Executive Onboarding: Best Practices for Success

Executive onboarding is a strategic process to help new executives integrate smoothly into their roles, maximize their impact, and align with company goals. Yet according to data from Gallup, one in five employees report a poor or nonexistent onboarding process. This can have major consequences for an organization’s ability to retain staff, resulting in decreased mission impact. It also comes with hefty financial costs, especially for executives. Data suggests that replacing a senior leader can cost an organization up to 213% of the salary for that role. This makes successfully onboarding new employees, but especially new executives, critical for organizations of all sizes. We’ve prepared some guidance to help you get started on creating the best onboarding plan for your next leader. 

What is Executive Onboarding and Why Is it Important?

For many organizations, standard onboarding includes little more than paperwork, a tour, and a few introductions. With no standard procedure for getting a new employee “up to speed”, they are often left to themselves to determine the culture, quirks, and day-to-day of their new role. Many leaders say it takes them 6-9 months to have a full impact in their new roles, which could be improved by a well-planned onboarding process. 

Having an executive onboarding plan in place leads to better working relationships, higher retention, and stronger leadership alignment with organizational goals. All of which echo throughout the organization, curious about the data? Consider these points:

• The Society for Human Resource Management (SHRM) reports that senior leadership turnover can be as high as 50% in the first 18 months for external hires. 
• Bamboo HR found that organizations have roughly 44 days to influence whether or not an employee stays with them. 
• Gallup poll respondents who said they had an “exceptional” onboarding experience were 2.6 times more likely to be extremely satisfied with their place of work. 

Our advice: don’t risk losing exceptional talent. As this data shows, there is great potential for reward in having a well thought out onboarding plan! 

An earlier performance impact is related to an onboarding experience that is compassionate and empowering. When this process includes a well-designed cultural component, leaders are able to more quickly align with an organization’s values, way of doing business, and their team. Of course, starting with a good executive search process is also vital for finding and hiring a leader that aligns with organizational values. Once you’ve gone through a thorough, well-executed search process (which our team can help with) a clear, supportive onboarding plan will bring new leaders up to speed quicker, helping them to do what you hired them to do: lead. 

Best Practices for a Successful Executive Onboarding Plan

A successful executive onboarding program includes tailored goals, cultural alignment, clear expectations, and robust support systems. Organizations should develop a thorough process that avoids the onboarding “killers”: rushing the process, and failing to provide clear expectations. Here are four executive onboarding best practices you can engage in instead.

1. Pre-Boarding Preparation. Don’t wait for your executive’s first day to begin onboarding. In fact, “pre-boarding” should start during your hiring process. The expectations of the role and the organization’s culture and values should be clearly communicated during your executive search process. Once you’ve found the right person, make sure you use the time between acceptance of the offer and their first day to define role expectations, review company strategy, and address logistical arrangements. 
2. Personalized Onboarding Plan. Your new senior leader’s onboarding plan should be tailored to the particular goals of their role. What specific assistance will they need to fully integrate with their team and reach the milestones your organization or board has set for them? 
3. Cultural Integration and Networking. Even organizations with the same or similar values handle things differently. Don’t assume that because your new leader comes from a like-minded organization that their “way of doing business” will be the same. Culture is very organization specific and new leaders will benefit from an intensive introduction to your organization’s culture and team dynamics, as well as plenty of time to get to know key stakeholders and understand their hopes for the role. 
4. Feedback Mechanisms. Senior leaders, especially CEOs and Executive Directors, can be some of the toughest to evaluate. Yet, just like other members of your organization, they benefit from regular feedback. One way to ensure your organization’s leader is on track is to develop trackable and measurable KPIs to review at regular intervals. This will help all parties assess progress and provide support as needed.

Developing an onboarding strategy that works for your organization will likely take time. Successfully implementing it will make it a lucrative use of that time, however, as you see improvement in performance, retention, and impact, especially in your senior leaders.  

Final Steps: The Impact of Effective Executive Onboarding

For many organizations, hiring a new leader is a chance to hit new milestones, whether that’s increasing revenue, growing community impact, or expanding your mission. A well-planned executive onboarding process is the first step to reaching your goals. By beginning your onboarding during the search process, personalizing the information new leaders need to know, and ensuring successful cultural integration, your next senior leader will more quickly be ready to work on organizational priorities and need less time to “get up to speed”. Learn more about how onboarding and other talent retention strategies can assist your organization through Edgility’s free resources. And when you’re ready for personalized guidance, reach out to our expert team to lead the search for your next leader.