Functional turnover: what it is and what it means

Functional turnover is the share of exits that involves low performers or roles that need redesigning. It is manageable and does not call for emergency action: unlike dysfunctional turnover, it causes no loss of critical skills and does not put the organization's key processes at risk. When managed deliberately, it can help renew the company's skills, making room for profiles that better fit current needs.

Distinctive: low performers
Distinctive: roles that need redesigning
Essential: is manageable
Constant: low performers

Glossary

Functional turnover

The share of exits that involves low performers or roles that need redesigning; it is manageable and does not call for emergency action.