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hiring RSS feed Tag: hiring

Experience Is Overrated — Arguments for Hiring Talented Individuals Without Perfect Credentials

by and Sep 8, 2014, 12:09 am ET

Southwest Airlines listening centerOrville Wright did not have a pilot’s license –slogan used at Facebook to warn hiring managers not to overly focus on credentials

I, the lead author, have 40 years of experience working in the talent space. But given that experience, I still don’t understand why recruiters and hiring managers place such an unwavering emphasis on hiring only individuals with “direct experience” (i.e. experience working with the specific job title that they’ve applied for). So despite my extensive personal experience and education, I agree with the conclusion reached by Google, Facebook, and most startups that many of the best hires are those whose education, experience, and other credentials are not a perfect “fit” for a job opening.

The Track Record of Those With No Direct Experience or Weak Credentials Is Impressive keep reading…

August’s 142,000 Jobs Is Weakest Growth This Year

by Sep 5, 2014, 9:42 am ET

Econ indicators Aug 2014 v2Even taking into account the usual summer hiring slowdown, this morning’s jobs report from the U.S. Labor Department can only be called surprising. The Department’s Bureau of Labor Statistics said 142,000 new jobs were created in August, a number far off the 220,000 to 230,000 economists forecast. Unemployment inched down to 6.1 percent from 6.2 percent.

It was the smallest increase yet this year, and follows six months of gains over 200,000 jobs each. Going into August, the monthly average gain in new jobs was 230,000.

Yesterday’s private sector jobs report from ADP and Moody Analytics foreshadowed a lower August job growth when it came in at 204,000, which was also below expectations. Few, though, expected so big a decline, which was also accompanied by a net downward revision of June and July’s numbers of 28,000.

The slight decline in the unemployment rate came from fewer working-age Americans participating in the labor force. The participation rate in August dropped back to 62.8 percent from 62.9 percent, hovering near historic lows. keep reading…

Refusing to Hire Overqualified Candidates – a Myth That Can Hurt Your Firm

by Aug 25, 2014, 12:31 am ET

Imagine being assigned a physician and then purposely rejecting them solely because they were “overqualified” for your medical situation. Well that’s exactly what happens when hiring managers reject candidates who have “too many” qualifications.

There is simply no excuse in this new era of data-based recruiting to adhere to this old wives’ tales” in hiring. I have written in the past about the cost of rejecting “job jumpers” and in this article, I will focus on the false assumption that hiring candidates who are “overqualified” will result in frustrated employees who will quickly quit. There is simply no data to prove any of the negative assumptions that are often made about overqualified prospects or candidates.

There Are No Proven Performance Issues Related to Being Overqualified keep reading…

Don’t Listen to the Naysayers — You Do Need Creatives

by Aug 15, 2014, 12:56 am ET

Screen Shot 2014-07-03 at 9.57.56 AMIf you’re not a “creative,” you’ve probably been annoyed by a creative’s lack of organization or follow-through at some point. You may even be reveling in the recent onslaught of articles arguing that creative employees only waste time and money.

But no matter how “Type A” you are, you can’t afford to overlook creatives’ potential in this increasingly innovation-focused market. keep reading…

Time to Fill Has Longest Duration Since 2001

by Aug 14, 2014, 4:46 am ET

time to fill by industryThe time to fill open positions has reached a national average of just about 25 days, the lengthiest job vacancy period in the 13 years covered by the DICE‐DFH Vacancy Duration Measure.

The monthly report on time to fill and recruiting efforts says that on average it took 24.9 working days (Monday-Saturday) in June to post, source, and hire a new employee. That’s more than nine days longer than it took at the height of the recession in July 2009. Then, the average was 15.3 working days.

The report produced by careers sites publisher Dice Holdings Inc. follows a report Tuesday from the Labor Department on job openings and turnover. The report showed there were more job openings in the country — 4.7 million as of the last day of June — than at any time since February 2001. In June 2013, there were 4 million openings. keep reading…

5 Recruitment Practices That Are Hurting Your Organization

by Aug 11, 2014, 12:01 am ET

labor stats.jpg

Some recruiting tactics are actually doing more harm than good, reducing the organization’s candidate pool and tarnishing its reputation in the process.

Check if your organization’s recruitment department follows any of these pervasive behaviors setting the wrong standards: keep reading…

How to Really Calculate the Cost of Employee Turnover

by Jul 18, 2014, 12:56 am ET

Employee turnover costs are often described with generic numbers such as “$X,000.00 per employee” or “X% of annual salary” (actual dollar amounts and percentages vary from source to source). It is tempting to go with simple sound bites like these, but keep in mind that they are based on averages. These overall tendencies probably don’t accurately describe your specific organization, department, or team.

The following is a simple but detailed method of computing the cost of employee turnover. The main factors in this calculation (aside from specific costs) are time and money involved with a departing employee, such as:

  • Time spent on filling the vacant position;
  • Hours/weeks in lost productivity before the employee leaves
  • Time that coworkers and the manager/supervisor combined will need to make up for the vacant employee (overtime, added shifts, etc.);
  • Number of hours in lost productivity resulting from orientation and training of a new employee; and
  • Time spent on admin and hiring tasks (advertising, resume screening, interviewing, onboarding).

We can directly translate between time and money (time = $) to provide specific costs by multiplying hours by hourly wage for different types of employees, tasks, and responsibilities. The numbers that you provide can either be averages for your organization, department, or team, or they can be specific to a single turnover event. The calculation will total all the time and costs spent with every employee turnover so you can determine what the final cost is for your business.

Here are the steps to calculate all of this: keep reading…

What LeBron James Can Teach Us About Hiring

by Jul 14, 2014, 12:16 am ET

Screen Shot 2014-07-13 at 9.17.23 PMI’m amused when sports analysts state their predictions with near certainty. Take for example ESPN’s David Thorpe saying on July 10 that the chances of NBA superstar LeBron James returning to the Miami Heat next season were 99 percent. The following day, James announced he would play for the Cleveland Cavaliers.

We hiring managers and recruiters know you can’t guarantee human performance. The best you can do is conduct pre-employment tests, ask candidates insightful interview questions, gather gobs of important data about them, and then play the percentages based on your analysis of the data.

For example, if Candidate A has a track record of switching jobs every six to nine months and Candidate B has reached 10 years of tenure for her two previous employers, who should you reasonably bet will remain with your company five years from now? There’s no guarantee if you select Candidate B they will stay with your organization a long time, but the odds are in your favor.

Which brings me back to LeBron and to an important hiring rule of thumb. keep reading…

How Recruiters Can Create Successful Partnerships With Hiring Managers

by Jul 11, 2014, 12:01 am ET

Screen Shot 2014-07-10 at 1.24.13 PMRecruiters and hiring managers’ shared goal is to fill positions with top talent. So why do they often end up frustrated with each other? Most often, it’s because hiring managers and recruiters have different perspectives and approaches when it comes to hiring.

The only person you can change is you. Take on the responsibility to be a guide, to provide value by serving to help the hiring manager succeed, and in doing so, create a spirit of partnership. Here is some guidance to help you forge a successful working relationship with hiring managers. keep reading…

The Top 10 Shipwrecks of Hiring Mistakes

by Jul 1, 2014, 12:58 am ET

No one launches a business or accepts an executive position with the goal of incurring unnecessary expenses. Yet, time and again, shipwreck hires cost organizations three-to-five times the hire’s salary. My book The Hiring Compass points out these top 10 hiring mistakes to avoid: keep reading…

Always Open ‘Evergreen Jobs’ Can Improve Your Chances of Recruiting Top Talent

by Jun 30, 2014, 12:22 am ET

treesAs the war for talent continues, it’s time for recruiting leaders and hiring managers to shift to more creative and innovative recruiting solutions. A bold approach that I have been recommending since 1999 is the creation of “evergreen jobs.”

Simply put, these are the one or two most critical corporate jobs where you literally continuously search and hire every more-than-qualified applicant who fits the culture in order to ensure that you always have enough talent in these critical positions.

The term evergreen comes from the fact that the jobs are always open, just as an evergreen tree is always green. Now it might initially seem crazy to hire when you don’t have an open job, but the approach has proven to be quite effective. Imagine if you were an NBA basketball team and LeBron James suddenly became available. Would you hire him immediately, even if you didn’t have an open job or requisition? Of course you would. That’s the concept behind evergreen jobs. Evergreen programs frequently cover jobs with high turnover, including nursing, retail (i.e. REI), and call centers. But they work even better in high-impact mission-critical jobs at growing tech firms with large campuses. 

An Evergreen Job Program continually sources top talent in a mission-critical job. But rather than stopping when you create a pipeline of reserve talent, it continuously “over hires” each of the “more-than-qualified” applicants, in order to create a talent surplus in this critical job.

The Top 10 Reasons Why the Evergreen Job Approach Is So Impactful keep reading…

It Is Not Hard to Find Qualified Candidates

by Jun 17, 2014, 5:46 am ET

Screen Shot 2014-06-03 at 5.11.44 PMCollectively, our recruiting model is broken. It is broken, for the sole reason that that it was built on the foundation of a single lie. The lie: It is difficult to find people. keep reading…

Companies Step Up Their HR Hiring

by Jun 9, 2014, 12:20 am ET

Indeed HR jobs 5.2014With payrolls growing and the economy improving, demand for human resource professionals is rising. Online postings for all types of human resource jobs increased 10 percent from last year, with more than 50,000 — and perhaps as many as 55,000 — advertised on career sites and elsewhere at the end of May.

Wanted Analytics, which found about 51,000 HR jobs online, said the most commonly advertised position was for HR manager, followed by recruiter, generalist, director, and coordinator, the latter typically an entry-level position.

Indeed.com, in a similar type of count, found just under 55,000 HR jobs listed on the site in May, a 5 percent increase over May 2013. Go back one month, and the percentage increase was 13 percent. Four years ago, Indeed shows there were 49,000 HR jobs on its site. keep reading…

Steps for Increasing Your Speed of Hire in Order to Improve Your Quality of Hire, Part 2 of 2

by May 5, 2014, 2:06 am ET

This continuation of the two-part article covers specific actions that corporate recruiters can implement to speed up their hiring during each individual step of the recruiting process. Part 1 covered the cost of slow hiring and some advanced steps on how to improve the speed of the overall hiring process.

Speed Improvements for Each Major Step of Recruiting keep reading…

Steps for Increasing Your Speed of Hire in Order to Improve Your Quality of Hire, Part 1 of 2

by Apr 28, 2014, 5:15 am ET

This two-part in-depth article covers the how-to steps that corporate recruiters can use to speed up their hiring process. Speed of hire is an important topic for recruiting leaders because without it you won’t be able to successfully land high-quality candidates who are in and out of the job market quickly. This article is a follow up to last week’s companion article “The Top 12 Reasons Why Slow Hiring Severely Damages Recruiting And Business Results.”

How Much Money Slow Hiring Costs a Firm

Of course costs vary depending on the organization and the job, but as a rule of thumb, I estimate that the “on job performance” of those you hire into competitive jobs decreases by as much as 1 percent for every extra day that you delay a hiring decision. So if you add just 10 days to your normal average time to fill, you can expect the “on the job performance” of your new hire to drop by 10 percent. For a firm like Amazon, a 10 percent drop in its average revenue per employee of $750,000 would mean a loss of $75,000 for every new hire. Obviously this amount is many times higher than the standard cost per hire and it is a significant dollar loss that is almost always unreported.

Steps in the Hiring Process That Are the Biggest Bottlenecks to Hiring Speed keep reading…

Is Your Hiring Process Too Friendly?

by Apr 22, 2014, 3:38 am ET

Screen Shot 2014-04-11 at 12.32.55 AMWe all agree that nothing ruins a workplace culture like a jerk co-worker or a rude manager. But how do you uncover those characteristics in your pre-employment interviews? Even Vladimir Putin can seem charming if you only ask questions like What are your career goals? What motivates you? and What are you looking for in a job? before making an offer.

Your hiring process needs to occasionally challenge the candidate to see how they react to pressure. The best way to do this is to share criticisms with the candidate so you can experience firsthand — through your own eyes and your own ears — how they respond.

Before I expand upon that concept, I want to make sure my advice is balanced. Yes, the candidate should be challenged, but you must also achieve these five emotional outcomes during your interview process: keep reading…

The Top 12 Reasons Why Slow Hiring Severely Damages Recruiting and Business Results

by Apr 21, 2014, 12:14 am ET

A candidate from a well-known benchmark firm dropped out of our search for a General Manager position because the hiring manager took a week to respond to his interest. He said…

It’s not like I need their job. If it takes them a week to respond to a resume like mine for a job of this importance, they’re not the kind of company I want to work for. I move fast, and I can already see that my style wouldn’t fit their culture. –Wind River Associates

As a corporate recruiting leader, know that in a highly competitive college marketplace, there may be nothing that damages corporate recruiting results more than slow hiring.

Many firms now go the first step and track some variation of the “time-to-fill” metric. But despite that metric, not only are firms still almost universally guilty of painfully slow hiring, but to compound the problem, few recruiting leaders truly understand the many negative business and recruiting impacts that result from slow hiring. I estimate that the impact at most corporations exceeds tens of millions of dollars each year. And the dollar loss from this factor may be as much as 10 times higher than losses resulting from low recruiting efficiency related to the more popular “cost-per-hire” metric.

It’s not enough to be conscious and aware of slow hiring. Identify and then quantify in dollars each of the negative impacts of slow hiring, so that everyone from the CEO on down will support the streamlining of the process. After several decades of work on “speed hiring,” I have put together an extensive list of the negative consequences associated with taking too long to hire. The top 12 most damaging factors are listed below.

The Top 12 Reasons Why “Slow Hiring” Damages Recruiting and Your Business Results keep reading…

Class Hiring Tips for Recruiters

by Mar 28, 2014, 12:36 am ET

Companies with call centers or large customer service centers need to hire high volumes of employees on a continual, routine basis. This type of hiring presents unique challenges and requires dedicated, results-focused recruiters to keep a steady pipeline of candidates flowing through the system. If you are responsible for class hiring, here is a primer and some tips on how to succeed. keep reading…

All Companies Should Hire Like Google

by Mar 18, 2014, 6:25 am ET
Google - Santa Monica

Google – Santa Monica

I don’t work at Google. I never have. I know multiple managers and former directors in HR & recruiting who’ve been there and shared their experiences. I, like many, have read countless articles on why Google is so great place to work. In terms of products, I’m a fan but not devoted to any cult of Google. Some of its past hiring practices were arrogant, inefficient, and any experienced talent acquisition leader could tell you were a waste of time.

There are articles in the LA Times and elsewhere whose main premises are that Google is ignoring how smart applicants really are by not using intelligence testing any longer. “GPAs are worthless as a criteria for hiring, and test scores are worthless … We found that they don’t predict anything,” noted Lazlo Bock, head of talent at Google. They feel it’d be mistake to follow Google’s lead. I disagree.

I think they’re missing the big point. Companies should hire like Google but adapt to their needs. keep reading…