// More Together

Recruitment Mistakes

hundredI’ve made a few

Mr Impressive

Why people leave Aspire?

10% fail probation34% other rec co10% own biz30% out of rec10% relocate6% other

70% of those who joined other recruiters – were on performance objectives.

40% joined competitive companies

100% of new employers didn’t request a reference

7 were recruitment mistakes

The real cost of recruitment mistakes – cost per desk

• Annual NFI/NDR/GP per employee = opportunity cost of a desk

• Divide by 52 for opportunity cost per week• Multiply by number of weeks desk is vacant = base

cost• Add recruitment costs = any R2R fee, add costs +

management time• Add induction costs = management time• Add weeks taken to bill • Add annual NFI/NDR/GP per employee less billings• = Real Cost

Aspire cost of recruitment mistakes – cost per desk

• Annual NFI/NDR/GP per employee = £102,786• Divide by 52 for opportunity cost per week = £1977/wk• Average Number of weeks desk is vacant = 5 x 1977 =

£9885• Add recruitment costs = possible R2R fee + management

time• Add induction costs = management time• Add weeks taken to bill = 10 x 1977 = £19,770• Add annual NFI/NDR per employee (£102,786) less billings

(av £95,692 1st 12 months) = £7093• Real Cost per hire = £36,748• Of which 7 replacements were recruitment

mistakes = 7 x £36,748 = £257,236

Aspire cost of mistakes – FEE EARNING DESK

• Annual NFI/NDR/GP per employee = £132,933• Divide by 52 for opportunity cost per week = £2556/wk• Average Number of weeks desk is vacant = 5 x 2556 =

£12,780• Add recruitment costs = possible R2R fee + management

time• Add induction costs = management time• Add weeks taken to bill = 10 x 2556 = £25,560• Add annual NFI/NDR per employee (£132,933) less billings

(av £95,692 1st 12 months) = £37,241• Real Cost per hire = £75,581• Of which 7 replacements were recruitment

mistakes = 7 x £75,581 = £529,067

Mistakes we have made……..

RECRUITING SKILL SET WE DIDN’T MASTER

EXEC SEARCH, HR, ITBuckle to pressuretime, Candidate under offer

A c c e p ti n g l o w e r s t a n d a r d sB e s t o f b a d b u n c hToo much influence from

one manager

Manager prepared to take a risk

Recent joiner

recommendation

….. more than once!

Assuming track record of success in one marketwill transfer to ours

Not taking references

What we have tried

• RCQ – psychometrics

• Role plays• Presentations• Competency based interviews• Values based interviews• Team drinks• Reference Checking• Linkedin Profile v CV• HR Director does ALL 1st interviews

And finally