If you’re involved in human resources, whether you’re a business owner, hiring manager, recruiter, or a combination of all the above, you know just how important it is to find the right talent for your team.
Making a bad hire (or a mis-hire) can hit your business hard, affecting not just team productivity and the quality of your work, but also the financial health of your company.
Finding the perfect candidate on your first attempt isn’t a given–and it’s not always a reflection of you and your business.
Mishires can sometimes be a part of the process, but that’s why we’re here–to help you increase the chances of hiring the right person the first time.
So, let’s take a closer look at the costs associated with easily avoidable hiring mistakes so you know how to steer clear of hiring missteps.
Breaking Down the Hidden Costs
Something extremely common in the hiring world, but often not talked about, is just how much a bad hire can affect a company’s financial wellbeing.
Trust us, the expenses do add up. From the high costs of recruiting to the ripple effects on team morale, making a mis-hire always comes with a price tag.
So, before you move all systems go on a candidate you still feel a bit *iffy* about, it’s important to understand the magnitude of hiring the wrong person.
Costly Recruitment
Think about it: you spend money on advertising, interviews, onboarding, and the list goes on, all to find the right fit for your team.
So, when a hiring mistake happens, it’s not just your money gone to the wayside, it’s your time and energy, too.
And because “time is money” it’s important to make thoughtful and careful hiring decisions.
When you hire the right person, you *typically* recoup your investment of time, money, and energy, steering clear of financial hiring headaches.
Team Morale + Company Culture
A bad hire can throw a wrench in the amazing team dynamic you’ve worked so hard to nurture–and that often comes with lasting effects.
Bringing someone on board who doesn’t quite fit your company’s culture can lead to low morale among your staff and cause valued team players to become disengaged.
According to Flair HR, folks who are unhappy with their company’s culture are 24% more likely to resign, putting into perspective the risk you take when hiring the wrong person.
At That’s Good HR, we don’t want to scare you out of hiring. We’re simply here to help you steer clear of common hiring mistakes (and trust us, we know how to help with that 😉).
Lost Productivity
The consequences of hiring missteps aren’t just financial. They can lead to decreased productivity within the organization.
Investing time and resources into training a new team member is not a small task. So, when that person struggles to perform or meet expectations, it can hinder productivity.
This lost productivity can create a ripple effect, affecting the entire team’s performance and quality of work.
Turnover Rate
One of the longest-lasting impacts of a bad hire is its effect on your organization’s turnover rate.
When the wrong person is brought on board, the price of filling that position (and potentially other positions) adds up.
The turnover rate in a workplace is not just a sign of how satisfied employees are–it’s also a reflection of the company’s hiring process and their ability to attract the right talent.
Signs You Might’ve Hired the Wrong Person
In the fast-moving world of staffing, knowing how to spot the signs of a hiring mismatch is important.
Spotting these signs early can help you tackle any issues head-on and make choices to keep your team thriving, happy, and productive.
Increased Absenteeism
A mis-hire can lead to higher rates of absenteeism, as the person might feel disengaged or unfulfilled in their role, which can affect their willingness to show up for work.
This absenteeism puts extra pressure on the rest of the team, affecting your entire company’s overall performance.
The financial implications of hiring the wrong person are clear in these scenarios: decreased team output = decreased financial input.
Want to mitigate the impact of repeated absences on your organization? Recognize and address increased absenteeism with your team as soon as it’s appropriate.
Low Morale
Has your team had low morale lately? A hire that isn’t quite the right can lead to less gas in the tank–yes, for your entire team.
When morale takes a hit, it can have a chain reaction, affecting how engaged employees feel, as well as their communication and collaboration with one another.
If your team is struggling with low morale, reduced productivity, and higher turnover rates, it may be time to rethink your hiring process.
Frequently Unmet Expectations
If your new hire’s performance goals and KPIs are consistently not met, this can be a clear sign that there’s a mismatch between role + company and employee skill set.
Missed deadlines and decreased quality of work not only risk your company’s reputation, but these unmet expectations can be costly, too.
An open conversation with your new hire about unmet expectations could help reduce the financial and operational fallout of a hiring mismatch.
But then again, you could just hire the right person from the jump with the help of That’s Good HR 😉
Strategies to Avoid Making a Bad Hire
Taking proactive steps to avoid a bad hire is important if you want to avoid the unnecessary expenses associated with repeating the hiring process.
With solid hiring strategies in place, you can lower the chances of bringing in the wrong person for the job.
Here are a few tried and true hiring tips:
Clarify your Job Description
Putting together a clear and detailed job description is everything, if you want to attract candidates who fit both the role and the company culture.
Clearly laying out job responsibilities, qualifications, and expectations, is what creates a strong starting point for deciding if a candidate is a good match.
A solid job description not only draws in qualified candidates–it also acts as a reference during the recruitment process, making sure candidate profiles line up with your company’s current needs.
If you need help crafting a job description that will attract top talent, That’s Good HR is here for you. It’s one of the many things we do best.
Don’t Ignore Interview Red Flags
Being able to identify red flags during the interview process is important if you want to make sure you bring on the right person for the job–the first time.
Things like showing up late, a lack of enthusiasm, or not asking any questions can suggest a candidate might not be the best match.
Interviews are hard work, and behind every application is a human just doing their best. Even the most talented candidates have bad days and don’t always nail the interview. However, overlooking all of the warning signs, especially multiple red flags, can cost you.
Know What You’re Looking For
We can’t emphasize this enough: You need to know what skills and traits your ideal candidate looks like before starting the hiring process.
Outline the qualifications and experience needed for success in the role, so you can focus on candidates who fit those criteria.
We’re always sharing hiring tips over on LinkedIn, or you could just experience That’s Good HR’s award-winning staffing for yourself 😉
Work with That’s Good HR
At That’s Good HR, every step of our hiring process is centered around matching the right candidate for the right job because we know how life-changing it is–for both the company + the employee.
Our hassle-free hiring process ensures that you find the best talent quickly and efficiently.
Here’s how we work:
- We Get to Know You: We believe that the business is personal, and we take the time to understand your specific job recruitment needs, business goals, culture, and staffing requirements.
- We Search for Applicants: Our recruitment team delves deep into our pool of qualified talent, using different recruitment strategies to find the best candidates.
- We Pick the Best of the Best: Our team sifts through resumes, contacts potential candidates, and conducts interviews, so we can introduce you to your top matches (and your top matches only).
- We Listen to Your Feedback: Your input matters to us, which is why we work with you to make sure your desired candidate is hired as quickly as possible.
Partnering with That’s Good HR gives you stress-free staffing solutions that save you time, money, and energy. Submit a job with us today and see the difference for yourself.
Avoid Hiring Mistakes with That’s Good HR
Want to avoid the cost of a bad hire—guaranteed?
Visit our website to experience our hassle-free hiring process and start connecting with the candidates that *actually* fit your organization.