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Case Studies

Case Studies Show Real Life Results   


Hiring Right
Client:   
A growing manufacturer.
Situation:  
Our client was experiencing an unexpectedly high turnover rate of new hires. Very few stayed beyond six months, and most were gone within two years.
All recruiting efforts were made to try to reduce turnover focused on attracting "problem solvers.” Senior management had determined that the company's future success would hinge on attracting and retaining these "problem solvers." Unfortunately, increasing the base wage was not an option. Any solution had to be at the current wage rates.
Assessment:
Upon meeting with senior management, our team learned that most of the effort was placed on retention and almost none on selection. Furthermore, their "ideal" employee, the one they believed they needed in other to be successful, was the type that was most likely to quit within the first six months. One of the first things we noticed was that about 70 percent of the workforce had worked at the company in excess of five years. The other thirty percent had been there less than five years; in fact,25 percent had stayed less than two years.
Strategy:
Our goal became to hire people who would stay beyond five years. More specifically, we needed to hire people like the people who had been there longer than five years. We focused our efforts on the recruiting and selection process. In order to identify people like the “Top Performers," we used a customized psychometric model to assess fifteen of the "Top Performers" and fifteen of the "Bottom Performers." (Our assessment tool measures personality attributes, only. There are no right or wrong answers.)

Result:
Our tests showed that there were distinct differences between the top and bottom performers. The top performers, in fact, were not the problem solvers management had thought. In fact, the top performer’s preferred mundane tasks - which is the type of work they did each day. Bottom performers needed to be challenged - which is not what the job offered. Management had been hiring what they thought should be top performers, when in reality they were hiring people who left the job because they quickly became bored.


Using the data, we developed a customized personality portrait that compared each candidate's profile to those of the top performing group, allowing us to hire more people like the top performers, resulting in a much lower turnover rate.

Controlling Costs
Client:  
A rural, 500+ employees manufacturing plant.
Situation:  
The client was experiencing expensive and time-consuming turnover in excess of 150%
Assessment:
This unionized environment, with three separate bargaining units, presented a challenge. Private Label Workforce's senior management team met with the client's managers to understand the issues and develop strategy to reverse this alarming statistic.
Strategy:  
We immediately mounted a marketing campaign to improve public perception of the client as a desirable employer throughout a four county area. Expensive, poorly located recruitment billboards were replaced with targeted print media advertising in communities within a 25-mile radius.
A Private Label Workforce On-Site Manager was assigned to the client to service our client's ongoing workforce management needs.
Previously, the client had attempted to fulfill its staffing requirements on its own, devoting several Human Resource department personnel to recruitment and selection, but their efforts were insufficient to keep pace with their turnover.
We chose a secondary vendor to provide day labor to accommodate major weekly spikes in production. As part of our Private Label Workforce Program, our On-Site Manager manages the secondary vendor. Consolidated invoices were provided to our client as part of the Private Label Workforce Program.
Result:  
Within six weeks' time, our Private Label Workforce Program enabled our new client to be fully staffed for the first time in recent memory. Our selection processes have allowed us to bring this division's turnover rates from an unacceptable rate of 150% to a rate that was 2% lower than the targeted turnover rate set by our client in 2001.This remarkable reduction in turnover has saved our client tens of thousands of dollars.
One year after implementing our Private Label Workforce Program, the Human Resource Manager of our client wrote, “The management of our Division and Company is extremely appreciative of the critical results you and your company have achieved over the last 12 months. I have reviewed your performance over the long-term and have the utmost confidence that you can hit the targets [in the future]."
Managing Growth
Client:  
A processing plant with 1,000+ employees.
Situation:  
The addition of several very large accounts meant that suddenly, our client needed to hire 400 full-time workers within four months. During the hiring process, they would require all of their employees to work mandatory overtime in order to meet the production goals.

Assessment:
At first, the mandatory overtime worked well. Employees liked the extra money, and management was able to meet production goals. Eventually, employees began to "burn out" working seven days a week and started to call in sick for their scheduled weekend overtime. Failing to supply the promised amounts of product put the client’s contracts at risk. So in an effort to fix the situation quickly, management decided to pay the employees an additional bonus of one hundred dollars for each day they worked on the weekend, in addition to time and a half for Saturdays and double time for Sundays. Paying all the overtime and added bonuses caused production costs to increase dramatically.
Strategy:
Life Style was brought  in to meet two objectives:
  1. Hire the 400 people necessary to fill the full-time permanent openings created by the increase in business. These workers would be needed in increments starting immediately, spread over a four month period.
  2. Design a strategy to keep staff at appropriate levels, while at the same time being more efficient and cost-conscious.
Result:
We immediately developed a multifaceted customized recruiting program to address the need for the 400 additional employees. Our objective was to hit 20% of the goal in the first month, 35% of the goal in the second and third months, and the remaining 10%, plus an allowance for attrition, in the final month. Using the recruiting plan we developed, we were able to reach 100% of the targeted levels by the middle of the third month.
To address the short-term immediate needs on the weekends, we designed a weekend-only staffing program. We developed a workforce that would take advantage of "moonlighters" or people with second jobs. We allowed these staffers to choose their own schedule: work one weekend day or two. We set a pay rate higher than the weekday rate, but lower than the overtime and double rates. We were then able to add the necessary people to meet the production goals each week, at a cost 23% lower than previous efforts, resulting in a savings of $80,000.
In the end, through the use of a part-time weekend workforce and an aggressive customized recruiting plan, Private Label Workforce was able to achieve both objectives under tight time constraints.

Cutting Expenses
Client:  
Large Company with offices throughout the Midwest.
Situation:
The client is expanding rapidly and needs additional workforce to keep up with growth. In addition, the company has consistent seasonal fluctuations to their business that require them to increase headcount by 35% for four months each year. Employees are needed for both manufacturing and customer service/call center duties.
In the past, this company used their In-house human resource staff as well as several outside sourcing firms to help them hire both full-time regular employees and seasonal employees. The company estimated they spent an average of 48 hours weekly at the corporate level, and 12 at the facility level with human resource issues such as communicating with all involved parties, reconciling invoices and timecards from various outside services, conducting new employee orientations, monitoring employee performance, and placing orders. In addition, the rising costs to hire the necessary employees had caused their staffing related expenses to increase 27% above budgeted levels.
Assessment:   
Life Style Staffing proposed that the company use our One Source Web-Based Contingent, Workforce Management System to consolidate and manage their entire hiring process.
Strategy:  
Using our Life Style Web Center, we were able to automate processes for requisition, approval, orientation, timekeeping, invoice reconciliation, and performance review of employees. Our system connected seven staffing partners, twelve facilities and two call/customer service centers into one central hub of information. Life Style's Web Center allowed our client and their partner parties to access real time reports (i.e. usage ,rates, spending by department or location, fill ratios, etc.) that allowed each participant to be measured objectively against our client's established performance measurements.
Result:
The result of using Life Style as the primary partner and our Life Style Web Center as the central point for contingent workforce needs and management was monumental. Within the first year, the system allowed our client to more effectively use and deploy their staffing resources, which resulted in a cost savings of 28.5%. Our client was also able to reduce the amount of time they spent each week on administrative details, resulting in an estimated savings of $88,000 annually. Our system enabled each party to track employee performance and attendance in real time, making it possible for each of them to identify and address issues before they became problems, and resulted in a lower turnover rate. Life Style's Web Center facilitated our client and other staffing partners to more easily stay in touch with seasonal employees when they were not working. Our rate of returning seasonal employees increased by 31%, therefore our recruiting costs decreased.
Within the first year, our client was able to save in excess of $198,000 by using our One Source Management program through our Life Style Web Center.