November 12, 2003
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

-- Lack of Initiative and Energy ranks high in employee terminations
-- Perfect Labor Storm Alerts # 26 to #30
-- Mark December 4, 2003 on your calender
-- The ROI of Effective Communication
-- By Invitation Only - December 9, 2004 - An Employee Incentive System that Finally Works
-- Take the mystery out of employee motivation >>>>>>
-- Interview Generator CD-ROM
-- Stress makes people stupid
-- PA Chamber 2004 Human Resources Conference - December 2, 2003
-- Manager's Pocket Guide to Emotional Intelligence

Greetings!

Welcome to this week's issue of The Total View.

Oh No, Here we go again! Several weeks ago we reported that 2 out of every 5 job seekers at a Lancaster (PA) Job Fair already had jobs.The news this week isn't much better.

According to the results of a survey conducted by the Society for Human Resource Professionals, 83 percent of workers plan to look for a new job when the economy heats up. Well one month is not a trend, but with a steady decrease in job loss and job creation reported on the rise, job hopping is likely to increase sooner than later. What's even worse news is that 35 percent of "top performing" corporate employees are at risk for leaving. And the cost to employers? Read more in this issue.

The Total View is written and published each Wednesday by Ira S. Wolfe, founder of Success Performance Solutions. (Yes, Ira writes every article, every week!)

Ira S. Wolfe ©2003 - All Rights Reserved. Reprints and other distribution by permission only.

To learn more about Success Performance Solutions or read back issues of The Total View, visit our website at www.super- solutions.com.

Have a comment? Disagree? Need advice? Visit our Free Discussion Board.

Lack of Initiative and Energy ranks high in employee terminations
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
With retail stores in over 130 locations and 600-plus employees and a revolving door of retail sales associates, you can only imagine the frustration level in the boardroom of one of the largest rental-purchase retailers in North America.

In search of a solution in late 2002, management turned their sights to using a pre-employment assessment. On their laundry list of requirements for a screening tool was validity for retail stores, availability in English and Canadian French, cost-effectiveness, and on-line delivery. We recommended the SELECT Associate System. With versions for Retail Sales Associates, Retail Sales Managers, and Route Drivers (Production and Distribution), SELECT was an easy choice.

SELECT Associate System pre-screens candidates for work integrity factors such as absenteeism, honesty, and substance abuse and performance factors like customer service attitude, energy level, initiative, acceptance of diversity and others.

After twelve months, 500 job candidates and a comparative analysis of both the hired and hired-and- terminated employees was completed and several high risk factors floated to the top of the pile. Utilizing this new data, it is expected that our client will experience a reduction of between 16 and 33 percent of bad hires by simply avoiding those candidates who "flag" the performance factors of initiative, energy, and positive service attitude. A flag in the SELECT system is generated when a candidate answers a series of statements in such a way that exposes a risky attitude or counter-productive behavior.

The most predictive factor was in the area of initiative, defined as the ability to assert oneself and "take responsibility." Thirty-three percent of hired- and-then-terminated sales associates "flagged" (undesirable scores) initiative. An undesirable score indicates a lack of confidence and overdependence on others for help and assistance. A desirable score shows individuals with self-confidence and self-reliance and could "take control" when necessary.

Seventeen percent of the terminated sales associates "flagged" energy. An undesirable score indicates a slow pace, low stamina or low energy reserve. A desirable score indicates a drive to get the job done, the proverbial self-starter.

Sixteen percent of the terminated sales associates also "flagged" positive sales attitude, defined as having a positive outlook on customers and the sales/service role. An undesirable score indicates defensiveness and a negative attitude toward customers. A desirable response indicates a positive, confident personality projected to customers, displaying a confidence in his/her ability to influence results.

What was the Achilles heel of the Retail Sales Manager? Energy! An amazing 56 percent, or more than 1 out of every two terminated managers, "flagged" energy.

The value of using pre-employment assessments is obvious when you consider the convenience and low cost of screening out high-risk employees as early in the hiring process as possible compared to the high cost of hiring mistakes.

One national clothing chain reported they must sell 3,000 pairs of $35 khakis to cover the price of replacing a salesperson who quits, including recruiting, training and lost productivity. The tab to replace a typical white-collar middle manager runs about $100,000.

But often overlooked by organizations is the depth of data acquired in these assessments from candidates, employees and former employees. A review of hiring and terminations patterns provides valuable insights into how to raise the quality of employees hired and reducing the number of early terminations in addition to just avoiding bad hires in the first place.

Both SELECT and other tools such as Counter- Productive Behavior Index produce reports that include a list of recommended interview questions based on the responses of the candidates. These questions help keep managers focused on critical incidents and job- related behaviors and ultimately help avoid hiring mistakes. Both SELECT and Counter-Productive Behavior Index can be taken online or administered on paper (and later scored online).

Click here for more information on pre-employment screening tools from Success Performance Solutions

Perfect Labor Storm Alerts # 26 to #30
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Fact #26