Chili’s Saves $21M Annually by Reducing Turnover

 

Assessments Improve Candidate Selection by Predicting Success & Longevity of New Hires

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About Chili’s

With 1,600 locations worldwide, Chili’s® Grill & Bar is a leading casual dining restaurant brand with a fun and energetic atmosphere where family and friends can gather over a delicious meal.

“OutMatch assessments have been so powerful in helping us with selection, we’re now using them across our management and hourly population.”

-Director of Performance Coaching, Brinker International


Summary of Turnover Savings

OutMatch assessments positively impact employee satisfaction, engagement, and job stress—factors that account for more than 50% of all turnover.

Chili’s Manager Role

  • Using assessments since 2007
  • Number of hires per year: 500
  • Replacement cost per employee: $20,000*
  • Turnover: 10% lower than industry average
  • TURNOVER SAVINGS YoY: $1M

Chili’s Hourly Role (front & back of house)

  • Using assessments since 2011
  • Number of hires per year: 30,000
  • Replacement cost per employee: $2,225*
  • Turnover: 30% lower than industry average
  • TURNOVER SAVINGS YoY: $20M

All numbers based on average figures

*Council of Hotel and Restaurants Trainers


Tackling the Turnover Challenge

Chili’s has become a trendsetter in food service by adopting innovations like tabletop tablets to enhance the guest experience. When it comes to tackling turnover, Chili’s leverages technology to identify candidates who are most likely to thrive in their fast-paced service environment.

Knowing that job fit strongly influences work behaviors and motivations, Chili’s chose OutMatch assessments because they identify best-fit candidates for different job types, including manager and hourly roles, and can target key hospitality traits like guest focus and sales ability.

“We’re using OutMatch assessments to identify those folks who are going to be a really good fit for our organization. And we’re using them to identify promotion opportunities, too.”

-Director of Performance Coaching, Brinker International


REDUCED TURNOVER

  • Managers: 10%
  • Hourly: 30%

TURNOVER SAVINGS

  • Managers: $1M YoY
  • Hourly: $20M YoY

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 at Chili’s. Candidates 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’re able to give our managers so much more insight into the candidates they’re talking to so they can really see what strengths a person would bring to a role, or what challenges a person might face. It’s helping them make better hiring decisions.”

-Director of Performance Coaching, Brinker International


Reducing Turnover for $21M in Savings

Since implementing assessments, Chili’s has reduced turnover by 10% for manager roles and 30% for hourly roles, which accounts for $21M in savings year-over-year. Chili’s uses this additional capital to reinvest in employees through education, leadership programs, and more.

Thanks to improved candidate selection and other initiatives, Chili’s has experienced great success and business growth in recent years, to the effect that Chili’s stock price has doubled and tripled, reaching over $60 a share in 2014.



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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