ben baldwin meshu; may 17 2010
DESCRIPTION
Do you like making hiring mistakes? Of course not; they’re not fun. Getting the right (or wrong) people on your team can make (or break) your business, but it’s tricky to get this right. In fact, all the innovation over the past 30 years (job boards, hiring software) hasn’t impacted employee hiring success in a material way. Average employee tenure has been dropping like a stone and employee turnover rates continue relatively unchanged. Hiring mistakes are so accepted that “money-back guarantees” have become table stakes for any recruiter. But there IS a better way. In this session, we’ll review some epic hiring mistakes and how to avoid them ... also how you can hire great people who will stick around a long time and help increase the value of your business.TRANSCRIPT
Hiring Mistakes: A How-To Guide!
Ben Baldwin, Co-Founder
Hiring Mistakes: A How-To Guide!
Ben Baldwin, Co-Founder
Blog | MakeHiringEasy.com
Hiring is not a problem … right?
Technology has !xed it … right?
On average, 45% of new hires leave in the !rst 6 months and 15% of new hires are !red within the !rst year*
* Charles A. Handler, Ph.D. (2009) Using Technology to Support Informed Decision Making Within the Hiring Process
Employee turnover costs range from 1/2 to 5 times an employee's annual wages*
* Charles A. Handler, Ph.D. (2009) Using Technology to Support Informed Decision Making Within the Hiring Process
Average employee tenure has been dropping like a
stone and employee turnover rates
continue relatively unchanged
* Employee Bene!t Research Institute, 2006 ; HR.com, All-Time Low Employee Tenure Draining Knowledge.
Money-back guarantee!
Yes
You are screwed
Agenda
1.! Your time is too valuable to waste on preparation!
2.! If you build it, they will come!
3.! Hire !rst, ask questions later!
1.! Your time is too valuable to waste on preparation!"
Why invest your time with hiring? "
Your strength is managing weak employees … right?
1.! Enjoy spending 100% more time hiring! "
2.! You get to !re 15% more people
3.! Relish expanding your costs 50-500%! "
Hiring smart people has been the single most important thing
- Bill Gates
The di#erence between an A team and an A+ team is $1 billion
- Paul English, Co-Founder of Kayak.com
1.! What do you need?
2.! What don’t you need?
Expe
rien
ce
Personality
Job Fit Experience AND Personality
Can they bootstrap?
Will they part with their expense budget?
1st in the American League West with a record of 96 wins and 66 losses ...
You can predict
who will succeed
How?
Ask what business you are in … really?
Ask what is success
for your job?
Ask what type of person do you need?
" ! Take leadership
" ! In$uence others
" ! Driven
" ! Recover from setbacks
" ! Tolerate risk
" ! Take Leadership
" ! Team-Oriented
" ! Service-Oriented
" ! Self-Regulating
" ! Learn & Problem Solve
Job A Job B
" ! Take leadership
" ! In$uence others
" ! Driven
" ! Recover from setbacks
" ! Tolerate risk
" ! Take Leadership
" ! Team-Oriented
" ! Service-Oriented
" ! Self-Regulating
" ! Learn & Problem Solve
Ask what type of person do you need?
Sales Rep Manager
2. If you build it, they will come!
When someone mentions the name of a person that they think is exceptional, I give myself seven days to track them down, make an o#er and have them accept it.”
- Paul English, Co-Founder, Kayak.com
1.! What is their job acceptance criteria?
2.! What is their job search process?
*CareerXroads 9th Annual Source of Hire Study – www.careerxroads.com
Job boards can be tricky for small business!
Give > Get
2 ears, 1 mouth
Halo e#ect
Diagnostic bias
Attractiveness in$uences interview
results*
*Richard Ilkka, Business Communication Quarterly (1995) 11-18. "
The predictive
value of traditional recruiting methods is
about 14%*
*Robert P. Tett, Douglas Jackson and Mitchell Rothstein, Personality Measures as Predictors of Job Performance, Personnel Psychology, Winter 1991, Michigan State University’s School of Business
EEOC
OFCCP
… !re quickly
1.! Everyone processed/assessed using the same tools (even if they’re your friend)
2.! Interview template with questions that work
3.! Multiple interviewers
1.! It’s predictive
2.! It’s faster
3.! It’s fair
Men wanted for hazardous journey. "Small wages, bitter cold,
long months of darkness, constant danger, safe return
doubtful. Honour and recognition in case of success.
(Ernest Shackleton's 1914 ad in the London Times for his expedition to cross Antarctica from sea to sea, via the pole)
Shackleton received more than 5,000"applications*
*!"#$%%&'()*+*#&,*-(./0%)*+*%1/'&2345!-6+7&3.'8
$2,000 to leave after
training
3. Hire !rst, ask questions later!
*CareerBuilder.com survey, 2006..
1.! Open-ended questions
2.! Based on candidates’ strengths/weaknesses
3.! Pause …
Dig deep
Ask:
“Please think about your most signi!cant accomplishment. "Now,
could you tell me all about it?”
*Lou Adler. "
Can they set goals?
Ask: “What important target dates did
you set to reach objectives on your last job? "How did you set the
dates? "Exactly what were they, and what were your results?”
Can they lead?
Ask: “Individuals vary in their ability to use power or
persuasion to in$uence others. "Give me an example of a time when you used either
power or persuasion to guide another person to a worthwhile objective. Be speci!c. "Exactly what did you do, and what were your results?”
Use references to minimize exaggeration
Ask: Who was your last boss?" What will they tell
me about your strengths and weaknesses when I call them this afternoon?" Outcome:
more honest discussion of weaknesses.
*Scott Armstrong interview on MakeHiringEasy.com blog. "
1.! Neck touching
2.! Rubbing !ngers together
3.! Shoulder up
*Joe Navarro. "
Have others interview them:
1.! On di"erent days
2.! In a social or other setting
1.! Problem-solving interview
2.! Salary negotiation
Invest yourself in hiring …
… to avoid spending even more of yourself in managing and !ring
1.! Focus on what’s important and what’s NOT important
2.! Hiring is sales not just marketing, stupid
3.! Interview for !t, in addition to technical ability
Follow these steps …
… and your wildest dreams will come true
Thank you! Email | ben@clear!t.com
Blog | www.MakeHiringEasy.com