BEST BUY CANADA – CIRCLE OF EXCELLENCE PROGRAM
Best Buy is a sales driven retail organization. Retention among its sales staff was embarrassingly low and overall employee turnover was a significant issue affecting sales and profits, disrupting customer satisfaction and confidence. Sales staff turnover was increasing in direct proportion to the level of sales employee performance (i.e.: turnover of higher achievers was greater than turnover of lower achievers). Overall sales were increasing but profits and margins were decreasing. Results from internal employee satisfaction surveys indicated the strong desire for more focus on performance recognition in addition to existing cash compensation, cash bonuses and cash incentives.
After interviewing other recognition companies without finding a satisfactory vendor candidate, Best Buy’s Human Resources Department contacted Rideau and requested our assistance in assessing and proposing a non-cash, performance recognition program solution.
Increase employee retention generally – especially of top performers.
Increase sales, margins and profits by monitoring, ranking and rewarding sales and service performance in 7 key areas.
Focus on motivating an increase in the overall performance and effectiveness of associates that rank in the top 30 – 50 percentile.
To be able to annually measure the direct success of the program against definable criteria & existing benchmarks “pre-program” and preceding year.
Expanding upon an existing sales theme within the Best Buy organization, the theme chosen was “Circle of Excellence.” The award currency is points.
Annually, recognition program objectives and the impact on employee retention have exceeded pre-program predictions and benchmarks set the previous year. Each 10 percentile has seen significant increases in sales, margins, profits and retention. As a result, the program has expanded to include other departments beyond sales and service personnel.