Updated: Apr 14, 2020
Once upon a time, there was a successful organisation which had exciting growth plans for the year ahead that involved saying ‘hello’ to new faces.
However, the organisation had previously been stung by bad hiring decisions.
On paper, the candidates looked great. They interviewed well. But within a few weeks of the candidates starting it quickly became clear they were not a great fit.
Lost productivity - with tasks by the bad hires having to be repeated or rectified.
Lower staff morale - due to the disruption and havoc caused by bad hires.
The external view - higher than normal staff turnover was viewed outside of the company as instability by clients and high calibre candidates.
Monetary - the direct costs of finding replacements.
Does it really cost that much to hire the wrong person?
Well, according to a report by the Recruitment and Employment Confederation (REC) the cost of a bad hire at mid manager level can be quite eye watering…
Wasted salary - £28,000
Wasted training - £1,500
Recruiting & training the new employee - £9,730
Reduced productivity from the wider team - £29,160
And total staff turnover - £54,000
TOTAL: £132,015 per each unsuitable recruit
Ouch! Ok, so where is the good news...
Well, great hires often bring great benefits too:
The right recruits can positively impact the creativity in their teams by helping everyone to raise their game.
Different backgrounds, experiences, motivations and mindsets can deliver a broader spectrum of skills.
Great hires can act as beacons for other great hires. With people that are qualified and suited to the role, the team and the organisations culture can help to source other like minded individuals.
Boosting employee and customer experience (as Richard Branson sees it, the formula is very simple: "Happy employees equal happy customers").
Gallup's "State of American Workplace" reports that employees who are engaged are more likely to improve customer service and can result in 20% increase in sales.
The same report also offers a slightly concerning statistic of only 12% of employees strongly agree their organisation does a good job of on-boarding. And, with the current political and economic landscape in the UK is it fair to assume the UK's on-boarding statistics will be in a similar ball park?
So what can I do to identify our candidates strengths earlier?
In the space of 8-10 minutes, your candidates can take an online assessment which provides your recruiting team with a report on their workplace strengths, motivations, and likely behaviours under high pressure.
Additional reports specific to the role and grade can also provide personalised interview questions.
With support and guidance for your recruiting team on any questions or issues raised by the candidates assessment reports provided by our team.
And, to assist your on-boarding processes, candidates that successfully join your organisation can receive assessment feedback sessions. These sessions help your new team members interpret and understand their results. And, enables them to hit the ground running by increasing their self-awareness and confidence when interacting with new colleagues and clients.
And the company lived happily ever after! (Well… it enjoyed a successful year of growth with recruits who thrived in their new roles). The End!
To discuss your growth plans and how our ‘Attract and Retain’ service can help your organisation make better recruitment decisions, we’d love to talk on 01527 522 575 or you can email us at email@example.com to arrange a call back.