Intern White Paper

1. LEVERAGING TODAY’S
I N T E R N S
FOR TOMORROW’S

2. E X E C U T I V E
SUMMARY
Internships are short-term, but that doesn’t mean they
can’t be leveraged for long-term opportunities that will
benefit both sides of relationship!
In researching how a business can better leverage college intern programs, it
became apparent that by not creating a comprehensive conversion program
to further a competitive advantage, Big-box retailers are missing out. Big-box
retail chains could greatly benefit from building a college Intern conversion
program to hire those successfully completing their internships into key
entry-level management positions.
Findings:
HR strategy surrounding intern programs directly affects return on
investment (ROI) and could potentially drive cost savings by converting
interns into fulltime entry-level managers upon successful completion of an
internship. To increase competitive advantage in the marketplace, there
needs to be a focus on three key pieces when building and nurturing a
successful Internship Conversion Program (ICP):
1
Leveraging Talent:
Interns bring new ideas,
diversity of thought
2
Developing Talent:
Teach, train, mentor,
assess fit
3
RetainTalent:
Work to keep the
talent we have
invested in that is also
a good fit
Conclusion:
This research has afforded insight into the future of internships. These three
key HR functions are closely aligned with the processes needed to run a
successful intern program. I recommend that larger big-box corporations
especially commit to building comprehensive intern programs within their
organization to leverage talent early on and reduce unnecessary turnover.

3. Introduction
While internships are short-term, the
potential opportunities that arise for
both the corporation and intern don’t
have to be. What if implementing a
comprehensive intern program could
save a business time and money? Big-
box retail chains, more than anyone,
can greatly benefit from building a
college Intern conversion program. This
can be accomplished by hiring those
interns successfully completing their
internships into key entry-level
management positions across the many
facilities the companies operate.
General Findings
After conducting my own primary
research and reviewing patterns found, I
have discovered that there is more of an
opportunity to grow college intern
conversion programs than I had initially
realized. While some respondents have
hired more interns than others, the
same basic story was shared – The
percent of interns later brought on
fulltime is very slim. In my survey, 384
Interns had been reportedly hired over
the last 24 months. Of those 384
interns, only 44 were later brought on
fulltime. That is just over 11%
retention. Another unexpected pattern
that emerged was the tone in answers
to follow-up questions from individuals
who have hired interns in the past 24
months versus those who have not.
Insights
1. Interns are, by large, a vastly under-
tapped resource for talent in
Corporate America.
2. Managers who haven’t hired interns
seem to have a negative bias
towards their value in the
workplace compared to the
managers who have hired interns.
3. The top reason cited for not hiring
interns upon completing their
internship was that there was no
formal program in place to do so.
Significance
These findings are important because
they tell us that there is untapped talent
we could potentially tap into with a little
planning, organizing, and a well thought
out communication and follow-up plan.
Dictionary.com defines internship as:
in·tern·ship
[in-turn-ship] noun
any official or formal program to provide practical experience for
beginners
in an occupation or profession: an internship for management trainees.

4. History Of Internships
Nowadays, many people are at least
familiar with the idea of an internship –
maybe you have even seen the 2013
Hollywood hit movie “The internship”
(Fig 1). The actual concept of an
internship, though, has progressed over
the years.
Historical Timelines
In J. Isaac Spradlin’s Forbes.com article,
“The Evolution of Interns,” he breaks
down the general timeline for which
internships have evolved. Over a
century ago, between the 1890s and
1920s, some nurses and doctors in the
medical field began to adopt the idea of
apprenticeships. It was not until the
late 1960s, though, that formal
internships as we know them present
day, began to appear. By the late 1970s
to early 1980s, more colleges began to
familiarize themselves with internships,
and by the late 1980s, internships were
really starting to take off and become
more popular with business schools that
were working to develop programs of
their own. Initially interns were more
apt to run errands, make coffee, and do
all the things no one else cared to do.
More recently, however, interns are
starting to take on more important roles
within the fields they intern in. “[Also],
as internships became more
commonplace, students started using
them as a way to test-drive careers they
might not even be interested in,” notes
(Figure 1)
Spradlin. They are given opportunities
that others may not be. Their opinions
and ideas are listened to. Corporations
are starting to see the real value in their
existence within the organization.

5. The Need For Interns
In Shandra Martinez’s
Milve.com article, “Why
Businesses Can’t Afford
Not to Have Paid Interns,”
she quotes Tom Stanfield.
Stanfield, a consultant with
Express Employment
Professionals, makes a
compelling argument when
he says, “An internship
program reduces the cost
of entry-level work in all
areas of your business, it
creates a ‘pipeline’ of
talent, it frees up time of
area managers and allows
them to take on some of
the responsibilities your
top managers were doing,
which in turn allows your
top managers more time to invest on
critical issues in your business. If this is
true, can you afford not to have an
internship program?” The same would
apply to big box retailers who most
commonly recruit for entry-level
management positions in their many
facilities. Why not leverage successful
interns to fill some of those needs? This
simple concept will save time, money &
company resources. This is a benefit to
the intern as well as the company. The
average 12-week internship then
doubles as a 12-week long job
interview. Keep the good ones by
extending offer letters before they even
leave at the end of the summer. This
provides the intern with the security of
knowing that they have a job waiting
when they graduate – allowing their
primary focus to remain on their
studies. The business has the advantage
of knowing they have a good fit in the
pipeline will be ready to fill a need upon
graduation. This, in turn, lowers the
demand on corporate recruiting teams,
allowing them to be more strategic and
prescriptive.
Addressing the scope of need:
While we began as a small discount
retailer in Rogers, Arkansas, today we
operate more than 11,000 retail units
under 69 banners in 27 countries. Our
model of expansion brings the right
store formats to meet the needs of each
unique community. And with each new
store comes new opportunity: we employ
2.2 million associates around the world
– 1.4 million in the U.S. alone.
Found on
http://careers.walmart.com/about-
us/working-at-walmart/

6. Benefits For Business
When it comes to listing benefits available to
businesses utilizing internships to leverage fulltime
talent, the possibilities go on and on. In researching
this topic, many of these benefits are widely noted
by professionals and experts. Listed below are a few
examples:
 In Britany Ruby’s article, “10 Ways to Run an
Effective Internship Program," she states, “The
program is a benefit to employers because it helps
them fill unmet needs at a low cost and successful
intern make good future full time employees.”
 Tammy Binford, a labor and employment
law writer for HR Hero.com covers some historical
facts and data including survey results stating, “81
percent of the employers surveyed said they have a
better experience with new hires who have intern
experience.”
 In an article found in USNews, founder and
editor of jobacle.com Andrew Rosen declares,
“When it comes to internships, we often focus on
how the work experience benefits the student. But
in most situations, it works out in the employer’s
favor, too.”
 Jenny Xie wraps it up, saying, “The Bottom
Line: Converting interns into full-time employees
ensures that new additions to your team are suited
for the position. To save on recruiting costs and
time, build an employer brand that appeals to Gen
Y, develop a standout internship program, plan for
early hiring cycles, and offer incentives that seal the
deal.”
“When it comes to
internships, we often
focus on how the work
experience benefits
the student. But in
most situations, it
works out in the
employer’s favor,
too.”
- Andrew Rosen

7. Benefits For Business,
Cont.
“What's in it for employers?
Most job applicants put their best foot
forward on paper. Their cover letters and
résumés usually have passed through many
hands to make them as appealing and
professional as possible, and nearly every
job seeker picks references that will say
positive things.
Employers do not create internships just to
be nice to students and others interested in
a certain career. While an interview or a
company test can add to what an employer
knows about a person, an internship helps an
employer evaluate how an individual would
fare in the actual workplace.
Like The McTigue Group, many companies
develop an internship pool and hire from
that group. As Benca notes, "Not only are
they seeing potential employees with
experience, it is experience within their
company."
Companies that devote time and resources to
finding, selecting and training interns are
looking for a return on their investment.
The benefit might be in the present (using
the services of talented individuals without
having to make a hiring commitment), or it
might be in the future (the added ability to
choose a person who will work out well as an
employee).
And remember that internship opportunities
are not limited to office settings. From
being a bird-keeping intern at a zoo to a
horticulture intern at a theme park, all
sorts of opportunities exist for motivated
individuals and interested companies to
enter into a mutually beneficial
relationship.”
-Tom Stanfield

8. Suggested Steps
Now that we know a little about the history of internships, the need for them, and how
they can benefit business – what’s next? Bianca Male, an accomplished writer for
BusinessInsider.com and Deborah Sweeney, West Coast CEO, have both written articles
that outline plans of action on running successful internship programs. Listed below is a
combined outline summary of their tips.
I. To find interns, cultivate relationships
 Spend time on campus
 Attend recruiting events
 Participate in school activities, leadership
programs
 Don’t dismiss telecommuting internships
II. Start them out on the right foot
 Orientation – set expectations
 Be clear about hours, pay, & future
opportunities
 Introduce company culture
 Set-up Mentor relationship
 Be flexible
III. Set them up for success
 Assign real hands-on projects
 Provide real learning opportunities
 Keep them engaged & challenged
 Allow time for networking
IV. Evaluate progress
 Assess performance often
 Establish regular touch-bases
 Provide regular feedback
 Address mistakes immediately
V. Retain Talent
 Present offer letter before end of program
 Maintain engaging relationship through
graduation
Conclusion

9. Sources
Binford,Tammy. 2013.“Tips for a successful summer internship.” HRHero.com, May 29.
http://www.hrhero.com/hl/articles/2013/05/29/tips-for-a-successful-summer-internship-
Big-box retail chains, more than anyone, can greatly benefit
from building a college Intern conversion program. The
potential opportunities that arise for a corporation and
intern following an internship relationship are endless.
Implementing a comprehensive intern program can save a
business time and money with recruiting, sourcing, and
training initiatives. As we’ve seen this is easily accomplished
by converting interns who have successfully completed their
internships into fulltime employees. This in turn will reduce
the number of entry-level management positions across the
many facilities the companies operate that need to be filled,
allowing managers and HR to focus on more important
issues. We have discussed the history of internships, and
why they are so important to business. We have identified
the need for interns, as well as discovered that interns are a
vastly under-tapped resource for talent. These findings are
important because they tell us that there is untapped talent
we could potentially tap into with a little planning,
organizing, and a well thought out communication and
follow-up plan, all of which we have outlined for you within
this paper. Now go hire an intern!

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[accessed June 18, 2014].
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hire-interns-for-your-office [accessed June13, 2014].
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internship-program[accessed June12, 2014].
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[accessed June 13, 2014].
Sweeney, Deborah. 2012. “5 Keys to Running a Successful Intern Program.” Forbes, November 27.
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internship-program/ [accessed June5, 2014].
Xie, Jenny. 2012. “How to Turn Interns into FulltimeEmployees.” Internmatch.com, December 10.
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June 14, 2014].