Despite Australia's current level of unemployment, many organisations are finding it difficult to fill vacancies and as the global competition increases, it will become increasingly difficult to attract and retain good people - people who for many of these organisations are their real source of competitive advantage.

The term 'employer of choice' is becoming increasingly more common in the writing on management and business research at present. One recent survey of 120 companies sought to identify the strategies organisations used to keep key people. They found that lower turnover resulted from implementing the following:

• above award remuneration and bonuses
• career development
• flexible work hours
• job sharing
• telecommuting
• gym membership
• share options
• opportunities for international travel

As is evident from this (non-exhaustive) list, focusing only on what needs to be provided in order to stop people leaving, can be a costly and not necessarily successful strategy. It has been said that a loyal and committed workforce does not come cheap, but this is only part of the equation. A recent study reported in "Management Today" has found that some of Australia's best employers are not paying more than their competitors.

So what is the answer? There is no set formula, however the best employers had common traits. The key was leadership. For example where the chief executive "walked the talk" and oriented new employees into the culture of the organisation; where employees were asked for input in strategic planning and believed they had a crucial role in shaping and maintaining the culture.

Where a distinctive culture was seen as a competitive advantage, these companies also recognised that this started with recruiting. People are recruited for their flexibility, innovation, customer focus and teamwork where these attributes are reflective of the prevailing culture.