Is Your Hiring Process Costing You Talent?
In India, the attrition rate, that is, the pace at which employees leave a company, stood at 20.3% in 2022 compared to 6% in 2020, as per the survey conducted by global professional services firm Aon Plc. This highlights the increase in the number of resignations over the years. Hiring the right person for the job is a long and tiring process for employers, even more so for job seekers, as they lose patience with the ever-cumbersome recruitment process. The race to hire the perfect candidate is leaving many companies struggling to find the talent that they are looking for in the humongous pool of job seekers. It is even more distressing for companies when talented candidates choose not to work with them after going through their hiring process. It is time for you to ponder if your hiring process is costing you talent.
How Is Your Hiring Process Costing You Talent?
Hiring is the process of finding, selecting, and hiring new employees for a company. It starts with identifying your requirements and goes on till onboarding the selected candidates. Ever wondered how your hiring process might be costing you top talent? Keep reading to learn more about some crucial factors causing you to lose exceptional candidates:
1. Overlooking existing employees:
On average, it takes around 2 years for a replaced employee to exercise the same level of productivity as the previous employee. Employees who are currently working with the company are already trained in various processes of the company and are aware of the business of the company. Overlooking the current employees by not promoting or altering their roles and searching for new candidates leads to a lack of morale among the present employees and additional costs for the company.
2. Lack of clarity in requirements:
Unclear Job descriptions are a very common poor hiring practice. This leads to a disconnect between job seekers and hiring managers. Also, unrealistic requirements from the job seekers, such as requiring experienced candidates for a minimal salary, do not sound appealing and are a huge red sign to the talented candidates about the company.
3. Interview process:
Another reason for losing good candidates is out-of-date interview procedures which are a huge put-off for job seekers. Also, taking too long between interviews to communicate with the job seeker about the status of his application makes a candidate look for opportunities elsewhere.
4. Slow Recruitment process:
Candidates lose interest when the recruitment process is too slow and takes too long. A company with a faster response time could get its hands on these in-demand talented individuals before you. A slow recruitment process gives a bad representation of the employer, and top candidates do not prefer to work with such companies.
5. Onboarding experience:
Onboarding is introducing the employee to company culture and preparing them for their job. A study stated that employees with bad onboarding experience are twice as likely to leave and explore new opportunities quickly. Employees often quit their jobs within a few months of being recruited as they assess their choice by comparing the company culture promised during hiring with the one that they experience after being recruited.
6. Limited growth opportunities:
Gone are the days when employees worked to get paid. They are more concerned with the growth opportunities offered in employment. When choosing to work with a company, employees usually pay special attention to how the organization can help them advance their careers and the career growth opportunities it can offer. Thus, if your organization fails to provide a clear idea of the growth opportunities it can offer, you will lose qualified candidates.
Formulate an effective hiring process to avoid losing talent
The need for a well-planned and organized hiring process has never been more important than now, and the above-mentioned factors stand witness to the same. Create a hiring process with the following in mind to help employ and retain top talented individuals:
1. Promotion or transfer of current employees:
Promoting or transferring the current employees helps a company by making it easier to find talent to refill the lower-level jobs rather than the senior-level ones. It provides the advantage of making the recruitment process efficient as hiring talents for entry-level roles is comparatively easier, and the work processes are more streamlined as senior employees can train the new hires effectively with their experience.
2. Clear job descriptions:
Being clear as to what you want from the job seeker and a proper job description is the key to providing clarity on the same. List out your expectations and requirements in a precise way but not too strict enough to scare off the candidates.
3. Streamline the recruitment and interview process:
Find ways to implement a quicker recruitment process by automating or outsourcing the hiring process. Keep in constant contact with the candidate throughout the recruitment process and provide them with neutral feedback about their performance in the interview process.
4. Strong Onboarding process:
Exposing the candidates to the company culture at every step of the recruitment process helps in hiring a candidate who is a good fit for the role. A company with a great onboarding process improves new hire retention to a huge extent.
5. Value to the employee:
Employees want to work in a place that promotes their learning and growth. Companies should invest in employees by offering them professional courses or providing them with a chance to learn relevant skills.
With resignations comes a much greater responsibility for the companies to fill the vacancies sooner before it could affect the productivity of the company. However, recruiters should not compromise quality to deal with the urgency of filling the positions. Employers should look into their recruitment process to assess if the process is costing them to lose top talents due to various factors. Recruiters can look into various aspects of the hiring process to make sure the process is streamlined and to recruit exceptional talent and retain them.
Q. What does a hiring process represent?
The hiring process represents the sourcing, choosing, and hiring of new employees in a company. Planning, recruitment, and employee selection are the three main phases of this process.
Q. What are the common mistakes in hiring talent?
Some of the common mistakes in hiring talents are:
- Lack of preparation for the overall process
- Resisting the use of technology
- Not conducting phone interviews
- Not pre-screening the candidates properly
- Not checking the references
Q. How can your hiring process cost you talent?
Some of the ways your hiring process is costing you talent are:
- Unclear job descriptions
- Slow recruitment process
- Inefficient interview process
- Limited growth opportunities in the organization