Employee of the Year

Employee of the Year

by

Burt Sage

It’s the first of November, and the company is planning their annual fiscal year-end party. The team planning the party comprises Founder Ed Haskell, his son Tom, General Manager, Amy Hoskins, Tom’s administrative assistant, Phil Haskell, Tom’s son and Service Manager, and Ernie Spencer, salesman. It’s Amy’s responsibility to handle all of the details for the party, and she is told that she has pretty much carte blanche this year in terms of budget. “Go first class,” Founder Ed says. “Our employees have earned it. And wives and family are all invited this year. I want it to be memorable.”

“That means I should plan for about 150 people,” Amy says. “That’s almost twice as many as we had last year.”

“Just make sure you rent a big enough place,” Ed says.

“Tom,” Ed says,” I want you to give the awards ceremony this year. I’ll be at the head table with you, but I think it is time for you to assume more of the roles as GM. I still want to be involved, but I think you should be seen as the real leader of this business.”

“I’d be happy to,” Tom replies.

“Oh, and Ernie,” Ed says. “I have a special favor to ask of you. I want you to make the presentation of the Employee of the Year award this year.”

“Really?” Ernie responds. “Gee, Ed, that would be an honor.”

“You’re not to tell anyone,” Ed continues, “but this year’s Employee of the Year is Jerry Butler. That has to remain just among the five of us. It would eliminate all suspense if word got out like it did last year. But you need to know since you will describe what Jerry did to earn the award. Is that OK, everybody?”

“OK,” the four others say in unison. The meeting concludes and they all head back to what needs to get done.

Ernie knows Jerry, but not that well. They have played golf together a couple of times, including the Chamber of Commerce Four-ball Championship. He knows little else about Jerry, and knows nothing about why Jerry should get the Employee of the Year award.

His first stop in his quest to make a solid presentation at the awards ceremony is to talk to Jerry’s supervisor, Phil. Phil hired Jerry, and certainly knows the specifics of what he has done to earn the award as well as some of Jerry’s past.

As they sit down together, Phil describes the hiring interview with Jerry that occurred just over two and a half years ago. When Jerry was 17, he was responsible for a fatal automobile accident and had spent 15 years in prison without parole. During that time, Jerry had studied automobile mechanics. Phil had hired Jerry on a one month trial basis and, as they say, the rest is history. He had already received one promotion, from junior mechanic to mechanic. His attendance record was perfect. Indeed, he spent more time on weekend and holiday call than all the other mechanics combined. His re-repair rate was the third lowest, and customers were beginning to ask for him by name.

All of this is good stuff, Ernie thinks. But is it enough to qualify him for the Employee of the Year award? What about community involvement? Is he active there? He is. He’s already over the 1 gallon level in terms of blood donation, and he helps coach the little league baseball team that Ed Haskell Cadillac sponsors. More good stuff, but is it enough? Then he discovers what Jerry had done after the hurricane had ripped through Eastern Richland County last September. As the winds died down, he had grabbed his chainsaw and was among the first to help open blocked roads. “Yep,” he says to himself. “Employee of the Year material.”

Amy does a great job in organizing for the party. The number of RSVPs was over her 150 original plan, so she arranged for seating for twelve more guests. She booked the ballroom at one of the larger hotels, and the room looks magnificent before the guests start to arrive. There are two open bars, one on each side of the ballroom. Twenty eight tables set for six are arranged neatly in front of a long speakers table. In the middle of the speaker’s table is a table-top podium and microphone. The decorations are modest, a bouquet of flowers on each table along with a bottle each of red and white wine. Around the periphery of the tables are large artificial trees.

Ernie arrives about ten minutes early with his wife, Candy, and their daughter Emily. Although he is going to give the Employee of the Year Award, he was not asked to sit at the speaker’s table. The speaker’s table is set for the Haskell family, all eight of them.

It’s the usual hub bub of a large gathering as the guests arrive and take their seats. The menu was simple but elegant—a choice of salmon, filet, or grilled chicken breast was available for the main course, with choice of baked or mashed potatoes and broccoli or carrots for the sides. Each person’s choice had been made before the party, so each guest has a marker to place in front of his place setting to indicate the appropriate meal choice.

The serving of the meal and the dessert is completed without incident, and soon the guests are enjoying their coffee or wine or whatever after dinner choice they have made. It’s now time for the awards ceremony.

With a rapping of his knife against his water glass, Tom Haskell, GM, starts the awards ceremony.

Tom begins by telling everyone what they already know, that Ed Haskell Cadillac has had a banner year. He then thanks Amy for the great job she and her crew have done in arranging the party.

The first awards are the service awards. They are given out every fifth year anniversary of their employment. Amy Hoskins receives her 25 year pin. Two others receive their 15^th year pin. Five others get their tenth year pin. And seven others receive their fifth year pin.

Next comes the achievement awards. These are a series of awards given to individuals and/or departments who have exceeded their performance goals over the course of the past year. These awards are given in an order such that the most significant achievements are recognized at the end.

The accounting department comes first, with the achievement of their twelfth successful audit in a row. As with all of these achievement awards, the award is greeted with polite applause. Next comes an award to the maintenance and facilities department. Ed Haskell Cadillac has been cited by the Chamber of Commerce as being one of the most attractive businesses in terms of drive-up appeal.

The parts department is given an award for once again reducing part turnaround time, that is, the time from receipt of order to time of delivery. This award receives considerable applause from the members of the service department who need the parts to complete the repair of a vehicle.

The service department receives three awards. The first award is for meeting their goal of customer turnaround time. Nothing satisfies a service customer more than getting their car back at or before the promised time. The second award is for meeting their profit goal. The parts and service departments have become the main profit generating centers of the organization. They have done this not by raising prices, but by providing more time-efficient service. The third award is for exceeding their overall revenue goal. They have done this through an increase in the number of customers served. Several of the employees in the service department are called out by name, including Jerry Butler, who has recruited the highest number of new customers.

Finally it’s time for the sales department awards. Their first award is for exceeding their revenue goal by 40 percent. They have achieved this by increasing the number of customers, which is also up by nearly 40 Percent. The second award is for the highest retention of existing customers. They have lost only 5 percent of their customers to other brands or to other Cadillac dealerships. The third, and perhaps most important award, is an improvement in their customer satisfaction rating.

In announcing this achievement, Tom says, “For the first time in the history of Ed Haskell Cadillac our customer satisfaction index has exceeded 4.7 out of a possible 5.0. Kudos go to all those in the sales and service departments for reaching this goal. Will all the members of the sales and service departments please stand up.”

As they stand up, they receive a long round of applause. As the applause dies down, Tom continues. “While this achievement represents excellent effort from everyone in the these departments, I must note the achievement of one of your members, Ernie Spencer. He doubled the number of vehicles he sold this year, and his rating alone was 5.0. Please, a special round of applause for Ernie.” And the applause gets even louder. Candy and Emily just glowed.

As the applause dies down, Tom continues. “There are only two items left on our agenda tonight,” he says. “First is what you all have been waiting for, the results as they relate to our profit sharing plan. That will be followed by the Employee of the Year award.

As I mentioned earlier, overall revenue and profit are both up by over forty percent. In terms of the profit sharing plan, this means that each of you will receive a bonus check in the amount of fifty percent of your annual salary.”

At this there is thunderous applause from a standing audience. The applause continues for at least two minutes and only slowly dies down. When he thinks he can be heard again, Tom says, “It’s now time for the presentation of the Employee of the Year award. Ernie Spencer will you please come to the podium to make the presentation?”

“You want me to make it from up there,” Ernie asks, surprised.

“Yes,” Tom says.

So Ernie makes his way to the podium and stands between Tom and Ed Haskell.

As Ernie is preparing to make his remarks, Ed Haskell takes over the microphone. “Ernie,” Ed says, “I know you are prepared to present the Employee of the Year award. But there has been a change in plans.”

Stunned, Ernie backs off, and starts to return to his seat in the audience. But Ed catches his arm. “Stay where you are, Ernie,” Ed says in a low commanding voice.

“There’s a few things that I need to say,” Ed continues. “Yes, it’s been a great year. And each and every one of you deserves what you have received. But I want to say something about this year’s Employee of the Year award. This year we received 16 nominations for that award, almost twice as many as last year. That’s an indication of the special effort you all have made to achieve what we have accomplished. The names of those 16 persons, along with the text of their nomination will be posted for all to see. But we won’t post the name of the person who made each nomination.

There was considerable merit to each of the 16 nominations. But one was head and shoulders above the others. As it relates to this year’s awardee, I want to read to you a letter I received this past June. There are others like it, but this one captures the spirit of what it means to be an employee of Ed Haskell Cadillac.”

Dear sir,

My name is Diane. I am a senior in high school and just purchased a used car from your company. It was the first time I had bought a car and I was concerned about how I would be treated. I had heard so much about used car salesmen that I was really worried.

As I walked into your showroom, one of your salesmen walked up to greet me. He looked me straight in the eye and asked how he could help. Over the next two hours with him, my fears about used car salesmen vanished. He was genuinely concerned that I get the car that I needed, not just the car that I wanted. When we found that car, we talked about the financing. He brought out a book which showed what similar cars had sold for. We then talked about the condition of the car, and he asked me what I thought the condition was. With this information, he asked me what I thought would be a fair price for the car. I couldn’t believe it when he said OK to the price I named.

We then talked about monthly payments. He asked what I could afford. I told him and again he said OK. I couldn’t believe my ears.

I will tell you now that whenever I need a new car, I will come to your company. And I will tell my friends about the experience I had.

Sincerely yours,

Oh, sorry, I forgot the most important part. The salesman’s name is Ernie Spencer.

Ernie couldn’t believe what he’s hearing. He looks down at his wife Candy and his daughter Emily. Candy has her hand over her mouth, and Emily’s eyes are as big as he had ever seen.

“And that,” Ed continues, “is why our satisfaction rating is 4.7. Sure, we may have lost a few hundred dollars on that car. But she will be back for service, and when she needs it, a brand new Cadillac. I am therefore proud to introduce the Employee of the Year, Mr. Ernie Spencer.”