How to measure the success of your onboarding program

In this blog, we’ll walk you through how to measure your onboarding success. We’ll cover picking the right KPIs, ways to collect data, and tips for using that info to make your onboarding even better. 

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Why measuring and evaluating onboarding success matters

Did you know that more than half (55 percent) of organizations don’t measure the effectiveness of their onboarding programs (Businesswire)? Without clear metrics, these companies are navigating in the dark, relying on gut feelings that can lead to missed opportunities for growth and improvement.

And to be honest, gut feeling might not always steer us in the right direction. For instance, only 12% of employees believe their companies have done a great job bringing them onboard, according to Gallup's latest report on onboarding statistics. 

By collecting and analyzing data, companies can uncover valuable insights that align HR expectations with the actual experiences of new employees. By using concrete measurements, you can objectively assess the onboarding process and make adjustments for a better new hire experience. KPIs are one such tool to help you measure success

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What are onboarding KPIs? 

KPIs, or Key Performance Indicators, are measurable data points that help assess whether an organization is achieving its goals. When it comes to onboarding, these indicators track specific activities and results, giving you a clearer picture of how effective the process is.

To keep things on point, it’s best to make your onboarding KPIs SMART:

• Specific: Know exactly what you want to achieve & measure.
• Measurable: Make sure you can put numbers to it.
• Achievable: Set targets that are realistic and reachable.
• Relevant: Align those KPIs with your overall goals.
• Time-bound: Give yourself a deadline to hit those targets.

Using SMART KPIs can help you see what’s working and where you might need to shake things up to improve the onboarding experience for new hires.

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4 Steps to measure & improve onboarding success

Measuring the success of your onboarding process doesn’t have to be complicated! It’s all about knowing what you want to achieve and having a clear plan in place. Here’s a quick rundown of the steps you could take:

1. Determine your desired outcome
2. Define your KPIs
3. Decide on how to measure
4. Use the results to improve

Let’s go through the steps together. We will also outline 4 KPI’s with how to measure them and improve them.

Step 1. Determine your desired outcome

Before diving into KPIs, it’s essential to establish what you want to achieve with your onboarding program. Do you want to reduce the time it takes for new hires to become operational? Improve their connection with the team? Or decrease turnover during the first year? Once these goals are clear, you can align your KPIs to reflect them.

A useful tool for defining focus areas is Talya N. Bauer’s 6 C’s of Onboarding: Compliance, Clarification, Culture, Connection, Confidence, and Checkback. Assess which of these elements needs attention in your program; this will help you identify where you want to focus on.

Here are some examples of goals:

• You want to make new hires feel welcome;
• You want to help new hires build a network by getting to know their colleagues;
• You want to get new hires operational as soon as possible;
• You want new hires to feel connected and a part of your organization at an earlier stage;
• You want to manage the expectations of new hires;
• You want to reduce information overload;
• You want to inform new hires about your organization before they start; 

Step 2. Define your KPI’s

Once you’ve outlined your goals, it’s time to define KPIs that will allow you to measure progress toward those goals. These KPIs should be measurable, relevant, and actionable, giving you clear data that can inform decision-making. 

Here are some questions to guide you:

• What specific metrics will indicate success?
  For example, if your goal is to reduce turnover, the retention rate of new hires can be a key metric.
• Can these KPIs be tracked easily over time?
  You need KPIs that provide continuous insights so you can make informed decisions. For instance, a KPI like "new hire satisfaction" can be tracked through regular surveys at different stages of the onboarding process.
• Do these KPIs align with your broader goals?
  Ensure that each KPI directly supports your overarching objectives. If productivity is the goal, focus on metrics like "time to independence" or "speed to first significant contribution”.

> Scroll down for examples of onboarding KPIs

Step 3. Decide on how to measure

Now that your KPIs are defined, the next step is to decide how you will gather and track the data (this is part of making them SMART). This involves selecting the right methods and tools to collect, monitor, and analyze the information. Here are a few things to consider:

• What data collection methods will you use? Surveys, check-ins, NPS scores, Likert scales, and performance reviews are all great ways to gather the insights you need.
• How often will you measure? It’s smart to check in at key intervals—after the first week, 30 days, 60 days, and 90 days—so you can track new hires’ progress over time.
• What tools or platforms can help you track this data? Digital onboarding tools (like Appical), HR software, and survey tools can simplify and automate the data collection process.

Think critically about your measurement approach. For example, a simple yes/no question like, “Did you like the speakers at the induction meeting?” isn’t very insightful. Instead, ask something like, “On a scale of 1 to 5, how well did your colleagues help you get started?” This provides a much clearer picture. Follow up with open questions to get more insights as well.

Our tip:  Tip: Measure smaller elements of the onboarding process at key moments. Before their first day, check if your new hire feels ready and has completed the preboarding phase. After the first week, ask how they’re settling in. Schedule a progress chat at the end of the trial period, and another check-in after 100 days. These different touchpoints will give you useful insights along the way."

Step 4. Use the results to improve

Collecting data is just the start; the real value is in using it to improve your onboarding program. Analyze your KPIs, spot areas for improvement, and adjust your process to boost results.

Here’s how:

• Analyze patterns in your data: Look for trends over time. For example, if retention drops significantly after 6 months, it might suggest that onboarding doesn’t provide enough long-term support.
• Make data-driven adjustments: If the time to independence is longer than expected, it could indicate a need to improve your training materials or provide additional mentorship. By focusing on the areas where KPIs are underperforming, you can make targeted improvements.
• Test, adjust, and track again: Onboarding isn’t static—it’s an evolving process. After making improvements, continue tracking your KPIs to measure whether the changes have had the desired impact.

Internal and external comparisons

To find out how effective your onboarding is, it’s important to compare your results both internally and externally. Look at how your organization has performed over time, and compare it with industry benchmarks. Are you ahead of the curve, or is there room for improvement? 

Also, make sure to compare different departments or office locations, as certain teams may engage differently with the onboarding content. Collecting feedback from these various groups will provide a comprehensive view of what’s working and what’s not.

PS At Appical, we help you do all that with our Corporate Onboarding Assessment, giving you data to see how you compare to industry benchmarks.

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Examples of KPIs + how to measure & improve

To kick things off, here are some key KPIs commonly used to measure onboarding success. We’ll also share tips on how to track these metrics and make the most of your findings. 

Remember, these are just examples—you might need to tweak them to fit your company’s unique needs.

New Hire Retention Rate 

Retention is critical in evaluating onboarding success. What percentage of new employees stay after their first six months or a year? A high retention rate suggests an effective onboarding process that helps employees feel supported and integrated. On the other hand, high turnover may indicate mismatched expectations or insufficient support during the onboarding process.

Make it SMART:
Achieve a new hire retention rate of 85% or higher for employees who complete their onboarding within the first year.

How to measure? 

Maintain a list of all new employees hired during the defined period (e.g., January to December) or use an HR management system or spreadsheet to track the employment status of each new hire. This should include their start date and whether they are still employed at the one-year mark.

To calculate the new hire retention rate, divide the number of new employees still employed after a set period (e.g., 6 months or 1 year) by the total number of employees hired within that timeframe. Then, multiply the result by 100 to get the “new hire retention rate.”

The higher this rate, the more likely it is that your onboarding process is helping employees feel integrated and aligned with the role. Conversely, a low retention rate can signal problems that may need addressing in the early stages of onboarding.

What to do with the info?

If you’re seeing low retention rates, it’s time to take a hard look at your onboarding and hiring processes. The stats don’t lie: 74% of employees about to leave say their latest onboarding experience was boring, 66% found it confusing, and 64% called it a failure (Paycheck).

One of the biggest issues? Many employees feel undertrained. In fact, while 50% of new hires are planning to quit soon, that number jumps to a staggering 80% for those who feel underprepared due to poor onboarding.

Let’s ask some important questions: Are job expectations clear during hiring and onboarding? Is your onboarding program helping new hires feel like they belong? Are you getting new employees ready for their roles?

Things you can look at:

• Job expectations: Are job descriptions accurately reflecting the role? Misaligned expectations can lead to early departures.
• Onboarding structure: Is there a clear plan for the first week? Are there defined goals for the 30-60-90 day period? Evaluating if these structures are in place can help new hires understand expectations and stay on track.
• Personalization: Are onboarding experiences tailored to each employee's role? Ensure new hires receive the specific support and resources they need to thrive.
• Interactivity: Is your onboarding program engaging and fun? Does it include interactive elements like quizzes, team-building exercises, and activities that promote participation?
• Integration and belonging: Do new hires feel a sense of belonging from the start? Assess if team bonding activities and informal introductions are helping build relationships.
• Ongoing feedback and support: Is continuous feedback provided during the initial months? Check if employees have the tools they need and if managers are actively involved in the onboarding process.

And don’t forget to do exit interviews with employees who leave early—this feedback is really helpful for figuring out what went wrong. Use their insights to make changes to your onboarding program, improving role clarity and support for new hires.

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New Hire Satisfaction

Measuring new hire satisfaction gives insight into how well your onboarding program meets the needs of new employees.

Make it SMART:
Achieve an average new hire satisfaction score of 4.0 or higher on a 5-point Likert scale within the first month of onboarding.

How to measure?

‍For quantitative data, you can use Likert-scale questions, such as asking participants to rate their onboarding experience on a scale of 1 to 5. You can also break this down into specific questions, like:

On a scale of 1 to 5…

• How well did your colleagues help you settle in during your first week? 
• How comfortable did you feel asking questions during your onboarding?
• How satisfied are you with the support you received from your manager during onboarding? 

Qualitative data can be gathered by asking open-ended questions such as, “What was the biggest challenge in your first week?”, “What part of the onboarding process was most helpful to you?”, and, “What would you improve?”

Did you know? After the implementation of Appical's onboarding platform, the  average grade for the overall onboarding process increased from a 6.9 to a 8.1!

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What to do with the info?‍

By analyzing this data, you can pinpoint specific areas for improvement. For example, if new hires frequently mention feeling overwhelmed during their first week, it might be a signal to adjust the pacing of the onboarding process or provide more resources upfront.

Similarly, if you notice that many new hires are struggling to connect with their teams, this could indicate a need for more team-building activities early in the onboarding process. Using these insights allows you to fine-tune the experience, ensuring that employees feel more supported.

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Onboarding Adoption Rate

How many new hires are actively using your onboarding tool? Keeping an eye on the adoption rate helps you see if employees are engaging with the resources you provide.

Make it SMART:
Achieve a 90% onboarding adoption rate, where 90% of new hires have created accounts and logged into the Appical onboarding app within their first week of employment.

How to measure?

With the Appical onboarding app, you can easily track the adoption rate on your dashboard. You’ll get insights on:

• New viewers: How many new hires have created accounts?
• Login percentage: What percentage of new hires logged in?
• Login timing: When did they log in, and how does this relate to their start date? This helps you see if the preboarding period is being used.

What to do with the results?

To increase your adoption rate, start with simple changes. For instance, one client increased their adoption rate by 10% simply by moving their mention of our onboarding platform from the bottom to the top of their welcome email. This small adjustment made it more visible and engaging for new hires.

Additionally, integrate Appical—or whatever onboarding platform you’re using—into your hiring process. Bring it up in job interviews, highlight it in your job postings, and consider mentioning it in the employment contract.

[.callout-small]For more tips on enhancing your onboarding platform’s adoption rate, check out our blog![.callout-small]

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Onboarding Completion Rate 

How many new hires have completed your onboarding program? Keeping track of this KPI shows you if employees are engaged and helps identify where they might be losing interest.

Make it SMART:
Achieve an onboarding completion rate of 85% or higher, indicating that 85% of new hires complete the entire onboarding program within their first 30 days.

How to measure?

With the Appical onboarding app, you can check:

• Average progress of viewers: This shows how many pages your viewers have seen.
• Time spent per chapter: This reveals how long employees spend on each chapter and how often they return to it.
• Drop-off points: This identifies where new hires are most likely to leave the onboarding process.

What to do with the results?

Noticing disengagement? It’s time to dig a little deeper! Start by looking at your analytics and consider breaking things down by different audiences—like country or department—to really understand what's going on.

Since the way you’ve built your app or platform can influence engagement, here are a few questions to guide your investigation:

• Are your titles catchy and clear enough to get attention?
• Is it easy for new hires to know when to click to the next section?
• Do all your videos, images, and emojis work properly?
• Is your dashboard user-friendly and welcoming enough to keep employees motivated?

For example, one of our clients discovered that their compliance training wasn’t connecting with new hires. They added some fun gamification elements, and just like that, engagement shot up! It ended up being the most successful part of their onboarding.

Remember, while data can reveal a lot, it doesn’t always tell the whole story. If you’re still seeing disengagement after all the analyses, don’t hesitate to ask your employees directly for feedback.

Sometimes a simple conversation can uncover what’s really going on!

[.callout-small]Check this blog for 5 strategies to boost app engagement[.callout-small]

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Time to Independence 

This KPI shows how quickly new employees can perform their tasks independently. This is the moment when new hires can work without supervision and actively contribute to the company’s results.

The key question is: after how many weeks or months can an employee work fully on their own? 

Make it SMART: 
Reduce the average time for new employees to independently perform key tasks without supervision to 90 days or less within their onboarding period.

How to measure?

You can track this by setting a benchmark, such as 3 or 6 months, and measuring how long it takes for new employees to work independently. For example, at what point can they handle tasks, manage projects, or make decisions without needing continuous guidance? You can collect this data through manager feedback or by observing their performance.

What to do with the info?‍

If employees are taking longer than expected to become independent, it could mean they need more role-specific training or clearer job expectations. It might also suggest that the training materials don’t match the actual requirements of the role.

By shortening the time it takes for new hires to become independent, you can boost productivity and engagement across teams. Plus, pinpointing areas where delays occur allows you to provide targeted support and resources, improving overall efficiency.

Tip: Keep in mind that some roles naturally require more time to reach full functionality than others.

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Closing thoughts

In the end, a successful onboarding program lays the groundwork for keeping your employees engaged and happy over the long haul. Plus, with data on your side, you’re no longer in the dark about how well your onboarding process is working. You can tweak and refine your approach to fit what new hires truly expect and need.

To support this, consider using an onboarding tool that tracks progress and collects feedback. Features like progress tracking and feedback integration make it easier to measure key onboarding moments. This allows you to make meaningful changes that enhance the experience for new employees.

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