Hiring new people is a fundamental risk for every business as it plays a large part in determining your future success. A large cost to any business is underperforming and troublesome employees. There is always an element of risk involved when you hire a new employee, but there are strategies you can use to help reduce that risk and improve the odds you are hiring the right person.
Managers understand hiring is maybe the single most important, yet difficult task in their weekly responsibilities. Unfortunately, while it would be nice to believe there is one single person who fits best in your corporate structure, there really is no right answer. You may find that the new employee you had high expectations for will fail, while someone who starts slowly may unexpectedly go on to high levels of achievement. In the end, what is certain is recruiting cost can become a nightmare and hiring feels risky and uncertain.
Background check — While slightly different than checking references, a formal background check can help you find information on a new employee they were not willing to offer. Formal background checks are something you’ll want to consider for your final candidates. You may find false credentials or inaccuracies in what your potential employee has reported on their resume or application. While some don’t have a negative effect on performance, such as minor date discrepancies, a past history of fraud, hacking or cybercrime is definitely something that may affect your business. Additionally, screening checks may reveal a history of violence, increasing the risk of unsafe conditions for your customers and other employees.
Seek referrals — As you are considering a pool of potential candidates for a position, consider asking your current employees for a candidate they think may be a good fit. Utilizing paid employees who have a good understanding of your company culture and what is expected of the position may dramatically reduce your risk in a new hire.
Institute a rigorous interview process — In a small business, it may have been the tradition for the owner or CEO to interview the candidates, but this can be a mistake. Consider starting with a phone interview to screen candidates before bringing them in to meet a team of employees who are invested in your company. A phone call may take an extra 10 minutes, but it will prevent wasting hours of your company’s time. Using a panel interview offer you a number of benefits. The panel members take turns asking questions, giving the remaining members the opportunity to observe body language. Using a set number of questions spread among the panel members, allows the panel to compare apples to apples in the process. A panel interview also benefits the candidate since it offers them an opportunity to see how their potential co-workers interact.
Set clear expectations — Attracting the right person to an open position means potential candidates will have a good understanding of what the role requires. Whether this is a new position within the company, or you are filling one that recently became available, sit down with your current team and define the duties and skills needed to accomplish the job. This helps your company make changes to responsibilities for specific positions as needed and your incoming candidates gain a full understanding of what will be expected.
Consider using a trial period — In some instances, it may make sense to offer your best candidate the position as a contractor to see how they perform with your team. You’ll see how they interact and fit in with the culture to avoid long-term risk. In some positions, and with some candidates, you may find they prefer working as a contractor, offering you the opportunity to reduce your overhead as well.
We are poised to help you find potential candidates for your company. At Stellar Staffing Solutions, it is our mission to grow successful businesses. Contact our recruiter today and let us help you find your next great employee.