Is the Deadliest Threat to Your Company a Poor Hire?
Is the Deadliest Threat to Your Company a Poor Hire?
by Modern Hire on February 1,2016
4 min read
Whether your talent acquisition budget is high or low, it's not likely to have a line item for hiring mistakes. A poor hire can be a budget killer, though.
If you happened to unwind in front of your TV last Friday night, you may have seen the premiere of Discovery Channel?s new series, Deadliest Job Interview. it's an entertaining show to be sure: Viewers learn what some of the most dangerous jobs in the world are all about as rookie candidates do their best to earn a permanent, hazardous position. As the show?s media team says,?The stakes are higher than ever because it's not just their job on the line - but also their lives! ?Fortunately, for most of us picking the wrong candidate isn?t likely to kill someone. However, making a poor hire is more threatening to our organizations?than we realize.
Poor Hires are a Budget Killer
Whether your talent acquisition budget is high or low, it's not likely to have a line item for hiring mistakes. A poor hire can be a budget killer, though. According to a?CareerBuilder survey?of more than 6,000 hiring professionals worldwide, 41% of respondents said a bad hire in the last year cost them at least $25,000. Another quarter (25%) indicated a recent poor hire cost their organizations at least $50,000. ?These costs aren't small potatoes, especially if you happen to fill multiple positions with the wrong people in a single year.
25% of hiring pros say a recent poor hire cost their company at least $50K.
Indirect Impacts can be Devastating
A poor hire can have indirect impacts in an organization that, though difficult to measure, can be devastating as well. Here?s what respondents to that same CareerBuilder survey said when asked about negative impacts beyond budget:
- 41% experienced lost productivity
- 36% saw a negative impact on employee morale
- 22% said a poor hire negatively impacted client solutions
36% of hiring professionals say a poor hire impacted employee morale.
Organizations may be able to absorb these impacts once in a while, but they become a serious threat to a company?s future when they occur on a repeated basis.
Solving the ?Why? of Poor Hiring
Interestingly, respondents said the primary reason for making poor hires is needing to fill the position quickly. It would seem the short-term rush to get someone in the door can eclipse the longer-term strategy of seeking quality hires. Though I?m sure there are other drivers of bad hiring, this one is a quick and easy fix with technology. Modern Hire's video and voice interviewing solution is designed to deliver faster speed to hire without sacrificing quality. In fact, purpose-built video interviewing is a critical asset in making higher quality hires.
When integrated for pre-screening, on-demand video interviews enable recruiters to get a much clearer sense of each applicant?s fit. At the same time, candidates can better show their skills and enthusiasm, helping recruiters get a truer picture of their potential. By pre-screening with on-demand video interviews, recruiters can be sure they are more accurately identifying the best candidates to move forward, no matter how large the talent pool.
Live video interviewing offers?recruiters, candidates and hiring managers many of the same benefits. In that face-to-face conversation, each party develops a richer impression of the other - the starting point of strong candidate engagement. And, video interviewing supports a collaborative hiring process, which can help organizations improve their ability to select the best candidate for the job.
How does video interviewing improve?speed to hire? There are so many ways:
- Faster entry into the hiring process?? recruiters can invite candidates directly into an on-demand video interview via social media. it's not uncommon for recruiters to make the invite before leaving work for the day, and then come in to a pool of on-demand interview responses ready to be reviewed the next morning.
- Faster scheduling of interviews - because recruiters, candidates and hiring managers can connect live via video interview from any location, interviews can be scheduled the same or next day rather than waiting days or weeks for everyone?s schedule to be clear to meet on premise. If a key hiring decision-maker has to miss, the recorded interview can simply be forwarded. Follow up interviews take place faster with video interviewing technology.
- Faster reviews and decision-making?? recruiters can easily share candidate information with hiring managers via email and get everyone together for a brief meeting to review the slate via video. ?No more waiting for paper to make its way through the system, or for hiring decision-makers to travel to the same meeting room.
In the end, video interviewing works for all: Hiring managers can arrive at a well-informed job offer decision sooner in the hiring process without feeling rushed.? Candidates are pleased that their hiring process takes less time, and they get a good sense of their potential new employer before they take the job. For recruiters, whether they need to find a volcanologist, a wind turbine technician, a construction diver or simply an administrative assistant, they can feel confident they?ve put the best slate possible before their hiring managers.