Situation
A leading national services company operating in the retail and hospitality sectors oversees a diverse workforce across five major regions in the United States. Catering to a wide range of customers in these dynamic industries, the company primarily relies on hourly workers, constituting 90% of its workforce, complemented by a 10% salaried staff. Annually, they undertake a substantial recruitment drive, filling over 60,000 crucial hourly roles from a pool of approximately 600,000 applications. Despite their dedicated efforts, they encountered a herculean challenge with a high rate of employee turnover. The turnover wasn’t just a number; it drained resources, increasing the costs of repeatedly hiring and training new employees for the same job roles
Their aim was to boost overall productivity and staff morale and enhance customer satisfaction while dealing with high overtime. In the midst of this, the company received thousands of applications weekly, making it hard to find suitable candidates. This overwhelming situation demanded Cadient’s SmartTenure solution.
Challenges
The high number of applications and turnover made it impractical for hiring teams to efficiently review and identify the best candidates for the right roles. Under pressure, managers often select candidates who leave soon after, creating a cycle of continuous hiring. High employee turnover meant they couldn’t meet hiring and retention goals.
They needed a solution to improve the hiring experiences of both candidates and employees. The company faced myriad challenges: rising costs from frequent employee turnover, an overload of applications making it hard to find suitable candidates, and decreasing staff morale due to constant workforce changes.
A comprehensive solution was essential to address these issues effectively. The goal was to optimize the hiring process, helping managers find and hire the best candidates quickly. The company also wanted to stabilize its workforce, increase productivity, reduce overtime costs, and provide better customer service.
Solutions
The company carefully evaluated various HR solutions to reduce turnover, focusing on innovative technology, proven impact, and ease of integration. After assessing over ten different solutions, it sought one that aligned with its operational framework and ultimately chose Cadient for several compelling reasons.
Cadient’s distinct approach, amalgamating augmented intelligence with machine learning to predict employee longevity, set it apart from other solutions. The demonstrated success in reducing turnover rates in similar industries instilled confidence in its effectiveness. Furthermore, the compatibility of Cadient’s SmartTenure, powered by Decision Point, with the company’s existing enterprise cloud ERP system ensured seamless integration, minimizing disruption to ongoing operations. These advantages collectively positioned Cadient as the clear choice.
The company evaluated how SmartTenure seamlessly integrated into their workflow without causing interruptions, ensuring smooth operations. The crucial factor in their decision-making process was the ability to provide hiring managers with immediate, actionable results. They were particularly impressed by how SmartTenure’ss approach was tailored to their unique data patterns and challenges, offering a more precise solution than generic models.
Quote: “We were looking for innovation applicable to HR focused on reducing turnover and were impressed by Cadient’s augmented intelligence and machine learning approach. We love the fact that the solution was based on our own data.”
The company configured SmartTenure to handle approximately 1500 applications daily, each undergoing a swift two-hour review period.
Harnessing the power of machine learning and specialized algorithms, SmartTenure analyzed the company’s data to identify the characteristics and behaviors of its most successful employees. Through augmented intelligence, it processed and synthesized data, constructing precise candidate profiles. The new approach gave hiring managers insights into each applicant’s potential for long-term commitment. The positive impact of these changes in hiring practices became evident shortly after implementation.
Results – Outcome
Over the course of several months, the SmartTenure model seamlessly integrated into the company’s hiring processes. The system diligently assessed each application using its algorithms to identify candidates with the highest likelihood of long-term employment based on their profiles and historical patterns. The batch processing of applications ensured a swift and efficient operation. Through the SmartTenure interface, top applicants were promptly highlighted for hiring managers, providing clear guidance on prioritizing candidates. This system facilitated quick responses to all candidates in the processed batch, resulting in a more engaging experience for applicants.
SmartTenure consistently pinpointed candidates with the potential for significantly longer tenure, resulting in a remarkable 32% reduction in turnover for those recommended compared to those not recommended. With heightened confidence in their hiring approach, managers transitioned from a hiring timeline of weeks or months to just days. This strategic shift led to a 32% reduction in turnover, saving over $20 million in talent acquisition costs annually. Beyond cost savings, longer employee tenures contributed to increased productivity and customer service, fostering higher revenues and overall business performance.
The ongoing use of SmartTenure allows the company to predict future hiring needs and trends better.
“Its ease of implementation and ability to begin realizing significant reductions in turnover provided an ideal approach to solve our challenges of reducing turnover and accelerating candidate response time.”
