| todd mCKINSEYMARGARET GRENNON, CEO
| MELISSA MORRIS, m&m CONSULTING
| INTEGRATING A HUMAN RESOURCE TEAM FOR LIVEWIRE
| October 3, 2012
I would like to begin by saying congratulations on the success of Livewire through the past four years. Not only have you had success in your brand, but you have increased the business of other organizations, like museums and galleries around the world, and managed to be eco-friendly as well. Recently you wrote to us expressing your concerns about the employee turnover at your organization, and your communication to them about making the people your number one priority. Specifically, you have asked for advice on hiring an HR person to protect your most important asset. After researching the issues and based on the facts cited below, I believe that an HR team and organizational plan will be a solution to your problems; I will explain this conclusion further below. I. The issues that are apparent at Livewire are discontented employees. Based on your salaries and compensation throughout the industry, I had to look deeper, as compensation, apparently is not part of the problem; however, “Disorganization” is a major factor into the reasons employees are leaving the company. As you have stated, each location has been operating in a decentralized manner, which only heightens my awareness that every branch is operating without a structured company guideline, and not working together as a team with the common goal of the business as whole and people as a community. II. Livewire’s number of locations, employees, and business is easily expected to double in size by 2014. With a high turnover rate and rapid turnaround to rehire and fill positions, this can easily create a cycle of not hiring the correct people for the jobs, informal training and development, and an inadequate on boarding system, which overall would not only affect the integrity/culture of the...
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