Ex-employees: waste or goldmine?

Unleashing the Untapped Superpowers of Your Alumni Network

Human resources professionals often view alumni as a sentimental part of the past. Retirement and leaving parties conclude careers, and the relationship fades into nostalgia. This perspective overlooks a goldmine of potential. A proactively managed alumni network could yield quantifiable business benefits which extend far beyond recruitment. Alumni engagement impacts sales, employer branding, and innovation.

Rebound Hiring: Boomerang Talent for Accelerated Growth

The "grass is greener" myth often prevents companies from considering former employees. We think this is an error in perspective. Alumni who explore new opportunities could return with expanded skills. They also bring fresh perspectives from their time outside your business. Data analysis reveals significant advantages to rebound/boomerang hiring.

Boomerang employees onboard faster and demonstrate a shorter time to make an impact. Time-to-hire decreases, and onboarding costs reduce substantially. One study by Cornell University found that boomerang employees often outperform new hires during their first year. They found that after one year, boomerang employees were 5.8 percent more productive than new hires, and were also 11 percent less likely to leave than outside hires (Cornell University, 2023).

Big 4 consultancies actively target alumni for specialized roles. These companies also see leadership potential in returning employees. by recognizing that the prior connection accelerates the learning curve. They understand that the employee already knows the company culture.

Alumni as Brand Ambassadors: Authenticity Beyond Advertising

Former employees hold a unique position of credibility. They can serve as unbiased advocates for your company's culture. Their experiences, positive or negative, carry weight. Just think of how many prospective employees refer to glassdoor.com before making decisions on whether to join your organisation. This authenticity resonates far more than traditional advertising. Harnessing alumni networks for referrals can be more effective than standard employee referral programs. These referrals carry more weight than those from current employees. Alumni referrals often bring candidates with similar values and work ethics. Companies can also amplify brand messaging through alumni-led social media initiatives where Alumni can share their success stories and experiences, while also offering insights into company values. This provides a powerful, authentic voice to your employer brand. A study by LinkedIn found that candidates trust current and former employees three times more than the company when it comes to providing information about what it is like to work at a company (LinkedIn, 2022).

Innovation Catalysts: Re-engaging Alumni for Fresh Perspectives

Alumni possess a wealth of experience and knowledge. Re-engaging them can spark innovation. For example, your organization can crowdsource ideas from the alumni network for product development, and process improvement.

Mentorship programs provide another avenue for knowledge transfer. These programs pair current employees with experienced alumni, fostering professional growth and development. Some companies create virtual alumni innovation hubs. These hubs foster collaboration and idea generation beyond geographical boundaries. Alumni can contribute to hackathons or participate in online brainstorming sessions. These initiatives tap into the collective intelligence of your former workforce. Companies like Google and Apple have used alumni networks for beta testing new products. They use alumni to get valuable feedback from a user perspective.

Measuring Alumni Program ROI: Beyond Engagement Metrics

To make sure your Alumni programs becomes more than just an expensive ineffective vanity project, you need to measure its effectiveness. Simply tracking engagement metrics is not in itself sufficient to determine a program’s success. You need a comprehensive KPI framework to measure the true impact of an alumni program. HR professionals must then present alumni program ROI to executive leadership on an ongoing basis. This KPI framework includes tracking hiring costs, sales performance, and brand perception. It also includes innovation output. Advanced analytics provide deeper insights into alumni engagement, while Sentiment analysis gauges the overall perception of your company. Network analysis can identify key influencers within the alumni community. Demonstrating tangible value is crucial for securing ongoing investment. This data-driven approach will help illustrate the strategic importance of alumni engagement to the business. For example, if an alumni referral leads to a major sale, that figure can be directly attributed to the program. The cost to hire a new employee compared to rehiring an alumni employee is another quantifiable metric to track.

Building a Thriving Alumni Ecosystem: Practical Strategies

A successful alumni program requires strategic planning and execution. Segmentation and personalization are critical for tailoring engagement strategies. Consider each employee’s career paths and interests. Offer exclusive alumni benefits. These benefits might include access to professional development resources and networking opportunities, or greatly reduced pricing for your company's products. Invite alumni to company events, or hold alumni exclusive events. Technology plays a vital role in alumni management, and a good Alumni management platform will help you streamline communication and data analysis. These platforms also allow for targeted messaging, and help in tracking alumni engagement. A good Alumni platform will also facilitate networking among alumni. These strategies transform a passive list of ex-employees into a dynamic community. Platforms, like LinkedIn and Facebook, can provide a way for the business to connect with the alumni. However, these are public forums and the communication and material shared should be suitable for all audiences. Build up your initial community on social media by all means, but invest in a dedicated Alumni platform as soon as possible.

The Future: Cultivating a Lifelong Talent Community

The modern business environment demands adaptability and innovation. Alumni networks represent a strategic advantage in that regard. These networks help organizations acquire talent, build their brand, and drive innovation. HR professionals must start to help their organizations prioritize alumni engagement, to take advantage of these benefits. It’s important and smart business to unlock the untapped potential of former employees.

Envision a future where alumni are integral to talent acquisition strategies. They would become an important part of the branding and innovation efforts. This requires a shift in your mindset. Think of alumni as lifelong members of your talent community. Take action to prioritize alumni engagement. Unlock the power of your former employees.

MData Consultants can build you an awesome Alumni (and current employee) community platform to help you get great results with your Alumni program.Ready to transform your business through your people agenda? Connect with us at #MDataConsultants https://www.linkedin.com/company/mdata-consultants/

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Citations

• Cornell University. (2023). Boomerang Employees: Hiring Your Former Workers. Cornell University, ILR School, Center for Advanced Human Resource Studies.
• LinkedIn. (2022). Global Talent Trends Report 2022. LinkedIn Talent Solutions.