No business wants to lose money, especially from a decision you’ve made and even worse if you can easily avoid it. Bad hires continue to cost recruitment companies thousands of lost revenue every year.
A recent survey in the UK on bad hires has put the loss at anything between £15,000 to £30,000 per year, with some businesses admitting to losing more than £30,000. In the US, the true cost of a bad hire is even more.
Researching and matching a candidate BEFORE inviting them for an interview is probably the best way to make sure your recruitment process is a success from start to finish – because lets face it, if they fail at the first hurdle then you would never put them forward saving your business and client a lot of time and money.
But what does post-hiring success look like AFTER you’ve placed a candidate?
If the management and team are happy with the new hire then surely that has to be a good thing. Management can take pride in the fact that they’ve hired the right person for the job who is an all-round fit. Someone who gets on with management, someone who can do the job and the real deal-breaker, someone who can get on with others. It’s quite difficult to gain access in to the inner circle of a well-established team and although this may not happen instantly, the current team’s acceptance of the new hire is as good as measure as any that the hire was a success.
I’m not talking about the amount of teas and coffees the new hire makes or the ability to treat the office with cakes and doughnuts on a regular basis – but REAL contribution. If the whole point of a new hire is to help turn things around in a company or to implement a new product or idea then if this is achieved then it can be deemed a success. Let’s face it, there’s nothing worse than recruiting someone who SAYS they can be the change the company wants to see if they fail to deliver.
Long service is something a lot of companies take great pride in and this is often rewarded with things like extra days off work, a gift, a bonus or in some cases an actual award. If someone you have just hired is likely to stay committed to the company and grow with it over the years then this is going to save the company thousands compared to those who have a high turnover of staff. It’s also good for employer branding and reputation. This shows that the company is investing in the development and career opportunities of its staff enough so that they don’t go elsewhere or get bored. It is important however to have some staff turnover because this will bring in new experience gained from other organisations.
Farhan Raja from Jobinterviewology says: “If you’re a small start-up/company longevity is vital because it provides stability to help the organisation grow. Plus the loss of 1 person, say in a team of 20, actually contributes to 5% of the workforce so naturally it will have a far greater impact on the business. Compared to an organisation with 2000 employees.”
“New employee contribution is obviously important in all types of organisations, however if the role is strategic rather than operational, new employee contribution is more important, as it will bring in new ideas, concepts and help drive growth.”
So don’t just pour your money down the gutter by rushing to onboard that new candidate. Don’t miss out key stages of the recruitment process because, in this case, speed is not always of the essence and it will end up costing you more in the long run.