of any organization depends on its people. Employees are a company’s greatest
asset—and that asset must be managed to yield positive results. At Sage, we call
this the Return on Employee Investment, or ROEI. This guide provides tactics
and tips to help you improve the effectiveness of your company’s recruiting,
hiring, and onboarding processes.
Plan to succeed
right people is critical to helping your organization achieve its mission. The stakes
are high; a bad hire can be very costly. In tangible terms, the cost of
recruiting, onboarding, and training the wrong person, followed later by
termination and another round of recruiting, onboarding, and training, can cost
a company as much as three times the first year’s salary for the position. But
it’s more than that. The wrong hire can disrupt productivity, sour the attitude
of a team, or even cause turnover of other valuable top performers. The best
way to minimize the odds of making a bad hiring decision is to start with as much
information as you can gather and create a solid plan for success. Understand the
objectives of the organization, its culture, and the working dynamics of
current employees. Work with hiring managers. Plan a smooth recruitment
process—for both internal employees and applicants.
To plan for successful recruiting:
• Know your
company and its people. Really get to know the people in your organization. The
better you know your company’s products or services, processes, and
employees—the better you can predict how a prospective candidate might fit.
• Meet with
the hiring manager. Find out what the hiring manager thinks is needed for success
in the position and what types of people he or she likes to have on the team.
• Do your
homework about compensation. Know what competitors are paying for similar
positions and the upper limits that your company could offer a top-tier
success factors. Determine what qualities an employee will need in order to be
successful in this position. These qualities may or may not be listed n your
published job description. For example, “can work around big egos” or “holds up
under intense pressure” may not be in your advertisement but might be critical
Look inside the organization
Are there talented, enthusiastic employees within your organization who are
ready for a new challenge and greater responsibility? The best recruit for the
job may be right down the hall. Do you encourage employees to pursue career
paths within the company? Current employees are the most frequent source of
hire for any open position, filling nearly 42% of job openings.2
Create an employee referral program
make good recruiters, too. In fact, roughly one out of four new hires is a result
of a referral by a current employee.3 Who has a bigger vested
interest in the success of both the candidate and the company than your
employees? Referrals are usually friends or close professional colleagues, so
your employees want to make sure the job would be a good fit. And if the
candidate is qualified for the position, your employee will help you sell him
or her on coming to work for your company. It’s a win-win.
creating an employee referral program:
• Write down
and communicate the rules.
the benefits or compensation structure.
• Keep it
simple—don’t make your referral process difficult or time consuming.
to thank employees for their referrals.
• Track the
costs and results of your referral program and compare it to other sources of
Embrace social media tools in your recruiting
is expanding the tool set available to recruiters—empowering you to quickly
connect with a greater number of professionals. It’s clear that this will
become an increasingly important tool in the recruiter’s arsenal. A recent
Aberdeen Group survey demonstrated that 68% of “best in class” recruiting
organizations think social media is “critical” to their recruitment strategies.
4 However, at present, recruiters only attribute about 3% of hires to
very popular with recruiters and enables you to network with people you know,
as well as two degrees of your colleagues’ contacts. Your company’s Facebook page
and Twitter account can help quickly spread the word about new job openings. Recruiters
also use social media to reach out to passive candidates—employed individuals
who are not actively looking for a new job. Recruiters can scan social media profiles
and blogs to learn more about potential candidates’ backgrounds, skills, qualifications,
Don’t neglect tried and tested recruiting tactics
explore what social media can offer your recruiting process, don’t cast aside tried
and tested sourcing methods. Continue to attend face-to-face networking opportunities,
industry trade events, and recruiting fairs. You’ll still want to advertise online
on job boards; nearly one in five new hires finds organizations through job boards.
Indeed.com currently produces the most hires by aggregating job postings from
many other online job boards. Indeed produces about the same percentage of hires
as Monster, CareerBuilder, and Simply Hired combined.6 if your
organization needs employees with special certifications or a lot of industry
experience, you might also want to try out specialty job boards and
industry/trade association websites.
Organize effective interviews
more frustrating to candidates or hiring managers than an unorganized interview
process.7 After all, the interview is the first impression for both
parties. It’s not only a chance to assess the candidate; it’s also the
candidate’s chance to observe your corporate culture. Both potential employer
and employee should walk away from the interview knowing if they are interested
in continuing the conversation.
At least 42%
of companies now employ virtual, video conferencing interviews in the recruiting
process. Often conducted by Skype, these interviews can replace first-round interviews
that used to be conducted by phone or in person. It’s a great way to screen applicants
without either party’s incurring the expense of an in-person interview. Since
so much of communication is visual, a video interview offers interviewers a big
advantage over a telephone interview.
of the interview format, remember that an interview should feel like a waltz,
not a square dance. Much like dancing, an interview can be awkward and stilted
or flow smoothly in conversation. Is your interview process like a finely choreographed
waltz, engaging the candidate and giving him a chance to whisk you off your
feet? Or is it more of a chaotic square dance, forcing candidates to turn in
endless circles as one interviewer after another asks the same tired questions and
receives the same rote answers?
orchestrate more effective interviews:
interview questions. Though some of your questions can be about specific skills
for the open position, make sure many questions probe qualities and attributes that
reveal how a candidate works and how he would fit into a particular work group and
the overall company culture.
that each interviewer has different questions to ask.
points of comparison by asking every candidate to answer the same core set of
five to ten questions.
in groups. How better to see how a candidate contributes to a team than by
having several interviewers meet her at once?
Strive to be an employer of choice
the goal of any HR department should be to help their company become an “employer
of choice.” It’s not easy and doesn’t happen overnight, but any company can
build a reputation as an employer of choice. You’ll need leadership and vision
at the top of the company and active effort from everyone. But the reward is
worth the effort—employers of choice tend to have more engaged employees and
better recruiter results.
build it, they will come.”8 It’s easy to recruit the best and
brightest if everyone knows your company is an excellent place to work. Like
Kevin Costner’s “Field of Dreams” attracted baseball fans from far and wide,
your company will draw in top talent from across your industry.
big ideas from employees.
• Listen to
and give out constructive criticism.
their employees opportunities.
• Create a
positive, enthusiastic work environment.
• Hire and
train great managers.
willing to try new things to improve employee engagement.
Take advantage of technology
stay busy because they are always recruiting—at work, during social gatherings,
and everywhere else. Your success as a recruiter hinges on your spending more
time with people than paperwork. Take advantage of software solutions, including
a Human Resource Management System (HRMS) and a recruiting tool. Streamline job
posting, resume collection, and background checks as much as you can so you can
focus on the human aspects of recruiting, including relationship building,
interviews, and negotiations. Have a system in place to track applicants through
the recruiting and hiring process and bring any new hires smoothly on board.
recruiting solutions can help you:
• Create job
Automatically route resumes and hiring paperwork to managers for approval.
• Post job
applications and resumes online.
candidates with assessments.
• Search for
candidates based on skills and qualifications.
offer letters and onboarding forms.
records for compliance with employment laws.
Hire for attitude; train for skills
candidate with the right work ethic, brains, and attitude may be more important
than specific skills. The technology in use today at your organization may not be
used next year. It may be more important that the candidate chosen is a good
fit for the team and the company culture. Specific skills can be obtained on
the job or through outside education, but a personality rarely changes. So if
you find a winner, make the investment in training.
10 Maximize the
success of new employees
recruiting process may be over when the offer is accepted, but that’s not the
last step to building a better workforce. A smooth onboarding process will help
an employee get acclimated, trained, and productive as quickly as possible.
impressions matter—both to the new employee and to his or her supervisor. The first
days or weeks of employment can be a major influencer of an employee’s success (or
failure) down the road. Your onboarding process needs to support new hires so
that they do not feel stressed, overwhelmed, or alone as they begin their work.
Likewise, give an employee adequate training so that the supervisor perceives
him or her as confident and competent from day one. A well-planned onboarding
process can leave a positive first impression those blossoms into a lasting,
productive work experience.
As a recruiter, you
are an architect of your company’s future—building the workforce needed to
create innovations and outsmart the competition. Just as the right people can drive
a company forward, the wrong hires can disrupt morale and hold a company back.
company’s recruiting, hiring, and onboarding processes. Find things that aren’t
working and eliminate them. Try some of the ideas in this guide, measure your results,
and keep making improvements.
employer of choice, and you’ll find that the brightest talent in your industry will
be eager to join your team. HR leaders should work with the executive team and middle
management to foster a workplace with good supervisory skills and plenty of new
challenges and advancement opportunities for employees.
Return on Employee Investment (ROEI) can make the difference between a thriving
company and one that struggles for survival. Effective recruiting and positioning
your company as an employer of choice can lower recruiting costs, produce
stronger candidates, and increase your company’s ROEI.