Thursday, February 3, 2011

How to Hire the Right Staff

Bringing a new employee into an SME business is a highly risky but unavoidable element of growth.

The perfect hiring decision can be a quantum leap for your business. The wrong decision can be costly and potentially damaging.

Subjectivity on the part of the business owner is often the main reason hiring goes awry: They want to find a carbon copy of themselves, and they believe that the new person will have the same level of passion for the business as they do themselves. In addition, they are not skilled at interviewing and selection and take decisions based on gut feel rather than using a structured process.

Worse even: Bob the neighbor’s daughter’s husband needs a job and because he only wants a little bit of money, he gets hired with no regard for what he can actually DO until he alienates the best client or runs off with the safe!

Reduce the risk of hiring the wrong person by taking these steps to develop a rigorous selection process and ensure objectivity:

1. Have a clear plan
  • Understand clearly why you are recruiting. What are your desired outcomes?
  • Which skills will complement you and your business without replacing yours?
  • How do you want those skills to be applied to achieve desired outcomes?
  • How will you remunerate the person?
  • How will you determine whether the desired outcomes have been achieved – What will success look like? 

2. Write a job and person specification
Documenting your plan will act as a route map. It will inform potential interviewees and keep the interviews on track. It can also act as an induction document and form the basis for future discussions with the employee once you have made an offer. It specifies particular duties, targets, working hours and anything else you want to include (as long as it is legal!)

3. Find a good candidate pool
Never make an offer to the first person you interview without at least a comparison. Get a list of potential candidates before you start the interviewing process. This will help keep you objective and give you choice. The wider the candidate pool, the better the final selection is likely to be.

4. Interviewing is an art
Interview the applicant list and invite the best ones back for a second interview and another screening opportunity. Prepare a list of open questions, based on the job description, to probe skill areas. Ask everyone the same questions, and ask for evidence or examples to back up claims. Consider gaps in CV time scales and refer back to the job description to keep you on track. Be objective by using a scoring system based on your selection criteria in the job spec – Remember that the applicant who talks the most is not always the one best suited for the job!

5. Never, ever hire without checking references
This is where so many hires go wrong: Ask for references and follow them up with a phone call. You are under no obligation to make an offer to anyone until you have done the necessary due diligence.

Guest post by Cathy Richardson FIRP DipRP, an independent Recruitment Practitioner who assists SME businesses to grow through applying successful and efficient processes. For more information visit the website http://www.cathyrichardson.co.uk/ or email cathy@cathyrich.co.uk for more information