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Associate Retention

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Title: Associate Retention


1
Associate Retention
  • Shearers - North Coast 99 winners, 9 years in a
    row!

2
Todays Agenda
  • Introduction The Shearers Story
  • External challenges demographics
  • Retention as a fully integrated process
  • Strategy
  • gt Recruiting Selection
  • gt On-Boarding, Training, and Development
  • gt Compensation Benefits
  • gt Communication cycle

3
The Shearers StoryThe growth of a
quality-oriented and values centric organization
through a traditional, entrepreneurial spirit
4
Current Situation Best of Shearers Culture
  • History of growth, culture of success,
    identification with a fun brand!
  • Flexible work force - people are somewhat
    accustomed to change
  • Senior leadership has a reputation of caring
    about people

5
Shearers is the 1 Regional Potato Chip Brand in
Northeast Ohio
  • Shearers remains the 1 regional brand in NE
    Ohio with a 10 market share (2 Overall)
  • Shearers is 3.7 ahead of the next regional
    competitor (Snyders of Berlin).
  • Shearer's 11.5 oz Classic Home-style is the 1
    regional potato chip product and ranks 3 of all
    potato chips.
  • Shearers average unit sales price is 2.17 a
    premium of .31/lb over Lays.

6
Shearers is the 1 Kettle Cooked PotatoChip in
Northeast Ohio!
  • Shearers Kettle Cooked Potato Chips command the
    market!
  • Five flavors hold the individual product rankings
    of 1,2,4,5 6!
  • 3rd place is Private Label.

7
Shearers is the 1 Regional Tortilla Chip Brand
in Northeast Ohio
  • Shearers is the 1 regional brand in NE Ohio
    with a 6.3 market share.
  • Shearers holds the top 5 sales spots among all
    regional brands!

8
New Products / Great Flavors
9
Marketing, Growth, and Values
                                     
   Shearer's supports a healthy, active
lifestyle for our consumers. Healthy lifestyles
begin with healthy choices, and eating in
moderation is the key to smart snacking. Staying
energetic and active completes the recipe for a
happy, healthy lifestyle. Fuel your celebrations
with the great taste of Shearer's Snack Foods! We
want to be a part of your family's fun, and our
tasty snacks are a perfect companion to bring to
a picnic or get-together. When the snack is
over...Let the games begin!
10
Shearers People
11
Shearer's Announces Plans to Build New
Manufacturing Plant in Massillon
                                                  
                                                  
                                                  
On April 8, 2008, Shearers Foods, Inc.
officially announced their plans to build the
first LEED (Leadership in Energy and Environment
Design) Gold Certified food manufacturing plant
in the State of Ohio. Chief Executive Officer Bob
Shearer and the Shearers Management Team were
joined by local, state and national officials
including Lt. Governor Lee Fisher and Congressman
Ralph Regula, when making the announcement at the
Shearers corporate headquarters in Brewster,
Ohio.
12
Retention Is an Integrated Process
  • Retention is an integrated process that
    encompasses every facet of the organizations
    human capital plan, from recruiting, selection,
    on-boarding, compensation, development, and
    culture.
  • There is no single, magic solution

13
Disclaimer.
  • At Shearers we manage three very distinct groups
    of associates
  • Traditional salaried professionals
  • Manufacturing and distribution hourly
  • Commissioned, field sales
  • So, as we go through specific action items, keep
    in mind that the action or strategy may not apply
    to all three

14
Social, demographic, and job-related challenges
  • Many of these are related to the demands of a 24
    / 7 operations schedule, including child care
    dilemmas, lack of public transportation, single
    parenthood, and generational issues
  • Low cost manufacturing high volume, fast-paced
    jobs - learning curve and assimilation issues

15
Retention Needs to be a fully integrated process
On Boarding
Employment Experience
Selection Hiring
  • Match People / Jobs
  • Formal assessment tools
  • Job try-outs
  • Customized orientation
  • Training development
  • Policy and communication
  • Work life balance
  • Comp and Benefits

16
Recruiting and Selection
  • Find the best, keep the best

17
Recruiting and Selection
  • Match the person with the job
  • Tactical Aspects
  • Essential duties
  • Physical demands
  • can they do the job?
  • Behavioral-based Interview and selection
  • Employment background
  • Education
  • Specific skills
  • Underlying Success
  • Profile
  • Demands and
  • stressors
  • do they have the
  • desire to do the job?
  • Personality Work Style Preferences
  • Motivational attributes
  • Interpersonal style

18
Recruiting and Selection
  • Many traditional approaches to interviewing and
    selection focus on behavior-based techniques that
    emphasize the candidates overall fit with the
    tactical dimensions of the position do they
    have the ability to do the job?
  • Understanding some underlying motivational and
    interpersonal attributes will help to predict if
    the candidate will be successful in the long run
    do they have a desire to do the job?

19
Shearers Advanced Hiring System
  • In 2007 we partnered with Scitrain to develop an
    automated selection tool that would assess how
    the candidate matches with both the tactical and
    underlying job demands. Elements included
  • A validation study with current Shearers
    associates
  • Development of a critical success profile
  • Development of a continuously improving
    self-learning tool
  • Electronic link and record-keeping

20
Validation and Study
  • 100 Shearers associates participated
  • Accumulated historical and behavioral data from
    each associate (they completed their own
    assessment)
  • Cross-referenced with supervisor evaluations of
    each associate
  • Developed a profile of the ideal candidate

21
Validation Process
Current associates take assessment test.
Cross-referenced against supervisor appraisal.
stratifies or rates the current population
First draft stratification is developed which
reflects the assessment of applicants Scored
from 0 - 145
22
Self-Learning Functionality
First draft stratification is developed which
reflects the assessment of applicants Scored
from 0 - 145
Candidate performance data collected at
interview and post-hire compared to first
draft stratification
23
Self-Learning Functionality
New Hire Performance
Interview Results
Candidate Assessment Ranking Profile (updated)
24
Shearers Advanced Hiring System Part 2
  • Job Try-Outs
  • After a candidate is identified using the
    pre-selection assessment tool, they are invited
    to the facility to observe and perform some
    aspect of the job.
  • This gives the interviewer an opportunity to
    observe the applicant in the real work situation.
  • More importantly, it gives the applicant a chance
    to experience what the job is really like.

25
On-Boarding, Training, Development
  • Give new and current associates the tools they
    need to be successful, and facilitate their
    ongoing growth and development

26
On-Boarding
  • Formal, 1-day Orientation Session
  • Small group, bonding with other new hires
    cross-functionally (ALL new associates
    participate)
  • Cover benefits, policy, safety..
  • Training
  • Formal / classroom setting basic production
    detail (code dates, systems, packaging
    configurations, quality and safety parameters)
    that they will need when they go on the floor
  • On-the-job experience try their new skills

27
Training and Development
  • A culture that fosters associates to develop to
    their full potential..
  • Open job-posting system
  • Merit and performance-based selection criteria
  • Specific, skill-based wage progressions (hourly
    associates)
  • Tuition reimbursement
  • Appropriate mix of technology

28
Compensation and Benefits
  • Provide our associates with a total rewards
    package that is attractive, competitive,
    balanced, and is performance / merit oriented

29
Comp Benefits - Objectives
  • Offer compensation programs that are competitive
    in the market and reward associates for
    performance and results.
  • Provide associates and their families with
    affordable, comprehensive healthcare.
  • Provide associates and their families with a wide
    range of optional benefits to support their
    specific needs.
  • Help associates to plan for the future through
    retirement planning.
  • Achieve a culture of health and wellness.
  • Support and foster work-life balance and personal
    development.
  • Enhance retention, performance, and associate
    relations.
  • Support a culture of continuous improvement.

30
Compensation
  • All Shearers associates participate in a
    performance-based bonus program that aligns
    achievement of critical business factors with
    financial reward.
  • Associates are divided into bonus groups, so that
    the their individual bonus is based upon the
    critical business factor over which they have the
    most control.
  • We have identified seven critical business
    factors that are used in the bonus plan.

31
Bonus Program
32
Comprehensive Benefits -
  • Basic health, dental, vision, 401k, life, and
    other optional benefits
  • Wellness
  • Work life balance

33
Basic Benefits
  • Healthcare, dental, vision, 401k, optional
    benefits
  • What do we do differently? - Affordability
  • Compared to benchmark averages at the
    family-level of coverage
  • A Shearers associate contributes about 22
    of the total cost of their healthcare, compared
    to a benchmark average of 31
  • A Shearers associate contributes about 130
    less per month for this level of coverage

34
A Culture of Wellness
  • Through a partnership with Nationwide Better
    Health / Wellcorp, we offer a formal wellness
    program including
  • On-site Health Risk Assessment
  • Biometric data (cholesterol, blood sugar,
    etc) lifestyle data (exercise, smoking,
    weight)
  • Customized and detailed individual health status
    report
  • Lifestyle Health Coaching
  • Up to 15 individual sessions with experts
    in a particular field (exercise, diet, general
    health)

35
A Culture of Wellness
  • In addition to these formal programs, we have
    created a daily culture of wellness. Examples
  • A message of moderation and balance in our own
    product marketing
  • Healthy snacks served at Company functions
  • Programs such as weight loss challenge,
    sponsorship of a local 5k run, baseball and
    basketball leagues

36
Work Life Balance
  • Through an integration of policy, culture, and
    senior management reinforcement, foster an
    environment that values the individual, supports
    their development, and respects their needs.

37
Work Life Balance
  • Short term wage continuation
  • Maternity / Paternity leave
  • Adoption benefits
  • Caring and Sharing
  • Volunteer day / community service

38
Maternity / Paternity
  • Birth of a Child
  • Mothers Continue the normal salary of a new
    mother during the period of time that their
    physician has disabled them due to their own
    medical condition, before and after the birth of
    the child
  • Fathers one week off with pay immediately
    following the birth of a child

39
Adoption Benefits
  • Up to four weeks off with pay for associates who
    are in the process of adopting a child, for the
    following reasons
  • Travel to and from the location in which the
    adoption is occurring.
  • Requirements to attend hearings, or other legal
    and / or administrative proceedings related to
    the adoption.
  • Time to care for the child following the adoption
    taking place.
  • Reimbursement of up to 5,000 to defer medical,
    legal, and travel expenses related to the
    adoption.

40
Caring and Sharing
  • Our award-winning, associate-managed program to
    help those in our own community of associates.
  • Fundraising accomplished via fun events
  • A steering committee considers applications from
    current associates who are in financial hardship,
    makes grants based on their need

41
Vacation and other paid time off
  • Associates begin their eligibility for vacation
    as early as ninety days after hire, and total
    vacation allowance goes up to four weeks for more
    senior associates.
  • Associates are eligible for from one to six paid
    person days, based upon their years of service.
  • To enhance their flexibility with regard to
    associates, the Company allows its associates to
    take vacation time in single day increments.
  • And, an associate is permitted to use 2 vacation
    day per year on an emergency (unscheduled) basis.

42
Communications
  • Drive a consistent message across all groups in
    the organization that reinforces corporate
    culture, values, and alignment between individual
    performance and key business measures

43
Communication Cycle
  • Daily pre-shift huddles
  • Monthly shift meetings
  • Monthly birthday lunches
  • Monthly management meetings
  • Associate of the month
  • Quarterly state of the company meetings
  • Annual associate recognition dinner

44
Huddles
  • Prior to the start of each shift, the shift
    supervisor meets with the group on the factory
    floor, reviewing
  • Objectives and priorities for the day
  • Transition issues from the previous shift
  • Special quality or safety issues
  • End with motivational quote and team cheer!

45
Monthly Shift Meetings
  • On a monthly basis, the manufacturing and
    distribution associates are presented with the
    following topics in an hour-long meeting
  • Business performance, emphasizing the tie-in to
    their bonus metrics
  • Overall business update sales, new customers,
    consumer issues
  • Quality update
  • Safety update
  • Policy update / HR issues

46
Monthly Birthday Lunches
  • Hosted by the President of the Company and VP of
    HR, all associates who have a birthday occurring
    that month attend a luncheon celebration.
  • These are done on shift
  • Associates from all positions, levels in the
    organization are included
  • Informal chance for two-way communication
    regarding the business, and an opportunity to
    voice questions and concerns
  • And we serve healthy snacks!

47
Monthly Manager Meetings
  • Scorecard Recap critical business measures
  • Consumer / customer updates
  • Current challenges
  • Bonus outlook

48
State of the Company Meetings
  • Facilitated by the Company President, this is a
    review of the business for the most recent
    quarter, including
  • Sales, customer, and product recaps
  • Operational issues quality, efficiency, safety
  • Human capital issues
  • Community update
  • Every associate attends or has virtual access to
    this meeting

49
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