Tag: hr

How High Employee Retention Rates Can Positively Impact Your Business

Posted on by Buyer Advertising

High employee retention rates can be great for your business, especially in terms of recruitment purposes. Lower employee turnover rates can indicate to prospective candidates that your organization is a stable and satisfying place to work. High morale and huge cost savings are just a few of the benefits of maintaining high levels of employee retention. Here are some other ways that high retention rates can positively impact your company:

Increased Productivity

The longer employees stay with your company, the better they will be at their job. Under good management, their job knowledge and skill level will steadily increase over time. Having more tenured employees could lead to more sales, better service and increased productivity. Additionally, your staff may have a stronger understanding of your business and its customers. Kristen May, contributor at the Houston Chronicle, wrote that “Low turnover makes it easier for the company to focus its time and energy on the business at hand rather than adapting to new staff.[i]”

Cost Savings

Countless studies have attempted to measure the true cost of employee turnover. A recent study by Inc.com reveals that the true cost of employee turnover can be as much as 150 percent of their annual salary for higher level positions[ii]. With this in mind, one thing is certain: employee turnover is costly – the time and resources your company will save on recruiting and training new employees can be invested into keeping your existing employees happy.

Higher Customer Retention

While your customers likely chose your company for its high-quality products and services, they stay loyal because of personal interactions with your employees. Customers enjoy a stable staff that they can build relationships with. It can make them feel more comfortable about stopping by your store or calling customer service. In addition, employees that have been with a company longer will be more knowledgeable about your products and services. This can be a huge benefit to your customers.

High employee retention rates are good for your customers and your employees. While your customers benefit from the knowledge and expertise of more seasoned employees, your employees will benefit from deep bonds with their co-workers. Keeping your retention rates high can leave you with a happy, well-functioning company.

[i] http://smallbusiness.chron.com/causes-effects-high-low-staff-turnover-33939.html

[ii] http://www.inc.com/suzanne-lucas/why-employee-turnover-is-so-costly.html

Take Your Time When Hiring Someone New

Posted on by Buyer Advertising

In the business world, finding and hiring the right people is critical to the overall success of a business. While there may be times when the workload necessitates finding an employee quickly, there are some major benefits to taking more time to find the right person. Here are 4 reasons to take your time when hiring someone new:

1. Preserve Your Company Culture

You and your team have worked hard at building a positive, productive work environment. Spending a little more time searching for the right person may allow you to find someone that fits into your already well-oiled machine. Patrick Hull, a contributor at Forbes, wrote that “It’s important to have managers and other team members involved in the interview process. They provide important perspectives and make sure that the new employee will fit with the existing culture.[i]” A longer hiring process would give you more time to involve other team members within your organization, whose opinions can help gauge whether a potential candidate is the right fit or not for your organization.

2. Find the Right Candidates

The beauty of using recruitment services is that you have a seemingly endless talent pool to choose from. Recruitment experts specialize in finding the best and brightest minds in your area. Investing a little more time to find the perfect candidate will be well worth the wait.

3. Check Credentials

Spending more time finding the right hire means that you have the opportunity to more closely screen your pool of candidates. Take advantage of this by contacting references, reviewing their work history and making sure that they are well-qualified for the job.

4. Interview More

When it comes to recruiting techniques, few are more effective than face-to-face interviews. A candidate may seem like a perfect fit on paper, but their personality may not be well-suited for your team. Likewise, there may be instances where a candidate lacks the experience or the education that you are looking for, but has a work ethic and attitude that makes them worth training.

When it comes to finding the right employees, there are no set rules on how long you should search. Depending on the size of your company and the type of vacancy you are looking to fill, this could take anywhere from a few days to several weeks. Taking the time to really dive in and explore your potential talent pool is always time well spent.

[i] http://www.forbes.com/sites/patrickhull/2013/03/27/hire-slow-fire-fast/

The Most Important Warning Signs of a Bad Hire

Posted on by Buyer Advertising

As leaders in the recruiting industry, we know how important it is to employ the right questions and techniques to find the jewels in your candidate pool. However, despite your best efforts, there will be times when a bad employee manages to slip through the screening process and land on your payroll. When this happens, the reduced morale and lost productivity can quickly become costly. In fact, according to the U.S. Department of Labor, a bad hire costs an average of 30 percent of the employee’s first-year salary[i]. For a new hire with an annual salary of $50,000, this can mean a $15,000 loss to your company.

Here are the most important warning signs of a bad hire:

Warning #1: Bad Attitude

Your new hire was smiling and friendly during the interview process but now does not get along well with others. This can be a huge sign that you may have a bad new hire on your hands. Additionally, behaviors like attendance problems or overuse of social media are also red flags.

If you have not observed this behavior yourself, do not rely on the rumor mill. Take some time to speak with the supervisors, managers and staff that work directly with the new hire. Once you have enough information to validate your concerns, it is time to initiate a neutral discussion with the employee.

Warning #2: Lack of Interest

New hires are often excited about their new positions and buzzing with questions. If you have a new hire that does not seem to ask any questions, this can mean they are not interested in the position or do not understand the job.

No matter which of these instances is the case, this situation should be monitored closely. If the employee is simply afraid to ask questions, take some time to make sure they feel comfortable coming to you or an immediate supervisor. Employees that do not communicate well may negatively affect productivity and morale. New hires that attempt to master their job on their own can create other issues.

A bad new hire will happen every now and then. Making sure to address this problem swiftly is key. Allowing a new hire to poison your work environment can lead to many more issues down the line.

[i] http://www.linkedin.com/today/post/article/20130716151946-2967511-the-high-costs-of-a-bad-hire-and-how-to-avoid-them

How to Hire People Away from Your Competition

Posted on by Buyer Advertising

When the pool of applicants for any given position doesn’t meet your standards, the next step is to attract high-quality candidates away from your competition. While many in the recruitment industry call this “poaching,” it is a natural move that can benefit the potential candidate as well as the company willing to pay the most for the employee.

Ask Recent Hires Who They Admire Most in Other Companies

To find out which potential candidates are bringing the greatest amount of success, talent and leadership to your competitors, Venture Beat suggests asking recent hires for advice on who in their business network might be a good match for the company[i]. If enough people repeat the same names time and time again, you have a great target for a potential hire that would cripple the competition and put your business at a major advantage.

Start Out Subtly

If possible, hire a search firm or head-hunting group to initiate the idea of job prospects without being pushy or intrusive. Prospects who are interested will naturally follow up, and then your recruitment team can take over through direct communication with the potential employee. Brenda Snyder, quoted in an article from Inc.com, suggests “Using your professional network to spread the word that you’re hiring and approaching the candidate you’re interested in on neutral ground.[ii]”

Find Out What Candidates Really Want

Blindly making an offer is rarely the right way to attract top talent to your company. Instead, be upfront about your desire to work with the candidate, and have them explain what they need to make the move to your organization. This article from the Harvard Business Review reminds hiring managers to think beyond simply financial remuneration, such as allowing board members to sit on commercial boards as well, or perhaps including stock options for employees in lieu of a higher salary.[iii]

Don’t Ignore Any Legal Concerns

In many competitive industries, and especially when it comes to talent that’s working in research or development, there are some legal concerns to consider before poaching employees from competitors. According to attorney Stacy Bekman Radzit, “it is prudent for employers to ask potential new hires whether they are under a contract that would prevent them from working for that employer. Employers can request such information in a job application or in an addendum to an employment agreement, if one is to be executed.[iv]”

These tips can be vital when it comes to hiring away top talent from your competitors. Keep in mind, however, that you should also focus on nurturing your top performers because competitors may be reading this very same article.

[i] http://venturebeat.com/2011/09/02/how-to-hire-and-retain-talent-in-a-competitive-market/

[ii] http://www.inc.com/guides/201101/how-to-poach-an-employee-from-a-competitor.html

[iii] http://hbr.org/special-collections/insight/scaling-social-impact/how-to-hire-top-talent-when-you-cant-pay-top-dollar

[iv] http://www.ober.com/publications/608-potential-risks-hiring-competitors-employee

Finding Balance: Deciding How Much Work to Give Your New Employees

Posted on by Buyer Advertising

For new employees, the first days of a new job are critical. If they are welcomed by a huge backlog of work, it may leave them feeling overwhelmed and unsure about the position. Likewise, if a new hire is given too little work, they may quickly become bored with their job and feel useless. Knowing how to gradually ease employees into their new positions can leave them feeling excited and confident.

Here are three tips to help you find a balanced workload for new employees:

  1. Identify their strengths. You interviewed lots of applicants, but you chose just one. There was something about the applicant you chose that made you feel they could make a valuable contribution to your organization. Do not lose sight of those skills or qualities once they join your team. The first few tasks that you give them should focus on their strengths. This will give the new employee the confidence they need to take on more responsibilities.
  2. Set well-defined goals. Creating achievable, well-defined goals is a great way to ease your new employee into their workload. Take some time during their first post-orientation workday to explain what a full workload will look like. Not only does this let them know exactly what they should be working towards, but it also gives them a clear, quantifiable way to measure their progress. If you have the time and staffing to implement a self-paced training program, this can be a great way to train a new hire. For fast-paced environments where you need the employee fully integrated as quickly as possible, give them a set timeframe for learning new tasks.
  3. Communicate frequently. The best way to know how a new employee is managing their workload is to ask them. During their first few weeks or months on the job, try setting a few minutes aside at the end of each week for a one-on-one conference. Establishing this open stream of communication will make them feel comfortable coming to you when they feel overwhelmed.

Always remember that all new employees learn differently. Some new hires will learn their job very quickly and without much help while others may require a bit more structure and guidance. No matter where they fall on that spectrum, these simple steps can help you ease new hires into their positions.

Tips for Finding New Recruits Who Fit in With Your Current Team

Posted on by Buyer Advertising

Hiring employees is about more than just finding suitable stand-alone candidates. For a successful work environment, the perfect new hires will also fit in well with your current team and office culture. Brian Kropp, Managing Director at Corporate Executive Board, found in his studies that almost half of an employee’s success in the first 18 months on the job can be attributed to how the employee fits in with others in the organization while the rest of his success depends on whether he can do the job[1]. These tips, illustrated below, can help make it easier to find candidates and potential hires that will mesh well with existing employees.

Clearly Define Your Team’s Work Style and Culture

One of the first steps in hiring someone who fits in well with an existing team is to clearly define the work environment already in place. Organizational culture is dictated by the values, behaviors, beliefs and norms that permeate the group[2]. Once your company’s culture is fully realized, it will be easier to hire someone judging on whether they fit within your organization or not.

Ask Current Employees What They Look For in a New Candidate

When determining whether a prospective candidate is a good fit for your organization, sometimes the employees themselves are often the best people to decide what traits that ideal recruits would have. Mary Lorenz at The Hiring Site wrote that, “Who better to recommend candidates who fit the culture of your company than the very people who live it every day? Because your employees already know what it takes to be successful at your company, it’s no wonder employee referral programs have been linked to lower turnover rates, lower costs associated with recruiting and increased morale.[3]”

Ask Candidates To Detail Their Best and Worst Work Environments

An integral part of the interview process for any new employee should be the question, “What is your worst work environment to date?” The answers can be enlightening, and they will explain more about whether a candidate is the right fit. Have candidates detail their ideal work environment, and see if it matches up with the attributes written down in the first step of this guide.

Finding recruits with the right qualifications can be a challenge in and of itself, but hiring managers should also seek out those candidates who will fit in well with the current team.

[1] http://management.fortune.cnn.com/2011/04/28/is-it-better-to-hire-for-cultural-fit-over-experience/

[2] http://career-advice.monster.com/job-interview/interview-preparation/assess-company-culture-best-fit/article.aspx

[3] http://thehiringsite.careerbuilder.com/2012/06/12/cultural-fit-vs-skills-whats-more-important-when-recruiting-candidates/

Keep Ideas Fresh by Periodically Bringing in New Employees

Posted on by Buyer Advertising

Employees are the lifeblood of a successful business. From front-line customer service representatives to behind-the-scenes administrative workers, your employees have a huge impact on the way your business operates. Although retaining your current staff should always be a top priority, hiring fresh new talent from outside of the company can breathe new life into your business.

Here are a few advantages of periodically hiring external employees:

Fresh Ideas

When an employee leaves, particularly one that has been with the company for a while, they are making way for the fresh ideas and insights of a new employee. While the contributions of long-term employees are extremely valuable to a company, retirement, attrition and voluntary resignations provide an opportunity to bring in new perspectives. Phyllis Korkki, contributor at the New York Times, reinforces this idea: “Outsiders can bring fresh skills and ideas, along with a healthy skepticism about long-held practices.[1]” Not only can an external candidate bring a fresh approach to your business, they can also help your company find top talent from their industry.

Reinventing the Wheel

Another benefit of bringing in creative new talent is that they can help stimulate new thinking. Once the employee has been trained and is fully integrated into their new position, encourage them to make suggestions on ways to improve processes. “An organization that is content to only understand the ways it sees things and only operate in accordance with its own best practices misses the growth opportunities that come from a more diverse management team with a broader set of organizational and career experiences.[2]” For example, if your company has historically relied on print marketing materials, a new hire may be able to suggest ways that social media or social networking sites can help expand your business and reduce costs. Internet companies like Google and Facebook have attributed many successful projects to the creativity and innovation of their employees.

New Energy

New employees are vibrant and excited about their new responsibilities. This positive energy can quickly spread to fellow employees. Not only can this reduce the number of behavior-related occurrences, but it can also increase productivity. Also, their unique skills and fresh perspective can help a slow-moving company become competitive again.

Periodically hiring new external talent is a great way to generate new ideas in a company. From redeveloping processes to re-thinking certain aspects of a business, new hires can be a very valuable asset.

[1] http://www.nytimes.com/2012/04/22/jobs/hiring-outsiders-has-pros-and-cons-for-employers.html?_r=0

[2] http://www.carterbaldwin.com/list/3/articles/16-top-10-reasons-to-consider-external-candidates

The Hiring Process: Which is More Important, Education or Experience?

Posted on by Buyer Advertising

Whether hiring someone in the fields of healthcare, retail or finance, recruiters tend to focus on factors of education and experience. A minimum education level is often a requirement, and many companies simply won’t hire candidates without at least a bachelor’s degree in a related field. However, others focus more on experience in the field, which may be a more practical indicator of future success. Discover whether hiring managers should be focused on education or experience when interviewing potential new hires.

Book Smarts Won’t Translate to Career Success

Many applicants rely too heavily on their academic success when seeking out a new career. Having an advanced degree or a high grade point average at the undergraduate level can be a clear sign of knowledge, excellent study habits or intellect, but that doesn’t translate into career success every time. For example, someone with an MBA might have a firm grasp on managerial and leadership concepts, but they may be ineffective leaders once actually in the workplace. As a general rule, hiring managers should be wary of candidates who have yet to be proven in the workplace.

Even Unpaid Work Shows Dedication and Commitment

Unfortunately, hiring candidates with experience can pose a challenge when recruiting entry-level employees or fresh graduates from college. However, any work experience is better than an exclusive focus on education. Martin Birchall, of High Fliers Research, told the Huffington Post[1] that, “New graduates who’ve not had any work experience at all during their studies are increasingly unlikely to be offered a good graduate job after university.” Candidates who have volunteer or internship experience demonstrate commitment and an understanding of workplace culture, even if they have not been monetarily remunerated for their efforts.

Education and experience should go hand in hand during the recruitment process. Education, on its own, will not necessarily be an indicator of workplace success. Experience, while a better indicator, may not provide for long-term success and growth. Ideal candidates have a basic level of education and at least some workplace experience, even if not in the designated field.

[1] http://www.huffingtonpost.com/brazen-life/why-gaining-work-experien_b_3750261.html

Generation Y: How to Find and Attract High-Quality Millennial Employees

Posted on by Buyer Advertising

The Huffington Post[1] defines Generation Y, or those born between the late 1970s and the middle of the 1990s, as Millennials. Today, many of these young people are just entering the workforce, but their expectations are different from generations that have come before them. Millennials don’t mind working hard, but they want to pursue something that interests them, and they want to feel like they are making a difference. The following tips can help businesses find and attract high-quality Millennial employees.

Emphasize a Fun or Casual Workplace

One solid way to attract a potential Millennial employee is to emphasize the creativity or uniqueness of the office space. According to a recent study from CNN[2], Generation Y believes that having an engaging workspace is a top priority, but baby boomers put that towards the bottom of the list. Workplaces don’t have to be a messy hangout to be appealing, but creative touches or casual dress codes can go a long way in attracting high-quality hires.

Use Social Media To Advertise Jobs

Millennial employees are rarely going to read the classifieds in a newspaper to look for a job, but social media and other Internet-based resources are the best way for businesses to advertise employment positions. Facebook, Twitter, Google+ and LinkedIn are effective and visible ways to attract Generation Y.

Detail Clear Deliverables…

A lot has been said about the desire of Generation Y to have fluid careers, but it is also important to have clear deliverables in place during the interview and when the job begins. Millennial employees will appreciate that they can clearly identify success in terms of objective goals, something that was not an issue for older employees.

…But Make Room For Personal Creativity

Although the guidelines stated above are helpful for retaining younger employees, it is also important to emphasize the potential for self-fulfillment and personal creativity during the interview phase. Hcareers[3] recommends asking candidates about how they feel they could best succeed in the company, which helps them feel personally fulfilled and helps the company utilize their strongest assets.

On the surface, attracting high-quality employees from Generation Y involves the same major factors as salary and potential for growth. However, there is also a heavy emphasis on personal fulfillment, creativity and positive reinforcement.

[1] http://www.huffingtonpost.com/wait-but-why/generation-y-unhappy_b_3930620.html

[2] http://edition.cnn.com/2012/08/20/business/generation-y-global-office-culture/index.html

[3] http://www.hcareers.com/us/resourcecenter/tabid/306/articleid/450/default.aspx

Tech Savvy: How To Tell if a Potential Hire is Ready For Work in the Digital Age

Posted on by Buyer Advertising

The Necessary Tools

It’s hard to believe that less than a generation ago, many executives accepted the belief that touching a keyboard was beneath their position – that such business tools were meant for clerical and administrative staff only. Today, dexterity with the keyboard is only the beginning of the skills that are necessary to be a productive employee in many jobs and careers.

The importance of technical expertise and computer literacy in a candidate depends, of course, on the specific position being considered. For IT staff, the individual will have to show work experience, proper training, and certifications. However, for line operations, here are few tips to access some of the basic skills you may be seeking in an applicant:

  • Have them prepare a sample piece of work. For example, if the position is in market research, ask the potential candidate to create a simple spreadsheet similar to the work being done. Likewise, if it is a creative position, have the candidate produce a minor design project on a computer. Matching the sample work you request to the skills and technologies needed for the job may help decide which potential candidate is right for your company.
  • As an alternative, ask what specific projects have been completed in those areas of work. Let the candidate describe the software/hardware used and how they approached the task. If they can provide samples or online examples, it shows that a candidate is prepared, and technologically capable.
  • Explain the specific technical skills, software applications and technologies that are an integral part of the position being sought. Ask about the individual’s experience with those or similar products. Listen to whether they approach the issue with confidence or reservations.
  • Get the interviewee to talk about their non-work involvement with technology. Do they only reluctantly use digital tools and resources or is it second nature to their lifestyle?
  • Don’t confuse active participation in social media with technical expertise. Is it important for the job being discussed that the individual know what a “like” or “share” means to SEO issues?

It is an accepted fact that technology today is changing faster than most people and companies can track. Always interview candidates with the perspective that, in most cases, a person’s facility with technology and their ability to quickly adapt to new versions and tools is as important as competence with any given program or current hardware.