The executive recruiting process is typically stringent. So how is it possible that many companies make poor executive hiring decisions? For reasons including the following:
- A need to fill the job quickly
- A lack of talent intelligence
- Poor sourcing techniques
- A lack of recruiters to help in the process
- Not checking references
- A weak employment brand
And if you think the problem isn’t widespread, think again. According to The Economist, unsuccessful hiring is “the single biggest problem in business today.” The Harvard Business Review states that as much as 80% of employee turnover is the result of bad hiring decisions.
So what do bad hiring decisions cost? Due to the many variables involved, there is wide disparity about what it can cost your company. However, according to the U.S. Department of Labor, it costs, on average, one-third of a new hire’s annual salary to replace him or her. Those costs increase the higher up in the company the turnover occurs. And in fact, it can total in the millions of dollars if that person is the CEO.
As leading executive recruiters in Sacramento, CA, Pacific ExecSearch knows preventing executive hiring mistakes at your company is key to avoiding the costs above. To help you in the process, here are a few ideas to consider:
- Define your ideal candidate. The first step in the hiring process should be to develop a thorough understanding of what you’re looking for. To do so, profile your ideal candidate by defining not only the basic credentials required for the position, such as number of years of experience, but also the personality traits that are right for the role and your company.
- Target your search. Don’t look to big job boards to find high-level executive talent. Instead, look to your network, professional associations, and even your competition to find exceptional people.
- Spend time preparing for the interview. Develop thoughtful questions that will help you to effectively uncover important details about each candidate’s background and whether they’d be the best fit. Follow up and keep asking questions until you get the information you need. Don’t forget to ask behavior based questions, which require answers based on actual experience.
- Avoid hasty decisions. Focus instead on finding and assessing the best candidates. That means multiple rounds of interviews, reference checking, verifying credentials and performing any other testing that will enable your company to make smart hiring decisions.
Would you like expert help finding your next executive level hire? Call Pacific ExecSearch. Our team of experienced executive recruiters in Sacramento, CA has the knowledge and proven processes in place to help you attract, evaluate and ultimately hire top leaders for your senior level opportunities. Call us today to learn more.