Topics—Problems
Turnover & Retention
Strengthening
relationships improves retention and brings big gains in other areas—a
striking example.
With today's high unemployment, the churning turnover rates of the .com years seems a fading memory. But many companies still have high turnover, with the same high price tag it has always had. This is acute in retail and service sectors. Wages are low, and many employees see little difference between a job in Wal-Mart and one in Safeway.
The UnInviting Workplace
Companies, expecting high turnover and low commitment from new employees, sometimes cut their financial commitment to the new hire. For example they may sit the prospective employee in front of a self-paced computer-training program, to minimize expensive person-to-person time. The low expectation is reinforced on both sides. Some potential employees walk out of the training at mid point, not even making it to day-one on the job. Once on the job, the new employee may face a supervisor who thinks, "I'll minimize my time with you, because you won't be here long." The result is just what you would expect—high turnover.
Build Relationships with Customers and Employees
Here is one company's solution. A regional retailer knew that it should improve customer relations. Senior management agreed on a goal—create the kind of in-store experience that customers would want to repeat—and hopefully repeat often. Focusing on the customer's experience redefined the store employee's job. For example, the check out clerk's job had been, "Check-out the customer." Now it became, "Use your check-out to create a satisfying customer experience."
One Conversation at a Time
At a monthly meeting with that company's store managers, we discussed the relationship between the employee's experience and the customer's experience. The managers saw a connection between satisfied customers and satisfied employees. "How do we create satisfied employees, so they create satisfied customers?" The managers came up with many ideas to improve relationships with employees. One way was to get to know their employees better—sit down and have a conversation, mostly not about work.
Meridian Group calls these conversations "The Interview" or "The
Cultural Interview"-or, as some of our clients call them, simply
"Meridian's".
The Results
Four weeks later, the same group of store managers met to discuss what they had done. We heard from each manager. One said he'd had four new hires after our last meeting. He talked with each one on their first day, for about 40 minutes, and got to know each of them personally. He met again with each individually the next week, for about ten minutes, and did the same each of the following two weeks.
"After four weeks he still has the four new employees." I asked, "Would you have less?" "Yeah, like none or maybe one."
I was amazed at the response of the other managers in the room. Leaning forward in their chairs, listening intently, they were obviously hearing more than was being said. I asked, "What am I missing?" A manager replied, "After four weeks he still has the four new employees." I asked, "Would you have less?" "Yeah, like none or maybe one." Around the room they all nodded.
It was obvious that those other managers saw the "Interview" as an idea they would use. They agreed that not only would it increase retention, but would improve the new employee's attitude, and probably the attitude of other employees as well. Certainly the customer would experience the benefits of happy, satisfied, and committed employees. As they say, "You care for me and I'll care for you."
Build That Special Company
Building better personal relationships, and a more satisfying workplace, can separate you from other companies. It is good for morale and turnover. Proud employees are wonderful sales people. Customers like companies where employees enjoy their work. They come back—often.
Buy the Book Behind this Website
Developing Your Company Culture, The Joy of Leadership, A Handbook for Leaders and Managers. This book is a 187 page goldmine of practical information, tools, and examples to help you build a more productive and satisfying workplace. For more information and to buy the book click on the image.
