How much does it cost to hire the wrong person ?
30 % of that person's annual salary ! That means a single bad hire with an annual income of 60,000 EUR can equal a potential 18,000 EUR loss for the employer !
Despite this high cost, it is quite a common situation as 74 % of employers admit to having hired the wrong person
3 of the most common reasons for choosing to hire a person despite doubts are:
- Pressure to fill the position quickly: 30 %
- Difficulty in finding qualified candidates: 29 %.
- Focusing on skills rather than attitude: 29 %
So, how do you recruit to minimise the risk of a bad hire?
Start by analysing and reviewing your recruitment process
It is essential to start by reviewing your recruitment process and analysing a specific case when you happened to hire the wrong person.
What stages did this process have? What did you learn about the candidate and what information was missing in the context of the dismissal? What questions did you ask the candidates and did the answers actually help you make the hiring decision? How many candidates did you interview and according to what criteria did you select for the interview stage?
This will be time-consuming but will allow you to improve your recruitment in a way that gives you more valuable information about whether the next candidate is a good fit for the job and your organisation.
Describe your ideal candidate and your organisation’s values in detail
Describe exactly what you are looking for in a candidate before you start selecting. It is important to include here not only skills but also values and qualities that will be compatible with your organisational culture.
Think about who works for you? What characterises these people, why do they work with you? Use this information to find a candidate who, like your current colleagues, will feel comfortable in your organisation.
Choose the right sourcing strategy for finding candidates
There are plenty of job boards available, some of them without any costs but does advertising in many places increase the chance of finding matching candidates ? No.
Determine where your candidates are likely to seek job and whether other methods such as i.e. direct search are worth including in the sourcing strategy.
It’s not about getting a lot of applications which will provide you with hours of browsing, but about getting already quality applications for further selection.
Recognise potential instead of focusing only on experience.
A candidate with 7 years of experience who has been mediocre for 7 years will continue to be mediocre.
A candidate with 3 years of experience and with the right motivation may turn out to be more committed and make up for the skills deficiencies as well.
Create a compact recruitment process
The recruitment process must not take too long, but that doesn’t mean it can’t have multiple stages. Different stages will allow you to get to know the candidate and make a better decision.
If your organisation cares about successful recruitment, you will find time for it. Set priorities.
- short breaks between stages
- constant feedback and contact with the candidate
- interesting meetings and valuable conversations
Dynamics will draw the candidate into the process and, despite the many stages, they will be engaged and wait for your final decision.
Pay attention to red flags from the the beginning Even if you are interviewing a candidate who has the perfect CV, verify it carefully. From early stages pay attention to:
- the candidate’s behaviour (even with an online process)
- the candidate’s preparation for the interview
- candidate’s questions / lack of questions
- answers/avoidance or non-specific
Involve more people in the process
The more people from your organisation who meet with the candidate, the greater the chance of detecting concerns and making an objective assessment.
It is important that no more than two representatives of the organisation are present at the same meeting, because otherwise it has a negative effect on the candidate and we want him/her to tell us as much as possible!
Having several different stages, choose different interlocutors for each of them.