RUNNING HEAD: CHERNS CASE STUDY - CHAPTER 6 & 7
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Denise M. Lynn
Chern’s Case Study
HRM-537-01A
Professor Berkeley
05/27/18
CHERNS CASE STUDY
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Introduction
Chern’s, a well-known retail establishment whose major focus is on providing excellence in
customer service, was founded by a buddy and sister team, Ann and Ryan Chern. The company
hires 19,000 employees (full and part time) across 28 states and has 140 stores primarily in the
Eastern and Midwestern United States. Chern’s was built around a foundation of hiring sales
associates who work above and beyond to assure they supply a great service by providing quality
merchandise to its clients. Below is a sales associates ranking recruiting source by effectiveness.
Sales Associates – Ranking Recruiting Sources by Effectiveness
Source
Hiring
Speed
Cost per Hire
Culture Fit
Average First
Year Financial
Return
First Year
Turnover
Rate
1. College Hiring
5 months
$ 4,000
Good
$30,000
20%
2. Employee
Referrals
2 months
$2,600
Very Good
$38,000
10%
3. Cherns.com
2 months
$1,500
Good
$38,000
20%
4. Search Firm
3 months
$5,200
Average
$20,000
15%
5. Walk-Ins
1 month
$1,500
Poor
$5,000
30%
6. Newspaper
2 months
$2,000
Poor
$4,000
25%
Provide recommendations on how the Internet might be more effectively used to source
and recruit applicants.
