- Employee Turnover is Ridiculously Expensive
- Stop the Flow of People and Money Out of Your Organization
- Why AcuMax Improves Your Bottom Line
- Try it for Yourself
Do you know how much it costs your company to hire an employee, train them, and then discharge that employee if they do not work out? How about repairing any damaged relationships this individual may have caused with customers or even other co-workers?
It costs five times more to find a new customer than it does to get repeat business from a satisfied customer. Your bottom line takes a hit when an expensive company asset like an employee is taken off the books.
Read on to discover just how much…
Employee Turnover is Ridiculously Expensive
There are direct costs and indirect cost to consider, but the total financial shock to an organization for even a single hiring mistake is much higher than most CEOs imagine.
For example, here are the estimated replacement costs for a range of positions in the United States:
[list icon=”moon-tag-8″ color=”#135EC2″]$10,000 – $17,000 for a worker earning $50,000 a year[/list]
[list icon=”moon-tag-8″ color=”#135EC2″]16% of the annual salary for lower paid employees (under $30,000) (Yes, a $20,000 a year employee can cost you up to $3200 to replace!)[/list]
[list icon=”moon-tag-8″ color=”#135EC2″]150% of the annual salary for a management position[/list]
[list icon=”moon-tag-8″ color=”#135EC2″]200% of the annual salary for sales personnel[/list]
[list icon=”moon-tag-8″ color=”#135EC2″]213% of annual salary for executives[/list]
(Statistics come from the Center for American Progress. )
The impact of losing any employee adds up quickly.
Stop the Flow of People and Money Out of Your Organization
There is an answer to avoid hiring mistakes and reduce costs. Taking a fresh look at internal policies is a productive place to start. Talking to current employees about the work environment can be revealing. However, changing the selection and hiring process is potentially the surest way to reduce employee turnover.
Employee Selection – Change that Matters
Every job, no matter how – difficult – challenging – disagreeable – or dirty, has people who will do that job, and do it well. Moreover, the right person will stick with that job for years. But…it is critical to understand the type of person who best fits the job. The very best way to accomplish this is to scientifically analyze the position and measure the relevant personal factors that a worker must possess to successfully do that job.
An employee might have the right knowledge, skills, and abilities that align with the job, but is that enough? No, it is not sufficient. The best employees must also have the right internal ‘wiring’ that matches the job.
The AcuMax Index is an Affordable Solution
Let’s look at an example how the AcuMax Index® helped a small, fast-paced manufacturing company reduce turnover and safeguard their bottom line. In an enterprise like this, having the right people in the right roles is critical to run the shop floor efficiently.
SAT Plating used to hire up to ten people, hoping that just one would stick with the job. Now they use the AcuMax Index in the selection process to hire the best candidate for the available position. They found that helping all their employees gain a deeper awareness of their own strengths and weaknesses, as well as the strengths and weaknesses of their colleagues, enables the entire organization to operate more profitably…while reducing turnover.
In another example, the Orlans Group tried several pre-screening instruments, but none of them was consistently accurate. Since using the AcuMax Index, they confirmed that virtually all the job candidates who matched the job profiles turned out to be a good fit for the open positions and the company culture. According to Melissa Hattle, Human Resource Recruiter, “Ever since I took the AcuMax Index it has been eye-opening, confirming and validating what I thought I knew about myself. It also helped me communicate better with others around me.
Why AcuMax Improves Your Bottom Line
There are hundreds of assessments that measure behavior or personality (and many other things), however the AcuMax Index is the ONLY assessment that measures human wiring and that never changes.
Personality and behavior change over time. You, like most people, have probably noticed that your personality and behaviors evolve as you learn more about the world. If behavior and personality has changed in you over the years, don’t you think that a candidate could temporarily change their behavior during the interview process? This is probably the reason why you have hired a great candidate only to 90 days later wonder who this person really is and why they are not performing to expectations on the job!
Our wiring is largely responsible for the most important personal preferences we bring into every life and work situation, such as:
- How we communicate most effectively
- Our preferred work setting
- How much detail we need to feel competent
- Whether we complete a list of tasks in order or randomly
- How much autonomy we need
Knowing the above items helps your organization improve on every level after the hire – proper motivation for employees, more productive meetings, better coaching of employees — all things that reduce the clutter that detracts from efficient operations, effective movement within the company and – of course – the bottom line!
Minimize Uncertainty with AcuMax
The AcuMax Index helps hiring managers match candidates with the positions for which they are trying to fill. This scientific approach leads to better hiring decisions that reduce all forms of turnover.
Boosting the bottom line is one of the hidden benefits of reducing turnover. Many companies learned the hard way that the outdated and industrial-age hiring models are seriously flawed. The notion that qualified people will line up for available positions is wrong. People might be lining up at the hiring manager’s door, but are they an excellent match for the job? To answer that question, you need to know how an applicant is wired.
Try it for Yourself
To learn how the AcuMax Index helps organizations understand what makes top performers so good, and how to replicate them, please call us today at 844-228-6291 or send an email to info@AcuMaxIndex.com.