So this was how a recent conversation with my 12 year old son started. “Son”, I said, “You’ll use math all the time in the real world.” (Side note – this is the child who wants to be an engineer and design cars when he enters the “real world.”)
His comment did start me thinking and I have put together some interesting statistics for anyone doing hiring .
If all you do is interview candidates – you’re basically flipping a coin. Statistically – you have a 52% chance of making a good hire. Want to save money? If all you’re doing is interviewing – stop! You’re actually wasting your time. Just hire everyone. Half will make it and the other half won’t.
So you say, “Scott – that sounds stupid”. Yup I agree. By adding the following steps to your screening and hiring process you will significantly increase your probability of making successful hires. (or just call me – we’ve been doing these things for over 20 years and our successful hire rate is over 83%!)
OK, want to increase your odds by 24%? Add a REAL reference check. I mean a REAL reference check – one where you speak to previous employers and actually have a conversation. Getting dates of employment is a waste of time, don’t even bother. I’ve had horrible employees in the past – but if the dates they gave you match my dates, does that make that a positive reference – NO!!!! Adding a real reference check to your screening process increases your odds of a successful hire to 62%. (Note – there are now websites designed to provide positive “references” for candidates – they will say whatever the candidate wants – for a fee. It’s getting harder and harder to get good data on people – so tread carefully).
So – how’d you like to increase your odds by almost 40%? Add personality and behavioral assessments. There are many tests out there at many price points. If you’re losing employees because they “didn’t fit” or “weren’t right for the job” add Personality and Behavioral Assessments to your screening process. This is simple folks – certain personality traits make doing certain jobs “easier” and vice versa. I could write a book on this (hmmm, me on the NY Times Bestseller list…. I like the sound of that!!), but the simple fact is that these assessments (when used CORRECTLY) can significantly increase your hiring success rate. Adding personality and behavioral assessments increases your odds of a successful hire to 69%!
“I want more” – you say? Increase your odds by almost 50% – add abilities (hard skills) assessments. It’s really not hard at all these days to get skills data on your candidates. Tests are fairly inexpensive and are delivered on line. Do me a favor – if you’re not going to call me – please do a skills assessment on each candidate. Adding skills assessments increases your successful hire probability to 74%!!! While some people will lie about their skills outright, others will tell you they’re experts – and honestly believe they are based on the tasks they had to perform on their last job. But, if the skills you need are different thean those they’ve used in the past – your”expert is now a dunce. Spend a few bucks a do a test!!! (Or better yet – call me!).
So, I’ve given you some statistics – now let me put this into dollars. Let’s assume you figure out your recruiting costs to be $3000 per candidate. Based on the statistics above – your cost for each SUCCESSFUL hire then would be:
- Interview Only: $5,769.23
- Interview with Real Refernce Check: $4,838.70
- Interview with Real Refernce Check and Personality Assessments: $4,347.83
- Interview with Real Refernce Check and Personality Assessments and Abilities Assessments: $4,054.05
Implementing these procedures into your screening and hiring process can save you a lot of money – in this example $1,715.18 PER CANDIDATE. If you hired 10 people last year that’s a savings of $17,151.80! RIGHT TO YOUR BOTTOM LINE!
If you’d like to discuss how to improve your hiring process – click HERE and we’ll be in touch. In the meantime, let me know if there’s anything I can do for you.
TriStarr provides temporary and temp-to-hire staffing, professional placement services, outsourced recruiting services and HR consulting services. TriStarr Staffing carefully screens and presents only the top 20% of qualified candidates to our clients. TriStarr Staffing provides unique solutions for your staffing and HR Needs. Whether you need short term temporary employees for a project, or sophisticated Recruitment Process Outsourcing solution, TriStarr has the experience to identify solutions right for your needs. A free HR Audit will provide you with peace of mind knowing your HR Practices are up to date, and in compliance. For more information click here and paste “I’m Interested in a FREE HR Audit” in the comment box.