensuring employees are adequately trained.

Shorter Learning Curve

Onboarding accelerates the learning process and helps employees adapt to their roles faster. Without onboarding, it can take up to eight months for new hires to reach full productivity. Structured onboarding cuts this time down, making employees valuable to the company sooner. Longer onboarding programs result in 34% faster proficiency compared to shorter ones.

Increased Likelihood of Reaching Goals

Onboarding helps new hires achieve their goals within the organization. 77% of employees who complete formal onboarding reach their first performance goals, compared to 49% without formal onboarding. Onboarding provides clear direction and supports new hires until they succeed.

Strategies for Onboarding for Your Organization

Pre-Hire Onboarding

Pre-hire training equips new employees with essential skills and knowledge before they start their roles. This preparation ensures a smooth transition and empowers employees from day one.

Mentoring Program

Pairing new hires with experienced employees through a mentoring program supports knowledge sharing and boosts productivity and satisfaction. Mentors provide guidance and a regular point of contact, especially beneficial for remote employees.

Integrate Touchpoints

Integrating onboarding with tools like HRIS or LMS automates the process, providing a seamless experience for learners and freeing up valuable time for your team. Features like prebuilt workflows and checklists, along with real-time data from a learning management system, enhance the onboarding experience.

Automate your onboarding training and reap the rewards

Investing in your new hires through effective onboarding has a significant impact on both them and your business. A strong onboarding experience leads to higher productivity, engagement, satisfaction, and retention. It’s a win-win situation, demonstrating the strategic value you and your team provide to the business.

The first days in the organization are pivotal for unlocking exceptional performance of a new employee. The smoother your onboarding process, the shorter time-to-productivity you may see.

Konstantly is your trusted partner in creating efficient onboarding training. Our platform provides you with all the necessary features to automate and optimize your employee e-learning, ensuring that new hires receive tailored, engaging, and effective training.