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There are many negative implications of a poor hire, but one not readily recognized is its impact on a company’s reputation, inside and out. The wrong hire can be viewed externally, as well as, internally as a red flag about a company.

Your Company’s Reputation

As the economy rebounds and competition for top performers intensifies, companies cannot afford to make the wrong hire, especially when trying to attract Millennials. Even a bad experience by a potential candidate, whether hired or not, can impact a company’s reputation. And in this day of social media, these situations can have instant & far-reaching effects on candidates, employees and a company’s workplace.

In an effort to avoid wrong hire, companies are beginning to pay greater attention to the candidate’s experience from the beginning of the hiring process. Companies that actively engage all parties in the process, tend to identify and attract the right candidates quickly, and therefore, hire the best talent. The recruiting firm needs to be part of this process from the beginning. The recruiting firm can bring an objective perspective, streamline the process, and in most cases, can bring best practices to their clients.

A well-developed and efficient hiring process, will keep everyone aligned throughout the process, and will allow the recruiter and the company to develop a positive relationship with the potential candidate built on mutual trust.

This will drastically decrease the probability of a wrong hire!

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James F. Lynch PhD, MBA – Regional Personnel Services ©2017

Exactly eight years after the Great Recession ended, the U.S. job market has settled into a sweet spot of steadily solid growth,” according to AP (6/1, Boak).  AP added, “the 4.4 percent unemployment rate matches a decade low,” and, “many people who had stopped looking for jobs are coming off the sidelines to find them.” The article states that “all told, it’s evidence of an American economy that is running neither too hot nor too cold, with growth holding at a tepid but far from recessionary 2 percent annual rate.”

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James F. Lynch PhD, MBA – Regional Personnel Services ©2017

Have you ever made the wrong hire?

There are 3 significant, but sometimes intangible, issues to consider when hiring – time, money and morale. I will address time & money here, and morale in next article.

According to a recent Society for Human Resource Management’s (SHRM’s) Human Capital Benchmarking Report, it can cost up to $4,129 (cost-per-hire) to land a new employee. In the current economic times, however, companies can’t afford to miss out on great talent, and perhaps more importantly, make the wrong hire.

Time kills deals, and recruiting momentum is no different. Companies that drag out the process, usually can end up with less-then-perfect hires at higher prices. Sensing a prolonged hiring process, top performers will drop out of the pool within days or weeks, for example, thus reducing the quantity and quality within the talent pool. Only individuals with fewer options or little time to seek alternatives, will remain actively engaged in the process. And of those candidates who stay in the process, cost to hire them can increase substantially as a result of negotiating higher offers in order to outbid the competition.

By outsourcing recruiting to an experienced recruiting firm, a company can drastically improve the speed, reduce costs and drive successful hiring campaigns. Recruiting firms are faster and more efficient, in part, because they recruit every day. The best recruiting firms, however, must also stay on top of latest tools & techniques. And finally, they must stay abreast of the changing needs of their clients, as well as, the daily shifts in the marketplace of top talent.

James F. Lynch PhD, MBA, CSP


James F. Lynch PhD, MBA – Regional Personnel Services ©2017