Higher turnover in a department or company isn’t a bad thing. Rather, it can lead to higher productivity in the long run.
Research highlighted in a recent Kellogg Insight posting (part of the Kellogg School of Management at Northwestern University) counters the notion that higher turnover is a bad thing, reflecting issues such as inexperienced management and low morale. Rather, the argument is that robust turnover can be golden, allowing replacing of low-performing employees with those that are more productive.
As well, turnover brings in new ideas and skills that can boost creativity and results, according to the posting.
Something else to think about: Turnover, however it is encouraged, can free an organization of outdated skills. It enables a firm to be future-forward and consider skills they will need in the months and years ahead, the posting noted.
In other words, change can be a very good thing for executives and their teams, even if it doesn’t seem that way at first glance
The full posting – “Why Companies Shouldn’t Necessarily Fear Higher Employee Turnover” – can be accessed at this link.