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HR transformation case study

Hyatt’s talent strategy transformation

A talent for caring: How Hyatt is activating its purpose and transforming culture to unlock growth for colleagues and the business

Client:  Hyatt Hotels Corporation Our Role:  Help design and implement a Talent Philosophy and an associated Playbook, a resource to allow leaders to move the business forward through consistent, focused, yet flexible Talent management. Industry:   Hospitality and leisure Services:   Workforce Transformation , People and organization

Bringing purpose to life on a global scale

Hyatt had rallied around a unifying purpose— we care for people so they can be their best. Hyatt’s purpose resonated instantly within the organization because “care” is at the core of Hyatt’s DNA. While “care” can be limited to only a feeling, Hyatt sees it as more: It’s an action taken that starts with listening and empathy, resulting in caring action that leads to people being their best. With this in mind, Hyatt began to take a fresh look at how its colleagues could be their best. In doing so, Hyatt realized that managers and their teams needed a clearer framework for understanding their roles and accountabilities. They needed a simpler approach to be more consistent and confident in making people decisions (how they hire, develop, grow and reward colleagues) and how they create a culture where colleagues can be their best selves every day at work through enhanced focus on leading inclusively and creating the right environment for colleagues’ wellbeing.

The starting point? Listening and understanding the root issues by conducting extensive research with colleagues around the world to discover the leadership behaviors that most successfully drive business outcomes. With more than 120,000 colleagues working in more than 875 hotels in over 60 countries on six continents, it was also time to optimize its HR processes, tools and systems; designing around the needs of the business and removing inconsistencies and fragmentation in an effort to improve operational effectiveness and increase colleague and job candidate satisfaction. Hyatt’s HR leaders aspired to create a superior Talent experience to bring purpose to life for every colleague and potential colleagues—and, by extension, for every guest and customer—in its hotels worldwide.

“One of the most rewarding aspects of our work with Hyatt has been participating in the evolution of a significant HR transformation that impacts everyone in the organization on some level, and ultimately, Hyatt guests worldwide. We were inspired by Hyatt’s commitment to including the perspectives of its people in every region.” Jon Glick, Principal, PwC

Design-thinking + analytics + change management = a vision forward

When Christy Sinnott, Hyatt’s Talent Management Leader, first met PwC’s account and HR consulting team and began discussions about their shared passion for purpose-focused organizations, data driven decisions, and culture, none could have known that these discussions would evolve into a multi-year effort to transform Hyatt’s talent strategy. The HR transformation journey has engaged PwC professionals with subject matter experience in every aspect of HR program design and management. Activating Hyatt’s leadership development model through talent development training targeted at Hyatt's top and rising leaders was the first step. With a new set of expectations for leaders in place, Hyatt asked PwC to help design and implement a Talent Philosophy and an associated Playbook, a resource to allow leaders to move the business forward through consistent, focused, yet flexible Talent management. A current state assessment helped identify challenges and gaps; a blueprint for success helped to facilitate alignment of business and people strategies; and plans for the future state supported development of a clear and compelling Talent Philosophy. That Philosophy—a series of six commitments to its colleagues—is grounded in Hyatt’s purpose and values and designed to guide the relationship between leaders and their teams. The Playbook maps Hyatt’s People strategies to specific systems, processes and procedures to support transparent and consistent standards across the organization.

“PwC helped us understand how applying the lens of purpose could transform and focus HR structures and processes to create world-class leaders and, subsequently, to re-imagine the entire talent experience. In a global organization of our size and complexity, this has been an amazing collaboration among so many people, including our colleagues around the world.” Christy Sinnott, Senior Vice President of Talent Management, Hyatt

Re-imagine the talent experience to help Hyatt and their colleagues map a route to growth

With the Playbook underway, Hyatt’s HR leaders realized that while they had done a lot to evolve their strategy and systems around Talent, there was much more they wanted to do. They invited PwC to help them re-imagine the entire talent experience, with the goal of improving internal processes on a global scale to support strategic workforce planning and permit colleagues to pursue their own growth as the organization continues to grow. PwC teams helped Hyatt identify pain points, create diverse personas and stories to envision colleagues’ overall experience from pre-hire through promotion, and map opportunities to promote a clear understanding of, and commitment to, brand and purpose. Along the way of this extended journey, the PwC team helped support Hyatt with a multi-year colleague listening program; create a roadmap for the implementation of digital platforms to support efficient HR processes across the organization; consider strategies to advance Hyatt’s commitment to Inclusion and Diversity; and develop specific tools and methods to measure success and business outcomes.

“Inclusion is a core organizational capability at Hyatt that will continue to drive many aspects of our business, including Talent. Working with PwC to further our inclusion goals has been extremely helpful and timely.” Malaika Myers, Chief Human Resource Officer, Hyatt

Creating an ideal future-state experience

Demographics shift. The business climate changes. Guest expectations evolve. One constant for Hyatt is its culture of care which is at the heart of its business strategy. Scaling an enhanced talent experience worldwide will allow Hyatt to enable colleagues to be their best and achieve business outcomes as Hyatt continues on its growth trajectory.

The team is now actively working to advance care for colleagues in many ways:

• A Global Leadership Performance Model that helps drive the behaviors that drive results creating a high-performing culture that can adapt to the changing business climate.
• A streamlined and improved candidate experience , including a redesigned applicant process, new on-boarding tools and resources, and an evolving new hire orientation program, that Hyatt anticipates to reduce source-to-hire time and increase retention .
• Diversity Business Resource Groups and the Global Inclusion & Diversity Council are helping to develop a robust pipeline of diverse leaders for the future to execute current and future business strategy, increase retention, differentiate Hyatt as an employer of choice and drive greater personalization of the guest experience.
• A New People Leader Curriculum provides new managers with a Talent Playbook that creates consistency across the organization, empowers leaders of people to make the right decisions for their teams , and brings clarity to the supporting systems and processes.

At the center of the work is an intense focus on:

• Eliminating key pain points  for colleagues so we  bring the right roles to the right people at the right time . Transparency around and opportunities for career growth and development, performance measurement and rewards.
• Simplifying HR programs and processes  contributes to a  shared understanding of responsibility for leading talent.  HR managers work closely with people managers to help them proactively build and develop their teams, with flexible customization to support distinct functions, hotels and regions.
• Expanding  talent and recruitment outreach to institutions in diverse communities  to drive an expanded, more diverse candidate pool, and in some cases identify  business development opportunities .

“Participating in CEO Action for Diversity and Inclusion, alongside PwC, has been a valuable part of Hyatt’s inclusion journey, particularly the collective effort of organizations to look at bias and to share challenges and best practices. Creating a sense of belonging and community is especially important in the hospitality industry for both our colleagues and our guests.” Tyronne Stoudemire, Vice President of Inclusion and Diversity, Hyatt

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Winning with your talent-management strategy

The allocation of financial capital has long been recognized as a critical driver of an organization’s performance. The value of managing and allocating human capital, however, is less widely known. But the results from a new McKinsey Global Survey confirm the positive effects of talent management  on business outcomes. 1 The online survey was in the field from November 14, 2017, to November 28, 2017, and garnered responses from 1,820 participants representing the full range of regions, industries, company sizes, functional specialties, and tenures. To adjust for differences in response rates, the data are weighted by the contribution of each respondent’s nation to global GDP. According to respondents, organizations with effective talent-management programs 2 We define an effective talent-management program as one that, according to respondents, has “effectively” or “very effectively” improved the organization’s overall performance. have a better chance than other companies of outperforming competitors and, among publicly owned companies, are likelier to outpace their peers’ returns to shareholders.

The survey also sought to uncover the specific practices that are most predictive of successful talent-management strategy. While there is no one-size-fits-all approach to the effective management of human capital, the survey results reveal three common practices that have an outsize impact on the overall effectiveness of talent management as well as organizational performance: rapid allocation of talent, the HR function’s involvement in fostering a positive employee experience, and a strategically minded HR team. The survey results also point to underlying actions that organizations of all stripes can take to cultivate these practices and thereby improve their talent-management strategy and organizational performance.

Why effective talent management matters

According to the survey responses, there is a significant relationship between talent management—when done well—and organizational performance. Only 5 percent of respondents say their organizations’ talent management has been very effective at improving company performance. But those that do are much more likely to say they outperform their competitors: 99 percent of respondents reporting very effective talent management say so, compared with 56 percent of all other respondents. 3 Figures were calculated after removing the 3 percent of respondents who answered “don’t know” when asked how their organizations’ performance over the past three years compared with competitors’ performance.

What is more, the effects of successful talent management seem to be cumulative. Like an overall effective talent-management program, the abilities to attract and retain talent appear to support outperformance (Exhibit 1). Among public companies, we see a similar effect on total returns to shareholders (TRS). At companies with very effective talent management, respondents are six times more likely than those with very ineffective talent management to report higher TRS than competitors.

Three drivers of successful talent-management strategy

To support these outcomes, the results suggest three practices that most closely link with effective talent management: rapid allocation of talent, 4 We define rapid allocation of talent as the fast or very fast movement of talent among strategic projects as priorities arise and dissolve. HR’s involvement in employee experience, and a strategically minded HR team (Exhibit 2).

Respondents who say all three practices are in place—just 17 percent—are significantly more likely than their peers to rate their organizations’ overall performance, as well as TRS, as better than competitors’ (Exhibit 3). They are also 2.5 times more likely than others to rate their organizations’ overall talent-management efforts as effective.

Rapid allocation of talent

Only 39 percent of respondents say their organizations are fast or very fast at reallocating talent as strategic priorities arise and dissolve —a practice that leads to a 1.4-times-greater likelihood of outperformance. And while it is well established that companies with rapid capital allocation are likely to see higher TRS , our findings show that the same holds true for talent allocation. At public companies that quickly allocate talent, respondents are 1.5 times more likely than the slower allocators to report better TRS than competitors. 5 Respondents who say their organizations have rapid talent reallocation are 2.2 times more likely than those who say their organizations have slow or very slow talent reallocation to report better TRS than competitors, as noted in Mike Barriere, Miriam Owens, and Sarah Pobereskin, “ Linking talent to value ,” McKinsey Quarterly , April 2018. The link between rapid allocation and effective talent management is also strong: nearly two-thirds of the fast allocators say their talent-management efforts have improved overall performance, compared with just 29 percent of their slower-moving peers.

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To allocate talent more quickly, the survey results point to three specific actions that meaningfully correlate with the practice (Exhibit 4). The first of these is the effective deployment of talent based on the skills needed , which has a direct impact on the speed of allocation. Respondents are 7.4 times more likely to report rapid talent allocation when their organizations effectively assign talent to a given role based on the skills needed.

Second is executive-team involvement in talent management. Respondents who say their leaders are involved in talent management are 3.4 times more likely to report rapid talent allocation at their organizations. The frequency of leaders’ involvement also makes a difference. At organizations that quickly reallocate talent, executive teams usually review talent allocation at least once per quarter (Exhibit 5). Finally, the results suggest that organizations where employees work in small, cross-functional teams are more likely than others to allocate talent quickly.

HR’s involvement in employee experience

A second driver of effective talent management relates to employee experience—specifically, the HR function’s role in ensuring a positive experience across the employee life cycle. Only 37 percent of respondents say that their organizations’ HR functions facilitate a positive employee experience. But those who do are 1.3 times more likely than other respondents to report organizational outperformance and 2.7 times more likely to report effective talent management, though our experience suggests that the HR function’s role is just one of the critical factors that support great employee experience .

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A couple of key actions underlie the HR function’s ability to ensure better employee experiences. One is quickly assembling teams of HR experts from various parts of the function to address business priorities. Just 24 percent of respondents say their organizations employ this characteristic of an agile HR operating model , and they are three times likelier than other respondents to report a positive employee experience. Second is deploying talent and skills in a way that supports the organization’s overall strategy. One-third of all respondents say their organizations’ HR business partners are effective at linking talent with strategy in this way, and those who do are over three times more likely than other respondents to say the HR team facilitates positive employee experiences.

Strategic HR teams

The third practice of effective talent management is an HR team with a comprehensive understanding of the organization’s strategy and business priorities. When respondents say their organizations have a strategy-minded HR team, they are 1.4 times more likely to report outperforming competitors and 2.5 times more likely to report the effective management of talent.

The factor that most supports this practice, according to the results, is cross-functional experience. When HR leaders have experience in other functions—including experience as line managers—they are 1.8 times more likely to have a comprehensive understanding of strategy and business priorities. Also important is close collaboration among the organization’s chief HR officer, CEO, and CFO . 6 Dominic Barton, Dennis Carey, and Ram Charan, “People before strategy: A new role for the CHRO,” Harvard Business Review , July–August 2015, pp. 62–71, hbr.org. Fewer than half of all respondents say those executives work together very closely at their organizations, 7 The question “How closely, if at all, does your organization’s chief HR officer work with your CEO and CFO?” was asked only of respondents in vice president and C-level roles. but those who do are 1.7 times likelier to report a strategy-minded HR function. The findings also point to the importance of transparency with all employees about strategy and business objectives. Respondents who say their organizations’ employees understand the overall strategy are twice as likely to say their HR team has a comprehensive understanding of the strategy.

In summary, effective talent management—and the practices that best support it—contributes to a company’s financial performance. No one approach works for every company, but the survey results confirm that rapid allocation of talent, the HR function’s involvement in fostering positive employee experience, and a strategic HR function have the greatest impact on a talent-management program’s effectiveness.

The contributors to the development and analysis of this survey include Svetlana Andrianova, a specialist in McKinsey’s Charlotte office; Dana Maor , a senior partner in the Tel Aviv office; and Bill Schaninger, a senior partner in the Philadelphia office.

They wish to thank Laura Lee, David Mendelsohn, and Trevor Young for their contributions to this work.

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Inside Starbucks: A Case Study on Talent Management

Starbucks, the brand synonymous with ‘coffee’ shines not just for its iconic drinks and unique experience but also for its exceptional talent management strategies. From innovative recruitment practices to a strong focus on diversity and inclusion, the cafe chain prioritizes building a workforce that reflects its values and serves its diverse customer base.

The company’s emphasis on continuous learning makes sure that employees are equipped with the skills needed to thrive in their respective roles. This case study explores the core elements of Starbucks’ talent acquisition, training, performance management, and succession planning methods.

Starbucks: A Brief Overview

Since its inception in 1971, Starbucks has grown into a global powerhouse, boasting over 32000 stores in 80 countries worldwide. This coffee giant has redefined the coffee experience, setting itself apart with its commitment to quality and community.

What distinguishes Starbucks is not just its coffee but also its culture, grounded in the mission to inspire and nurture the human spirit. This ethos is evident in the coffee giant’s core values, which prioritize creating a culture of warmth and belonging, ensuring that everyone feels welcome.

Starbucks' success is not solely measured by its revenue, which reached USD $29.46 billion in 2023 , but also by its impact on people and the planet. The company has made significant strides in sustainability, with initiatives like the Greener Stores framework and a commitment to reducing carbon emissions by 50% by 2030. This dedication to ethical sourcing and environmental stewardship positions the company as a leader in corporate responsibility within the coffee industry.

As it continues to expand, its dedication to quality, community, and sustainability remains steadfast. The Starbucks experience transcends borders and cultures, fostering connections that enrich lives worldwide.

Talent Acquisition at Starbucks

Starbucks' talent acquisition strategy underscores its commitment to excellence and inclusivity. This helps in setting a high standard in the industry. It leverages technology to access a diverse pool of candidates through innovative recruitment techniques.

The company's forward-thinking approach has yielded impressive results, with a global retail workforce boasting 53% gender diversity and 23.5% representation of people of color in retail and manufacturing roles. This achievement speaks to Starbucks' dedication to diversity and inclusion, setting a benchmark for others to follow.

Inclusion in Hiring Practices

• Starbucks places a strong emphasis on inclusion in its hiring practices. The company strives to create an environment where every employee feels valued and respected, regardless of their background or identity.
• This inclusive approach not only fosters a sense of belonging among employees but also enables the brand to better understand and serve its diverse customer base, driving business success.

Commitment to Learning and Development

• Central to Starbucks' talent acquisition strategy is its commitment to continuous learning and development. This further ensures employees have the skills and knowledge needed to excel.
• The company offers a range of training programs aimed at enhancing employees' skills and advancing their careers. On average, Starbucks employees receive 20 hours of training per year, a testament to the company's investment in its workforce.
• The coffee giant’s dedication to learning and development not only contributes to its success but also sets a standard of excellence in talent acquisition across industries, showcasing its thought leadership in the field.

Training and Development Programs

Starbucks’ commitment to excellence extends beyond its products to its training and development programs. These programs are designed to cultivate skilled and knowledgeable employees who embody the brand’s values.

Comprehensive Training Approach

• Starbucks' training programs are designed to be comprehensive and engaging. This makes sure that employees/partners are equipped with the skills and knowledge needed to excel in their roles.
• The company follows the 70/20/10 model of learning, where 70% of learning happens through on-the-job experiences, 20% through feedback and mentorship, and 10% through formal training programs.

Initial Training Process

• New partners undergo a thorough training process that includes the Starbucks Experience classes, covering the company's history, legacy of social responsibility, and culture.
• These classes are taught by dedicated trainers responsible for ensuring that each partner understands and embodies the Starbucks ethos.

Ongoing Training and Support

• Each store has a learning coach for new joiners. A partner who has shown a passion for training, to guide new hires through the Barista Basics hands-on training program.

Potential Enhancements

• Starbucks could incorporate video-based learning to provide a consistent learning experience across all stores and enable social learning among partners.
• This approach would further enhance the training programs, allowing the company to continue delivering exceptional customer experiences that keep customers coming back.

Overall Impact

• The training and development programs of the brand exemplify its dedication to its employees' success and its commitment to delivering outstanding customer experiences.
• By investing in its employees and fostering a culture of continuous learning, Starbucks has built a talented workforce that drives the company's success.

Performance Management

Starbucks' performance management is a strategic process, integral to fostering excellence, driving growth, and ensuring every partner is equipped to succeed. Unlike traditional reviews, its approach is continuous and inclusive. It emphasizes regular feedback, coaching, and goal setting to empower partners to achieve their full potential.

Some insights into Starbucks’ performance management are as follows:

• Continuous Improvement: The company's emphasis on continuous feedback and coaching helps partners understand their performance, recognize achievements, and identify areas for improvement. This culture of continuous improvement is key to Starbucks' success.
• Utilization of Performance Metrics: It uses performance metrics, such as customer satisfaction scores, to evaluate individual and team performance. These metrics ensure alignment with the company's goals and values, driving overall success.
• Inclusive and Transparent Practices: Partners are actively involved in setting their performance goals, fostering a sense of ownership and accountability. This inclusive approach promotes trust and collaboration, key pillars of Starbucks' organizational culture.
• Extensive Training and Development: The cafe chain provides extensive training and development opportunities. This makes sure that partners have the skills and knowledge needed to excel. The company is highly committed to partner development.
• Motivating Compensation and Benefits: Starbucks offers competitive compensation and benefits packages, motivating partners to perform at their best. This commitment to partner well-being further contributes to the company's overall success.
• Commitment to Partner Success: Starbucks' performance management system reflects its dedication to partner success. By fostering a culture of feedback, accountability, and continuous improvement, it ensures partners are engaged, motivated, and empowered to deliver exceptional results.

Succession Planning and Leadership Development

Succession planning and leadership development at Starbucks are integral components of the company's talent management strategy. These initiatives are designed to identify and cultivate future leaders within the organization. This ensures a strong leadership pipeline and a diverse and inclusive workforce.

The key aspects of succession planning and leadership development at Starbucks are as follows:

• Strategic Succession Planning: The company’s talent management strategy is deeply rooted in identifying and nurturing high-potential employees for future leadership roles. This comprehensive process ensures a consistent pipeline of capable leaders ready to assume key positions as they become available.
• Internal Promotion Emphasis: Starbucks strongly believes in promoting from within its workforce whenever feasible. This approach not only motivates employees but also cultivates leaders who possess a profound understanding of the company's culture and values, fostering continuity and stability.
• Diversity and Inclusion Commitment: Starbucks is dedicated to fostering diversity and inclusion within its leadership ranks. With 47% gender diversity and 18.5% BIPOC (Black, Indigenous, and People of Color) representation in corporate roles as of 2023, the brand is actively building a leadership team that mirrors the diversity of its customer base.
• Comprehensive Leadership Development Programs: Starbucks offers a diverse range of leadership development initiatives, including the Starbucks Leadership Experience program. These programs are designed to equip participants with the necessary skills, knowledge, and practical experience to excel in leadership roles within the organization.
• Cultivation of a Learning Culture: Starbucks promotes a culture of continuous learning among its employees. Through its tuition reimbursement program, partners are encouraged to pursue higher education and professional development opportunities, further enhancing their leadership capabilities.
• Commitment to Talent Nurturing: Starbucks' approach to succession planning and leadership development underscores its dedication to nurturing talent and cultivating a diverse and inclusive leadership team. By empowering its employees to succeed and grow within the organization, it ensures its continued success and growth in the future.

Starbucks' talent management strategy stands as a testament to the power of investing in people. From its innovative recruitment methods to its comprehensive training and development programs, the company exemplifies excellence in talent acquisition and management.

The company's commitment to diversity and inclusion is reflected in its workforce demographics, with significant representation of women and BIPOC individuals in key roles. This dedication not only mirrors the brand’s core values but also enhances its ability to connect with a diverse customer base.

Furthermore, Starbucks' emphasis on continuous learning and development underscores its belief in the potential of its employees. By offering abundant opportunities for growth and advancement, it ensures that its partners are equipped with the skills and knowledge necessary to excel in their roles.

As Starbucks continues to expand globally, its talent management practices will be instrumental in shaping its future. By remaining steadfast in its values and investing in its most valuable asset, its people, Starbucks is poised to uphold its legacy of success for years to come.

20 Key HR Metrics - A Definitive Guide To Evaluate Success

Maximize your HR impact with this comprehensive guide to:

• Review a list of top 20 talent management metrics
• Learn how to calculate each metric
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• Employee Benefits
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Dr John Sullivan Talent Management Thought Leadership

Latest article, hire your customers – the top recruiting source in retail (target this often-ignored talent pool).

May 12, 2024

If you recruit in retail or service industries, a top source should be your customers (after employee referrals).

Article Descriptors | Recruiting /Targeting Customers – Advantages – How To – 4 Min

Recruiting Your Customers Can End Your Talent Shortage

Most recruiting leaders who work in organizations that interact with the public (e.g., retail shopping, hospitality, transportation, and service) are currently facing severe talent shortages that, in some cases, are actually limiting their operations.

Fortunately, a large-scale solution to their talent shortages may be right under their noses. That recruiting strategy involves targeting their customers as a prime source of recruits. In my view, ignoring this talent pool is a major strategic error.

Because your current retail customers fit most criteria that objectively define “the perfect recruiting target.” They are perfect candidates because they already know and like your organization. And because they visit your facility frequently (or website). They will have many opportunities to see and read your recruiting messages. 

Category I – Reasons Why Recruiting Retail Customers Is Easy

There are many benefits associated with a “recruit your customers” strategy. They fall into two categories. This first category covers why recruiting them is easier. The second category covers why former customers make better employees. 

• Reaching customers is easy – because you already have regular contact with these customers. Getting a recruiting message in front of them is almost always easy and inexpensive. That is because you control all aspects of your retail environment. You can easily make your recruiting messages highly visible around the store and on your website. 
• This applicant pool will include a significant percentage of passive candidates – most corporate sources primarily reach” active candidates.” However, this customer source will also include a large percentage of the highly desirable, not-looking prospects. Of course, selling these customer-candidates will be more difficult. Because the currently employed customer–candidate will always have the option of remaining with their current employer.
• Customers are more likely to apply because they are familiar with you – many prospects are reluctant to apply for a job formally. Because they are anxious and uncertain about a job and a company that they have only read about. Because your long-term customers are quite familiar with your organization’s operations, employees, and values, a much smaller percentage of your customers will have second thoughts about becoming a candidate. 
• Customers will see your recruiting message multiple times – if they are frequent customers, they will likely see your recruiting messages every time they visit. And as a result, your recruiting message doesn’t have to be effective the first time around. Frequent visits by the customer means that they will see your recruiting message during the specific times when they are in job search mode.
• Customers are likely to see and read your message – especially retail customers who will be shopping. Because they have idle time, they will be able to read and reflect on your recruiting message. 
• Your existing trust relationship means that they will believe your recruiting message – as loyal customers, they already have a degree of trust in your organization. So, building the required trust level during the recruiting process will be much easier. And that high level of trust will make it more likely that they will believe your recruiting messages.
• Selling a customer–candidate will be easier because you already know a great deal about them – assessing the capabilities of this type of candidate will be easier. Because, unlike most candidates, they are not “strangers.” If they are part of your customer loyalty program, you likely already know a lot about them (note that airlines, restaurants, and hotels all have customer loyalty programs). That knowledge may include their years as a customer, their payment history, and which of your products they have purchased. For certain loyalty member programs, you will also know their current job title, employer, and income. So you can recruit customers for hourly jobs and back-of-the-house professional jobs. You will also be able to target customers who currently work in a particular organization. Knowing their income means you can also eliminate those who currently make much more than you could pay them. 
• This applicant pool is likely to be diverse – if you have a broad, diverse customer base (as many in retail do). Your applicant pool will also be diverse. And that means that you will likely be able to attract a significant percentage of diverse applicants. 
• The applicant pool is likely to contain more technologists – compared to a normal pool that is made up exclusively of retail candidates. A customer applicant pool will be wider. So, it will contain potential targets that work in industries that are more advanced in technology. And that may increase your chances of landing more technologists and AI experts.
• A product discount will likely be a key selling point – for customers who spend a great deal of money at your organization. If you offer a significant employee discount, that will likely be a key attraction feature. Because it is essentially a not-taxed boost in their income.
• A short commute may have some advantages – if you are recruiting for an on-site job. The fact that these candidates are also customers means they probably live nearby. So, if hired, they may be able to fill in in a pinch. An added selling point is that they will likely have a short commute.
• Recruiting these customers–candidates may be cheaper – because most of your recruitment messaging will be on-site or on your company’s website. You won’t need to spend hardly anything on external recruitment messaging. And because many of your customers will be locals. You most likely won’t have to spend any corporate funds on interview travel expenses or relocation.
• In-person interviews will be easier to schedule – because customers will visit your facility frequently. It will be relatively easy to schedule in-person and peer interviews with them.

——————————————

Category II – Reasons Why Former Customers Make Great Employees

This second category of benefits covers why customer-candidates make better employees.

• As employees, they are likely to fit – if they have been long-term loyal customers, they probably already share your corporate culture and values. This is because these customer applicants will already have interacted with several of your employees. So when they become an employee, they are likely to quickly feel comfortable with your current employees and the way you operate and do business. As a result, “fitting in” will be less of an issue.
• They will get up to speed quickly because they already know your products/services – after they are hired. They won’t likely require a great deal of onboarding or training because they have already used your products/services. It will be easy for them to get up to speed quickly. As employees, they will be able to spread a positive, credible message to the customers they will now interact with.
• Loyal passionate customers will likely become loyal, passionate employees – because they have been loyal and passionate customers. In my experience, as employees, these former customers are likely to maintain their loyalty and become a longer-term employees. 
• You will already know if they are moody – after perhaps hundreds of hours of interactions with them as a customer (outside of your formal interview process, where they are likely to act differently). You will already know if they are moody or even toxic.
• Recruiting them may make them even better customers – if you don’t hire them. The added knowledge that your customer-candidates will gain during your recruiting process. It will likely make them even better customers in the future.
• Even if you don’t hire them, they may become a great referral source – because your customers also frequent other retail outlets even if you don’t hire them, if you allow your customers to make referrals of potential employees from other retail organizations. There is a good possibility that you can turn some of your best customers into a continuing referral source.

————————

Tag Applicants That Are Also Customers

Another important note. Is that the last thing that you want to do is anger any of your customers that have become candidates. If you recruit in retail, it makes sense to proactively ask applicants if they are currently also a customer of yours. Then you should “tag” customer applications in your ATS system.

First, they deserve special attention because they are likely to be excellent candidates. Research has also shown that treating customer candidates poorly during your hiring process may literally “cost you millions.”

——————————————–

Implementation Tips For Recruiting Your Customers

If you have decided to implement a customer recruiting effort. You should familiarize yourself with the best practices in this area. So here is the updated version of my list of the top customer recruiting implementation tips. 

• Ask your employees to refer knowledgeable customers – employee referrals are almost always the best source of quality hires. So it’s critical that you empower and educate your current employees. So that they can identify and refer knowledgeable and passionate customers that they regularly interact with. 
• Target members of your customer loyalty program – it makes sense to recruit members of your customer loyalty group specifically. Because you know a lot about them, and they are also likely to be great customers. The clothing company Hollister once specifically targeted for hiring those in their customer loyalty program who exceeded their purchase limits. 
• Make “this is a great place to work” messages highly visible – rather than putting up an overly simple “help wanted” sign (which can actually hurt your image). Instead, include signage that is more powerful and makes you stand out as an employer. For example, “We are looking for a few great associates,” “If you love our product, consider joining our team,” or “Join our team, because employees get generous discounts.” The foundational premise is that when customers see this type of recruiting message, they will mentally think, “That’s me.”
• Be creative in where you place your recruiting messages – a one-page recruiting flier can be placed in their shopping bag at a retail establishment or as an insert in a delivered package. 
• Utilize social media – recruiting messages can be included on corporate social media landing pages, or they can be sent directly to your online followers. Humorous and entertaining Tick-tock videos can be especially effective for your younger customers.
• Have your employees wear great job T-shirts/buttons – have your employees periodically wear buttons, baseball caps, or T-shirts to let your customers know that you are a great place to work (Wegmans has done this). “Ask me about what is like to work here” buttons have also been effective. 
• Print a recruiting message on your receipts – including a simple recruiting line on your printed receipts can be a simple and cost-effective recruiting approach (Wells Fargo did this). You can also include a QR code to take them directly to your careers website. 
• Use corporate business websites – placing recruiting messages and web recruiting banners on your corporate sales, credit applications, and customer service websites. It can be an effective tool if you can get permission from the marketing department. 
• Add recruiting to your customer communication process – because many firms send customers a monthly paper or electronic mailing. It makes sense to also include recruiting messages in monthly statements and advertising pieces. 
• Involve your customer service centers – recruiting messages should also be part of the customer service or call center operation. Individuals who offer good suggestions or even well-thought-out criticisms may be ideal recruiting targets. Call-center operators can either directly suggest that they apply, or forward their names to recruiters.
• Include a message in your product ads – consider putting a small recruiting message in your media product or branding ads as one way of reminding current and potential customers that you are actively recruiting. 
• Hold hiring events in retail locations – holding hiring events at one of your retail locations (Seattle’s Best Coffee did this) can make it easy for workers in the area to stop by for a quick interview. You can announce the event on your point-of-purchase signs.
• Offer a discount for customers that apply – consider giving a small discount or product sample to customers who apply for a job and complete an interview.
• Allow applications on your on-site kiosks – include recruiting messages and the opportunity to apply online on in-store customer kiosks. 

Final thoughts

Using any objective standard, your top customers should be labeled as prime recruiting targets. They are easy to find, communicate with, and sell. Best of all, they generally turn out to be loyal and top-performing employees. So, in my view, recruiting leaders who have retail operations should jump on this simple, low-cost, and effective recruiting strategy. This program alone has the capability of ending the current retail talent shortage.

Author’s Note

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Case Study - Talent Management

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Evaluation of online job portals for HR recruitment selection using AHP in two wheeler automotive industry: a case study

• ORIGINAL ARTICLE
• Published: 12 May 2024

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• S. M. Vadivel   ORCID: orcid.org/0000-0002-5287-3693 1 &
• Rohan Sunny   ORCID: orcid.org/0009-0002-2347-3081 2  

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Automotive companies are booming worldwide in the economy. In order to sustain in the highly competitive world, every organization tries to create itself a trademark in the market. In our research, we looked at how two wheelers automotive company's selection enhances an organizational performance, which ensures the company's future growth. In today's fast-paced, globally integrated world, human resources are one of the most important production variables. It is critical to preserve and improve economic competitiveness by properly selecting and developing these resources. The main aim of this study is to identify the best online job portal website for recruitment at Two Wheeler Company and to suggest an HR strategy which resonates company’s values and culture. In this study, we have selected 6 criteria and 6 online popular job portals for recruitment with a sample of 15 candidates have been selected. Findings reveal that, AHP method has significant results on the selection of best employer, which helps HR Manager to finalize the decision making process/strategies. Towards the managerial implications section, the researcher aims to design an functional and effective HR strategy that can grasp, engage and retain the top talent in the organization.

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Abbreviations

Analytic hierarchy process

Artificial intelligence

Analysis of variance

Chief Human Resources Officer

Consistency index

Curriculum vitae

Consistency ratio

Decision making

Faculty Development Programme

Hierarchical linear modelling

Human resources

Research and Development

Randomized index

Structural equation modelling

Search engine optimization

Triple bottom line

Technique for order preference by similarity

Maximum Eigen value

The normalized value of ith criterion for the jth alternative

The normalized value of jth criterion for the ith alternative

The number of alternatives for a certain MCDM problem

The number of criteria for a certain MCDM problem

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Acknowledgements

The authors would like to express their gratitude to two wheeler Automotive Industries in Chennai, Tamil Nadu, India, for their invaluable assistance and cooperation. We greatly acknowledge Ms. Ruchi Mishra, Research scholar from NIT Karnataka, for editing this manuscript in better form.

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Vadivel, S.M., Sunny, R. Evaluation of online job portals for HR recruitment selection using AHP in two wheeler automotive industry: a case study. Int J Syst Assur Eng Manag (2024). https://doi.org/10.1007/s13198-024-02358-z

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