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© 2012 Profiles International
www.profilesinternational.com
Copyright 2012 by Profiles International. Printed and bound in the United States of America.
All rights reserved. No part of this document may be reproduced in any form or by any electronic or
mechanical means including information storage and retrieval systems without written permission
from the publisher.


Publisher
Profiles Research Institute
Dario Priolo, Managing Director
5205 Lake Shore Drive
Waco, Texas 76710-1732
Profiles International
(800) 960-9612
www.profilesinternational.com
www.americasmostproductive.com


Acknowledgements
President, Co-founder, Profiles International: Bud Haney
Editor-in-Chief: Dario Priolo
Managing Editor: Carrie D. Martinez
Assistant Editors: Jeff Meyers, Tammy Ruggieri, Barbara Elmore
Creative Director: Kelley Taylor
Graphic Design Assistant: Ruben Vera


Strategic Business Partner
Empower Performance Group
Jim Brown
1-888-580-8835
jim.brown@empowergroup.ca
www.empowergroup.ca
People in the auto business know the importance of superb service and
                                   regular maintenance. So it makes sense that an auto group, founded more
                                   than 100 years ago, would use Profiles International to help develop and
                                   maintain its workforce.

•	 Improve productivity of         The organization has enjoyed a relationship with Profiles since 2003, the year
   new car salespeople             the auto company completed new corporate headquarters. The partners
•	 Improve Hiring Process          often revisit the mechanics of hiring, developing and keeping excellent
                                   employees. A significant benefit has been an increase in auto sales even
•	 Manager Support &               during a nationwide economic recession.
   Utilization



•	 Assess the entire
   organization
                                   “The company is family-owned and as a result, they celebrate families. We are
•	 Restructure the Hiring          close with our employees,” said a top executive.
   Process
•	 Identify strengths of high      “We do groups of meetings where I can talk to people and find out what’s
   performers                      going on in families. We know the lives of employees’ families as well as we
•	 Create Performance Models       do employees. It is commonplace to talk to a spouse about insurance
                                   coverage. The company is very personal and I love that,” said the 14-year
•	 Provide training in candidate   veteran of HR.
   selection, interviewing,
   manager/employee                By the early 1900s, the company was selling automobiles and auto parts.
   relationships, coaching, &      Throughout the years, it has sold new and used automobiles, trucks and
   developing employees            motorcycles, and auto parts. The company also owns and operates a full-
                                   service insurance agency. When new corporate offices were finished in 2003,
                                   those moving in included senior staff, the graphics/advertising department,
•	 Maintained a strong             employees of the business development center, and the insurance agency.
   organization during the         Also included in the new corporate offices are a training center, the building
   Automobile Industry Crisis,     maintenance staff, workshop and record storage center.
   even gave out bonuses
   during the crisis               The company began at one location and now sells new and used autos at five
                                   locations.
•	 Employee buy-in
•	 A thoughtful and efficient
   hiring process
•	 306 more units sold! Using
   an average sale price of
   $28,400 that’s an increase

                                                    2
   in revenue of $8,690,400!
In 2003, when a Profiles representative first introduced herself, the auto dealer
                                group already used an assessment for employees in higher-level positions. But
 With broad usage, the          she persisted, and staff members scheduled a meeting. After the Profiles
 company’s managers             presentation, company leaders agreed to do a trial.
 immediately saw a              “We chose three employees and had them complete the ProfileXT®, and we
 variety of helpful features    saw the results. We realized that we needed this,” the executive said. Because
 in the PXT® - from judging     the other assessment cost more, managers’ use of it was limited. “We had
                                nothing for other employees we hired.” A contract with Profiles allowed
 a candidate’s job fit to his
                                unlimited use, which was important to the organization’s goals. “We wanted
 growth potential and           our managers to feel comfortable using this.”
 interest level.



                                With broad usage, the company’s managers immediately saw a variety of
                                helpful features in the PXT—from judging a candidate’s job fit to his growth
                                potential and interest level. One of the immediate lures, which Profiles and the
                                company continue to tweak, is the PXT’s Job Match Performance Model. The
                                match, which each company develops using its own high performers, shows




“
                                employers how candidates for positions compare in significant ways to their
                                most productive employees. The Performance Models highlight areas in which




Results show an
                                candidates are most similar to top performers, and where they differ from




“overwhelmingly
favorable”
                “               them. Numerical values provide clarity.

                                Although the benchmark score for the Job Match Performance Model might
                                change, the overall concept remains the same. The quality of information helps
                                hiring managers judge potential productivity and job fit. This helps a company




performance.
                                maintain a more stable workforce. Studies show that job match more
                                accurately predicts success than education, experience, or job training.




                                A major goal of managers was to improve productivity of new car salespeople.
                                To do that, however, they had to overcome the obstacle of finding car salesmen
                                and women who actually enjoyed the job. That required more information.

                                To ensure that managers understand the PXT and use it correctly, Robin Eichert,
                                the owner of PeopleSense Consulting, LLC and a Strategic Business Partner with
                                Profiles International, travels to the auto group’s office once or twice a year. She



                                                   3
conducts workshops with the company’s entire team of managers, reviews
                              assessment results and helps employees understand what they are seeing.
                              “She gives us interview pointers and other ideas on how to make better hires,”
                              the auto group executive said.

                              Additionally, the auto group and Profiles
                              examine the sales representative benchmark
                              about every two years. “We do a complete
From 2009 - 2010, they saw    analysis of each salesperson’s gross wages,
a 7% decrease in their # of   number of units sold and profit made on those
prospects, but they were      sales, and we adjust the benchmark accordingly,”
able to sell 306 more units   said the company executive. Results show an
in 2010                       “overwhelmingly favorable” performance, she
                              said.

                              “During a time of dealer struggles, we remained
                              quite profitable. We still gave bonuses in a year
                              when the auto industry was in a recession.”
                              Although some of the growth is because the
Prospect to Close ratio       automobile sales increased nationwide, “we know some of the growth is
increased by 5%               attributable to the fact that we are making better hiring decisions.”




                              A major benefit of ProfileXT® is that when organizations use it correctly,
                              they will inevitably hire people who best fit the job. Before using the PXT,
                              the automotive managers were hiring the way most managers hire—they
Rough estimate of increase    brought in people who made a positive impression during the job interview.
in sales                      “Sometimes you are desperate for a person,” the executive said. “And
                              sometimes it’s hard to find someone who wants to sell cars. Without a process
                              in place, if our managers liked the person in the interview, they said, ‘Let’s
                              hire this person and get them in.’ We all know that’s not a good way to hire
                              somebody.” So executives insisted they use the assessment, forcing managers
                              to take a closer look at job candidates.

                              Before that, they had already used the PXT to assess every person working to
                              establish a company benchmark.

                              The auto group realized these benefits:

                              •	 Custom markers. “We used our own people who were performing the job
                                 well to set the benchmarks,” the executive said.


                                                4
•	 Employee buy-in. Although workers were wary of the process at first, the management team now embraces the
   process.
•	 A thoughtful and thorough hiring process. This forces managers to take a close look at job candidates.
•	 Aid in selecting appropriate people to interview. “When we do advertise for positions and receive a deluge of
   applicants, the assessment helps narrow the field to the most appropriate candidates.”
•	 Efficiency. With four new car dealerships and one used car center as well as the corporate office, applicants used to
   travel to the location with the job opening as the first step. Now, HR workers call applicants to the corporate office to
   take the PXT, the manager reviews the results, then he or she calls in the applicants for an interview. This bases the
   selection process on more than resumes and appearance.

Scheduling every worker to take the PXT was somewhat complicated. “A lot of employees were scared because they
thought they had to pass a test. Even top-level managers were leery. But once people got involved in it, the employees
had a lot of fun sharing some of their results. Even though many of us took the assessment nearly eight years ago, it is not
uncommon to hear employees still joking with one another about their scores. For example, one employee may say to
another as an explanation for a particular behavior, ‘Well, you are a one in sociability.’ This says to me that the assessment
has become ingrained in our corporate culture,” said the executive.

The PXT benchmark for the salesperson’s Job Match Performance Model, set at 80 percent, has helped high-level
managers realize which traits are important. They include good verbal reasoning and high manageability. Managers
learned that the most successful salespeople rank high in both areas. The company’s sales process is very structured and
all salespeople receive formal training on how to follow the “steps to the sale.” The higher manageability score indicates
an employee who will accept that structure and work within the rules. Those employees scoring high in verbal reasoning
have shown that they are more proficient at extracting personal information during conversations with their customers.

Managers use the benchmark as one third of the hiring equation. “We are not hard and fast on 80 percent, although we
would like to see it there. The interview, reference checks and the assessment are the three things we rely on.” This means
if an applicant scores lower than 80 percent but managers feel the interview and reference checks are strong enough,
they still look favorably on a candidate. “And if someone is falling out of the benchmark in an area that is not critical to the
position, we would overlook that as well.”




The company has also used other Profiles assessments as necessary:
•	 Step One Survey II® to focus on employees’ overall work ethic
•	 Profiles Managerial Fit™ to help managers and employees with personality or communication issues
•	 Profiles Sales Assessment™, for salespeople only, to determine how they will perform in the sales cycle
•	 CheckPoint 360°™, which allows managers to see how they are perceived by employees, colleagues and higher-ups.




                                                              5
One of the specific results that leaders can trace to use of the PXT is an overall
                                        increase in sales productivity as a result of hiring people who fit the job better.
                                        From 2009 to 2010, the overall number of cars sold increased by
                                        306 units.

                                        Meanwhile, the auto group realized these improvements when they looked at
   With help from the                   sales by the 80 percent PXT Job Match:
   assessments and 360° Survey,
   the auto company has been            •   In 2009, salespeople below the 80 percent benchmark averaged 83.87
   able to streamline its hiring            units sold, while those at 80 percent or above averaged 145.97 units sold.
   process, maintain a more             •   In 2010, salespeople below the 80 percent benchmark averaged 107.69
   effective sales staff, increase          units sold, while those at 80 percent or above averaged 132.65 units.
   sales, and enhance the
   relationships between                Sales representatives with an 80 percent or higher match to the Performance
   employees and their                  Model sold 62 more units in 2009 and 25 more units in 2010 than those
   managers. The company was            with less than an 80 percent match to the Performance Model. Using an
   able to remain profitable            average U.S. new vehicle price of $28,400, increased money realized from
   during a time that many              the 80 percent match sales representatives would be about $1,760,800 per
   dealerships were having to           salesperson in 2009 and $710,000 per salesperson in 2010.
   close their doors.
                                          The auto group is also using the PXT results to examine the fit between
                                          managers and employees. This allows the company to use coaching techniques
                                          to improve performance between managers and direct reports. The managers
like it, so the company scheduled a workshop with Profiles to look at the issue of manager-employee fit. “We have
informal sessions where we gather around the conference room table and Robin acts as facilitator. It is so good to be
in the room and hear people bouncing ideas and questions off each other. Everybody comes away from those sessions
having learned a lot, and they have a new enthusiasm for the product and ways they can use it.”



                                                                                                    “
This experience with Profiles illustrates that maintenance of the workforce to keep it performing is as important as




 “
maintaining an automobile for optimum performance. Good service creates return customers—which is something the




        People at Profiles are supportive, which has contributed to the
auto group has in common with the assessment company. Said the executive:




        enjoyment of dealing with them. They respond immediately to
        an email or a phone call.




                                                           6
© 2012 Profiles International 1.12v3
www.profilesinternational.com

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03-Сase-study-book - Profiles International - auto company drive sales increases

  • 1. © 2012 Profiles International www.profilesinternational.com
  • 2. Copyright 2012 by Profiles International. Printed and bound in the United States of America. All rights reserved. No part of this document may be reproduced in any form or by any electronic or mechanical means including information storage and retrieval systems without written permission from the publisher. Publisher Profiles Research Institute Dario Priolo, Managing Director 5205 Lake Shore Drive Waco, Texas 76710-1732 Profiles International (800) 960-9612 www.profilesinternational.com www.americasmostproductive.com Acknowledgements President, Co-founder, Profiles International: Bud Haney Editor-in-Chief: Dario Priolo Managing Editor: Carrie D. Martinez Assistant Editors: Jeff Meyers, Tammy Ruggieri, Barbara Elmore Creative Director: Kelley Taylor Graphic Design Assistant: Ruben Vera Strategic Business Partner Empower Performance Group Jim Brown 1-888-580-8835 jim.brown@empowergroup.ca www.empowergroup.ca
  • 3. People in the auto business know the importance of superb service and regular maintenance. So it makes sense that an auto group, founded more than 100 years ago, would use Profiles International to help develop and maintain its workforce. • Improve productivity of The organization has enjoyed a relationship with Profiles since 2003, the year new car salespeople the auto company completed new corporate headquarters. The partners • Improve Hiring Process often revisit the mechanics of hiring, developing and keeping excellent employees. A significant benefit has been an increase in auto sales even • Manager Support & during a nationwide economic recession. Utilization • Assess the entire organization “The company is family-owned and as a result, they celebrate families. We are • Restructure the Hiring close with our employees,” said a top executive. Process • Identify strengths of high “We do groups of meetings where I can talk to people and find out what’s performers going on in families. We know the lives of employees’ families as well as we • Create Performance Models do employees. It is commonplace to talk to a spouse about insurance coverage. The company is very personal and I love that,” said the 14-year • Provide training in candidate veteran of HR. selection, interviewing, manager/employee By the early 1900s, the company was selling automobiles and auto parts. relationships, coaching, & Throughout the years, it has sold new and used automobiles, trucks and developing employees motorcycles, and auto parts. The company also owns and operates a full- service insurance agency. When new corporate offices were finished in 2003, those moving in included senior staff, the graphics/advertising department, • Maintained a strong employees of the business development center, and the insurance agency. organization during the Also included in the new corporate offices are a training center, the building Automobile Industry Crisis, maintenance staff, workshop and record storage center. even gave out bonuses during the crisis The company began at one location and now sells new and used autos at five locations. • Employee buy-in • A thoughtful and efficient hiring process • 306 more units sold! Using an average sale price of $28,400 that’s an increase 2 in revenue of $8,690,400!
  • 4. In 2003, when a Profiles representative first introduced herself, the auto dealer group already used an assessment for employees in higher-level positions. But With broad usage, the she persisted, and staff members scheduled a meeting. After the Profiles company’s managers presentation, company leaders agreed to do a trial. immediately saw a “We chose three employees and had them complete the ProfileXT®, and we variety of helpful features saw the results. We realized that we needed this,” the executive said. Because in the PXT® - from judging the other assessment cost more, managers’ use of it was limited. “We had nothing for other employees we hired.” A contract with Profiles allowed a candidate’s job fit to his unlimited use, which was important to the organization’s goals. “We wanted growth potential and our managers to feel comfortable using this.” interest level. With broad usage, the company’s managers immediately saw a variety of helpful features in the PXT—from judging a candidate’s job fit to his growth potential and interest level. One of the immediate lures, which Profiles and the company continue to tweak, is the PXT’s Job Match Performance Model. The match, which each company develops using its own high performers, shows “ employers how candidates for positions compare in significant ways to their most productive employees. The Performance Models highlight areas in which Results show an candidates are most similar to top performers, and where they differ from “overwhelmingly favorable” “ them. Numerical values provide clarity. Although the benchmark score for the Job Match Performance Model might change, the overall concept remains the same. The quality of information helps hiring managers judge potential productivity and job fit. This helps a company performance. maintain a more stable workforce. Studies show that job match more accurately predicts success than education, experience, or job training. A major goal of managers was to improve productivity of new car salespeople. To do that, however, they had to overcome the obstacle of finding car salesmen and women who actually enjoyed the job. That required more information. To ensure that managers understand the PXT and use it correctly, Robin Eichert, the owner of PeopleSense Consulting, LLC and a Strategic Business Partner with Profiles International, travels to the auto group’s office once or twice a year. She 3
  • 5. conducts workshops with the company’s entire team of managers, reviews assessment results and helps employees understand what they are seeing. “She gives us interview pointers and other ideas on how to make better hires,” the auto group executive said. Additionally, the auto group and Profiles examine the sales representative benchmark about every two years. “We do a complete From 2009 - 2010, they saw analysis of each salesperson’s gross wages, a 7% decrease in their # of number of units sold and profit made on those prospects, but they were sales, and we adjust the benchmark accordingly,” able to sell 306 more units said the company executive. Results show an in 2010 “overwhelmingly favorable” performance, she said. “During a time of dealer struggles, we remained quite profitable. We still gave bonuses in a year when the auto industry was in a recession.” Although some of the growth is because the Prospect to Close ratio automobile sales increased nationwide, “we know some of the growth is increased by 5% attributable to the fact that we are making better hiring decisions.” A major benefit of ProfileXT® is that when organizations use it correctly, they will inevitably hire people who best fit the job. Before using the PXT, the automotive managers were hiring the way most managers hire—they Rough estimate of increase brought in people who made a positive impression during the job interview. in sales “Sometimes you are desperate for a person,” the executive said. “And sometimes it’s hard to find someone who wants to sell cars. Without a process in place, if our managers liked the person in the interview, they said, ‘Let’s hire this person and get them in.’ We all know that’s not a good way to hire somebody.” So executives insisted they use the assessment, forcing managers to take a closer look at job candidates. Before that, they had already used the PXT to assess every person working to establish a company benchmark. The auto group realized these benefits: • Custom markers. “We used our own people who were performing the job well to set the benchmarks,” the executive said. 4
  • 6. • Employee buy-in. Although workers were wary of the process at first, the management team now embraces the process. • A thoughtful and thorough hiring process. This forces managers to take a close look at job candidates. • Aid in selecting appropriate people to interview. “When we do advertise for positions and receive a deluge of applicants, the assessment helps narrow the field to the most appropriate candidates.” • Efficiency. With four new car dealerships and one used car center as well as the corporate office, applicants used to travel to the location with the job opening as the first step. Now, HR workers call applicants to the corporate office to take the PXT, the manager reviews the results, then he or she calls in the applicants for an interview. This bases the selection process on more than resumes and appearance. Scheduling every worker to take the PXT was somewhat complicated. “A lot of employees were scared because they thought they had to pass a test. Even top-level managers were leery. But once people got involved in it, the employees had a lot of fun sharing some of their results. Even though many of us took the assessment nearly eight years ago, it is not uncommon to hear employees still joking with one another about their scores. For example, one employee may say to another as an explanation for a particular behavior, ‘Well, you are a one in sociability.’ This says to me that the assessment has become ingrained in our corporate culture,” said the executive. The PXT benchmark for the salesperson’s Job Match Performance Model, set at 80 percent, has helped high-level managers realize which traits are important. They include good verbal reasoning and high manageability. Managers learned that the most successful salespeople rank high in both areas. The company’s sales process is very structured and all salespeople receive formal training on how to follow the “steps to the sale.” The higher manageability score indicates an employee who will accept that structure and work within the rules. Those employees scoring high in verbal reasoning have shown that they are more proficient at extracting personal information during conversations with their customers. Managers use the benchmark as one third of the hiring equation. “We are not hard and fast on 80 percent, although we would like to see it there. The interview, reference checks and the assessment are the three things we rely on.” This means if an applicant scores lower than 80 percent but managers feel the interview and reference checks are strong enough, they still look favorably on a candidate. “And if someone is falling out of the benchmark in an area that is not critical to the position, we would overlook that as well.” The company has also used other Profiles assessments as necessary: • Step One Survey II® to focus on employees’ overall work ethic • Profiles Managerial Fit™ to help managers and employees with personality or communication issues • Profiles Sales Assessment™, for salespeople only, to determine how they will perform in the sales cycle • CheckPoint 360°™, which allows managers to see how they are perceived by employees, colleagues and higher-ups. 5
  • 7. One of the specific results that leaders can trace to use of the PXT is an overall increase in sales productivity as a result of hiring people who fit the job better. From 2009 to 2010, the overall number of cars sold increased by 306 units. Meanwhile, the auto group realized these improvements when they looked at With help from the sales by the 80 percent PXT Job Match: assessments and 360° Survey, the auto company has been • In 2009, salespeople below the 80 percent benchmark averaged 83.87 able to streamline its hiring units sold, while those at 80 percent or above averaged 145.97 units sold. process, maintain a more • In 2010, salespeople below the 80 percent benchmark averaged 107.69 effective sales staff, increase units sold, while those at 80 percent or above averaged 132.65 units. sales, and enhance the relationships between Sales representatives with an 80 percent or higher match to the Performance employees and their Model sold 62 more units in 2009 and 25 more units in 2010 than those managers. The company was with less than an 80 percent match to the Performance Model. Using an able to remain profitable average U.S. new vehicle price of $28,400, increased money realized from during a time that many the 80 percent match sales representatives would be about $1,760,800 per dealerships were having to salesperson in 2009 and $710,000 per salesperson in 2010. close their doors. The auto group is also using the PXT results to examine the fit between managers and employees. This allows the company to use coaching techniques to improve performance between managers and direct reports. The managers like it, so the company scheduled a workshop with Profiles to look at the issue of manager-employee fit. “We have informal sessions where we gather around the conference room table and Robin acts as facilitator. It is so good to be in the room and hear people bouncing ideas and questions off each other. Everybody comes away from those sessions having learned a lot, and they have a new enthusiasm for the product and ways they can use it.” “ This experience with Profiles illustrates that maintenance of the workforce to keep it performing is as important as “ maintaining an automobile for optimum performance. Good service creates return customers—which is something the People at Profiles are supportive, which has contributed to the auto group has in common with the assessment company. Said the executive: enjoyment of dealing with them. They respond immediately to an email or a phone call. 6 © 2012 Profiles International 1.12v3 www.profilesinternational.com