Do you know who the top 2% are within your business?
Traditional talent management practices will have identified the top 10-15% of employees on performance, but in some organisations more recently, this focus has more acutely focused on the top 2%. These top 2% are likely to contribute, whether it be financial, sales, or output/value, proportionally more than the other 98% in these businesses.
If these top 2% were to leave the business, or to use the “hit by a bus” analogy, it would naturally have a significant impact. It might be that that a head of department is in the top 2%, but it could be a designer or engineer, even an underground miner who consistently drills more metres per day than anyone else in the company.
HR needs to track this group of employees, and partner with the CEO and CFO in managing them as a special group.
Determining the top 2% is potentially more straight forward to calculate, or at least estimate the financial (or social for NFP’s) benefit that each member of this group contributes as well, so one can also extrapolate this number to calculate a likely exponential cost to the business if they left.
The best that HR can do for the CEO and the business is to:
Partner with the CEO and CFO to identify the top 2%
Create systems and processes to track these employees further.
Personalise their development, retention and incentive plans, and
Ensure there is a succession plan consisting of both internal and external candidates that as a worst case scenario, can take over, as quickly as possible, with little disruption.
Originally posted at – https://www.matchhr.com.au/newsandinsights/2020/4/16/your-top-2
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