Change Management Strategies That Improve Retention

Ever notice how restructuring announcements always promise "flatter organizations" and "faster decision-making," but rarely talk about what happens to all those managers who lose their positions? Most companies handle this in one of two ways: 1. Mass layoffs (hurting morale and removing institutional knowledge) 2. Awkward demotions (creating resentment and disengagement) But in my latest conversation with Connie Klimko from Siemens Energy on The Only Constant, I discovered a third path that's so much smarter. When they flattened their organization by removing several management layers, they simultaneously elevated the "expert career path" as an equally valuable way to advance. This isn't just a consolation prize. It's a recognition that technical expertise and influence can be just as valuable as people management - and often more aligned with what people actually enjoy doing. As Connie mentioned, it's ironic that "often when someone is good at their job, they're put in a role of managing people, which is a whole different skillset." What I really love about Siemens Energy's approach is how they built trust during this massive change: - They opened ALL management positions to transparent hiring - Created special resources specifically for managers - Had teams literally shadow each other and even swap roles - Used change ambassadors to monitor how people were coping The result? Out of hundreds of managers affected by the restructuring, fewer than 20 people left the company. That's incredible retention during such a significant change. I think Connie's final advice is spot on: while structures and processes may constantly change, your company's purpose and values should remain constant. That consistency gives people an anchor during stormy seas of transformation. Listen to our full conversation by clicking the links to Spotify and Apple Podcasts in the comment section below 👇 Has your organization gone through restructuring recently? What worked well or what would you have done differently?

The $3.4M blind spot in your retention strategy. It's not the Great Resignation. It's the Silent Exodus of your newly promoted managers. Last month, I analyzed retention data from a Fortune 500 client and found something startling: While executive turnover held at 11%, their newly promoted managers were leaving at 3.2x that rate. This pattern repeats across industries, creating what I call the "Leadership Cliff": ↳ 29% of new leaders leave within 18 months (ADP data). ↳ Two-thirds of managers say they struggle with heavy workloads and burnout. ↳ Up to 75% of voluntary turnover is linked to managerial issues. This isn't just a personal tragedy. It's a devastating financial drain. The Leadership Cliff costs mid-sized organizations millions annually through: ↳ Replacing a manager can cost 125%–200% of their annual salary. ↳ Productivity loss: It can take 1–2 years for a new manager to reach full productivity. ↳ Teams under struggling managers see up to 43% higher turnover and 7–9% lower productivity. ↳ Disengaged employees cost companies 18% of their annual salary in lost productivity. Through my work with hundreds of organizations implementing Turnkey Retention Solutions, I've identified what I call the T.R.A.N.S.I.T.I.O.N. Gap: T - Technical to tactical mindset shift R - Relationship recalibration with former peers A - Authority establishment without overcompensation N - Navigating organizational politics S - Strategic thinking development I - Identity transformation from doer to leader T - Time management recalibration I - Influence building versus direct control O - Ownership of team outcomes N - Nurturing team capabilities Here's what my T.R.A.N.S.I.T.I.O.N. Framework puts in place: ↳ Weekly micro-coaching sessions focused on identity transformation ↳ Structured boundary-setting protocols ↳ Peer learning cohorts with facilitated case studies ↳ Strategic burnout prevention assessments and interventions This improves not only manager retention, but team performance. And it reduces burnout. Why? Because the way we manage affects our team. I've seen this repeatedly in my work: organizations that treat management transitions as transformation journeys, not just title changes, create sustainable leadership pipelines. The most resilient organizations don't simply promote their top performers. They provide structured pathways to leadership success. What's your organization's plan for transforming high performers into resilient leaders? _______ 👋 I'm Sharon Grossman. I help organizations reduce turnover by 30-50%, saving millions annually. ♻️ Repost to support your network. 🔔 Follow me for leadership, burnout, and retention strategies

“People don't leave jobs, or companies, when they quit. They leave managers…” … right? ^This statement is a popular but I actually think it’s grounded in a fundamental flaw.   Let me tell you why:   Because sometimes there are procedures & HR practices that companies can build into their operating culture to *ensure* a better experience for *both* employees and managers and significantly reduce friction points that tend to come up. At Top Employers Institute we survey the HR and talent teams of more than 2,400 global multinational organizations to help them understand which people practices most correlate to business outcomes that matter (i.e. profitability, revenue growth, retention, promotion rates, and employee engagement). We then help them benchmark their people practices through a rigorous certification process so that they don’t *just* claim to be a Top Employer, but earn the validated (data-backed) status of certified Top Employer. In our 2025 data, we found that the fastest growing priority for HR and talent teams is *Talent Acquisition & Retention*.   What’s the best talent acquisition and retention strategy? Step 1: retain the great people you already have. Here are 7 people-practices we found most correlate to lower voluntary turnover: 1) Offering Loan Repayment support (19% lower voluntary turnover) 2) Encouraging community involvement by offering a financial contribution to employees fundraising for good causes (17% lower voluntary turnover) 3) Initiatives that are designed to support and empower women in the organization (17% lower voluntary turnover) 4) Recognition awards for innovation (16% lower voluntary turnover) 5) Empowering employees to manage their own work hours and location (16% lower voluntary turnover) 6) Consistently offering mentoring/coaching for career development (16% lower voluntary turnover) 7) Offering the benefits for home office expenses when work needs to be done outside of the office (15% lower voluntary turnover) When organizations align people-practices to best support employees and managers, it can limit friction points, reduce stress, and deliver greater results. Outside of your manager, what are some of the benefits or workplace practices that keep you happy with your employer? Comment your thoughts below.