Case Study – Loss & Turnover

Ending Unexplained Losses & Decreasing Turnover

A North American retailer was having a major issue with unexplained inventory losses at 800 of their 2,000 stores. The problem was so bad they were close to either selling off or closing the stores.

Techniques that had worked with other brands failed here, and the senior vice president of loss prevention, an executive with more than 30 years of experience, was looking for help.

Although he was initially skeptical of Orion’s pre-employment screenings, a colleague who had been with Orion for 15 years convinced him to try it.

Orion ran two pilot programs in 176 of the company’s 804 stores, with assessments that were customized to the company’s unique needs.

Applicants were screened with the hiring survey and the minimum guidelines that the company put into place. If an applicant was high-risk for workplace theft/drug use, below average on supervisory attitudes and trainability, below average on long-term employment, and below average on customer service, they were cut from the hiring process with no exceptions.

After four months, the company ran the numbers, comparing the Orion-screened stores with the other stores in the company for the same time period.

  • While the regular stores had terminated 6 percent of new hires for theft over the course of four months, the Orion-screened stores had terminated no new hires for theft.
  • Just 3 percent of Orion-screened applicants failed background checks, as opposed to the 10 percent of non-screened applicants from the regular stores.
  • The Orion-screened stores had an 8 percent turnover rate, whereas the regular stores had a 14 percent turnover rate.

Every company must assess their employees – it’s just a question of when. Let Orion help you save time and money by doing it before, rather than after.

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