How Can Internal Mobility Enhance Employee Retention and Growth?

November 21, 2024

Post-pandemic, there’s been an increased focus on internal mobility in organizations. What’s that? Internal mobility refers to existing employees taking on new roles in the same organization. This includes a lot more than just promotions, too. Employees can move vertically and horizontally in an internal mobility program, meaning they may make lateral moves instead of just vertical ones (e.g., promotions). Currently, 69% of companies plan to engage in internal mobility strategies, which was rare before 2020. Why has internal mobility become so prevalent? There are a few reasons why, and they all relate to the current state of the employment landscape. Seventy-seven percent of organizations need help sourcing top talent, and a massive global skills gap exists. Finding skilled candidates is more complex than ever, so more companies recruit internally. Internal talent acquisition has many advantages, such as cost savings and better retention rates, so it’s worth exploring.

1. Assemble a Team for Internal Talent Recruitment

Your current hiring managers will likely be busy with external hiring, so you should dedicate a new team to internal mobility. Adding internal mobility to your hiring managers’ plates would double their workload, which could be detrimental to both external and internal hiring efforts. By forming a separate internal talent acquisition team, you can ensure a focused approach to leveraging existing employees for new roles. This specialized team can be as small as two people but must be well-versed in the company’s specific needs. Understanding the various skills required for each role and possessing an in-depth knowledge of your company’s culture are essential traits for this team.

Moreover, this team should be familiar with effective talent management practices and be equipped with tools and strategies to identify potential internal candidates efficiently. They should be adept at recognizing skill gaps, areas for employee development, and the best ways to align employees’ strengths with the organization’s needs. This approach not only streamlines the process but also ensures that employees are placed in roles where they are likely to succeed and be satisfied, building a stronger, more cohesive workforce.

2. Support Employees Transitioning Between Roles and Departments

If you want to embrace internal mobility, viewing lateral moves as positive and beneficial rather than negative is crucial. Often, lateral moves require employees to take on new challenges that more closely align with their natural skills and abilities. For example, suppose you have a salesperson who excels in communication but struggles with technical details; it might be beneficial to move them to a position where their communication skills are more critical, such as in customer relations or training.

Trying to force an individual into a role that doesn’t suit their natural inclinations is rarely successful. Instead, it can lead to increased frustration and decreased productivity. By understanding and acknowledging the strengths and weaknesses of each employee, you can create an environment where everyone is positioned to do their best work. Embracing this philosophy means working with, rather than against, your employee’s natural tendencies and skills, fostering a more harmonious and productive workplace.

3. Implement Cross-Training Programs

Cross-training is an excellent practice that aligns perfectly with the philosophy of internal mobility. This method involves training employees to perform tasks associated with roles other than their own, enhancing their versatility and preparedness for a variety of positions within the company. For instance, a secretary trained to handle payroll and other accounting tasks can step into a different role if needed, making such transitions smoother and more efficient for the organization.

Implementing cross-training programs can make your workforce more agile and effective, and more likely to embrace internal mobility. Research has indicated that cross-training is one of the most effective ways to improve both individual and organizational performance. Yet, despite its proven benefits, only 45% of companies currently offer cross-training options. By adopting such programs, you stand a chance to set a trend and significantly boost your internal mobility efforts, leading to a more knowledgeable and adaptable workforce.

4. Leverage Technology to Enhance Your Efforts

Lastly, using technology to facilitate internal mobility can make the process more efficient and cost-effective. Tools such as talent marketplace platforms like Hitch and Gloat can significantly streamline internal mobility efforts by leveraging artificial intelligence to map out various career paths based on employees’ skills. These platforms can identify potential opportunities for internal moves, making it easier to find the right fit without the extensive effort typically required.

Additionally, technology-driven solutions can help in tracking employee progress, managing skill development programs, and even predicting future internal job market trends. These insights can be invaluable for making informed decisions about role assignments and employee development plans. By embracing technological advancements, companies can make internal mobility more accessible, effective, and affordable, ensuring that employees have ample opportunities for growth and that the organization can maintain a dynamic and adaptable workforce.

Final Thoughts: Internal Mobility Programs

In summary, internal mobility, which involves the movement of employees to new roles and opportunities within the same organization, offers a range of benefits. Various forms of this mobility exist, including promotions, transfers, and job swaps. An effective internal mobility program can lead to higher employee retention and engagement, save on hiring costs, and address skills shortages.

To successfully implement an internal mobility program, organizations must create a dedicated internal talent acquisition team. It’s essential to support lateral moves, implement cross-training, and leverage modern technology. Cross-training employees equips them with diverse skills, making them well-rounded and capable of filling various roles as needed.

When executed correctly, a robust internal mobility strategy not only fills open positions efficiently but also strengthens the existing workforce. Employees are more likely to remain with the company longer when presented with ample growth opportunities, thus fostering loyalty and reducing turnover rates. In essence, internal mobility promotes a strong, adaptable, and engaged team, which can drive long-term business success.

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