Oracle Seizes the Future with Retention Training

CellularOne: Money Doesn't Buy Job Satisfaction

Fast-Growing Hardware and Software Company

Compelling Business Need: The organization began to experience heightened attrition among its North American sales force. The relationships, technical skills, and creative problem-solving methods which characterized the Field Organization became highly attractive as the marketplace for such services dramatically expanded in the mid- and late '90s. Mature competitors, as well as start ups, began to raid the company's top talent.

When attrition in one mission-critical field group hit 25%, customers began to complain the loss of continuity and talent was seriously affecting service levels.

ITS's Integrated Solution:

1. Surveyed the compensation marketplace and ascertained that compensation was at or above marketplace norms.
2. Assessed the underlying causes of attrition and found the major drivers of turnover stemmed from managerial practices. (However, most managers did not understand or feel a sense of ownership for their role in retention.)
3. Implemented Retaining Top Talent™ with field managers at every level to improve the management practices proven to increase retention.
4. Improved selection and employee assimilation efforts.

Result: One year later, attrition in the critical group had been reduced from 25% to 15% and overall attrition in the field workforce had been reduced from 18.5% to 11.7%.

Wireless Telecom Company

Compelling Business Need: Telecommunications deregulation created an explosion of competition both for market share and for the engineering, IT, and customer service talent required to make growth possible. This company's business plan called for high growth rates in the face of tough competition. In addition, the organization's primary focus was Northern California, where the talent wars of Silicon Valley made employee retention especially difficult. IT employee retention had become a particular problem, with attrition running at 32%.

ITS's Integrated Solution:

1. Regular employee satisfaction surveys were instituted, along with a more focused exit analysis.
2. Departmental management teams participated together in the Retaining Top Talent™ workshop in order to build collective ownership for follow-up on individual retention action plans.

Result: Over 24 months, IT attrition decreased by nearly half to 17%.

Financial Services Company: Call Center Operations

Compelling Business Need: In three of the company's hardest-hit call center operations, unwanted attrition averaged more than 75% per year in 1999. The centers employed over 3,000 employees in geographies that were rapidly becoming call center hot spots. Almost 70% of the attrition occurred within the first 10 weeks of employment.

ITS's Integrated Solution:

1. In a drive to differentiate the company and become an "employer of choice" in the local labor market, all managers and supervisors in these three most challenging locations participated in Retaining Top Talent™. Managers focused on the factors within their control which could make the call center a great place to work for all employees.
2. In addition, improvements were made in selection processes and in supporting new employees as they adapted to call center requirements and practices.

Result: Call center non-exempt turnover for these three locations dropped from an average of 75% in 1999 to an average of 49.6 % in 2000. During the same year, attrition for other non-exempt employees in locations not implementing Retaining Top Talent™ declined only 1% to 54%.

Networking Company Growing Quickly through Acquisitions

Compelling Business Need: Overall attrition for this company hovered at 24% -- even higher in the engineering and sales groups. Stock options were under water for many employees. 76% of those leaving were rated top performers, who often joined competitors within the first 18 months of employment. Consequently, key projects faced indeterminate delays.

ITS's Integrated Solution:

1. Designed an exit data analysis methodology tailored to the company.
2. Identified the top factors contributing to attrition in the organization.
3. Consulted with an internal senior team to set retention goals and accountabilities.
4. Conducted Retaining Top Talent™ interventions by business unit, including European and Asia-Pacific operations.
5. Provided a summary of data gathered during the Retaining Top Talent™ intervention and recommendations for further actions to the senior team.

Result: Within 12 months, overall attrition declined to 17%. In addition, the percentage of those leaving who were top performers fell to 57%. Key engineering product development projects were back on schedule.

Global Software Development and Sales Organization

Compelling Business Need: This organization's unwanted attrition rate was running at 17-18% worldwide, higher in the key field consulting ranks. Attrition costs had been estimated at 22 cents per share in 1999. In the company's exit surveys, managers' skills and practices had been identified as key reasons top talent was leaving.

ITS's Integrated Solution:

1. Gathered and analyzed information on attrition in the key group.
2. Customized a retention planning process.
3. Over 24 months, implemented a major roll-out of Retaining Top Talent™ in the following order:
   1. Longer-tenure and Senior Managers in company headquarters
   2. Field Sales and Field Consulting Managers in North America, UK and Australia, and South and Central America.

Result: Attrition declined 4% worldwide. The reduction of 4% represents about 1,400 individuals retained, estimated as a $98,000,000 savings for the company.