Companies of all sizes typically think of recruitment and training as two separate things, but it's especially common in smaller companies where employee training often takes the form of learning on the job or from peers. We share why we believe businesses that directly link recruitment and employee training programs will stand out from the competition and maximize results.
Why now?
We all feel the challenges facing the furniture industry. Residential furniture sales revenue declined by up to 25% in 2022, with major companies reporting a 21% decline in gross merchandise merchandise (GMV) in the first quarter. His 70% of manufacturers and distributors noted negative growth. And this also applies to online sales. Things haven't improved in 2023, with Pottery Barn comparable sales down 10.6% year over year in the second quarter, West Elm comparable sales down 20.8%, and Wayfair sales down 3.4%. It decreased.
“We're at a point where big-ticket furniture purchases are lower than they were a year ago as consumers shift their spending.”
– Laura Alber, CEO, Williams Sonoma
“Instead of big-ticket items, customers are sprucing up their homes with cheaper furnishings such as decorative layers, focusing on tabletops, glassware, decorative objects and textiles.”
– Tricia Smith, Global CEO, Anthropologie Group, Urban Outfitters.
However, looking at the data from statista.com, we can conclude that: Money is still spent on the house and decorations – But what it is spent on, where and by whom is changing. Feedback from one mattress customer suggests that while money is tight for those purchasing lower-priced products, sales of mid- to high-end products are slowing down, especially in areas with large numbers of seniors and retirement communities. It seems that there is more than enough to make up for it.
So while we can blame economic hardship and post-pandemic hardship, the reality is that it's not a lack of spending (both in product categories and services), but a change in three things: need to be recognized.
- who I have money to spend
- what the client wants for their home
- Age and wealth demographics – Later in life, customers have more money and different priorities, which are highly influenced by geographic location and store community.
This means you need to adapt to these changes. A key part of this is rethinking product lines, sales processes, organizations, and especially the competencies and skills needed from sales employees. That means retraining and reorganizing existing talent and hiring new people with new skills and the ability to grow as quickly as possible through targeted training. Simply put, recruiting and employee training need to be considered together.
The three things above drive the need for employee training and influence who you hire. This article is not about changing your product line, but in order for that change to connect with customers who have the funds to buy your product or service, connect with customers on their terms, from contact to purchase. Close if you mean you need to be able to do it.
Combining recruitment and employee training: Insights for your organization
Considering recruitment and employee training together and understanding their relationship can help you leverage existing organizations to support existing organizations and make the changes needed to move towards market change. You can consider whether Consider how the effectiveness and investment of hiring and training, respectively, will impact your company.
A company's willingness to invest time, money, and effort in employee training and recruitment not only determines the recruitment process and the type of training implemented, but is also important in defining the ongoing culture of the company and its employees. play a role. that:
Quadrant A creates an elite, experienced workforce by acquiring the best players in the game, motivated by prestige, benefits, and strong, reliable returns.
Quadrant B produces an ambitious workforce, likely motivated by early career, income and further opportunities.
Quadrant C is a “sink or swim” workplace where turnover is high and stars emerge from pure volume and burn out quickly.
Quadrant D creates an environment with highly volatile employees, or employees who appeal to the hiring manager's “gut feeling” and will have a variety of personal gaps and training needs, but this is the most difficult and most expensive approach.
By digging deeper into these quadrants, companies can quickly identify other important people strategies, such as compensation, benefits, communication, and leadership styles, necessary for success. This is important because it allows companies to redefine and/or restructure themselves and provides predictions about the types of internal resistance companies will encounter when changing investments in recruitment and/or training. . For example, if you have a veteran team with many years of experience, using a Quadrant C approach (such as supporting store growth plans) may eliminate training stress. Still, problems can arise as you bring in many inexperienced newcomers, who come and go, need help, and take up the time (and leadership) of existing veteran team members.
Use employment to define employee training investments and targeted training
Some companies try to identify and document weaknesses and growth needs of candidates offered positions. But only some companies take a systematic approach to leveraging that information and investing in new hire training and development to ensure their success. Supporting new employees is not only a wise move to help them grow, but we all know that pressure highlights people's weaknesses. And starting a new job is a very stressful time. Gaps and needs that were managed or hidden in the previous job are further amplified in the new job. The result is a slow start-up, or worse, failure and quick departure, wasting time and money, and causing some damage to the team and company's reputation.
That's why we recommend specifically identifying candidate gaps during your recruitment process to find the best candidates and create a customized training plan from day one. Onboarding requires more than work authorization forms and payroll setup. This is the start of a concerted effort to grow new employees as quickly as possible. That being said, the more effective your hiring process is, the less you'll need to fix new hire weaknesses because you'll be able to find the best fit or high-potential talent. By doing so, you can reach quadrant B. In Quadrant B, hiring top emerging talent is best positioned for growth and long-term success, and their training is focused on developing the very top-level skills they expect from their employees. You can focus. And we will continue to do so – increasing retention and engagement.
Planned links between recruitment and training improve recruitment, minimize impact on existing teams, infiltrate existing teams, onboard new hires quickly, and improve retention and employee engagement. You can increase your chances of engagement. It takes time and effort. HFA's solution partner, Mosswood Recruiting, can help you make that happen.
