20% of employee turnover occurs in the first 45 days of a job. A company loses 25% of new recruits within a year. Hiring a new employee costs money so how should you make them stay?
The answer to the question is an effective onboarding process which increases retention, engagement, satisfaction, and loyalty of your employees.
Simply put, onboarding is the process of assimilating your employees into a company. The onboarding process helps the new recruits adjust to the social and performance aspects of their job. New hires learn the skills, attitudes, behaviors, and characteristics required to deliver an efficient performance within an organization.
The onboarding process is a crucial one for all companies, including taxi businesses. You can check out the Uber onboarding to get an idea of the efforts Uber puts in to assimilate its drivers.
69% of employees are more likely to stay in your company for three years if they get an effective onboarding. It can also help you derive 50% more productivity from your new hires. 54% of companies using onboarding report higher employee engagement.
In this post, we will discuss how a taxi business enters a new market and recruits the drivers. We have also included some best practices to help you with your onboarding process.
How Does a Taxi Business Enter a New Market?
The expansion process of a taxi aggregator consists of several stages and involves various complex aspects such as legal nuances. Any taxi business looks to create a strong team in a location by onboarding drivers to launch their services. With a dedicated team, the business can aim to compete against local taxis.
You will generally see a strong commitment towards the drivers which acts as an onboarding process and sets the stage for quality and long service.
Let's explore how a taxi business expands to a new market following the model of Uber.
- Penetrate the Market
The taxi company sends a team of representatives who arrive at the chosen location of expansion and study the ground realities. They scan the market and recruit new drivers who can be ready with their fleet of cabs to hit the market at any moment.
You can create a market presence at any location even before launching the services officially in this manner. It also helps you avoid any legal hassles that a formal entry would have caused.
- Get Ready for Legal Challenges
The authorities are not going to notice a new taxi service right at the moment they are launched. They will take some time which gives ample opportunity to the company to build an expert team of lawyers.
The lawyers will be your defense against the legal challenges on your operations initiated by the local government.
- Protect the Drivers
The loyalty of the drivers is a valuable asset to any taxi business. The management should do everything in their power to protect their drivers against any legal proceedings or charges from the authorities. It should cover the expenses for fines and damages- providing support to the drivers all along.
This step helps strengthen the loyalty of the drivers, makes them feel valued and keeps them within the network.
- Influence the Market
Any business should try to encourage the local government to pass laws in its favor. The global leader of all taxi businesses, Uber, spent around $1.36 million in 2016 for Federal lobbying- but the efforts didn’t stop there! They went ahead and recruited TV celebrities like W Brett Wilson to promote their brand.
While every company does not have the financial strength or presence like Uber, it should set aside a budget for making themselves known in the market.
- Achieve Growth
Once the company has laid a solid foundation in the market, it is time for growth! The taxi company invests money in traditional and online forms of marketing to attract more customers and recruit more drivers.
You need to start with a plan and dedicate a budget for the marketing.
- Monopolize the Market
Monopolizing the market is the last task left for a taxi business in the expansion process. The company is free to choose its methods but grabbing the largest share of the market is the best way to beat the competition.
Taxi Driver Application Process
The driver application process precedes the Uber onboarding, so we are going to give you a quick snapshot. We have generalized the application process for all taxi businesses.
- Online Application
Most businesses have moved to an online application process for cost savings and scalability. The drivers find it simple and fast to learn about the company and decide if they want to apply.
The online application helps in collecting information and essential documents about the driver.
- Education about the Company
Every company should ensure that the drivers know the expectations of the company before completing their application process. This step should be mandatory as it allows the drivers to self-select after determining if they are the suitable candidates.
The drivers will be able to prepare better for proceeding rounds of selection and have a good understanding of their role in the first day of their job.
- Final Interview
The taxi business will review the application of all the drivers and weed out the ineligible ones in this stage. The selected candidates are then passed for the final interview.
The company should use the interview to find personable drivers who are ready to deliver a high standard service.
The Uber onboarding process begins after the drivers are chosen after the final interview. We will discuss the best practices of the onboarding process that any taxi business can use for their drivers.
Best Practices for Effective Driver Onboarding
- Share Company-Related Information
You shouldn't expect the drivers to know everything from the start. Share necessary information that will help them effectively perform their duties. Make them familiar with how things work and let them know the important numbers and statistics.
Share the information through SMS, email or any form of communication that works for your organization.
- Establish Expectations
The drivers should clearly know what is expected from them and the role they are to undertake- don't just hand them over a manual and expect them to make sense!
You need to ensure that the drivers are comfortable with the rules and work environment. Everyone should be on the same page and the expectations need to be set out well.
A driver shouldn't feel later on that this is not what he signed up for!
- Communication is Vital
Efficient communication is important for an effective onboarding process. Uber onboarding makes use of an effective communication model by making it a back and forth conversation.
Make sure your supervisor doesn't read the expectations just off a checklist. It should be a full-fledged conversation with each driver, though the supervisor can use a checklist to cover all bases.
- Provide Technical Training
Not all of your drivers will be able to use the apps that modern taxi businesses depend on. You should create a training program for the drivers to help them with the technological aspects.
The training should cover all the elements of the app and anything extra that the drivers need to know to provide a high-quality service.
Week 2 and 3
- Make Drivers Feel Important
It doesn't take much to show some appreciation to the drivers. An employee shouldn't feel insignificant so make sure you give them a call to find out if everything is going fine. Also, listen to their concerns and any issues they have been facing in regards to their job.
- Performance Analysis
The management should review the individual performance of each driver and share feedback. This also provides the opportunity to discover the weak points of the driver so that you can create the necessary training.
The process also improves personal interaction and helps the drivers perform efficiently.
- Review Paycheck
The drivers will receive their first payment this week. The accounting team should explain all the deductions and charges so that there are no misunderstandings in the future. The interaction also makes the drivers feel valued and increases their dedication towards the company.
- Review Safety Questions and Issues
Driving a taxi will have its share of safety issues. Check with the driver if he is aware of all the aspects needed to provide a secure service to the customers. Also, share necessary updates that will help them stay abreast of the safety regulations.
- Check on Drivers
By now you should be comfortable interacting with the drivers. Make a call to and just say "Is everything going alright?" or "Do you need help with anything?" or something similar.
Do this from time to time to create a positive vibe and make the drivers dutiful to your company.
A Successful Onboarding Process Drives a Company Forward
A taxi business starts by entering a new market and goes through a number of stages to reach the onboarding process. It is a long journey and needs dedication from both the taxi business and the drivers.
You can follow the steps to expand to a location and recruit new drivers to launch your taxi service. Take help of the best practices to conduct an effective onboarding like Uber driver onboarding and create loyalty in your workforce.
The drivers are the backbone of your business so you should always treat them very well.
Nitin Lahoti is the domain expert of Logistics and Transportation. He has 12+ years of experience in Design, Business Development and Startups. His expertise is in Product Ideation, UX/UI design, Startup consulting and mentoring. He prefers business readings and loves traveling.