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With 40,000 people to manage in 13 different countries there can be no magic retention bullet for DSGi, the electrical retailer that owns PC World, Dixons and Currys in the UK.
“Retention is a huge issue for all retailers. But it is an outcome of good HR practice, and should not be treated in isolation,” says Ben Bengougam, left, group HR director at DSGi.
The issue manifests itself differently in different cultures. In countries where there is a strong sense of community, retention rates will be higher as staff are less mobile and looking for a longer term relationship. In the UK, people are more willing to move. The starting point, says Bengougam, is to make sure salaries are competitive.
The company, which until December was in the FTSE100, also operates bonus schemes linked to individual and to store performance, and offers a share-save scheme.
One factor that works in any retailer’s favour is the hours. “To cover all the hours of opening we have to operate a flexible working pattern,” he says. “Anyone can work almost any shift pattern they want.” DSGi also offers staff unpaid career breaks of between three months and a year, though only after two years permanent work.
“The challenge is to make sure that people with potential want to stay and fulfil it with us,” continues Bengougam. Those identified as high-flyers are be invited to join the general management programme. To entice graduates, the company runs a year-long industrial-placement programme with the aim of letting them sample retailing to see whether it is the right career for them. It also runs a 17-month graduate programme for those that have already made up their minds.
An annual employee survey helps Bengougam identify factors that lead people to stay. “Retention is a matter of how people feel about the organisation they work for. Employer branding is one of the five most important factors, especially for younger people.
“The big areas for us are around communication. Staff want to know our strategy – where the company is going to be in five years’ time.”
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