Reducing employee turnover by 14.3% in a retail chain
There was conflict in the team. We trained the management staff in relational principles. People stopped leaving because they finally knew what was expected of them.
Stirling Retail Group is a retail chain operating in the Perth area that struggled with constant staff departures. The atmosphere in stores was thick, and new employees resigned faster than they finished introductory training. We introduced clear rules of the game that calmed the situation and significantly reduced recruitment costs.
The challenge
In March 2024, turnover in key sales points reached 26.7% annually. New employees resigned on average after 82 days of work, which paralyzed the schedule. Stirling Retail Group was losing 82,400 AUD every four months just on ads and training new people, who were leaving shortly anyway.
The problem lay in communication. Managers didn't know how to talk about errors, so they avoided difficult topics until a conflict erupted. Employees felt unappreciated and lost in unclear procedures, leading to frustration and mass resignations.
Our approach
Our team spent 14 days in the field, observing work in three of the chain's largest stores in Perth. We talked directly to 42 employees at various levels to understand exactly where the problem lay. We weren't looking for blame, but for flashpoints in daily routines.
Next, we conducted workshops for 12 shift managers. We focused on facts and specifics, not management theory. We taught them how to give feedback in 3 minutes so the employee knew what to improve but didn't feel attacked. The whole thing was based on simple relational principles, not corporate scripts.
The solution
We developed a new internal communication system and work regulations, which instead of 40 pages now has 4 readable points on one card. We introduced mandatory feedback meetings lasting exactly 15 minutes, held once every two weeks.
Every manager received a simple set of legal tools from us for managing difficult situations, which gave them confidence in making decisions. Additionally, we implemented a 'clear rules of the game' system for new employees, thanks to which from day one they know what the expectations are and what they can get a bonus for, and what is unacceptable.
Results
Four months after implementation, turnover fell to a level that allowed the company to stop spending a fortune on recruitment agencies. The atmosphere in stores became predictable, and managers stopped fearing conversations with subordinates. This was a concrete gain for the budget and peace of mind for the board.
Timeline
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August 2024Relational audit and interviews with 42 staff members
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September 2024Communication workshops for 12 shift managers
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October 2024Implementation of new rule card and feedback system
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November 2024Result analysis and final procedure correction
"The situation in the team was so tense that people were afraid to come to the back room. NeoMetrics set us straight in two weeks. Now everyone knows their place and no one wastes time guessing."