I was recently asked to be on a panel of Retailers under 40 to discuss hiring. I KNOW that people make a difference and that hiring right, training well and protecting your culture is the number one hack to a profitable company. Below are the notes from that session.
Young Retailers Retail Best Practices Session – Recruiting and Hiring
Sourcing
What tools or resources have you used successfully to find candidates for your openings? – Kortney
Our best resource is our current “star” employees. Employees who are doing their job well and tell people they know to come over and apply. It is not fool proof. You can have a great employee who thinks their friend is super, but who really isn’t super at all. We use our marquee to let people know we are accepting applications. We get all kinds from that, let me tell you. We will use Facebook to put out the message that we are looking, and we get people tag those they know are looking. Some come fill out applications, some don’t. We have tried online job posting sites, even at local colleges with no success. Our best resource is our current employees (just reinforces how important the current employees are, doesn’t it?).
Follow-up: Do you have an employee referral program?
What differentiates your store and how do you use it to attract talent? – Annie
What differentiates our store is our commitment to strong customer service, along with a friendly and family environment. We are the local go to hardware store in the area.
Follow-up: How do you promote your differentiation?
What characteristics or attributes would make a candidate successful in your store? How do they change based on the position? – Ted
They need to be courteous, patient and confident……They don’t always start with these attributes but they learn them as they go.
Patience – My Employment application is five pages so I get reactions immediately.
Courteous – How they greet me for the first time when asking for an application.
Confidence – Hand shake and eye contact….I usually make small talk and listen for responses…not just yes and no.
How do they change based on the position?
We want their level of confidence to grow as they gain more experience.
Follow-up: How do you reinforce these attributes?
How do you pre-screen candidates before you invite them to interview? – Jared
Our process begins with candidates completing an application. After I review the applications, I determine which candidates to call in for a first interview. If that goes well, I invite the candidates in for a second interview. During that interview, I want to understand their lifting limits, availability, and why they are interested in the company and position. I also conduct reference checks and have applicants take a drug test.
Follow-up: Are there any specific pre-screening questions you ask?
Interviewing/Hiring
How would you explain your interviewing process? – Kortney
Applicants fill out a prescreen either online or in the store. Someone, preferably me, looks over the prescreen and asks questions or follows up based off the responses (wages is a big one, felonies, why left past jobs). Then applicants are given a two sided application to complete. They can either take it home to complete and return or they can use our break table to complete the application. I look the application over, and again ask any questions based off what they wrote. Occasionally I will set an interview up then for the applicant. More often I set it aside on my desk and review it again before I put it on file. I prefer to have a request from the department manager of what they are looking for (F-T, P-T, Seasonal) and what hours they are looking to fill. Right now other owners are preferring me to set the interviews up without that information just looking to get the best applicants in the store, and we will figure out what to do with them once they are here. If I have the requests I review applications matching who is looking for what we are looking to fill and put them in order of best match to might work out. I start calling and asking preliminary questions. Can they work the hours I need them (surprising how many people apply for retail but can’t work nights or weekends), some positions have specific requirements (like driver’s license) I will ask if they have the requirement. We discuss a starting wage range, and brief overview of the job. If they are interested and meet what I am looking for I set up an interview. Some department managers prefer to sit in on interviews and some prefer not to. Either way is fine with me. At the time of the interview I ask specific questions and write down the answers. At the end of my scripted questions I tell the applicants a date that I will get back to them with an answer. After the interview I review their answers to the questions and assign them a numerical score. Once I have interviewed all applicants in this round I take my top scorers and go over with the department manager what I like or what makes me nervous about each applicant. Sometimes it is an easy choice. Sometimes no one makes the grade and I have to start over. Once I know who my top choice is I call them and offer them the position. I do call back other applicants and tell them they didn’t get the job. One of my least favorite parts of the interview process. But if I were on the other end I wouldn’t want to wonder forever if I got the job or not. If we had two great applicants I offer the top choice the position and offer the other a position in the store, even if it is floater until I have another opening. I file the applicants who did not get offered the job in a locking filing cabinet (in case we would ever need to defend our decision).
Follow-up: What part of your process works the best for you?
What are the typical questions you ask when interviewing candidates? – Jared
I watch for non-verbal cues. Some of my typical questions are: Tell me about yourself. Why did you apply to this position? What was your best and least favorite job? How will you great customers?
Follow up: What was one of the best responses to one of your questions
How do you evaluate candidates that you interview? Is it specific to the job or general? – Annie/Ted
My evaluation is based on general questions that I ask all applicants. I spend about 90% of my time determining who they are and their motivations. Typically, I evaluate the applicants based on the job requirements and fit for our store.
Follow-up: How did you determine if the applicant fits within the culture of your store?
What is one best practice you have incorporated to help you hire the best talent? – Jared
Sticking to our system/process whether we know the applicant or not.
Follow-up question: What was the outcome when you did not stick with you process?
Onboarding
Tell us what happens in the first week of a new hire? – Kortney
When they accept the job I go over what they will need to bring to complete the paperwork. They are built into our payroll system, the time clock, and the computer system. I post a sign on the fridge in the break room listing new hires names, when they are starting and what department they are working in. We have goals for the new hires to accomplish within 30, 60, and 90 days of hire (3 pages stapled together) I hand those out to the department manager before the person starts. On their first day the employee sees me first to complete paperwork. It usually takes them about 30 mins. We run background checks so I usually have that be one of the first things they complete so I can try to run the check while they are completing the rest of the paperwork. I try to look over the paperwork as they turn it in so I can clear up any confusion. The new hire is given a vest and a name tag. If we have specialty shirts (like the 75th anniversary) they are given one if we have their size. In their packet they are given a handbook, as well as a form stating that they have received the handbook, have read it, will follow the rules, and if they don’t turn it in upon separation they will be charged a fee. I show them the handbook and the form. On the form I have written a date I want it turned in before (usually a week to 10 days). I put a follow up on my computer so that if I have not received the signed Handbook form by that date I basically nag them until I get it. Another item they get from me is a notice of when their New Employee Orientation is scheduled. It is usually scheduled within 3 days of their starting. It goes over what we think are the highlights of the Handbook. Customer service, rules, safety, etc. There is a scavenger hunt of merchandise that we expect new hires to complete, preferably within the first two days. They also learn how to check their answers in the computer (and then go look again to see what went wrong). The department gives the new hire on the job training. They work alongside someone at the beginning. They have someone available to help answer questions that come up once they can go solo. Really working with the customers is the best training we can offer for learning the ins and outs of the department. Some departments have additional training that is offered within the first week (saw training, fork lift training etc).
Follow up: Who created your training manual? What are the contents in the manual?
What training do you provide new hires? Is the training specific to each position? How do you use TVU? – Jared
The training is divided into three parts – customer service, cashier and department training. Customer service is focused on serving the customer (i.e. greeting the customer, responding to customer inquiries and handling returns). Cashier training will teach the new hire how to work to register and process cash and credit transactions. Department training includes: unpacking and placing inventory on the shelves, reading and understanding bin labels, location codes, etc., cutting keys, product training and department training.
Follow-up: How did product experts or do you use NHRA for product training?
How do inform new hires about the culture, their role and the impact they can have on helping the store be successful? – Annie/Ted
We introduce new hires to the entire team. We have them shadow employees in each department and exposes them to all of the functions of the store. We explain the importance of the customer and our philosophy of customer being first. An example would be if you are stocking the shelves and a customer looks like they need help. You would stop stocking and immediately help the customer. – Anne
Pay attention to the staff that has been here for years and learn from them……We work hard and we play hard….Earn your time and others will respect you for it.
Everyone has a responsibility for customer service and helping customers. Products need to be on the shelves in order for us to be successful. This is reminded over and over during our busiest time of the year. – Ted
Follow up: How do you reinforce the culture with your employees?
Do you provide any additional training or learning activities after the new hire has been on board for a while? – Courtney
Employees are reimbursed for doing TVU training on their own time. We have determined a set price for each class. We strongly encourage cross training-learning other departments, especially those neighboring theirs. Any employee can be pulled to help out in any department if we feel it is needed. We love to give more responsibility once they have the basics down. First they learn to take care of the customers, then how to stock, then how to order, they are assigned an area of responsibility (keep it ordered and stocked, replace items as needed, etc), doing inventory with RF gun for our cycle count…
Follow-up: What are some of the classes your employee have taken using TVU?
Questions
Ask the retailers if they have questions
Activity
In their groups, ask the retailers to discuss a best practice learned from the panel or a best practice they have used to recruit and hire talent at their stores.