Voluntary Turnover Rate
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1 OpsDog KPI Reports Benchmarks, Definition & Measurement Details SAMPLE CONTENT & DATA 2017 Edition
2 Definition & Measurement Details What is? The number of employees who left the company voluntarily (i.e., those who resigned or left their position without being terminated/fired) divided by the average number of employees working for the organization (company-wide) over the same period of time, as a percentage. Why should this KPI be measured? Turnover Rate (Voluntary) measures the organization s ability to attract, develop and retain high quality employees on an ongoing basis. A high rate of voluntary separations should be particularly alarming for any organization, as these departures may be indicative of deeper organizational or industry-related issues. Voluntary separations may be related to issues with the work environment maintained by the company, subpar benefits or compensation packages, and/or frequent disagreement with company management. While a certain amount of turnover is unavoidable, exit interviews and other similar methods should be employed to determine what, if anything, could have been done differently by both parties to avoid the separation. The business impact of high involuntary turnover can be twofold: recruiting and hiring costs are increased, while departmental productivity, morale and work quality may also be negatively impacted. How is this KPI calculated? Two values are used to calculate this KPI: (1) the total number of employees that voluntarily left the organization during the measurement period, and (2) the average number of company-wide employees working for the organization over the same period of time. A voluntary separation should be considered any instance where the employee resigned, retired or left their position of the own accord. Forced terminations or layoffs ABRIDGED CONTENT should not be counted in the numerator for this calculation. When calculating this value for a calendar year (or month, quarter, etc.), the Purchase to View Full Definition & Measurement Details! average number of employees working for the organization during that time period should be used in the denominator for this calculation (i.e., the number of employees at start of period, plus the number at the end of the period, divided by 2). Related KPIs Time to Fill, Cost per Hire, Turnover Rate, Involuntary Turnover Rate Formula (Number of Voluntary Employee Separations / Average Number of Total Employees) * 100 1
3 Benchmarks & Characteristics of High Performers (Number of Voluntary Employee Separations / Average Number of Total Employees) * 100 High Performers SAMPLE CONTENT Low Performers Avg () Purchase to View Actual Benchmarking Data! Characteristics of High Performers KPIs are well-defined, tracked and tied to performance reviews Robust self-service options for customer (online FAQs, etc.) Agents cross-trained to handle and resolve multiple call types KPIs are well-defined, tracked and tied to agent performance reviews Sample Size: KPI Type: Unit: Is High or Low Best?: How to read this chart: This chart summarizes the performance gaps between high (Top 5%), mid (Median) and low (Bottom 5%) performers for this Key Performance Indicator (KPI). For example, the column labeled Top 5% represents a company that outperformed 95% of the peer group observed for this metric. 2
4 Benchmarks & Long Tail Analysis (Number of Voluntary Employee Separations / Average Number of Total Employees) * 100 SAMPLE CONTENT Purchase to View Actual Benchmarking Data! Avg () Min Top 25% Cut-off Median Bottom 25% Cut-off Max High Performers Low Performers How to read this chart: This chart plots all values within the observed population for this KPI. This chart can be useful in analyzing the upper and lower boundaries (i.e., minimum/maximum values) and the amount of the population that falls above/below the average for the KPI, among other things. 3
5 Benchmarking Report Terms & Conditions OpsDog KPI Reports 2017 OpsDog, Inc. The OpsDog KPI Reports and their contents are protected by copyright laws, contain the trademark OpsDog, Inc., and are OpsDog s proprietary information. No part of this book shall be reproduced, stored in a retrieval system, or transmitted by any means, electronic, mechanical, photocopying, recording or otherwise, without written permission from OpsDog, Inc. OpsDog, Inc. assumes no liability with respect to the use of the information contained herein which is provided as is and there are no warranties of any kind provided by OpsDog with respect to this report. OpsDog assumes no responsibility for errors or omissions and will not be liable for any damages resulting from the use of the information contained herein. OpsDog, Inc Augusta Dr., Suite 200 Houston, TX Tel:
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