Attrition Management

Process Training
 Index

● What is an attrition risk call?

● When the attrition risk call can happen?
● Types of attrition risk
● Why is it important?
● Actions for better results
● ERP process
● Summary
● Q&A
 What is an attrition risk call?

An attrition risk call will take place when a member of the team presents one of these situations:

> Tells you that they have a new job offer.

> Says that will start looking for another job.

> They are not comfortable in the current position, some examples are: salary, project, client, team,
tasks, among other reasons.
 When the attrition risk call can happen?

It can happen that the employee mentions this during the 1:1 call, that explicitly tells you that wants to
talk to you, or that you detect something in a Slack channel or in a call with the team.

In all the situations, it is important for you to be prepared with the information of the employee. For
example, location, current role, main technology, salary information (current and previous salary
increases), attrition risk history, PX assigned, among other things.

All this information can be found in the “Employee report” inside the ERP and, a good practice, is to
review the previous 1:1 record.
 Types of attrition risk
> Urgent: cases where the employee wants to resign. It can happen that the employee had
received an offer and is interested in accepting it, or mentions any other reason that implies that
the employee would stop working for BairesDev.

> High: cases where the employee states that is actively looking for another job or threatens to go
out to look for work because they do not feel comfortable in their current situation at
BairesDev.

> Medium: cases where the employee expresses dissatisfaction that will not generate a
resignation in the next 3 months, but requires follow-up because if it is not treated, the risk can
become urgent.

> Low: cases where the employee expresses dissatisfaction that will not generate a resignation in
the next 6 months, but that requires follow-up because if it is not treated, the risk can become
urgent. In this case the ERP will not generate a ticket, a good practice is to generate your own
ticket or prepare a spreadsheet with all the information for the follow-up.
 Why is it important?

Employee retention is a critical issue since companies compete for talent in a tight economy.

The costs of employee turnover are increasingly high depending on the role. Also, there are other “soft
costs” related such as lowered productivity, decreased engagement, training costs and cultural impact,
among others.

As a manager, your goal is to make them want to stay in BairesDev, by generating engagement since the
first day, and by highlighting our benefits*.

We suggest not using the word “retain”, since we do not hold anyone against their will. We want them to
choose us, to do not even open the door to new job opportunities because working at BairesDev is their
best option.

*On slide 12 you will find a list of benefits that you can use
Actions for better
results
 You must
Turn on your camera

In all your calls, the camera must be on.

It will help you to be closer with the other person, to read the body language and see the reaction when you are
speaking. It is an easy way to build rapport and empathy with them.

You must: You must not:

> Take into consideration your own body > Lie down on the table or chair.
language when speaking with others.
> Constantly look to a different screen.
> Choose a proper background.

> Reinforce with all the team members to use

their cameras by explaining to them the
benefits.
 You must
Understand what BairesDev does

You are a Business Partner of the company.

It is very important for you to understand our business, what we do and the benefits we have.

You must: You must not:

> Highlight the benefits of BairesDev against > Say anything negative about BairesDev
the ones from the other companies. (industry, software outsourcing business,
clients, projects, people, etc).
 You must
You can use this information when talking with the employee:

> BairesDev has 2,500 employees (July 2021) and will reach 3K by the end of 2021.
> BairesDev’s revenue will grow by a minimum of 94% in 2021.
> BairesDev is the fastest-growing technology services company in the world.
> BairesDev has been the fastest-growing technology services company in the world for 6 years in a row.
> BairesDev is one of the largest bootstrapped (no external investments received) companies in history in any industry,
with a valuation of over $1B (one billion dollars).
> BairesDev will reach +10K employees by the end of 2024.
> BairesDev aims to go public by 2025, and have the highest valuation in the history of Tech Services Companies IPOs.
> BairesDev has a growth curve that is better than 99% of companies (considering both size and growth tendency),
regardless of what industry we're talking about.
> At an equal performance, employees who join BairesDev should be orders of magnitude more likely to grow faster,
make more money, and take more responsibilities than in almost any other company given the company's growth.
 You must
> BairesDev receives more applications than any of its competitors and more applications than almost any company in the
world for any size.
> BairesDev is the largest fully-remote company in the world, and has been working remotely for over 8 years (but we
offer “WeWork-like” options for those that prefer an office).

You can also use the following list when the employee is not interested in “numbers”:

> Ability to grow faster

> Culture of innovation
> Results-oriented environment
> Being able to grow horizontally as well
> Budget for training
> Work with the top 1% of people in the world.
> Diverse culture
 You must
Be empathetic with the employee, but stay formal

You can start the call with some icebreakers, but never interrupt the employee or laugh when they are telling you
about the current situation.

You must: You must not:

> Pay attention and listen carefully what your > Look unconcerned and deal with this
team member is telling you. That person is situation as if it was not important.
making a huge life decision.
> Follow the questions from the ERP as a
> In Confluence, you will find the Active questionnaire.
Listening material that you may want to
read and apply in your meetings.
 You must
Understand why the employee wants to leave the company

Do not assume. Let the employee gives you all the reasons.

Ask questions to fully understand the drivers, and why the employee opened the door for a new job opportunity.
Please, never judge their motives.

You must: You must not:

> Ask the employee information about the new offer > Congratulate the employee on the new
(the whole compensation package, including the offer.
benefits), this will help you to reinforce the weak
points. > Tell the employee that it is going to be
difficult to get a new proposal.
> You can use the following phrase, “I want to
understand everything that is motivating you to
consider this offer.”

NOTE: you can use the “5 Whys” method if the drivers are not clear.
 You must
Highlight the benefits of staying with us

Knowing our business and understanding the drivers and offer received, will help you to highlight the benefits of
staying with BairesDev.

You must: You must not:

> Use the information of the new offer to > Say anything negative about outsourcing
highlight the benefits that we have. For companies.
example, growth, time zone, stability,
> Say anything negative about the client,
projects and technologies, among others.
the project or the team.
> Let the employee know that you will do
all possible to get a good proposal.
 You must
Validate the conditions

Do not assume that the main reason is the salary.

Validate what the employee wants/needs in order to stay with us.

You must: You must not:

> Reinforce with the employees that we want them to > Ask, “what is your magic number?”. Instead,
stay with us, and that you will try your best to get a use “What can I do for you to stay with us?”.
good proposal.
> Do not promise anything to the employee,
> You can say something like “I want to understand you can use hypothetical situations to
what in the company "A" makes you think it's the validate all the conditions.
number one company and makes you want to
change. What do you think is missing here to give
your best”.”
 You must

Remember that in Confluence you have speeches that you can use for different situations.

It is not mandatory to use them with the exact words, you can adapt them to your own style, but the
message that we transmit to each employee should be the same.

> How to: deal with a meeting in which a direct report communicates a resignation
> Retention speeches - Reactive Calls in which we find out an Employee is trying to quit
> Retention speeches - Calls where we share our retention proposal
> External Offer Weak Points Guide
> Lessons Learned
> Salary Q&A
ERP Process
 ERP Process

All the calls should be done using your own Zoom account, and all of them must be recorded. This is
because you will have to upload the information into the ERP.

To load the information, go to: HR → HR/Manager Meetings with Employees and select the meeting
type that applies.
ERP Process

There is no
need to follow
the template as
a
questionnaire.

Instead, try to
do it in a “story
telling” way.
 Examples

Some examples of “story telling” that you can use are:

> When the employee tells you that is leaving:

○ “Thank you for telling me this, communication is very important for me and I really appreciate the
fact that you are being sincere with me”.

○ “This is surprising because we talked this week, or maybe the week before and, as far as I
remember, correct me if I'm wrong, things were good. However, let's talk about this job offer and see
what we can do.”
 Examples

> Getting information of the new offer:

○ “I would like to understand what it is that they are offering and try to see what I can do in order to make a
better compensation package.“

○ “Can you share with me the compensation package they are offering you? I mean, base salary, bonuses,
benefits, etc. This will help me to go and do my best in order to get back to you with an attractive answer.”

○ Which would be you main responsibilities? What are you going to do? I would like to have the big picture in
order to understand what the new offer is about.
 Examples

> Getting information of the employee expectations:

○ “What do you expect from BairesDev in order to stay?.“

○ “What would I have to offer you, so you consider staying with us? I’m talking about project, responsibilities,
salary, etc. I’d like to have the full picture so I can go, meet some people and start negotiating.”

○ “So, the reasons why you considered this job opportunity are (start naming the employee drivers…) and in
order to stay you would like to (name the employee’s expectations)”
 Examples

> Asking not to give an answer of the new offer:

○ “What I want to do is, at least, as far as I'm responsible, as far as I have ownership, to go the extra mile and
do everything that is under my control because I saw you improving, getting better and there is a lot of
potential with you and I think that we are just starting and there's so much that we can do together so, it
would be a shame for me not having the chance to do that.”

○ “I would like you to give me the chance to work, as much as possible, on getting back to you with some
news, but I need you to do not reply back and be open to what we can offer.”
Summary
 Summary
DOs DON´Ts

> Use your camera. > Using an unconcerned style.

> Have a sincere and transparent communication > Judging the employee.
with the employee.
> Assuming the reasons.
> Validate the company is not one of the
> Finishing the call without information and
“Off-limits” listed in this link
understanding the proposed offer (full
> Let the employees know that they are important compensation package, company, role, salary,
to us and that YOU want them in your team. among other)

> Let the employee know that you will do > Talking about the entire process and using the
everything possible to get a good proposal. word “retain”.

> Create your own speeches for these situations in > Transferring the responsibility of the entire
order to be prepared for different scenarios. process to the PeopleX team.
 Summary of the process
1. The PM will find out the situation and upload the meeting into the ERP as “Employee trying to quit” (the
ERP will automatically generate a ticket)
2. The Px Partner will have a meeting with the employee to gather more information about the situation.
3. The AM will request Staffing a job opening to start looking for potential replacements.
4. The PM and Px Partner (DM if applicable) will have a meeting to work on the retention proposal.
5. If applicable, the PM will create and send the BC requesting approval for a salary increase.
6. With all the information, the PM will coordinate a call with the employee to share the proposal.
○ If the employee accepts the proposal, the PM will send an email to the Px team will the new
compensation package.
○ If the employee does not accept the proposal, and after all the attempts, the PM should
request the approval for the Let Go.

You can find the step by step of the process in Confluence

“Talented people want to work for talented companies that make the
best use of their skills while providing them with challenges and
opportunities. In that way, you have to think of this as a long game, so
engaging with the right people from the get-go is essential for your
company’s success.”
Pablo Chamorro
Chief Revenue Officer at BairesDev
Questions?