How a UPS Manager Cut Turnover In 2002, Katriona Roeder was promoted to district manager for UPSs operation in !uffa"o, #ew $or%& $or%& S'e was responsi( )"e for *22+ mi""ion in revenue, 200 emp"o-ees, and t'e processing of some .+ 000 pac%ages an 'our& /'en s'e too% over in !uffa"o, s'e faced a serious pro)"em turnover was out of contro"& Part(time emp"o-ees1w'o "oad, un"oad, and sort pac%ages, and w'o account for 'a"f of !uffa"os wor%force1were "eaving at t'e rate of +0 percent a -ear& Cutting t'is turnover rate )ecame 'er 'ig'est priorit-& priorit-& T'e entire UPS organiation re"ies 'eavi"- on part(time emp"o-ees& In fact, it 'as 'istorica""- )een t'e primarpr imar- inroad to )ecoming a fu""(time emp"o-ee& Most of UPSs current e3ecutives, for instance, )egan as part(timers w'i"e attend( ing co""ege or universit-, t'en moved into fu""(time posi( tions& In addition, UPS 'as a"wa-s treated its part(timers we""& T'e- are given 'ig' pa-, f"e3i)"e wor% 'ours, fu"" )en( efits, and su)stantia" financia" aid to go )ac% to sc'oo"& $et t'ese p"uses did not seem to )e enoug' to %eep emp"o-ees at UPS in !uffa"o& Roeder deve"oped a compre'ensive p"an to reduce turnover& turnover& It focused on improving 'iring, communication, t'e wor%p"ace, and supervisor- training& Roeder )egan )- modif-ing t'e 'iring process to screen out peop"e w'o essentia""- wanted fu""(time 4o)s& S'e rea( soned t'at unfu"fi""ed e3pectations were frustrating t'e 'ires w'ose preferences were for fu""(time wor%& 5iven t'at it t-pica""- too% new part(timers si3 -ears to wor% up to a fu""( time 4o), it made sense to tr- to identif- peop"e w'o actua""preferred part(time wor%& #e3t, Roeder ana"-ed t'e "arge data)ase of information t'at UPS 'ad on 'er districts emp"o-ees& T'e data "ed 'er to t'e conc"usion t'at s'e 'ad five distinct groups wor%ing for 'er1differentiated )- ages and stages in t'eir careers& In addition, t'ese groups 'ad different needs and interests& In response, Roeder modified t'e communication st-"e and moti( vation tec'ni6ues s'e used wit' eac' emp"o-ee to ref"ect t'e group to w'ic' 'e or s'e )e"onged& 7or instance, Roeder found t'at co""ege students are most interested in )ui"ding s%i""s t'at t'e- can app"- "ater in t'eir careers& 8s "ong as t'ese emp"o-ees saw t'at t'e- were "earning new ne w s%i""s, t'e- were content to %eep wor%ing at UPS& So Roeder )egan offering t'em Saturda- c"asses for computer(s%i"" deve"opment and career(p"anning discussions&
Man- new UPS emp"o-ees in !uffa"o were intimidated )- t'e 'uge ware'ouse in w'ic' t'e- 'ad to wor%& To "essen t'at intimidation, Roeder improved "ig'ting t'roug'out t'e )ui"ding and upgraded )rea% rooms to ma%e t'em more user(friend"-& To furt'er 'e"p new emp"o-ees ad4ust, s'e turned some of 'er )est s'ift supervisors into trainers w'o provided specific guidance during new 'ires first wee%& S'e a"so insta""ed more persona" computers on t'e f"oor, w'ic' gave new emp"o-ees easier access to training materia"s and 'uman(resource information on UPSs interna" networ%& 7ina""-, Roeder e3panded training so supervisors 'ad t'e s%i""s to 'and"e increased empowerment& Recogniing t'at 'er supervisors1most of w'om were part(timers t'em( se"ves1were t'e ones )est e6uipped to understand t'e needs of part(time emp"o-ees, supervisors "earned 'ow to assess difficu"t management situations, 'ow to communi( cate in different wa-s, and 'ow to identif- t'e needs of dif( ferent peop"e& Supervisors "earned to demonstrate interest in t'eir emp"o-ees as individua"s& 7or instance, t'e- were taug't to in6uire a)out emp"o-ees 'o))ies, w'ere t'e- went to sc'oo", and t'e "i%e& !- 2009, Roeders program was s'owing impressive resu"ts& Her districts attrition rate 'ad dropped from +0 percent to 9 percent& :uring t'e first 6uarter of 2009, not one part(timer "eft a nig't s'ift& 8nnua" savings attri)uted to reduced turnover, )ased "arge"- on "ower 'iring costs, are estimated to )e around *; mi""ion& 8dditiona" )enefits t'at t'e !uffa"o district 'as gained from a more sta)"e wor%force inc"ude a 20 percent reduction in "ost wor%da-s due to wor%(re"ated in4uries and a drop from . per( cent to ; percent in pac%ages de"ivered on t'e wrong da- or at t'e wrong time&
