This content was created by Rich Bello. This content was uploaded by Rich Bello. This is a YouTube video titled "Maximize Retention with Competitive Compensation Strategies" created on January 30, 2024. It features a conversation involving Rich Bello discussing the importance of compensation in talent management, including acquisition, development, and retention, and the challenges firms face in getting compensation right to avoid overpaying or losing valuable employees.
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So we covered quite a bit on talent. We've talked about talent acquisition, talent development, retention. Great. Resignation, all of that. How does compensation fit into all of it?
Ooh, compensation. Yeah. A lot of people don't want to talk about that one. And it's so important. It's really important. So it's an area of tremendous pain for these managers, for the founders of these firms. They've got. They know they've got to get this right. A lot of them really don't want to dig into it. They don't want to spend the time. So why do they have to get it right? You pay too much. Potentially paying millions of dollars, depending on the size of your firm and the person's stature, might be paying millions of dollars too much over your firm's employee structure. Think too little, what happens. You might lose them. Right? Employee. You might lose them. Everybody knows the stats like cost 2 or 2 and a half times what their compensation is to replace a good employee. So you don't want. You don't want that also. Now you also have to be able to attract the right talent. So when you're making offers, you've got to get perfect. We found the perfect person for the job, and then you don't give them no offer to land them. That really sucks. Get the right person, Found the right person. So what do you do? You've got to figure out market value. That's the key. You got to figure out the market value of that employee. Easier said than done. We've got access to a lot of different surveys in the industry. We do a lot of research. When we first started doing this, it's more of an ad hoc exercise for me. One of our clients asked us to do this exercise. We're looking to pay. Somebody saved them a lot of money. I think a couple hundred thousand dollars have done an exercise that we did for them. So we developed these reports. I wish I had these here. They give us an employee and we do a research study on that particular role. A lot of times they've combined jobs with smaller firms like, you do this and do this. What do you do? You put it together. You do percentage. So we have a lot of technology that we've developed that works on, that works this out. And, yeah, I wish I had this again. Setting up a firm that I wish that I had had at Blue Ridge. We give you a report. I love this report. It's like, this is amazing. I wish that I had this. We give them a report and these guys really like it. It's a huge value added. Value added to it.
