There is an emerging recruiting trend where traditional employee referral programs are being expanded to allow non-employees to submit referrals. I call these variation “friends of the firm” referrals (FOF) because it expands the number of individuals who are looking for top talent for your firm beyond the traditional employee base. So that those looking for talent now include family, vendors, and other individuals who both like your firm and understand its talent needs.
You’ve just created your brand new referral program because you recognize the potential locked within all your staff members to generate referrals. Here’s a quick guide to getting the most out of it. keep reading…
College recruiting has been in the doldrums during most of the economic downturn, and as a result there have been few strategic changes in it, even though the rest of the recruiting function has undergone major shifts during the downturn. And just in case you haven’t seen it yourself, I am predicting that college recruiting demand is about to explode and the competition will soon reach previous “war for college talent” levels.
This resurgence of interest in college hires is due to a reviving economy but also because of the urgent need in a VUCA world for employees who are creative, innovative, fast-moving and who are comfortable with new technology.
If you are one of the corporate talent leaders who want to get and stay ahead of the competition, the time is ripe for re-examining your college program to see what needs to be done to update it. Start with the college recruiting staff. Make sure that it is staffed with data-driven, experienced recruiting professionals prepared for real change, rather than simply enthusiastic young people whose primary qualification is that they themselves are recent college grads. I’ve put together a list of the top 10 categories of strategic change that could literally propel your program into dominance. They are listed with the most impactful strategic changes appearing first.
Action Steps to Win “the War for College Talent” in 2014 keep reading…
Innovation = Ideas + Collaboration + Execution
As a result of the dramatic business successes of firms like Google, Apple, and Facebook, almost everyone has become aware of the tremendous economic value that comes from continuous corporate innovation. But unfortunately executives at most firms have failed to realize that they can dramatically increase their corporate innovation rate by simply focusing on hiring and retaining more “idea people.”
Ideas Start the Innovation Process keep reading…
That marriage of employee referrals with social media first mentioned on these pages three years ago and chronicled with new launches and updates many times since continues, as SuccessFactors works on a social-media/employee referral tool as part of its recruiting product.
This system suggests people who your employees might know — using their Facebook and LinkedIn contacts — who might be a fit for an open job. Employees can then send those people a note. The tool also, graphically, can show you any money an employee may have earned for a referral (e.g. $500), as well as a cumulative total.
This took about six months to make. Meanwhile, in August, SuccessFactors, an SAP company, expects to launch an improvement to the tool, where an employee can more easily distribute jobs on social networks, including Twitter, to their social media “friends” and contacts.
Top performers have an incredibly high ROI
Articles from academics don’t always provide practical lessons, but there have been two recent ones that everyone in talent management should pay attention to.
The results of the first one focus on the output differential produced by top performers. This study published in February in Personnel Psychology which cut across several industries, revealed that the top 5 percent of the workforce at the researched firms produced 26 percent of the firm’s total output. The top-performing 5 percent produced 400 percent more than you would expect (26 percent rather than 5 percent).
That means that top performers have an incredibly high ROI because they produce more than four times more; however, they are generally paid less than 20 percent over an average worker in the same job.
Just like on the business side of the enterprise where the 80/20 rule prevails (80 percent of your profit comes from 20 percent of your products) there should be a similar 80/20 rule covering employee performance. This disproportional impact means that despite the fact that many in HR are enamored with the practice of “treating everyone equally,” it turns out that that approach may be well-intentioned but misguided because in business, just like sports and entertainment, top performers have a significantly higher business impact than the average. Top performers need to be prioritized.
Prioritization Is Also an Essential Element of Referral Programs keep reading…
While speaking at a recent HR conference in Las Vegas, I had occasion to meet Jane McGonigal, game designer, speaker, author, and probably the world’s biggest advocate for gamification, the idea of adding game incentives like points and prizes to non-game activities.
While within the HR community gamification is still catching on (I find a number of my clients don’t even know recognize the word) gaming, in all forms, is incredibly popular. When the latest Call of Duty video game was released in November, one in four workers planned to call in sick. Look at it from a productivity standpoint: The amount of hours it took to create all of Wikipedia’s content in 12 years … is spent every three weeks playing Angry Birds.
During Jane’s keynote speech, she cited the 2012 Gallup study that found that 71% of American employees aren’t fully engaged in their work, making it “impossible to innovate” and costing $30 billion in lost productivity annually.
It’s no surprise that she believes gamification can help. Evidently she’s not alone. A study by gamification company Gigya showed that gamification increases website engagement by 29 percent, website commenting by 13 percent, and social media sharing by 22 percent. Here are some recent employee gamification success stories. keep reading…
During the newly reinvigorated and exciting ERE conference, two attendees posed related but powerful questions to me. The first was “What advanced topics should be on the agenda of recruiting leaders at elite firms?” Or as another put it “What should Google be planning to do next in recruiting?”
At least to me, future agenda items are an important topic. Because after visiting well over 100 firms, I have found a dramatic difference between the agenda items that are found on 95% of the firms (cost per hire, ATS issues, req loads, etc.) and the truly advanced subjects that only elite recruiting firms like Google, DaVita, Sodexo, etc. would even attempt to tackle.
So if you have the responsibility for setting agendas or recruiting goals, here is my list of truly advanced recruiting topics that elite leaders would find compelling but that most others would simply find to be out of their reach. If you want to be among the elite, you should select a handful for implementation. However, even if you are currently overwhelmed by your current agenda, you might still find them to be interesting reading.
25 Advanced Recruiting Topics for Bold Corporate Recruiting Leaders keep reading…
Most know references to be a tool for checking a candidate’s background, but reference-related factors can also be one of the simplest, cheapest, and effective areas for identifying top candidates.
Even the best corporations that excel at recruiting routinely fail to realize that references and the reference process itself can be powerful sources for identifying and selling top talent.
References should be considered valuable recruiting targets because anyone who is given as a reference by top talent is almost always more experienced and knowledgeable then the individual who designated them as a reference. The availability/visibility of references has dramatically increased now that the names of references can be easily found on the Internet and within LinkedIn. As a result, smart recruiting leaders and recruiters should re-examine references as one of the most underused but cost-effective areas for identifying top talent.
The Top 8 Most Effective Reference-related Recruiting Approaches keep reading…
The beginning of this year’s report spells out the demise of more simplistic views about source of hire tracking: that data is easy to get, that it is reliable across the board, and that it is clean (one source = one hire). If you’ve been in recruiting for more than a decade, you probably know that things weren’t much better before the Internet drove so much hiring activity. I remember laughably tracking sources of hire via a questionnaire we asked applicants (online and on paper) and trying to create data based on employee’s recollections of how they came to apply for their job 5-10 years ago.
So no data is perfect but this data is very imperfect. Still, it is the best set of data and analysis we have on sources of hire. With that monster-sized disclaimer out of the way, here are some of the results.
Referrals, Career Sites and Job Boards Top List Again
Update: SilkRoad says there are errors in the report it published Thursday on which the post below is based. The most significant appears to be charts on pages 8, 11, and 15 and in the infographic on the SilkRoad blog showing some sources produced more hires than they did interviews. A company spokesman said in an email: “The issue concerning the numbers on Craigslist was an error and has been changed. In regards to the information on page 15, that chart only represents the percentage of interviews and hires as a percentage of all external sources and does not take into account internal or offline sources.” Additionally, “There were no sources in our findings with a larger number of hires over interviews. The issue with the image on page 11 is with the chart and Craigslist.” Note that as of this update, it does not appear the updates to the charts have been made.
Referrals and the company career site are the two leading sources for new workers hired by the 1,054 companies participating in SilkRoad’s just released study of recruitment marketing effectiveness.
Between them, they produced 40% of the more than 150,000 hires the companies made in 2012.
This is the second year the HR software provider has compiled ATS data from its customers to report on their source of hire. This year, the company included interviews as a measure of effectiveness.
The data set came from companies as small as 100 employees and some larger than 10,000; 60% had under 2,000 employees, 30% fall between 2,000 and 10,000, and the remaining 10% are larger. A company spokesman said the employers represent “the entire scale. We have lots of technology, healthcare, higher education, and several other strong verticals.”
As it did last year, SilkRoad found that job boards collectively yielded more interviews and hires than did all other external sourcing efforts. (For the report, SilkRoad classified corporate career sites and inside recruiter efforts as internal, explaining “they are company resources.” Company sites were included because they are “internally controlled element of job advertising.”)
Among the job boards, Indeed yielded more interviews and hires than any other single site. CareerBuilder was second. keep reading…
The resume black hole is getting a little brighter among companies that care enough about the experience of their candidates to submit their hiring process to a grueling inspection in hopes of being found worthy of a Candidate Experience Award.
This year, 37 of the 90 companies that entered won the two-year-old competition, seven of them with distinction. Most of the winners were large operations like Pepsico and Intel, with thousands or tens of thousands of employees. However, smaller firms like BTRG, with 500 or so employees, also made the list.
What all the participants share in common is a willingness to open their recruiting process to scrutiny.
Unlike almost every other HR award (excepting Great Places to Work designations), the Candidate Experience Awards are more report card than competition. Companies not only respond to a detailed survey about their recruiting practices, they also must submit their applicants — successful or not — who are also asked to complete a survey about the process. keep reading…
A website for “challenges” students can take, leading to a job.
And, two big new launches from the applicant tracking company Jobvite.
All below. keep reading…
What’s New: Better Weekdays; HealthRecruit; TrueAbility; CareerSonar; Tomigo; GoodHire; Vitamin T; HireVue
Startups and new products handling employee referrals, screening, sourcing, background checking, healthcare recruiting, and resume-reading. All below. keep reading…
The Top 18 Metrics for Recruiting Leaders
It’s hard to find anything in recruiting that has failed to live up to its potential more than recruiting metrics. For nearly two decades recruiting leaders have poured resources into measuring recruiting success, and in most cases, the best that they have to show for it is being able to say “yes, we have metrics.” If you don’t know what’s wrong with most recruiting metrics, I have outlined in great detail in a previous article “what is wrong with metrics”).
So if you are a recruiting leader and you are frustrated or disappointed with your current metrics, this article will provide you with a list of the metrics that you should be using. I assure you that after reading this list you will definitely question your current metrics. The other possible option is that you may think that the metrics provided here are impossible, but you would be wrong (they are not).
Understanding the Three Time Periods That Metrics Should Cover keep reading…
A year ago, a company called Improving Enterprises was a finalist in the 2012 ERE Recruiting Excellence Awards. The software developer with then-148 employees had managed to get about 90% of employees from referrals and related programs, like its many onsite get-togethers. Most interestingly, it believed that people who were referred, but who didn’t join the company, had resulted in more than $3 million in additional revenue in the last two years. This calculation includes such things as whether the candidate ended up referring business to Improving Enterprises even though they weren’t hired. More on that $3 million figure in a minute.
Anyhow, that’s all kinda hard to top. The four-person recruiting team led by Gabriela Garza-Ramos told me on a call Friday that, a year later, it has. keep reading…
Everyone knows that employee referrals produce high-quality external hires, but what most don’t know is that employee referrals can also be used to improve internal movement and placement. This boost is often sorely needed because most corporate job posting and promotion processes are poorly designed and managed.
Smart HR managers should use Internal Employee Referral Programs (IERP) to provide high-quality employee names for internal transfers, promotions, and even openings on part-time project teams. The concept for internal referrals is the same as for external referrals, which is that great people know other great people and that most employees want to help the firm by contributing to the recruiting effort. The focus just shifts from external hires to using your employee’s internal network to finding top candidates for internal movement and promotions. An IERP has many advantages and benefits.
Benefits of Using Employee Referrals for Internal Openings
The many potential benefits of an IERP include: keep reading…
I recently took a cruise on Royal Caribbean with my girlfriend. It got me thinking about the services we provide as HR and agency recruiters. Some of these may not be a total surprise to you, but realize just how effective these five points can be if you truly invest time and energy into accomplishing them. keep reading…
Things which matter most must never be at the mercy of things which matter least. –Goethe, Johann Wolfgang Von
As we emerge from the strains and exertions of 2012 and look to manage our recruiting efforts in the New Year, we are all sure to suffer one ongoing problem: distractions that will eat away at our time and our productivity. Too many things both online and off scream for our attention and too many people want a piece of our day. This is not good.
I believe that the time to clear off your desk and start afresh is now, and even more then the physical aspects of cleaning house are the mental aspects of knowing that if you have a job of any significant responsibility, the watchword for renewed success will be productivity. One’s ability to get their recruiting done despite the madness and the noise that puts us in the zone Stephen Covey referred to as “the thick of thin things” is an ongoing effort with which we all struggle. (If you have not read Covey’s seminal book the Seven Habits of Highly Effective People yet, I can’t imagine a better way to kickstart the year off in your favor.)
With this in mind, I offer 10 insights that will surely contribute to enhanced success as a recruiter in the year all of us are about to enter. keep reading…