The Cost of Bad Recruitment
Posted on 05. Aug, 2011 by editor in Business Advice
The success of a business relies heavily on the strength of the staff it employs and, with the economy still proving temperamental, it is now more important than ever to have the best possible members of staff in place. However, companies are still making fundamental mistakes when it comes to the recruitment process.
Here, James Taylor (pictured), director of specialist financial, HR and procurement and supply chain recruitment consultancy Macildowie, examines these common errors and suggests the steps to take to achieve recruitment success.
Recruitment can be a bit of a minefield and, if not approached properly, can end up costing businesses in terms of both budget and reputation.
A misconception that we see time and again is the belief that businesses should use the services of several recruitment firms to market a job. Some believe that this approach will result in a better standard of CV and, ultimately candidate. However, in my experience, this isn’t the case.
Not only is this inefficient in terms of cost, but it also has time implications as there’s the potential to be swamped with CVs and each agency will be making sure that they maximise the number of interviews secured.
There’s also a more important issue that arises from this approach and that’s the loss of control of the ‘employer brand’. A consistent message can’t be maintained when several different firms are involved and candidates may end up receiving a diluted and inconsistent image of the business as an employer.
If several recruitment companies are targeting the same candidates with positions from the same company, that business can quickly lose any element of prestige they once had and appear desperate. Once the candidate population has a negative view of an employer, it can quickly spread and I’ve seen this happen with some of the country’s biggest brands. My advice – use one or two recruitment firms at most, taking time to look into their added value services.
Another common problem is the reliance on recruiting hard skills against a job spec. It’s often the case that businesses focus solely on this rather than giving thought to matching softer skills and personality to the existing team and culture.
A combination of both must be looked at in order to find the right candidate. Many roles now require individuals to deal with both internal and external customers, so having the right balance of hard and soft skills is crucial.
It needs to be remembered that a poor hiring decision can have a significant impact on the dynamics of a team. If the wrong choice is made, it could ultimately result in another member of the team choosing to leave.
The third issue that I want to look at focuses on the level of candidate that companies are looking for.
When a person leaves an organisation, the line manager often wants to recruit somebody just as good as the departing individual. Although this is a perfectly normal request, the problem rests in the fact that they want somebody comparable but on the salary that the previous person started on two years ago.
This simply serves to reduce the pool of talent for them to choose from and, even if the right candidate is sourced, there’s a strong likelihood that they won’t stay in the role for long, as there’s less scope for growth.
My suggested approach would be to search for somebody who’s at the same level the departing employee was at when they started. They may not have the skills the employer needs right now but they can grow into the role and progress, stimulating motivation and engagement. They’ll also be more accepting of the salary being offered.
This method does require an investment in time from the employer but I think this is often worth it to achieve long-term stability in a role.
With the right advice, the recruitment process can be straightforward and cost effective, resulting in a strong employee and creating an enviable ‘employer brand’.
For more information on Macildowie, visit www.macildowie.com
