Dierbergs Markets . . . Where Employees Love to Work and
                                          Customers Love to Shop
Case Study: Reducing Turnover at Dierbergs
The Problem
Employee turnover was escalating and store managers
were becoming increasingly frustrated. Employees were
leaving within a short period of time after being hired and
we didn’t understand why. Customers were also voicing
concern, complaining about service and threatening to
shop elsewhere.
There were those who thought that employees only cared
about their pay and benefits and really weren’t committed
to the company and going the extra mile for customers.

With a reputation for outstanding customer Service on the
line we had to take action. It was unacceptable to accept  
the status quo of rising employee turnover and the
consequences of customers deciding to shop elsewhere.

The Solution:
We started asking questions and really listening to what
employees had to say. We learned from them what factors
they considered to be important when they were making
their decision to stay or leave and what would motivate
them to go the extra mile.

They told us among other things that the training they
received did not adequately prepare them for providing
outstanding customer service. They also said that
managers were often not respectful and didn’t listen and
showed favoritism

We listened to what employees had to say and made
significant changes to ensure that we were selecting the
right employees, giving them the training they needed to
be successful, provided feedback, and made sure they
received recognition for going the extra mile for customers.

Management selection was critical to success, so the focus
became one of selecting and developing effective leaders
with an objective system for identifying potential
managers.  
Change Initiatives Included:
Leadership Selection: focused on competencies and
behaviors more than experience
Leadership Development: Leadership training
Employee Selection: Selecting the right employees
Orientation: values, traditions, heritage
Employee Training: the job itself and product knowledge
Extra Step Training: customer service training and
employee recognition: Ensuring that customers return

Money isn’t a motivator
We discovered that motivating and retaining employees
wasn’t about money at all. It was more about providing
the right training and helping them be fully prepared    to
serve customers. To gain their commitment employees
said that the quality of the relationship they had with their
manager was a significant factor. Employees were more
likely to stay and be fully prepared to go the extra mile for
customers when they had managers who listened to
them, treated them with respect, were fair, and gave
recognition.

Results
Employee turnover
reduced to just 24%
One third  the national
average . . . $2,000,000
annual savings

A workforce committed
to customers and going extra mile

Customer compliments about their in-store experience   
consistently out numbered complaints

Customer’s not only returned but recommended “their
DIerbergs store” to friends

Recognized in the community as an employer of choice
Nationally recognized by Arthur Andersen (Accenture) for
achievements in human resources, customer loyalty &
employee relations
Call us:  636-537-4030 or email  bridget@reportmyservice.com