Retention into Revenue

Quick Video Description

Yes, I get it. It's a bit obvious, don't you think? Of course, retention is going to lead to revenue, but have we thought about all revenue or are we talking about reducing cost per hire? Do you want to know why you should really invest in retention?? Truly invest in it. Not do the bare minimum but really go all out with your retention efforts. Don't get me wrong, I love any effort at all, however, we're missing a huge opportunity that can contribute to your overall revenue.

Now let's think about it. If I'm a new employee, will I be as efficient as a driver who's been here, let's say for six months.? Undoubtedly, no, I will not be because over those six months, that driver has become more aware, more efficient and understands your overall way of operating that contributes to his efficiency. The newly hired driver will take just as long or if not longer to get to that level of output in a way of contributing to the overall revenue and bottom line.

There are a lot of things that can go into a driver’s job that makes them inefficient and what they do day-to-day.

• New telematics system.
• Different equipment.
• Driver manager communication & management style.
• New customer locations.
• Unfamiliar surroundings.
• Customer delivery windows.
• Pick up locations process.
• Stop locations within the route.

These are just a few but very notable. It's the exact reason I am a huge fan of doing what I call a transition pay that the driver is eligible immediately upon being hired. This was so the driver could receive a consistent paycheck as they acclimate themselves to their new position. It was an investment in job satisfaction as they learned the new position knowing these things affect their pay. This was an investment in efficiency while also investing in their long-term success at the company.

To drive my point home even more here is a quite simple breakdown in how the points above can impact revenue daily based on experience. As you can see the differences are significant. Retention doesn’t always have to come at an added cost, as there are simple processes and tools that can be implemented that can have impacts on employee turnover.

Retention is not just a buzzword but an opportunity to increase revenue at a time where revenue is hard to come by, while also investing in the long-term success of your employees.

If you would like to meet and discuss how you can create a retention program for any employee type, not just truck drivers, click here.