Why Betting on Your Own Reduces Turnover and Strengthens the Team

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I wish I had a competent manager right now! How often you hear that. Recently, I caught myself on an unpleasant thought: we discuss employee retention only after the fact, when the person is already tired, when they've received an offer and have mentally quit. We resort to the usual set of measures: urgent promotions, spot bonuses, persuasion.

The problem is that at such moments, you're not managing the situation—you're chasing it. If you want to act ahead of the curve, internal growth should work not as an exception, but as the normal scenario for filling key roles.

If You Look at the Numbers

HireVue, together with research teams, studied the career trajectories of over 11,000 managers from 2018–2023. They compared two groups: leaders promoted from within the company and those hired from outside.

The study's public materials highlight several findings:

  • Leaders who grew within the company left less often during periods of labor market instability.
  • They generally showed better performance ratings, including operational metrics.
  • Their teams had lower employee turnover.
  • Leaders hired from outside were significantly more likely to be ready to leave in the first 6 months.
  • In other words, it's not just about who has the stronger resume. More important is how well the person settles into the role and how long they're willing to stay in it when offers start coming around again.

    Why "Your Own" Leave Less Often After Promotion

    There are several practical reasons.

    1) Fewer Surprises

    An internal candidate knows the processes, constraints, and the real picture. They have less gap between expectations and reality. For an external candidate, this gap is one of the main reasons for early departure.

    2) Stronger Network of Work Connections

    An internal leader is already embedded in the team; they have trust, informal contacts, and an understanding of how everything works here. This greatly accelerates work in the first months.

    3) Clearer What Counts as a Result

    A person inside the company usually understands better what they're praised for and what they're scolded for. This makes the role more manageable from the employee's own perspective.

    The study separately noted that internal leaders more often felt company support and confidence during instability, which also influences the decision to stay or leave.

    In Russia, external hiring of key specialists and leaders has become both more expensive and riskier in recent years. Searches drag on, adaptation takes up most of the team's time, and newbie mistakes cost more and more. So "buying out a good professional" increasingly solves the problem short-term but doesn't provide stability.

    What to Do in Practice

    I wouldn't start with motivational programs or big HR reforms. I'd start with six managerial actions.

    1) Internal Market as Default Priority

    If a managerial role or key position opens up, look inside first. Connect external hiring only when there truly are no internal candidates.

    2) Don't Wait for the Offer

    A promotion when an employee has already expressed intent to quit often looks like a reaction, not a sincere recognition of merits. Proactive growth works better, when the next career step becomes a logical continuation of the trajectory.

    3) Spell Out Growth Rules in Plain Language

    Not "we evaluate potential," but: what results, what skills, what behavioral markers mean readiness for the role. This builds trust in the decisions.

    4) Prepare Future Leaders in Advance

    Mentoring, project roles, interim leadership, rotations—so that promotion isn't a surprise, much less a survival game.

    5) Support in the First 90 Days After Promotion

    This is the zone where people most often give up. Give them regular short meetings with the manager, clear priorities, and the right to ask "stupid" questions without losing face.

    6) Make Appointments Visible

    Publicly document why this person was chosen, what their task is for the first months, and what success criteria are. This reduces speculation and strengthens faith in the internal growth system.

    And if you want to retain strong people, ask yourself: who on your team has already outgrown their role, and what will you do about it in the next 1–2 months?

    This material has been translated using AI-powered neural networks. If you spot any errors, please highlight them and press Ctrl+Enter or notify us at info@nationalcapital.in