Our products have demonstrated a great return on investment (ROI.) According to the January, 2005 issue of HR Magazine, a variety of experts agree that up to 80% of a company's worth is tied to human capital. Below are case studies and other information indicating how our products can help you maximize your human capital.
For a free spreadsheet that will allow you to calculate ROI on reducing turnover, improving productivity and increasing sales, just send us an email: wrhassessments email.
ASSISTED LIVING COMMUNITIES have used assessments to improve hiring practices and reduce turnover. One used Profiles' Step One Survey II to reduce its 85% turnover rate in its dining services and Certified Nurse Assistant staff. Another used several different assessments to "raise the bar on customer service." They began with Profiles' Performance Indicator and Team Analysis tools to insure that they have the right mix of top managers to achieve the corporate mission and goals. Next, they began using Profiles' Customer Service Perspective in hiring CNA's that will provide extraordinary customer service. This facility reported that these individuals "have turned out to be the best we have ever hired." To download the December 20, 2004 issue of Assisted Living Director, which includes an article giving details on how the two organizations used assessments to improve their human capital, click on the link below:
AEGIS LENDING, a diversified mortgage lending compay,with101 branches from coast to coast and 2,700 employees had a problem: in 2000: they lost $2.5 million. The company's new president analyzed the situation and determined that Aegis' hiring method lacking and led to poor productivity and too many short-term employees. Together with the V.P. and Director of Human Resources, he decided to use the Profiles XT to identify job applicants who were similar to the best Aegis employees.
As employees were hired that fit the desired "job Pattern" in greater numbers, productivity increased spectacularly . Aegis rebounded from a loss in 2000 to posting profits of $9.3 million in 2001, $23 million in 2002 and $42 million in 2003. While other factors also contributed to the company's turnaround, Profiles assessments are credited with at least 25% of the positive change in direction. This equate to $18 million, a huge return on investment considering the low cost of the assessment used. For a more detailed description of this turn around, click on the link below.
ABANDONING AN ASSESSMENT CRITERION PROVES COSTLY FOR MANUFACTURER
A manufacturer of recreational vehicles that had been in business for over 30 years was concerned that their rate of failures in their new production hires was simply unacceptable. A worker hired today had a less than 50 percent chance of still being on the job after six months.
The company introduced the Step One Survey II™, administering it to every applicant who had been invited to participate in an interview. For the first 150 assessments, results were not provided to the hiring team. Data was collected on retention, firings and on-job injuries.
In the next year, the hiring team was provided with the assessment reports, used the structured interview questions and considered the information as a part of their overall hiring process and followed a criterion recommendation for hire based on the first year study results. In the next year, the company's sales skyrocketed and this required a wave of new hires. HR, faced with a limited pool of applicants and pressure to "fill the seats," abandoned the use of the criterion on the assessment.
Analysis of the data shows that, the new hire failure rate, involuntary terminations and involuntary termination dropped dramatically, as did involuntary terminations and injuries. When the criterion were abandoned, however, the results showed all three measures rebounded to pre-assessment levels and above. For details on this case study, click on the icon to download a a copy of the case study, click on the Link below.
CREDIT UNION CUTS TURNOVER WITH ASSESSMENT PROGRAM
The credit union adopted a funnel model of selection. At the wide end of the
funnel, applicants are screened for suitability on the basis of their application
documents. Those chosen to enter the interview process first complete an
honesty-integrity assessment, the Step One Survey II™ (SOS2) and a relatively high criterion for this instrument was established.
The criterion, combined with an initial interview (using the assessment’s interview guide) selects approximately 40 percent of the pool to continue the process. Next, the candidates remaining complete a job match assessment specific to customer service jobs, the Customer Service Perspective™ (CSP). If their match to the success pattern for the job under consideration is favorable, they also complete a job match assessment specific to sales, the Profile Sales Indicator™ (PSI). A final interview is conducted considering the complete file of information available (assessments, employment history, reference checks and interview results) and a job offer decision is reached.
Data show that turnover in the first year was reduced from 28% to 19%, resulting in cost savings of $148, 485 and a return on investment of 1170%! Projections for 2005 show even greater reductions in turnover, cost savings and ROI.
For detaills on this case study, please click on the icon below.
