Talent & Culture: key terms, formulas and examples
People are the business. Recruit with a clear job description, onboard well, review performance fairly and build a culture that keeps good people.
Example
A buddy and a plan in week one speed up new hires.
Takeaway
Hire for skill and fit, develop people and learn from exit interviews.
Key terms
- Onboarding
- Helping new hires learn the job and fit into the team.
- Employee turnover
- Share of employees who leave a company in a period.
- Performance review
- A regular check of how well an employee meets goals.
- Organizational culture
- The shared values and habits that shape how a company works.
- Delegation
- Handing a task and its authority to someone else.
- Stock options
- The right to buy company shares at a fixed price, used as a perk.
- Recruitment
- Finding, attracting and hiring people for jobs.
- Severance pay
- Money paid to an employee who loses a job through no fault of their own.
- Employer branding
- How a company is seen as a place to work.
- Succession planning
- Preparing people to fill key roles when leaders leave.
- Mentoring
- An experienced person guiding a less experienced one.
- 360-degree feedback
- Feedback gathered from managers, peers and direct reports.
- Job description
- A written summary of a role's duties and requirements.
- Probation period
- A trial time at the start of a job to check the fit.
- Talent acquisition
- Finding and hiring skilled people.
- Upskilling
- Teaching staff new skills.
- Exit interview
- A chat with a leaving employee about their experience.
- Employee benefits
- Extras like insurance given beyond pay.
- Diversity and inclusion
- Welcoming and valuing people of all backgrounds.
Formulas
Employee turnover rateLeft ÷ Avg staff × 100
Revenue per employeeRevenue ÷ Staff
Cost per hireC ÷ N
Employee turnover rateLeft ÷ Avg staff × 100
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