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Employee management key for the future of work
Employee management involves caring for and providing your employees with the best conditions. We'll tell you why it's essential for your business.
Marcos Lopez
HR Consultant
5 of February, 2025
On paper, no company could function without its workers, but in reality we know this isn’t exactly true. There are positions that can be replaced without much difficulty, but it’s also true that some profiles are very difficult to replace.
For this reason, employee management is essential for the future of the company. If it is not adequate, there is a risk that many key employees, those with great talent, will go to the competition. This poses a detriment to the organization and having a human resources software can facilitate this task.
What is employee management?
In most companies, employee management or human capital is the care of the workers. It involves offering the right conditions so that they are comfortable with their work, are motivated, and know they can evolve in the company.
Key workers are the talent, and the concept of talent management goes a little further. It refers to those workers who increase the company’s productivity, whose work brings great value to the organization.
Historically, this has not been a major concern for many companies. When an employee left, they would hire another in their place. However, in recent years, companies have realized the importance of good employee management, and strive to promote and develop the skills of their workers.
Thus, they retain these key employees for the future and increase productivity. And let’s not kid ourselves, retaining a talented worker will always be cheaper than investing in the hiring and training of their successor.
Phases of employee management
The management of a company’s human talent is ongoing and worked on day by day. There are tools that can help you like ERPs, but we can talk about three key stages in employee management that will enable you to retain the best workers in the company and prevent them from leaving for the competition.
- Selection process: consists of attracting key employees. How is this achieved? By offering good working conditions to attract talent to your company, rather than the rivals. A flexible schedule for better work-life balance, the possibility of promotion, or a good salary – including emotional salary – are always attractive.
- Performance evaluation: one of the many functions of performance evaluations is to detect that key personnel or identify the obstacles that prevent a better performance. Is there anything that hinders the employee’s top performance? Removing that obstacle will make them more productive and increase the productivity of the company. Good internal communication will be key. It is also the first step to offer salary improvements or promotions.
- Training and development: often go hand in hand. If we do not offer training to the staff, it will become obsolete and not competitive. Getting training opens more doors in the company for the worker, allows them to grow professionally. Therefore, employee management should include specific training plans for each position or the career path in the corporate hierarchy. If not, the employee will feel undervalued and will seek alternatives in the competition.
How to effectively manage employees
Planning is key to employee management. It is not something that can be left to chance, but rather human resources should have the itineraries planned, such as who will supervise each worker, when it’s time to assume new responsibilities, to access certain training, etc. These should be a plan that meets the company’s needs.
We may have a very talented worker, but if we train them in skills that the company does not need, they will hardly be useful to us.
The medium and long-term objectives of the company condition talent management. On paper, it may seem like a heavy task but having program like Sesame’s document management of HR can be of great help for this department.
It is a way of having the employee management planning all in one place, allows to manage all documents related to the worker (contract, certificates and other labor documentation) and access to information is very simple.
Employee management KPIs
A good employee management can be measured with HR KPIs. Without a doubt, the most prominent is the talent retention rate. It serves to know the predisposition of the workers to stay in the company or leave.
To calculate it, just compare the hired workers and those who left the company in a period. If the balance is positive, the management of employees is positive; but if there are more departures than arrivals, then the employee management is bad.
Related to talent retention is the duration in the job position. When the staff spends too much time in the same position, they seek progress alternatives. It’s calculated by taking the average time all the company’s employees have been in their current role. Training and capacity or even the average time to reach objectives are other indicators for the efficiency of employee management.
Behind each worker is a significant investment. The company has offered a salary, a workspace, and resources to work with; they have knowledge and experience that a new employee won’t have.
Hence the importance of developing good management of key employees, of committing to retaining the best professionals in the company to ensure it remains competitive in the future.
Need help?
I'm Marcos López, HR consultant at Sesame HR. Book a meeting with my team to help you.