National Retailer Reduces Turnover and Increases Profitability Using Job-Talent Fit Process
A new division of a successful national retailer wanted to set the new chain apart from the parent company. The company needed to fill management teams for the division’s new chain of stores and establish a company culture that expressed their distinct consumer market appeal.
• Job reports were created for general manager, assistant manager, and district manager positions.
• Talent reports were used to assess candidates for open positions and managers who had already been hired.
• Customized development programs were designed based on the job-talent gap report which made it possible for managers to address their own individual growth needs.
The company had already hired both a general manager and an assistant manager before the job benchmarks were created.
When the general manager was assessed, the report revealed that she was strongly motivated by the desire to give back to society and help others. Her job description was then adjusted accordingly to include the responsibility for creating store events that would generate revenue while contributing to the surrounding community and enhancing employee job experience.
The assistant manager’s assessment indicated his strong motivation to achieve aesthetic harmony. His job description was adjusted to include responsibility for new store launches, particularly aesthetic aspects such as signage and product placement.
All new candidates for the general manager position were assessed and compared to the general manager job benchmark. Assistant manager candidates were compared to both general manager and assistant general manger benchmarks. The results revealed that some candidates could be fast-tracked because their profile more closely matched that of a general manager. In fact, some of the assistant managers they hired were promoted to general manager within two months.
The result after 10 months of this process was 0 turnovers in a market where turnover rates had historically been at 50%. Going forward, this process was used to staff 30+ new stores the following year.
Improving Job Fit Results in $2.2 Million Turnaround
A company had experienced three consecutive years of poor performance with $2 million in losses in one year alone. The company’s lender had given them 18 months to reverse the trend.
• The turnaround process began by benchmarking key positions to determine the talent requirements for superior performance.
• All employees were assessed to determine job fit and no longer rely on subjective criteria. Only those employees or candidates who were in alignment with the benchmark were considered a good hire for the company.
• The VP of sales was replaced and two new sales people were hired using the talent matching process. The rest of the sales team matched the skills, behaviors and motivators that the job required for superior performance.
• The job-talent fit process indicated that the reconfigured team fit the profile required for superior performance.
• Customized development plans were designed for each employee including a process to address the gaps the assessments identified.
• The development process included weekly professional development seminars in some groups and focused single event workshops for other teams to quickly address specific skills.
• Going forward onboarding of new hires included a focus on development to sustain the turnaround results.
The development process expanded the employees’ capacity beyond their current performance for an immediate improvement. Before the lender’s deadline, the company had experienced a $2.2 million turnaround and posted a profit of $200,000 the following year.
High Levels of Sales Force Turnover Eliminated By Job-Talent Matching
A company was experiencing 74% turnover rate of their sales force. This was a major problem because of an estimated cost of salary to find and train a replacement can be up to twice an employee’s the damage to morale among remaining employees. Imagine negative impact on the company’s bottom line.
The following actions were taken:
• The sales job was benchmarked to determine the talent requirements for superior performance.
• All current and new salespeople were assessed and compared to the talent requirements of the job.
• Based on the job–talent gap report, a personalized development and management plan was created for every salesperson
The company’s sales team turnover was reduce to 0% for the following 24 months.
Software Sales Team Skyrockets to First Place With Job-Talent Fit
A new sales manager for software company inherited a sales team that ranked No. 22 out of 22, or dead last.
• The sales position was benchmarked and individual talent assessments of current salespeople were compared to the benchmark.
• A massive 75% of the sales force did not match the sales position benchmark.
By replacing the 75% with superior salespeople who fit the job benchmark, the team skyrocketed to No. 1 out of the 22 sales teams.
Call Center Turnover Reduction Results in 940% ROI
A group of U.S. customer call centers with 140 employees at each location had turnover rates among customer service representatives in the 80% to 120% range—the national average is 50%. The company calculated their cost of turnover to replace a customer service representative at $17,000 each. Based on 80% turnover, 140 representatives the annual turnover cost was $1,904,000.
Hiring practices were completely revamped the using assessment in screening, interview and hiring process.
A year later the call centers had cut turnover rates in half, saving the company over a half million dollars a year, producing a 940% return on investment.