Data varies – “The average cost of a bad hire is up to 30% of the earnings of the employee in the first year according to the Department of Labor. But a report from one CEO put the cost as high as $240,000. (US Department of Labor and Jörgen Sundberg, CEO of Link Humans)”.
A common misconception is a poor hiring decision results from making the offer to a candidate who turns out to be judged as a “misfit”. In fact, a poor hiring decision is more likely to result from a lack of interviewing skills or the quality and structure of the recruitment process. The offer of employment is a consequence of a process and the root cause of a poor hiring decision can be down to one or several steps in the recruitment process.
Companies who understand this, are able to evaluate, and realign their recruitment process to increase the likelihood of hiring success and long-term return on human capital investment. Alternatively, those who do not understand or short circuit this process find themselves in a perpetual loop of poor hiring decisions with no proper explanation for cause.
A common cliché is to use the old doctor analogy “prod till it hurts and you will find the cause” however, this can be a time consuming and cumbersome approach with a lack of direction. To maintain a dynamic recruitment process, OCG recommends mapping the process by identifying key competencies and transferrable knowledge, skills and experiences then employing a weighted Targeted Selection and Behavioural interviewing approach to selection.
Look beyond the obvious – competencies ARE transferable in related channels to market and industry sectors. Don’t over emphasise the Position Description “task list” – additional skills can be acquired.
Focus on aligning attitude, values, and drivers with the organisation’s culture.
Interview positively – enthuse the candidate by exploring what they can bring to the organisation.
Onboarding, induct, and support appropriately – remember it’s a new relationship for both the line manager and new incumbent.
Show genuine interest in the person by promoting an environment of open dialogue, support, and care.
Still not sure, consider a Contract – to – Permanent Recruitment Strategy where the circumstances allow
Options Consulting Group minimises investment risk and supports hiring success with thorough interviewing, profiling, and validating, on-boarding and 12 Month Candidate Care initiatives. Our record over 30 years recruiting C-Suite, Executive, Professional, Technical and support roles is proof.
Options Consulting Group welcome you to open discussion on how we can support your business needs with our proven talent management strategy.
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