Have you ever wondered why it takes so much time for companies to hire a candidate? As per recent research by iCIMS, the average time to fill-up a position was 44 days in 2015. Recruiting a right candidate is crucial for a business, especially small businesses, because if you hire a bad candidate to start with, the ability to succeed in everything is nearly compromised.
How much bad hire costs?
The cost of recruiting a bad candidate is high as the expenses associated with a candidate is not only restricted to his salary but also the travelling cost, time & efforts, training & orientation cost, termination cost, outplacement cost or career transition cost. On the whole, you need to repeat the entire process to find and replace new candidates.
Some of the other costs are harder to quantify such as reputational cost, employee moral cost, lost sales. One of the major influencers in unquantifiable costs is customer dissatisfaction cost as it disrupts the customer interaction and trust. As per Robert Half report, 95% percent of financial executives making a bad hiring decision somewhat affects the team morale. Bad hires do not get along with the team, which can cause an additional problem to your team building.
If it’s bad why do they do it??
There are lots of technologies available today to find the right candidate for the job. Despite that why companies hire bad candidates? According to research commissioned by Glassdoor, 95% of the companies admit recruiting wrong people each year. There’s more over one-third organizations reported being unaware of how costly recruiting bad hire is?
A recent study by American Sociological Association reported that recruiters often aim to hire “prospective friends” rather than ideal candidates. Another study found out that recruiters are most likely to hire liars. Recruiters tend to hire people with better looks, according to ScienceDaily. Recruiters could be concerned more about the way you move rather than what you say. Recruiters love self-promoters, according to a study called “How do I Love me?”
Sometimes even if you hire the right “job-fit” candidate, there are possibilities that the candidates are not culture-fit. It means the candidate is perfect on every level in terms of his skills and job requirement but he does not agree with work culture. A good culture fit candidate results in greater job satisfaction, a more productive work environment, stronger strategic alliance, greater success rate among teams and last but not the least higher employee retention rate.
Big companies hire candidates not because they are skill-fit but also they are culture-fit. Online hiring tool such as instaTalent help employers finds culture-fit candidates. It uses cognitive technology powered by IBM to create a chart of candidates culture-fit. Companies can hire candidates who suit their job profile the most. For example for the job position of accountant you need a candidate who possesses the “uncompromising” skills.
How can you avoid "mis-recruiting"
Related: Think about this before you hire
Patience is bitter, but its fruit is sweet-
The employees are the most valuable asset of any company. Now you better make sure you’ve got the best of the best. Hiring the right employee takes time. Taking shortcuts to fill-up your position may give you growing benefits but it will give regrets in the long run.
Avoid short methods to fulfill recruiting tasks, as this bad hire will be your college who is going to make a significant impact on work culture. If you want to hire candidates who are culture fit, skill-fit, and job fit but still don’t want to waste time going through thousands of resumes per day, well in that case you better sign up for instaTalent that will recommend you the best-fit candidates with their culture fit attributes.
Recommended read: 7 Horrible Mistakes You’re Making With Social Media & Online Re...