Most people who choose to go to college and get a degree believe that you must learn what we need to succeed in our careers. However, if you have a degree in business management, you are not taught the single most important thing in employee management. That is how one is hired. And yet when you build your career, and perhaps even start a company, your ability to recruit and employ people will probably be the number one factor in your ultimate success. And there are costs associated with not hiring well despite having an impact on your career.
While not accurate, the US Department of Labor’s estimate is simple – the average cost of a poor hiring decision is at least 30 percent of a person’s expected first-year earnings. If you hire an employee with an annual income of $ 90,000, the organization can cost 30,000. There is also a big cost and that is to spend time and energy managing poor performance, disruptive projects productivity and lack of work continuity. Ultimately, and perhaps most importantly, it has a negative effect on team morale and associated stress.
The first step to your success in hiring people well is to understand how important hiring is and you need to learn these skills. No one was born to recruit people; It is a learning thing that is achieved through the development of good hiring skills by applying knowledge, advice, experience and then what you have learned. Here are some insights to help you get better at hiring people.
Investors invest in people. As much as you like your startup and believe that market conditions are perfect, the truth is that most companies need to adapt and change. Uber, PayPal, Instagram, and hundreds of other companies all started with one solution and had to pivot over the other. What allows them to succeed? The team. What these companies had in common was a strong team that was able to respond to the market and create new products until they became today’s success. Your goal in hiring is to build a great team at all levels of the company, from interns to C-suits.
Each rental can be important. Nothing is more dangerous for a startup than a bad hire, a person who is not fit for the culture or not good enough in their job. Even if you resolve the situation quickly, you will be confused and lose a lot of time. Startups don’t have the luxury of making a lot of mistakes. Poor hiring is one of the most risky and costly mistakes you can make in a startup. It’s important to empower your team and get out of the way, but only if you hire the right people.
High performers attract high performers. The potential draw for talented job seekers is to join a team of highly skilled colleagues. Despite all the potential problems that result from poor hiring, there is a huge upsurge if you do it right. With each great person joining your team, the team becomes stronger and easier to attract the next person. The bottom line is, if you don’t have an amazing team yet, how do you hire the first employee? The good news is that you already have a party, even before your first hire. You and your co-founder (s) are a team. Your investor is in your team. Perhaps you have a strong advisor on your team. You’ll have a team long before that first employee is hired, even if it doesn’t feel right.
Culture is the team. It is difficult to build and manage a high-powered team. Great parties are usually a group of amazing people who blend together in just the right way. The glue between the outstanding coder and the social media marketer and the magic that allows sales to sell the right solution is the right culture. Culture is not about free meals, Tuesday yoga classes or other benefits. It’s about the shared values and beliefs and the company’s mission that unites everyone. Great culture will help the company succeed and survive in difficult times. The importance of culture greatly affects your employment. Every single person you bring in in the early days changes your culture in a good or bad way. It is very important to find out if someone is suitable for a culture or if someone is the right person for your team. Hire for culture first, then measure if they have the skills and knowledge to work.
ABL is always looking. Hiring is not magic, and it’s not luck – it’s a skill you need to develop. Maybe you are good at it, but if not, you can learn to be better. And don’t forget that you are always hiring. It doesn’t matter if you are interviewing in the office or at a networking event. Maybe you’re not looking for someone right now, but you’ll probably be in the near future or at your next job or company. Real talent can be hard to find and evaluate so always keep looking because you never know when you will need someone you have already met.