8/7/10

Retention Continues to a Critical Issue

August 8, 2010

Q: How do we retain top employees when sales are down, budgets are strained and the necessity to survive looms large over us?

A: Money is a convenient and overused excuse for turnover. It is rare that money alone causes the typical employee to leave. Most employees would willingly take a little less money than they could make somewhere else if they find other things they value more in their work environment—challenge, developmental opportunities, friendships with peers and supervisors, flexibility, appreciation and other real benefits.

Even in cases where employees are happy with the job, knowing that they are paid significantly below market can cause hard feelings and lead to turnover. Money is a natural and fundamental concern. As such, it often deserves serious, albeit painful, consideration and action by even the most cash-strapped organization.

Before you spend a penny on additional salary, benefits or other programs, it is important to find out specifically what is broken in your relationship with employees. If you don’t do this, you risk fixing the wrong things and wasting precious money, time, effort and good will.

Here are a few data-gathering techniques that have worked well for me over the years:
Exit interviews:

Find out what leads your employees to read want ads or accept a call from a recruiter in the first place. There are a number of good questions you can use to get the information you need. One of my favorites is “Tell me about the three things you’d change tomorrow if you owned the company.”

Another is “What things, if changed, would have prevented you from considering another job?” An active and patient listener will glean a lot of good information from these questions.

Focus groups and surveys:
There are a number of decent employee-opinion survey products commercially available. Learning to do a focus group is easily within the grasp of most HR professionals.

Even so, I prefer using objective, experienced third parties to do this kind of work. Employees often feel that outsiders will keep their input more confidential and are less likely to have their feelings hurt by the results of focus groups than will company personnel. Focus groups and surveys done by outside personnel tend to get more forthright answers than those done by in-house personnel.

Retention interviews:
Identify the employees you really, really need to keep. Sit down with them and discuss the company, their personal satisfaction, ideas to make their job even better than it is, and related topics. Showing your interest is often rewarded with additional commitment and longevity.
One word of caution for all of these techniques: Don’t use them if you aren’t willing to listen to what people think. More important, if you are not willing to consider making changes, you are well advised not to ask. The “sugar high” of raised expectations quickly diminishes into all-time lows of employee morale if people think you aren’t listening.

You will find that the answers to turnover are not as elusive as you may think. They are, in reality, fairly basic. The suggestions you harvest from employees will help you design the practical solutions you need and can afford.

Regards,
George F. Mancuso
George F. Mancuso, CPC

7/31/10

Where Has The Integrity Gone?

August 1, 2010

Q: Because I continue to receive 25 to 50 Emails a month about this subject, I decided to readdress this issue today even though I wrote about it several weeks back. So please indulge me on behalf of all of those people in the hunt for a job.

A: Two weeks ago in the Des Moines Register in the editors section, a professional in search of a job wrote the following:
TO EMPLOYERS: “When interviewing prospective employees, put yourself in their shoes. See how it feels when you get flushed for a job after weeks of hearing you’re the top candidate!” Signed: “unemployed and frustrated”

A very talented sales lady I know, pursued a company that was searching for a VP of Sales, B2B environment within the services industry, AND she is highly qualified. She went through tag team interviews that last almost 4 hours each. She was told it was down to her and one other candidate.

Then they asked to prepare an in-depth plan of what she would do to succeed, even asking her to provide them with the types of documents she would use. They included contracts, proposals, follow up and pre-approach correspondence. In essence they asked her to teach them how to get the job done and she did thinking she was going to get the offer.

Then along comes the stalls with the most recent one, “the other candidate has some family issues and can’t meet with us for two weeks so we are going to hold off our decision until then.” She asked them, what does he have that I don’t? And what would prevent you from hiring me? Their answer, “if he turns out to be the best sales person in the entire state of Kansas!” ARE YOU KIDDING ME? What a crock of porpoise poop.

Another candidate was told he had the job and to call the hiring manager on Friday. He calls and gets a 2 week stall but a tentative start date, but is instructed to call back on the Friday before start. He calls, gets another week delay. This has been going on for six weeks.

This is just 3 brief stories of multiple horror stories I have read about in my Emails. These are deplorable ways to treat our fellow human beings.
Come on hiring managers and authorities, “grow a set, will you please?” Stop pushing your procrastination style back onto the H.R. department. Stop playing with qualified candidates without regard for the consequences. Where is the integrity? Where is the honesty? Stop hoping that there will be one more candidate that comes through the door a tinge more qualified.

Indecisiveness of hiring people has been a contribution to the mess this country is in. And guess what, WE ARE RECOVERING IN SPITE OF YOU! And one day, in the future, when you least want it to happen, the fortunes will be reversed and sadly it will be your turn next. If you have hiring authority, I hope this is another wake up call, because we as the working public need it to be.

Have a great week and be kind to each other. Go out and make a difference in many peoples’ lives. Call or write if I can assist you in any way relative to Revenue, Retention or Recruitment.

Regards,
George F. Mancuso
George F. Mancuso, CPC

7/23/10

Retention is a Management Issue, Not a Human Resource Issue

July 23, 2010

Retention continues to be a management and not a human resource issue! Below is a true story that was related to me by one of my clients in Overland Park, KS and is shared with you with their permission.

My “client” has a high end greenhouse operation. They hired a young lady “employee” on a part time at minimum wage. The employee had lost her job, was a single mom, homeowner and been in the community for several years. She took the job out of desperation, to feed her family.

The client loved her work ethics, on time always there reporting, and first to offer to help. The employee was on a hunt for a full time job and met with the client owners, explaining her dilemma. The employee explained that she really loved working there. She enjoyed the co-workers, good working environment and was very comfortable but just couldn’t make ends meet.

So the client said, let us think about it and we’ll give you an answer tomorrow. Tomorrow came and they offered her full time work, and a whopping .25 per hour raise. TWO WHOLE DOLLARS PER DAY!

3 days later the employee gave a two week notice as she had interviewed and was offered an administrative position for $3.50 more per hour. The client responded by saying they would match it if she would stay, but the die had been cast and she turned them down. One well trained good worked gone and it didn’t have to be.

In discussing this with the client they revealed to me that they pay a temp agency almost $13.00 per hour for untrained help for a day or two of “warm body” work. I asked if they didn’t see the error in their judgment. Their turnover rate is very high, they don’t keep but a very few employees as core employees. The cost of training and retraining far outweighs the value of paying people a fair wage for a fair days work.

I asked, “…if you were willing to match the offer, why didn’t you just make it in the first place?” Answer, “…because we thought she’d stay and we’d save the money.”

This scenario plays itself out all over the United States in the workforce. From a financial standpoint this position is truly illogical. From a moral standpoint, it’s deplorable. And from a morale and retention standpoint, it’s the kiss of death. Retention continues to be a management issue.

I hope this week is a great one. Call or write if I can assist you in any way.

Regards,
George F. Mancuso, CPC
Gman Business Resources, Inc.
Grinnell, IA

7/17/10

What If My Recommendations Are Not Accepted?

Q: From a consulting sales position, what should I do if my client's staff attacks my recommendation(s)?

A: Try to avoid getting defensive. After all, your client's staff might actually be right in questioning your recommendations. They also might have "other" motivations, may be operating under very different assumptions than you are, or even feel defensive themselves. Perhaps you were not clear enough in presenting your recommendations to the team. If any of the above are true, getting defensive will probably not help.

So what do you do? First, try to gain an understanding on where you and the staff differ. Clarify your assumptions, rationale, conclusions, and specific recommendations and be prepared to modify them if required. Let them know that you want to better understand their thinking by asking a few questions.

Here are three potential examples:
1. "Folks, I was assuming the following parameters are present (describe them). Are my assumptions in synch with yours?"
2. "Perhaps I was not clear in what I was recommending. May I ask you a few questions to help me understand your concerns with my recommendations a little better?"
3. "I am sensing that I might have 'stepped on some toes' here. That was absolutely not my intention. Help me to better understand your thinking and concerns, and let me see if I can clarify where I was coming from."
Listen carefully to how they respond and be open to changing your approach where appropriate. While dealing with the individuals or group, be sure you respect their thinking and acknowledge the validity of their approach. Move on to clarify your approach and explain why it has merit.

The next time you present your recommendations to the client's staff, try labeling them "Preliminary Recommendations for Discussion Purposes". This might set a much better tone for the presentation, showing clearly that you are looking for staff input.

Please accept my wishes for an outstanding and profitable week. If I can assist you in any way, please call or write and I will respond immediately!


Regards,

George F. Mancuso, CPC
Gman Business Resouces, Inc.

7/3/10

Staying Ahead of Your Game

July 4, 2010

Q: Any suggestions for “staying ahead of the game?”
A: Smart business professionals always stay "ahead of the game."

Whether it's creating a report, writing a weekly column in a publication, preparing for a presentation, or developing client communications, effective professionals avoid waiting until the last minute to get things done. Why?

Staying "ahead of the game" is smart for the following reasons:
1. It removes unnecessary pressure and anxiety.
2. It allows time for your thoughts to "simmer". (Note: This is important for anything we do!)
3. It allows you to change your mind.
4. It can impress and instill confidence in your abilities from others, and finally
5. In the long run it's simply faster, which, when coupled with quality work, is always appreciated by your customer or business associates.

Stay ahead of YOUR game to the benefit of yourself, your clients and your network.
Happy 4th of July and remember, this year is HALF OVER! Take time to reflect on the past six months. What have you done right? What are the 20% of your actions that provide you with 80% of your results? Focus on doing more of those activities in the last two quarters of this year.

I hope you have a tremendous and personally profitable week. Call or write if I can assist in any way.


Regards,

George F. Mancuso, CPC