Recruitment is a costly process, so it’s important to make the best hiring decision possible. Here are 8 ways to tell if you should revamp your recruiting process.
Here's what you need to know:
- If performance reviews are lacking, it’s taking too long to review resumes, and more candidates are dropping out, it may be time to overhaul your recruitment process
- If hiring periods are lengthy, finding the right talent is too difficult, and there’s decreased employee satisfaction, those are additional signs
- Other signs it may be time to overhaul your recruitment process include high employee turnover rates and lower time to value
Having a broken hiring process can have costly outcomes. A bad hiring decision can cost a business a minimum of 30% of a person’s 1st year of earnings.
Time and money spent on fixing mistakes from poor performances are just a part of the problem. This, and many more hiring errors, are why businesses should look at their recruitment process.
The point of recruiting is to find the best talent for the tasks at hand. When that fails, managers have more problems after the process than they did before. So, it makes sense to augment the workflow in a way that doesn’t waste anyone’s time or money.
How can you tell if it’s time for a new recruiting process?
Implementing a new hiring approach can stop the revolving door of unqualified candidates. There are some hints that businesses can pay attention to. These 8 signs can help them stay ahead of the ever-changing job market.
1. Performance reviews are lacking
A poor recruiting process can be clear with worsening performance reviews. Hiring someone new can present a few learning curves along the way. When these oversights go beyond the employee onboarding period, it may be a sign of poor hiring judgment.
Managers can become overwhelmed cleaning up after new hires. New employees might have experience. Still, new business requirements are different than what they’re used to.
Getting them used to new systems and processes may take a few months for them to get used to. In the meantime, their confusion could cause their confidence to suffer.
This can cause a domino effect of continued poor performance. This possibility will consistently drain company profits.
Being as specific as possible about the necessary skills can fix this. Knowing a task is one thing. It also counts for them to have experience with a company’s specific type of software or programs. A new hire knowing what they’re doing is a great way to boost everyone’s performance.
2. Reviewing resumes takes too long
Businesses should never spend all day thumbing through resumes and cover letters. This just adds time to the hiring process and wastes time needed for other areas. Reading and storing dozens of applications creates unnecessary paperwork and spreadsheets.
Automation is the name of the game in this technological world. There are many tools available to help streamline the application process. Some software can make the data search take less time and make reviews much less frustrating.
3. More candidates are dropping out
The more applications a job seeker submits, the more interviews they could land. So, it’s easy to believe that a candidate is still considering several opportunities. This is 1 reason why a long interview process causes a candidate to drop out.
The interview process can take around 27 days on average. What’s more, is that more recruiters believe that it takes at least 3 interviews to hire the right person. Some recruiters even vouch for 4 or 5 interviews to make the right decision.
Overall, that’s nearly a month and several interviews worth of a person’s time. Plus, if they’re not hired, that takes a lot of time away from HR for nothing.
The best way to counter this problem is to ask the right questions at the right time. First, a candidate should be well briefed on the hiring times and processes.
The next thing to do is set the stage for desired candidate’s skills during the first interview. This can cut the possibility of the wrong person getting too far down the recruiting process.
4. Hiring periods are lengthy
As mentioned earlier, a long hiring process can waste a lot of time. It’s reportedly taking businesses longer and longer to finally find the right new hire. Plus, 62% of job applicants say they lose interest in a job after 2 weeks. So, longer recruiting times may not be the answer.
Aside from candidate frustration, a long hiring process can take its toll on business funds. The average cost per hire is about $4,700 over a span of 36-42 days. Lessening that time a bit could save a company thousands of dollars for each eligible new hire.
An excessive process doesn’t always mean that it’s a good one. At the same time, it’s not a good idea to be hasty either. Businesses need to find a sweet spot for quick and quality hiring. It helps if they can do this without compromising on necessary skills.
5. Finding the right talent is too difficult
Consistently hiring the wrong people will drive the right people away. This can reflect negatively on the company culture. Potential employees are looking at reviews to see how current employees feel.
Dissatisfied employees could rate the company a 2 out of 5 due to uneven work distribution. A great candidate might be apprehensive about applying to a place like that.
That could especially be the case when they’ve had a history of doing most of the work. Many times, this is because of their incredible abilities.
Fixing recruitment issues from the inside out can land capable talent. Then, the right person can feel comfortable applying to a place where their hard work pays off.
6. Decreased employee satisfaction
Top performers will have more stress and less employee satisfaction. They’re consistently having to stop their workflow to help a new hire or fix their mistakes.
Sometimes this allows great employees to shine and prove their dedication. But if they become too overwhelmed, it could cause them to develop a negative outlook on the company.
This can especially be the case if they’re not praised. These employees have the patience to train and perform their regular duties.
Giving them the recognition they deserve could help them hang in there. It could take some time to augment the behaviors of a new hire.
If management can’t take some of the responsibility, it could have dire consequences. Employees like to know that their supervisors are there to help more than criticize. To keep appearances up and boost employee morale, it may be worth it to take the weight off great employees.
7. High employee turnover rates
When new hires are less than adequate, everyone suffers. Current employees can deal negatively with new hire mistakes too.
When employees see the company is making poor decisions, they may find somewhere else to go.
Tenured talent already knows the ropes and works like a well-oiled machine. When 1 essential staff member has to backtrack, everyone gets thrown off their pace.
When employees see the company is making poor decisions, they may find somewhere else to go. Hardworking employees leave, and companies replace them with someone who can’t keep up.
That’s how the cycle of poor talent and regular hires begins. This type of revolving door of incapable employees makes a business seem unprofessional.
8. Lower time to value
It may not be the best idea to hire in the middle of a project. Time-sensitive objectives are more difficult to achieve when the focus is on training. Recruiting in the middle of expensive business ventures can have costly outcomes.
Businesses rely on statistics to see the value of their marketing. Without proper talent behind the release of these, revenue can go haywire.
The statistics will be off, causing invaluable reporting, inaccurate pricing, and more. A company should always get a return on its investments, and recruiting is no exception.
The time to consider recruitment improvements is now
It may be better to start thinking about recruitment improvements sooner than later. The new year has only just begun, and the future is now.
A successful HR process is vital to any business. Capturing and retaining the right talent is just the start. Companies around the globe are learning to find solutions before more costly issues arise.