A Mumbai-based senior account planner was recently offered a directorial position at a rival advertising agency. His resignation was accepted but he was asked to serve a full three-month notice period. The executive’s HR lead and his manager refused negotiation calls. He asked his new employer to buy out his notice period or to delay his notice period. The rival agency also didn’t agree. He had to let go of that opportunity. However, he decided to still quit because he was disappointed with the way his manager handled his exit process. He used the three months’ notice period to look for a better job. In this duration, he got not one but three offers, and landed up with a bigger and better job. In this case, the planner’s previous organisation and the rival agency were at loss.
With a dearth of good talent, advertising agencies have become rigid with their exit policies. Experts think this is a counterproductive process. Recently, a creative freelancer, who goes by the name A D, took to LinkedIn to discuss notice period practices in advertising. Especially in big ad network companies and smaller agencies. Ad networks have a problem of processes and smaller agencies don’t easily find good talent.
He wrote, “Most of the major ad agencies in India affiliated with global networks like WPP, Interpublic, and Omnicom, mandate their employees to serve a notice period of two months before their resignation. Among the dishonorable exceptions in this list are Dentsu and Publicis, which mandate their employees to serve an unfairly prolonged notice period of three months.”
A D emphasised that overstretched notice period affects the employees’ prospects while applying to other places, and makes the exit process an exhausting experience. This opened up a conversation that’s not often discussed in public forums.
Good succession planning is critical
Ad agencies get rocked and shocked when they are hit abruptly by people changes, and don’t typically cope well with these changes, given that the ad business is heavily personality-driven. Prabir Jha, founder and CEO of Prabir Jha People Advisory, says, “While at senior levels the notice period could be longer than at junior levels, to ensure a more seamless transition, including hiring action, my personal view is that in many cases long notice periods do not work in reality.” Jha opines that notice periods must be prudent.
“Notionally being on roles actually hurts more than a shorter but a more expedient exit. Good succession planning should ideally not need long notice periods,” he believes. That’s one area where the advertising industry is far behind. Agencies don’t take enough time for succession planning. It’s not a common practice, which is why not all agencies handle people crises well.
Respect and grace in exit is key, believes Jha. “Creative people value it even more. And where talent has the option of returning to the firm or going on as a good brand ambassador, the implications are deeper. Timely exit, prompt full and final settlement, sensitive send-offs and thank-yous all make for better exit practice. Honest listening to feedback and actioning on them lends credibility to any exit process,” he adds.
Indies taking the lead
Ad networks have complex exit and hiring processes. Senior agency executives tell Storyboard18, these rules are made as per market trends. For instance, in western markets network ad agencies don’t have the three-month notice period for executives, it is limited to a month and, in certain cases, they let the individual go earlier. Earlier, companies were flexible in India and allowed the candidate to go well before three months. “With talent migrating to other industries, agencies have left with no option but to implement these tough exit processes to buy more time to come up with counter offers,” says a senior creative director of a network company.
However, mid-sized independent agencies are changing up these rules. For instance, Bangalore-based creative outfit Talented has an open-sourced playbook with chapters featuring their best practices, including paid tests during interviews, no follow-ups culture, 3-day full and final settlement policy, 8 hours work rule, and more. They are also flexible with their notice period.
Kochi-based Maitri Advertising is also known for its HR practices. The company has a one month notice period policy, however, if an employee wants to leave earlier or within a few days, they let them do so. One of the founders of Maitri Advertising, Raju Menon, tells Storyboard18, “Employees often switch off when they decide to take on a new opportunity. It’s natural. Rather than making things difficult for them and us, giving them a good farewell is the best approach. If an employee is unhappy, there are changes that he/she could spread negativity with more employees, that could lead to more attrition. All of this can be avoided.”
Allow exits, however disappointing, to be pleasant, says Jha. “Many may choose to return to the firm if their exit experiences are more positive. Honest effort to seek feedback, gratitude for the contribution made and fairness in exit practice all get to protect brand reputation,” he concludes.