Your company is only as good as your staff members.
All your employees, from the lowest rank to the highest, speak to a particular facet of your company and a bad hire in any position can cost you significantly. According to data from the Department of Labor, a bad hire can cost as much as 30 percent of the annual salary for the position. Conversely, a top performer has been linked to 67 percent more profit and productivity.
It is essential for your company to get the proper person hired the first time around.
How your company benefits
In addition to unnecessary wasted time, energy and money, a bad hire means a second time-consuming hiring cycle for you – not to mention the repeat onboarding and training processes. This can adversely affect your personal productivity and overall company operations.
If you hire the right person the first time around, you will lower the overall cost of your hiring activities, as the candidate selection process is among the most expensive parts of any company’s operations. It includes spending on job ads and screening costs, as well as background checks.
Furthermore, new employees must be onboarded, trained and allowed to work alongside existing staff members. Bringing a bad hire onboard not only means the investment made in getting them up to speed is wasted, it also means their unsuccessful tenure could have long-term ramifications, including lower morale and a more toxic company culture.
Tips on how to get it right
To optimize your chances for hiring success, you have to have a great hiring strategy in place.
Having a good hiring system lowers the odds of skipping essential steps like not taking cultural fit into consideration or not contacting professional references. A standardized hiring system also means less room for personal bias, which can significantly hamper diversity efforts.
It is crucial to be as deliberate as possible when writing a job description. A good job description should list the essential experience level and all the necessary qualifications. You want a job ad that will convince unqualified job seekers they should not apply, but you shouldn’t set the bar so high that you scare off talented, capable people.
In screening applicants, you must consider your company culture, as it is best to hire someone who will fit in naturally. Cultural fit is best screening during the interview, along with applicants’ soft skills like communication and teamworking potential. Having an interview assessment strategy is the ideal way to get all you can out of these important conversations.
Ask for help when you need it!
At NSC, we find our clients find the best-fit talent in the labor market based on their specific criteria. If your organization is currently looking for a talent acquisition solution, please contact us today.