Mitigating the Risk of a Bad Hire

Copyright © Gailforce Resources 2008

The cost of a bad hire Employment branding The selection process On-boarding Evaluation

Employee turnover Lost work days Inefficiency Lost customers Accidents

These are just a few ways a bad hire can impact your business

Advertising costs Time for the HR function (drafting, placing ad,

long/short listing arranging interviews, interviewing, reference checking, etc)

Productivity losses Cost of training

$22,658.37

for a minimum wage job

For Current Employees: It reminds your current employees – why you are an

employer of choice

It helps employees internalize Company values

It turns employees into recruiters

For Job Seekers Tells them why your organization is a great place to work.

Tells them which types of employees are a good fit.

Can drive the selection of particular behaviors.

Differentiates you from your competitors and illuminates those aspects of your organization that are unique and successful

Grid saves time

Document ensures consistency

Document provides information if short listing methods must be justified

Grid reduces rater bias

Pre-tests specific to job requirements ensure applicant ability to perform required tasks

Consistently applied, improves selection success for suitability to job requirements

Reduces likelihood of interviewing unsuitable candidates

Collect information about job related knowledge, skills and abilities

Sell your strengths as an organization

Determine if the potential is a good fit for the job, and the organizational culture

Legal considerations for hiring

Ask questions carefully

Know the labour laws, acts and legislation for your jurisdiction

Regardless of your geographical location know the legal considerations and mitigate risk by basing your recruitment efforts on clearly defined job requirements

Fit with existing team

Fit with management style

Impacts engagement

Successful performance will impact business bottom line

Impacts retention

*Fit does not mean same

Stereotyping Inconsistency in Questioning First Impression Error Negative Emphasis Halo/Horn Effect Cultural Noise Non-verbal Bias Contrast Effect Similar-to-me Error

Your base for designing interview questions and determining qualifications

Follows a predetermined outline of questions

Has flexibility in the process to ask follow up questions

A consistent process allows for ease in comparing candidates as they are assessed on the same basis

Based on the belief that past performance is the best predictor of future performance

Specific to job requirements

Behavioural approach boasts a better than 70% chance of predicting a candidate’s ability to do the job

Based on job requirements, culture of organization, future plans, desired characteristics

Tell me about a time when..... Give an example of a situation.... Describe a situation...

How exactly did you do that?

Tell me exactly what steps you took to resolve that

What was the outcome?

S – Situation

T – Task

A – Action

R - Result

Increases accuracy

Helps to eliminate bias

Helps prevent negligent hiring lawsuits

Date, Position, Interviewer, Candidate Factors being rated

Competencies for each factor

Levels of competency for each factor

Copies of resumes, questions, rating grid

Meet first – review biases and what you are looking for

Review resumes

Review questions and rating grid

Determine who asks what and when

Determine process for interviews

Make introductions and brief the candidate on the process – create comfortable setting

Use active listening skills Allow time for candidate questions Have candidate sign release of information

form for reference checks In closing thank candidate and let them

know what the next steps will be Assess candidate immediately after

interview

Prepare your documents ahead of time

Confirm relationship and work history dates

Use a consistent approach

Document

An introduction to:

Your organization

The job

The community (if from out of area)

A mentor or workplace “buddy”

A sound on-boarding process will take up to one year and will create an embeddedness of the new hire into your organization and community.

Strengthens performance

Fuses connection to the organization

Redirects negative workplace behaviour

Provides documentation if necessary

Employment Branding

Know your current culture

Know your purpose Prepare all

documentation Set appropriate

timelines Know the legal

considerations

Prepare your hiring panel

Ensure consistency in process

Set comfortable atmosphere

Check references On-Boarding Early performance

review Document

Copyright © Gailforce Resources 2008