How This Company Has Achieved the Lowest Employee Turnover Rate

Ramsey Solutions, a company with one of the lowest employee turnover rates of any company its size, has been voted one of the “Best Places to Work in Nashville” 10 times. Armando Lopez, executive director of human resources at Ramsey Solutions, says companies need to first create a company culture that elicits referrals. For Ramsey, the culture has a unified mission of “helping others and extending hope,” he says. With the right culture, employees will make referrals, but that’s only part of the process. He adds that the interview process needs to be efficient and transparent, which is why Ramsey Solutions uses artificial intelligence to improve candidate flow. “Once a potential candidate has been identified, he or she has six to eight interviews before an offer is extended. The multiple interviews create enough transparency to ensure that both parties (candidate and employer) have enough information and time to make the wisest choice,” says Lopez. Companies also need to set a standard of winning and leaders need to engage with underperforming talent to ensure they understand the standards they are measured against and how they can achieve it. At Ramsey, “if the team member does understand but continues to underperform, the leader will have a formal meeting to have an ’emotional firing.’ The leader communicates one more time what the team member must do to remain in the role and will ask if the team member really wants to continue,” says Lopez. “Leaders and organizations that retain underperforming talent can severely hinder the performance of the team and the reputation of the leader. This process ensures a standard of winning and that no team member is ever surprised by a tough conversation.” Finally, the company needs to empower the whole self of each employee, promote better work-life balance and commit to over-communicating. Ramsey Solutions focuses on its team members’ developing the skills they need to not only do their jobs better but also to be better people, and it encourages its team members to “be where your feet are.” Lopez adds, “If you are at home, be at home. If you are work, be at work.”

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