Mistakes during the new hire process can be terribly costly.
Out of thousands of hiring professionals surveyed by CareerBuilder, half report that just one bad hire had cost their organization in excess of $50,000.
A broken new hire process not only leads to lost money and resources, it can hurt the future growth and success of your business.
Does your hiring process lead to high quality employees that contribute to the success of your organization? While you might think that your new hire process is effective, it is important to periodically evaluate your approach in order to ensure that you are getting the most out of your hiring investment.
So what are some of the top signs that it might be time to improve your new hire process?
- High Employee Turnover
If new employees are coming and going quickly, it is a sign that something simply is not working. These people either are not quality hires or they do not possess the skills needed for the job.
Take a serious look at how long new hires stay with your company or at certain positions that always seem to be in the hiring rotation.
- Poor Performance Reviews
If supervisors are underwhelmed by the work produced by your new hires, it is a key sign that there is something wrong with your hiring process.
Quality of hire is HR's most important metric, so the feedback you receive from supervisors is critical for determining if your hiring process is yielding effective results.
- Low Return on Investment
Another key sign that your new hire process is due for an upgrade is high costs with little return.
If you are spending a lot of time, money and effort on recruiting, interviewing and reference checking but not gaining it back in terms of qualified and productive employees, it is time to overhaul your approach.
- Long Hiring Times
Finding the right employee for a position takes time, and research suggests that it is taking longer and longer for companies to hire. Unfortunately, organizations sometimes mistakenly believe that a lengthy process is a sign of a quality process.
However all too often, extended hiring times are a sign of a broken hiring process.
Quality hiring can happen quickly with the right tools and resources, and the sooner you get new talent to work the sooner you can start reaping the rewards of your efforts.
Why is it so challenging for businesses to hire great talent? Why do so many companies lose time, money and resources on bad hires?
No organization wants to make the mistake of hiring the wrong person. Not only do bad hires involve losing the time and money spent during the hiring process, they can also damage a company's employee morale, productivity and even its reputation.
So, What Can You do to Improve Your New Hire Process?
One cost-effective solution is to utilize online tools to automate some of the most time-consuming aspects of your hiring.
Traditionally, manual reference checks can take an hour or more of a hiring manager's time per reference. This adds up quickly and is a key contributor to a slow recruitment process.
Automated reference checking, on the other hand, takes just minutes of a manager's time and leads to much more comprehensive and actionable responses. By obtaining objective feedback from former supervisors,
HR can get a much better feel for whether a candidate is truly suited for a position. By concentrating your hiring efforts on people who are truly qualified for the role, you are less likely to experience problems with high turnover and low ROI.
What metrics do you look at when evaluating your new hire process?