Recognizing that its unique advantage in the market is based on superior customer service and that customer service is directly related to the satisfaction of its employees, a 500-employee fleet leasing company determined to redesign its Human Resources functions. The company felt it would improve employee retention by establishing itself as an organization employees believed a good place to work. The company believed that by establishing long-term careers; it could build a workforce which would ensure the company’s success. Management retained a DHC consultant to assist in establishing goals for the effort, to facilitating a cross-functional team, and direct the implementation of solutions.

Seven initiatives were identified which would enhance employee skills and performance, align individual goals with corporate goals while giving employees ownership and control of their own success. Three of the seven initiatives were chosen for the first phase of implementation because of their impact on the workforce.

1. Job Descriptions: To clarify expectations, assist in recruiting the right employees, provide basic information for designing a compensation program, and provide a basis for performance management, job descriptions were created for all positions and made available to all employees on the LAN. A communication and training effort launched the program and employees learned how to access, create and maintain job descriptions company wide.
2. Performance Management Program: A performance management program was designed to give employees ownership of professional development and performance improvement. Emphasis was on collaborative goal setting, employee coaching, development, and empowerment. Managers were trained in leadership and coaching skills to ensure success. The program focused on developing employees and rewarding performance based on critical, company-wide performance dimensions developed using focus groups. The program was designed to open communication and collaboration, to standardize rating systems, rating criteria and formats while allowing flexibility for departmental requirements and changing business requirements.
3. Compensation Program: Senior management reviewed and redesigned the compensation strategy to assure objective, consistent, equitable rewards for performance. Market analysis and research assured internal and external compensation equity and competitive salary and compensation packages.

Turnover and employee satisfaction improved significantly through:

• Clearly defined and communicated corporate, departmental, and individual goals to assure success.
• Improved morale resulting from fair, consistently applied standards in performance management and compensation.
• Culture change toward collaborative performance management and employee development. Management style emphasis on coaching, empowerment and communication.

© COPYRIGHT 2009 Dechert-Hampe Co.