Hiring Process Strategies to Improve Results & Manage Risk
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1 Hiring Process Strategies to Improve Results & Manage Risk Kathy Cole, President, DK Cole Company Oak Brook, IL
2 Your Strangest, Funniest, or Just Not Typical! Interview Experience Video
3 Agenda Overall Hiring Risks Employer Process Candidate Selection Risks Steps to Reduce Risk
4 Bad hire costs 30% of annual salary!
5 High Performers Make Greatest Impact 300 X Greater Impact of High Performers! Business Results 80% 80/20 Rule Your Employees *Google *The Best & The Rest
6 What High Performers Want: Flexibility Recognition Positive company reputation Integrity/honesty/transparency Cutting edge technology & innovation Challenge make impact Ability to share ideas Social responsibility meaningful work Frequent feedback (monthly) Progressive learning Competitive base pay and bonus IASA Next Gen Workforce* and Harvard Business Review Did you know? 69% Regular Office Attendance Not Needed!*
7 Employer Hiring Process Risks Talent Strategy & Hiring Plan Wrong Candidate Profile Low Candidate Pool Slow Process Poor Candidate Interview Experience & Employer Brand Mismanaged Offer Process & Due Diligence Risk Areas
8 No Talent Strategy & Hiring Plan Talent Strategy & Hiring Plan Wrong Candidate Profile Process: Talent strategy part of strategic planning Low Candidate Hiring plan to add Slow Process Pool expertise Review at risk and retiring employees Succession planning Poor Candidate Interview Experience & Employer Brand Mismanaged Offer Process & Due Diligence Risk Areas
9 Wrong Candidate Profile Wrong Candidate Profile Process: Ditch traditional job descriptions Define performance goals Low Candidate Pool Slow Process Find people who solved similar problems Poor Candidate Interview Experience & Employer Brand Mismanaged Offer Process & Due Diligence Risk Areas
10 Low Candidate Pool Wrong Candidate Profile Low Candidate Pool Process: Mobile optimize job portals Employee Referrals Slow Process External Referrals Attraction- based posting Mismanaged Offer Process & Poor Candidate Due Diligence Interview Experience & Employer Brand 77% Use Mobile to Apply! Risk Areas
11 Candidate-Focused Job Posting COMPANY INFO WIIFM ROLE BACKGROUND Location, How long you ve been around, growth, stability? Tuition assistance, vehicle, flexible hours What role will I play? Career Path? Avoid words like must have and required
12 Slow Hiring Process Talent Strategy & Hiring Plan? Wrong Candidate Profile Low Candidate Pool Slow Process Process: Poor Hiring Priority Candidate Hiring manager training Interview Utilize Technology Lack of Due (i.e. Mismanaging Experience & Diligence Offers Employer skype, facetime) Brand Measure time to fill & report Weekly/monthly call Hiring manager accountability Risk Areas
13 Speed of Process Matters! 1 in 4 candidates apply for jobs at 10 or more companies The Top 10% of Candidates are Gone in 10 Days or Less!* 75% Active candidates are actually interviewing with at least 3 companies
14 Poor Candidate Experience & Employer Brand Talent Strategy & Hiring Plan? Process: Golden Rule! Treat candidates exactly the Wrong way you do a prospective Low client! Candidate Candidate Slow Process Be prepared, Profile Poolon time Provide prompt feedback Poor Candidate Interview Experience & Employer Brand Mismanaging Due Diligence & Offers Risk Areas
15 Poor Candidate Experience
16 Employer Brand 80% of Candidates Use sources OUTSIDE of your company to decide whether to interview with you Did you know? Attract 43% More Candidates! ** 96% Good Reputation* CISCO Study* Corporate Executive Board Research**
17 Mismanaging Due Diligence & Offers Wrong Candidate Profile 60% Offer Acceptance Rate Talent Strategy & Hiring Plan? Low Candidate Pool Process: Get salary expectations up front Understand candidate s medical insurance costs Poor Candidate Know the Average increase is Interview Slow Process 15-20% Experience & Verbal offer first Employer Brand Offer letter - expiration and contingency statement! Risk Areas Mismanaging Offers & Due Diligence
18 Mismanaging Offers
19 Candidate Selection Risks Misrepresentation Motivation for Change Tire Kickers Compensation Surprises Poor Culture Fit Competition
20 Misrepresentation 60% False or Misleading Misrepresentation Tire Kickers Poor Culture Fit Process: Motivation for Change Warn candidate up front! Verify Degrees Certifications Previous Compensation Surprises employers/dates Accomplishments Unprovided references Background checks Continues interviewing
21 Motivation for Change Process: Misrepresentation Identify Acceptable Motivators 1. More responsibility or challenge 2. Better advancement potential 3. Improved quality of life (commute) 4. Gets them closer Tire to Kickers or back home. Motivation for Change Compensation Surprises Poor Culture Fit Competition
22 Tire Kickers Misrepresentation Tire Kickers Motivation Process: for Change Counter offers Ask Leverage for other offers Ask Ego I still got it! --Dig for motivators Compensation Surprises Provide deadlines Watch for over confidence, delayed scheduling and premature questions Poor Culture Fit Competition
23 Compensation Surprises! Process: Misrepresentation Ask & Confirm Compensation Early & Often! Ask on 1 st call Confirm in writing after call Verbal confirmation before offer Tire Kickers Motivation for Change Compensation Surprises Poor Culture Fit Competition
24 Poor Culture Fit Misrepresentation Tire Kickers Poor Culture Fit Motivation for Change Process: Personality assessments Meet team members Compensation Go to dinner or lunch Surprises Ask them to describe the ideal culture Favorite boss from the past Competition
25 Competition Misrepresentation Process: Are you at 2 nd interview stage? What interests you in that position? Ask for timing on next Tire Kickers steps with other employers How do you compare our position to others? Poor Culture Fit Motivation for Change Compensation Surprises Competition
26 Better Hiring Processes Reduce Risks & Improve Hiring Results! Make hiring a priority throughout company! Address company and candidate selection risks with consistent execution Speed up if you want top talent! Always conduct due diligence Train hiring managers Be aware of competition
27 Kathy Cole, President DK Cole Company Construction Executive Search Oak Brook, IL
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