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Assessments Improve Employee Selection by Targeting the Hospitality “Gene”

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About American Blue Ribbon Holdings

With over 640 locations in 43 states, American Blue Ribbon Holdings (ABRH) is one of the largest restaurant holding companies in the country.

“Turnover is very tough in the restaurant business, but within just 6 months of using assessments, we saw big reductions in turnover across the organization.”

-Bill Streitberger, Chief People Officer at ABRH


ROI Summary

Since 2014, ABRH has been using pre-hire assessments to target applicants who will perform better and stay longer in their restaurants.

Manager Turnover: Ninety Nine

  • Number of hires per year: 120
  • Replacement cost per employee: $20,000*
  • Reduced turnover: 10%
  • TURNOVER SAVINGS YoY: $240K

Manager Turnover: Baker’s Square

  • Number of hires per year: 450
  • Replacement cost per employee: $20,000*
  • Reduced turnover: 6%
  • TURNOVER SAVINGS YoY: $540K

Hourly Turnover: O’Charley’s

  • Number of hires per year: 12,500
  • Replacement cost per employee: $2,225*
  • Reduced turnover: 9%
  • TURNOVER SAVINGS YoY: $5M

All numbers based on average figures

*Council of Hotel and Restaurants Trainers


Tackling the Turnover Challenge

With an emphasis on revitalizing and growing its regional brands, ABRH launched an initiative to invest in employees and improve turnover. ABRH looked to pre-hire assessments to help build a staff that would thrive within their family of brands, which includes four casual dining chains: O’Charley’s, Ninety Nine Restaurant & Pub, Village Inn, and Bakers Square.

ABRH chose OutMatch assessments because they identify best-fit candidates for specific job types, including manager and hourly roles, and target key hospitality traits like guest focus, persuasiveness, turnover risk, and more.

“The assessments have added structure and tools to our process, and they’ve saved us a great deal in recruiting and training costs because we’ve been able to lower turnover.”

-Bill Streitberger, Chief People Officer at ABRH


REDUCED TURNOVER

  • Managers: 8%
  • Hourly: 9%

TURNOVER SAVINGS

  • Managers: +$780K per year
  • Hourly: +$2.5M per year

Using Assessments to Identify Best Fit

Starting with a job success profile, OutMatch determined the work-related personality traits that best predict success and longevity for manager and hourly roles within ABRH.

Applicants for these roles are assessed against the job success profile and given a job fit score, along with a personality report and an interview guide to help hiring managers address potential problem areas.

“We’ve been doing a much better job selecting people, and OutMatch has been a great partner in that. We’re able to get results faster than we would if we were trying to do this on our own.”

-Bill Streitberger, Chief People Officer at ABRH


Reducing Turnover for $3.2M in Savings

ABRH found that employees with high job fit scores are better suited for the service industry and more likely to stay longer with the company.

Since implementing assessments, ABRH has reduced turnover by 6-10% across brands, which accounts for more than $3.2M in annual savings.



About OutMatch

OutMatch delivers the data that’s been missing from your hiring process. With clear, measurable insight into candidates and new hires, your managers will make better hiring decisions, and your HR organization will finally be able to measure the impact of hiring on your company.

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