Objectives. Frontline Hiring. Today s Presentation. Identify and Measure the Problem. The Hiring Process. Measure What Matters 2/14/2017

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1 1 Objectives Frontline Hiring PRESENTED BY: DIANE HOOD LYNNE MICHAELSON CEO Director of Human Resources Mary s Woods at Marylhurst Mary s Woods at Marylhurst HAROLD ORSBORN DAVID FINERAN National Sales Executive National Sales Executive Insight Worldwide Insight Worldwide Demonstrate how the CEO, HR Director and collaborating partners can work together (and why they should) to embrace change in senior living hiring that ensures stability and continuity of our front line workforce: Hiring Practices Training and Evaluation Processes Keeping the Best Formal Compensation Plan Growing the Future Workforce Measuring Results 2 Today s Presentation Introduction Attracting Talent Onboarding New Employees The Cost of Turnover Retaining Employees Identifying and Developing Leadership Talent Millennials The Future Workforce Organizational Complexities Looking at the Data 3 Identify and Measure the Problem We are a complex organization with multiple business lines Dining servers, bussers, supervisors, managers Healthcare C N A, RN, LPN, administrators All the rest administrative assistants, bus drivers, porters, marketing staff, executives Turnover It is not all bad! Different expectations Bring it out of the background Shared and discussed broadly Measured multiple ways Resource savings - $$ and others 4 Measure What Matters The Hiring Process Turnover can be measured in many ways to inform decisions based on varying metrics: Length of Service Age Position Gender Status Broaden your view Starts with an accurate Job Description Application Insight Assessment Interview Additional Screening Onboarding 5 6 1

2 Caregiver and Staff Hiring Assessments What are the true costs of poor hiring practices and turnover in Senior Living communities? SHRM Society for Human Resource Management Direct Costs: Recruitment Administrative time, cost of advertising Covering Open Positions Overtime, added shifts Interviewing Administrative and staff time Reference Checking Administrative time Drug Testing/ Background Checks Administrative time, cost of testing Orientation, Training & Certification Administrative and staff time Indirect Costs: Loss Productivity Departing employee Caregiving and support staff Supervisor(s) Vacant position(s) During training (supervisors, other employees) After training (supervisors, other employees) Increased workload for staff Supervisor(s) schedule changes/overtime Decreased care for residents Resident/Family concern and dissatisfaction 8 7 The Numbers (CNA) Job Fit ( suitability) Assessment Direct costs of hiring: $4,129 Direct and indirect costs of hiring: $7,500 - $8,500 Community with a staff of 20: 6 turnover x Hiring Costs = $51,000 Measures each candidate for: Psychological characteristics specific to the job Compassion, Stewardship, Care and Concern, Work Ethic, Teamwork, and more Willingness to do the job Shiftwork, Overtime, People near death Retention prediction Likelihood they will stay with organization High risk/unwanted behaviors Illegal Drugs, Theft, Workers Compensation Fraud, Violence 9 10 Pre-Qualify Rank

3 Applicant Details Structured Interview Validation Study Job Performance Impact 20 Senior Living Communities in the Eastern United States. Assisted Living Alzheimer's & Dementia Skilled Nursing Independent Living 18 month study period 3044 job applicants: n= % 8.9% 11.9% Risk Behavior Interpersonal Conflict Anger Management Lateness Job Performance Conducted by Dr. Mo Wang, Ph.D., University of Florida 15 Certified Nursing Assistant License Nurses Administrative Staff 16 CNA Turnover Impact Licensed Nurse Turnover Impact Before Premium Care Selection 1011 C.N.A. positions 31% Turnover 313 hires at $3500 per hire $1,095,500 Turnover Costs C.N.A. Turnover 31% 23% 22% 21% Before Premium Care Selection 559 L.N. positions 33% Turnover 184 hires at $3500 per hire $644,000 Turnover Costs LN/LPN Turnover 33% 21% 18% 18% After Premium Care Selection 1011 C.N.A. positions 23% Turnover 233 hires at $3500 per hire $813,855 Turnover Costs Before After 24 Months 36 Months After Premium Care Selection 559 L.N. positions 21% Turnover 117 hires at $3500 per hire $409,500 Turnover Costs Before After 24 Months 36 Months 80 hires avoided at $3500 per hire: $281,645 SAVINGS IN 1 st YEAR hires avoided at $3500 per hire $234,500 SAVINGS IN 1 st YEAR 18 3

4 Mary s Woods Assessments Mary s Woods Assessment Data 2016 Through March 1, 133 took the assessment Hired 44 (33.1%) Termed 4 (9.1%) took the assessment Hired 132 (30.4%) Termed 31 (23.5% TO) Most terms were less than 30 days First Year Results: Life Plan Community 325 FTE 20.6% Drop in Turnover Avoided 30 New Hires Saved $166,170 Hiring Expenses 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 2014 Before Insight Turnover Combined Insight Applicants Turnover Selling Who We Are The Culture of Influence On-Boarding within Mary s Woods New Hire Paperwork Background Check Drug Screen Buddy Program Orientation (Mission/Safety) Studer Principles Managing Up Touch Base Sessions (Stay Interviews) Leadership Development Program Open door policy Engagement On-Boarding within department Training Job Shadow 30, 60, 90 Day Touchbase Employee Engagement Beyond the Tasks Stimulate creative thinking Stress relief Increases morale and work rewards Increase productivity Encourage work through choice, not a necessity Engage Others Money isn t Everything or is it? Compensation Plan Development Wage ranges and definition Expectation and accountability Implementation 4 year rollout Minimum Wage $11.50 July 1, 2014 $12.00 July 1, 2015 $13.00 July 1, 2016 $15.00 July 1, 2017!

5 Leadership Development Program It is More Than Just a Job Create a program to meet our needs 7 Modules High Performance Leadership Communication Skills Leading Great Teams Conflict Resolution Performance Optimization Program Customer Service Managing Change Identify and train leaders current and future Helps form community across departments Succession planning Compliment to staff 25 Millennials are looking for more than a job They want Opportunity to make an impact Learning experiences Meaningful work Paths to leadership A position that fits their values Flexibility Inclusion and a voice 26 What are We Missing? Resources We don t know what we don t know How we will provide services in the future? Who will do the work? What motivates people? Stay ahead of the trends It is the simple things that really count! Relationship with your one up Connecting within and across departments Demonstrating that you really do care Listening to what matters Hardwiring Excellence Quint Studer The Five Dysfunctions of a Team Patrick Lencioni Hello Stay Interviews Beverly Kaye and Sharon Jordan-Evans The Energy Bus Jon Gordon Triggers - Marshall Goldsmith Society for Human Resource Management - Insight Worldwide