May 26, 2017
By Leslie H. Krieger, Ph.D., SPHR Does hiring smart pay off in higher profits? You bet it does! In fact, hiring smart typically brings a much greater return on investment than does spending on process improvements or capital equipment. Let’s look at actual ROI data from hiring smart initiatives we created for three very different businesses: debt collection, product distribution, and fast food. CASE STUDY #1: A FINANCIAL RECOVERY AGENCY Hiring Smart Investment: $30,000 Details: ATG helped the agency select debt collectors who quickly surpassed the national average of debt collected per month, enabling its 100 collectors to collect an additional $2.5 million per year. ROI : 8,300%. CASE STUDY #2: A PRODUCTION DISTRIBUTION COMPANY Hiring Smart Investment: $80,000 Details: ATG helped the company select field sales associates whose first year turnover rate dropped from 54% to 28%, resulting in reduced annual turnover costs of $16.3 million per year ROI: 20,300%. CASE STUDY #3: A FAST FOOD RESTAURANT COMPANY Hiring Smart Investment: $150,000 Details: ATG helped the company identify better-fit store managers and team members, resulting in reduced turnover, faster customer service response and greater customer spending. This produced an overall bottom line improvement of $17 million per year. ROI: […]