Key Learning Outcomes

Article

For most people managing a small- to medium-sized business, the decision to hire a new employee arises either because the workload has increased due to growth of the business or someone has resigned. Either way, it usually means that, as a business owner or manager, you are busy and at risk of making a rushed choice in the recruitment process. This is why it is essential to have a selection process in place that will ensure you make the right hiring decisions, which will save you valuable time and money in the long run.

Be clear on what you need

Firstly, you need a clearly laid out job description.  This comes from completing the job specification process, outlining what you need to be done and what skills will be required. This will ensure that you are well placed to attract and select the best possible candidate for the role. If you have not completed this step or are unsure, we suggest you first read the other learning articles in this section. Once you are armed with a precise idea of what you need the person to do, and what knowledge, skills and experience are essential in the role, you can start your search.[wlm_ismember]

Attraction strategy

We often hear that good people are hard to find. We agree and therefore suggest that you leave no stone unturned in your search. The following is a list of channels you can use in order to find the largest pool of applicants to choose from.

Internal sources – It is important to consider any options from within your business first.

• Promotion –Is there an opportunity to promote or move someone from within the company? It can be relatively easy to recruit entry-level positions, so promoting from within can be an excellent option. Further, career progression is a proven employee motivation and engagement factor.

However, a word of warning – ensure that the person is ready and willing to take on the new role. Too often we see businesses that do the employee shuffle, only to find that the person was either not ready or really did not want to make the change, leaving the business in a worse situation long term. If you are looking to recruit internally, you should complete a full interview and carefully check that the person has the correct skills to successfully fulfill the role.

• Referral network – Does anyone associated with your business know someone who wants to join the team? This can be an excellent source of candidates as they are likely to already know and respect your business. Don’t forget when you ask for referrals to always ask, “who do you know that might like to join us?” This will always prompt the person to at least think about it. If you ask “do you know anyone who might be interested in joining us”, the person will more than likely answer no.

• Job expansion – Is there a possibility that the tasks in the role will be added to existing roles? We know that adding new tasks and responsibilities can be a motivating factor for employees; however, you need to ensure it is a true job expansion and not the overloading of existing employees with work without recognition, reward or analysis, to see if they can accommodate the additional workload.

External sources – When advertising jobs, ensure your requirements are clear in order to avoid wasting time with unqualified candidates.

• Online – Most candidates will begin their job search on the Internet, therefore it is important that you promote your vacancy through as many online portals as possible.
• Recruitment websites – These can get overloaded with positions so make sure your job advertisements stand out. Investigate any special offers on the site that places your advertisements at the top of the results whenever a candidate does a search.
• Your own website –Visitors to your website should be able to see that you are looking to expand the team. This can be a great source of candidates, in particular those that may not be actively searching but are open to the idea of changing jobs if the right position came along.
• Social media – Sites such as Linked In are designed to take advantage of this growing media.  Let people know that you are hiring in order to spread the word as far as possible.
• Agencies – Recruitment consultants can be excellent sources of candidates. They usually charge a percentage of an annual salary which can seem expensive, but they can save you time given candidates are already shortlisted. In addition, if they specialise in a particular industry, they may have knowledge of candidates looking to make a move, information you would not otherwise have access to.
• Networking – Industry or business networking groups can be a source of candidates or referrals. The important thing is to be an active member and contributor to the group, so that when the time comes, members are willing and keen to help.
• Information nights – Depending on your industry, you may be able to hold regular information sessions where you give information about how to launch a career. We have a client that has an annual intake of trainees sourced from such sessions.
• Window display – If you are in a retail space you may be able to utilise your shopfront to advertise a vacancy. Be sure to make any sign look professional, and steer clear of the handwritten “help wanted” sign!
• Education institutions – These can be excellent sources of candidates, especially if you are looking for someone with knowledge in a particular industry or area. Forming a relationship with these types of organisations can be an excellent long-term recruitment strategy.

Application process

We find that if you have a well-established application process, you will end up with a useful shortlist. It is essential that you make this process clear to potential candidates when advertising and promoting your vacancy. Businesses usually shortlist by getting candidates to fill out an application form, by asking them to submit a resume or curriculum vitae (CV is used in the remainder of this artlice), or a combination of both. The application form customises the information you receive from candidates and allows you to quickly assess whether they possess the skills and experience that you require. Ensure you ask the right questions on the form so you gather the information you need.

A CV is a tool that enables candidates to sell themselves and control the amount of information they include. Candidates present the information in a variety of way, which makes it hard to make direct comparisons.

If you anticipate a lot of interest in a position, you should include a closing date for applications in the advertisement. This not only allows you to plan your time more effectively, but it also tests a candidate’s ability to follow a simple instruction.

Selection process

There are two main components in the selection process: the first is shortlisting the applications; and the second is the assessment process to determine who you will offer the position to. The latter will usually involve at least one face-to-face interview.

Shortlisting

When shortlisting, you will find there are vast differences in the quality and the presentation of both applications and CVs. This can allow us to be distracted by how things look rather than the information provided. We find it useful to create a checklist of your essential requirements, then run through each application and tick them off. You will end up with two piles: one has candidates who have the essential skills and knowledge, and the other has candidates who don’t. No matter how good a CV looks, it is important that you focus on the candidates who have the essential skills to ensure you make the best possible hiring decision.

Refining the list

Next, go through the pile of candidates that passed the first stage and start to read the CV a little more and think about the type of position you are filling. For example, if you are looking for someone with an eye for detail, then you will probably reject candidates who provided documents that contain spelling or grammatical errors. Have a look at the cover letter, if there is one. Is it generic or has it been tailored to your company? If the latter, it shows that the candidate has put some extra thought and care into the application, which may place them on the shortlist.

Shortlisting for interviews

Many of our clients ask how many people they should shortlist for the interview stage. There is no right or wrong answer. When you are hiring someone to work in a small- to medium-sized business, every decision is important, not just from a cost point of view but also in terms of how the person will fit with the culture of your company. We believe that if you interview too many candidates it can become confusing. We suggest you start with three or four of the candidates that look best on paper. Then if you do not find the right fit, review the shortlist for other candidates you could consider. If you have a large number of candidates that meet your essential criteria, you might like to start with a telephone screening process. Talk to each candidate and ask them a few screening questions, and then shortlist from there.

Assessment

When it comes time to interview the candidates, you need to remember it is a two-way process. You need to sell yourself to the candidate just as they need to sell themselves to you. Follow these tips to ensure you are not discounted as a preferred employer due to a poor interviewing technique. You will find some additional learning articles related to interviewing techniques in this section of the website.

• Remember we have two ears and only one mouth. You will learn more about the candidate if you let them do most of the talking. Practise active listening skills to ensure that you retain as much information as possible to use when making your final assessment.
• Ask open-ended questions to get the candidate to talk more freely. Avoid questions with “yes” or “no” answers. Instead start questions with “what”, “when”, “how”, “why” and “where”.
• Use phrases like “tell me a little more about that …” or “can you explain that to me”. This is a way to clarify facts or gather further information, and it shows the candidate you are interested in them.
• Give the candidate an opportunity to ask questions. Too often employers fire off all the information so that there is nothing left for the candidate to ask.

On-the-job testing

Depending on the role, you may want to see the candidate in action. Some businesses ask the candidate to do an on-the-job trial to ensure they will be a good fit. When interviewing, ask for examples of times when the candidate showed a particular skill or strength. For example, you may want someone who can deal with a pressure situation; it is one thing for them to tell you that they thrive on pressure; it is another to be able to give you an example of where they felt they excelled in a pressure situation. You may also want to do some skills-based testing if a particular skill or knowledge is required to get the job done. For example, if you need the person to be proficient at Microsoft Word, ask them set up a document to show their level of proficiency.

Reference checking

The final step in the assessment is to check references. Too often we hear of companies that employ people without checking references or qualifications. The argument is “well they would not give me the reference if they were not going to say nice things”, and this is true. It is important to delve a little deeper – is the referee the right person to talk to? Make sure you clarify the relationship and if you do not get the answer you need, call the candidate and ask for the name of another referee you could talk to.

Second interviews

At Absolute Best we like to conduct more than one interview. The second interview is an opportunity to gain further insight into the candidate and how they may fit with your business. Have they thought of more questions since the first meeting? How do they feel about the role? What do they think they will bring to the business? It is often a good idea to arrange for someone else in the business to meet and interview the candidate, as they may learn something you missed.

Making the offer

Once you have made a decision, the final step is to offer the candidate the position. Employment laws differ from industry to industry, state to state and country to country. You need to ensure that you are operating as per the regulations specific to your situation. If you have any doubts, you should seek advice from your accountant, solicitor, industry body or relevant government department.

Contracts may need to be signed and medical appointments carried out prior to the employee’s first day – this requirement varies across companies. It is important to make this process as simple as possible for both you and your new team member. A new employee checklist is an excellent way to ensure all steps are completed in a timely and consistent manner.

It is essential to work with the new employee to ensure that their orientation into the business is as smooth as possible. Our learning article on orientation will help you design a process that is suitable for your business.[/wlm_ismember]

[wlm_nonmember]Would you like to see the whole article?

Would you like to start driving positive changes in your business? Would you like to see increased productivity and profitability? Of course you would!

As part of our commitment to being a low cost yet highly effective service to help owners and managers of small to medium sized business, we are now offering the first month of your membership for just $1! This means you will get full access to all of the learning articles, tools and tips that our website has to offer and with a commitment to upload at least another 150 learning articles through 2015 there is also plenty more learning on the way. On top of this you will also receive our weekly newsletter to keep you updated on new learning for the week and much, much more!

You can cancel at any time, however, if you see the value in what we’re offering (and we’re sure you will!) your membership will automatically continue after your trial at the low cost of just $19.95 per month. So what are you waiting for? For just $1 you are getting full access to all of our content for 30 days risk-free, so come on and join our community today![/wlm_nonmember]
Success is giving it your Absolute Best!