Ecosystem of Alumni Pools
Business strategies must adapt to survive. In the context of rapid development, the myth of former employees not engaging with their former employees are being debunked. EnterpriseAlumni, the market-leading Alumni Engagement Platform trusted by the world's top corporations and Fortune 50 enterprises, suggests that businesses should consider hiring people with an existing relationship with the organization. According to their research, hiring ex-employees can result in a 50% average reduction in time to productivity; rehired former employees have a 44% higher retention rate over three years. To become a future-ready organization, it is now mandatory for firms to shift their HR management toward one of the sources of quality hire, such as alumni recruitment.
CORPORATE ALUMNI NETWORK
Maintaining a sustained, long-term relationship with past employees is the last yet recreational step of the employee retention process. For conventional businesses, their employee experience might end at the exit interview; however, the sustainable ones see the employee-corporate engagement as a cycle —the endless process of value creation and exchange— Corporate alumni networks come in different forms, differing for each company.
BENEFITS OF ALUMNI REHIRE
Apart from the fact that 72% of ex-employees would happily return, the advantages of alumni networks help boost the company's operation in terms of branding and efficient recruitment. First, in the pool of employees, everyone has the potential to become the "brand ambassador" and influence one's peers in each industry. Treated well in both work and life dimensions, both employees and social media users are the best to showcase company value and culture. Second, as "boomerangs (returning employees)" already have insightful expertise in the industry, they tend to adapt and learn faster. With those who returned, the company will be able to increase revenue per employee by 2.8 times, product innovation by 4.5 times, and become six times more attractive for the employer market, as the report suggests. The alumni hire requires lower cost and effort to achieve employee retention goals than new hires. Plus, although the former is not the best fit for current open positions, they can still recommend others they think appropriate with their first-hand experience and insight.
MAINTAINING ALUMNI POOLS TO EXPAND BUSINESSES
Moreover, the alumni pools in some companies also functions as another segment of client acquisition strategy. Since the trust relationship between brands and employees has been developed, the exiting employees may return as clients. For example, with 36,000 alumni in 50 countries, Microsoft grants access to former employees to purchase Microsoft products. They also receive discounts at retail stores and from the company's partners and alumni-owned businesses.
In today's labor landscape, finding the best-suited talents to fulfill open positions can be challenging. Still, the company can use a track record of ex-employees and turn it into an asset. In a world where collaborativeness becomes the new competitive advantage, the growing concept of the alumni network is a win-win situation for both organizations and workers.
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