From 200% Turnover
to Zero in Four months

A 250-person food manufacturer was losing $636,000 a year to employee turnover —
without knowing it. The complete fix cost $7,400.

200% → 0%
Turnover Reduction
4 Months
To Full Resolution
$7,400
Total Investment
$85:1
Return on Investment
The Situation

A 250-person food manufacturer was losing production employees faster than they could replace them. The complaint from leadership was direct: "We have high turnover and we can't figure out why." What they hadn't calculated was the full cost. The production department was running at 200% annual turnover — meaning the average employee was replaced twice a year. The money flowing out through onboarding, lost production, and constant retraining had never been put on paper.

What the analysis found

A deep operational analysis identified several interconnected root causes. The existing incentive system was structured in a way that gave employees no reason to stay or improve — it wasn't working. Management practices at the floor level were compounding the problem. There were additional contributing factors specific to how the department operated day to day.

What we did

3 changes were made during our engagement

01
Progressive Incentive System
Rebuilt the compensation structure to give production employees a financial reason to stay and improve performance over time. Monthly cost to the company: approximately $600.
02
Management Training
Addressed the floor-level management practices that were accelerating attrition. Training cost: $200 in employee wages.
03
Department Reorganization
Clarified roles and reporting structures to reduce friction and confusion within the production department. Cost: $0.
What Changed

Employee turnover declined progressively over four months following implementation, dropping from 200% to 0% in the month of April.

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