A new way to recruit & retain professionals.
According to Insider Intelligence magazine, the average attention span of Gen Z is less than 2 seconds, and thanks to a constant barrage of information via 24-hours news, social media and other internet sources, all generations’ attention spans are declining. This means we need to get very creative when trying to attract the attention of top talent. Our future depends on it!
Many industries are successfully using a new hiring philosophy called the “Hospitality Team” approach. I’ve seen this work well in the automotive world where employee shortages are at a critical level. This method could revolutionize how the industry hires and appeals to the younger generation of professionals. By embracing a fresh perspective and adapting to the changing needs of young recruits, dealerships can tap into a wider pool of talent and create a dynamic workforce that drives innovation and growth. Before we get to the details of this approach, let’s evaluate why we need to change our process.
Why do new hires leave?
According to the AppLearn executive research team, here are the main reasons for a large turnover rate.
- 23% of people did not receive clear guidelines to what their responsibilities were.
- 21% would prefer more effective training.
- 17% said a friendly smile or helpful co-worker would have made all the difference.
- 12% hoped for more acknowledgment for their contribution.
- 9% required more attention from managers and co-workers.
Around 80% of the advisors I have worked with the past 14 years have the opinion that they were “thrown to the wolves” when they started. (Point 1 and 2 above) They learned by shadowing senior advisors that have an established clientele, which leads to skipping processes and developing bad habits. Usually, this senior advisor has trained many advisors and does not want to be bothered. They are not always welcoming and friendly so (Point 3) is not accomplished. Don’t get me wrong, I enjoy helping advisors break bad habits, it’s part of what keeps us in business. But the big question we should be asking ourselves is WHY do we put new talent through this old process and then expect them to be successful?
What is the Hospitality Team and how does it work?
The goal of the hospitality team is to onboard all new hires in a no pressure or commitment atmosphere. This allows new employees to evaluate which position fits their skill set, scheduling needs, and personality. It also allows managers to evaluate their skills before offering the wrong full-time positions. Hiring mistakes cost dealerships a lot of time and money while bringing current staff members down. Here is how The Hospitality Team method works.
- Dynamic Departmental Rotation: Under the Hospitality Team philosophy, new recruits can experience rotations across the positions they are interested in. For example, an entry level service position may try the service BDC position, the parts department, a lot porter/greeter position, or an entry level service advisor. This will provide them with a broader understanding of the company’s operations and provide clear expectations for each position. After spending time in each position, they will know what they enjoy and where they will excel.
- Pressure-Free Environment: By removing the pressure often associated with specific onboarding processes, companies adopting this philosophy create a more welcoming and supportive environment for young recruits. This approach eliminates the traditional high-stress environment that hinders creativity and growth, which is essential for the automotive industry’s advancement toward keeping top talent.
- Sign-On Bonuses & Incentive Plan: To attract top talent, companies embracing the Hospitality Team philosophy can offer sign-on bonuses at the end of the training period when a position is offered and accepted. We recommend one after the first 30 days, and the next one at the end of 90 days in their position. This approach provides an enticing incentive for recruits to invest their time and effort into the company’s training program, while also demonstrating the organization’s commitment to recognizing and rewarding each level of the process.
Who is making sure it is followed?
Your hospitality team leaders should be selected first. We should have our brightest employees in each department in these positions. They should be incentivized to build new recruits up as they find their place. Your hospitality team leaders should only speak positively about the company and opportunities in every department. The goal is a full staff that works and appreciates each other no matter where they decide to accept an offered position.
Impact & Future Implications:
Implementing the Hospitality Team philosophy has the potential to produce significant benefits by appealing to the desires and expectations of young professionals. Dealerships can broaden their talent pool and attract individuals who bring fresh perspectives and ideas to the table while showing them a long-term career path. This approach can help bridge the gap that exists in the industry by developing well-rounded professionals from the very start by placing them in the right position for their skill set. Just make sure that your HR department is prepared with any necessary documents that lay out the plan and the result.
By adopting dynamic departmental rotations, creating pressure-free environments, and offering incentives, we can revolutionize onboarding processes and build a workforce that is engaged, motivated, and equipped for the future. This philosophy will not only attract top talent but also create a culture of growth and retention which cuts our recruiting cost, increases employee and customer retention, and is vital to our future success.
Author:
Kristopher Hampton
VP, sw Service Solutions
With 28 years of customer service and management experience, Kris offers exceptional communication skills and can relate to your service advisors as a peer, and a leader. He has been training service advisors across the country for over 14 years and continually creates new processes and training content for Fixed Ops University. Kris has helped hundreds of advisors and managers become more productive and successful by facilitating the sw Service Solution’s training programs.