ISAO's Burr Flat
"Bali flat" without hierarchy or title
Perhaps because of the rare case of flattening a typical hierarchical organization, I have recently had more opportunities to talk about organizations with various people.
I am often asked about the turnover rate, so this time I thought about the turnover rate.
Will the turnover rate be lower if it is flat?
"If you made it flat and employees were able to demonstrate their abilities freely, would the turnover rate have decreased?"
In fact, ISAO has a positive view of "changing jobs because it doesn't fit the company" or "graduating because you find out that what you want to do is outside the company", so there is no idea that "leaving a job is evil".
Of course, if there is too much turnover, the work itself will not work well, which is not good for the company, but at a certain level, it is rather good for the organization to maintain an environment where there is turnover and new winds come in.
We looked into the turnover rate and trends from around 2010, when ISAO headed to Bali Flat, until recently.
When it began to open up and flatten (around 2010-2012)
Turnover rate 15-20%
This period was the end of a period when ISAO had not been in the black for five years (it became profitable in July 2012), but it was a time when the turnover rate was high for two main reasons.
- Give up on a company that has been losing in the market and quit
- They began to send a strong message to managers that "people who only manage people do not admit that they are working", so they quit because they didn't like the fact that the way of working that "I am a manager and want my subordinates to do the work" no longer worked.
It was a time when many people quit for negative reasons.
The period when open flats were established and business performance was growing steadily (2013-2015)
Turnover rate about 10%
The turnover rate has dropped considerably, partly because there are almost no managers in the sense of "managers," and the culture of everyone, including myself, working as a player, has taken root, and business performance has grown steadily.
After Complete Bali Flat (2016-2017)
Turnover rate is about 12-13%
At this time, when the growth of existing businesses slowed down and they began to take on new challenges, such as releasing their own services Goalous and Mamoru, ISAO began to move in the direction of asking everyone to grow.
The number of people who are strongly aware of personal growth has increased, and the number of developmental graduations has increased.
On the contrary, there were also people who quit because they couldn't keep up with it or because they couldn't rest in an environment where they were said to be growing and growing like this.
Along with this, the turnover rate began to rise again.
What percentage of turnover is just right?
The appropriate turnover rate depends on the stage of the company and the speed of growth.
In terms of ISAO, around 2010-2012, when the company was in a critical state, there were quite a few people who were performing well in the company and quit, so it seems that the high turnover rate was not healthy.
On the other hand, the fact that the turnover rate has increased somewhat recently can be said to be rather healthy for the company.
Therefore, it is not necessary to be low, and I don't think there is a certain percentage that is just right.
By the way, in the future ISAO, all people who quit will be assumed to have "positive reasons", and I have a feeling that a turnover rate of about 5-10% is healthy and appropriate.