Are You Risking Your Business on the Flip of a Coin?

Hiring & Retention of Employees   Written by Mel Kleiman - Word Count: 913
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As part of my employee recruiting, selection, and retention training sessions, I always ask participants to share the difficulties they commonly experience during the hiring process.


The funniest response I ever got was just last month when a middle manager at a large telecommunications company stood up and said: "I interviewed the good twin and the evil twin showed up for work." Everyone in the room burst into a hearty, been there, done that, laugh of recognition.


For the past year, whether I'm talking to the owners of auto repair shops, realtors, or florists, everyone's top concern is how to get good people to apply in this fully-employed economy. The next top two concerns are getting applicants to be truthful and how to tell if the person will be successful on the job.


Unfortunately, hiring mistakes are as much the norm as the exception. In fact, the U.S. Dept. of Labor tells us 50 percent of all new hires quit or get fired within the first six months. Yet, in spite of the costs and headaches associated with employee turnover, most hiring managers continue to rely on first impressions and interviews to decide who gets the job.


The practice is so widespread that a Michigan State University industrial psychologist conducted a rigorous study of the matter. His conclusion was that relying on an interview is only eight percent more effective than if the interviewer had simply flipped a coin! Heads you're hired, tails you're not. Is that any way to choose who will represent your firm?


While there are lots of different interviewing techniques and many types and kinds of questions you could use to improve interviews, I'd like to suggest that before you even start recruiting, that you ask yourself these five questions first:


1. Can you do the job another way or without people? The nation's record low unemployment and our population's demographics tell us the labor shortage will continue for at least the next 10 years, so ask yourself if all or part of the job can be automated. Could it be outsourced? Can any tasks be shared with others in your industry or other businesses near yours? Are you taking full advantage of the efficiencies offered by technology? (Rather than bogging you down, technology should free you and your people to take even better care of your clientele.)


2. Why would anyone want to work for our company? In today's labor market, you have to differentiate your business from every other employer vying for the same job applicants. What do you offer that others don't? What could you offer that others don't?


Most small businesses don't realize the advantage they have over the Fortune 500 in this regard. Due to their smaller size, they can more easily accommodate their employees' increasing needs for flexibility. More and more often, employees are reporting money is no longer an issue while work/life balance is.


3. Would I work for myself? When people have their choice of jobs, not many will stick around where they are unappreciated or treated shabbily. If you're too caught up in the difficulties and challenges of being an owner or manager to show your appreciation to employees, I have two words of advice: Stop it.


Another big part of the equation is fun. Yes, business is a serious matter, but there's no reason it can't be fun. If yours were a fun place to work, you'd be such an obvious exception to the rule that it would be incredibly difficult for competing employers to lure your good people away.


4. How will I know this person is the right person for the job? Well, we already know to cross the interview off the list as a possible right answer. So, how do you find out? You use testing - it's the only way to ensure you get what you need.


The first step is to identify the mental and physical capacities, attitudes, and skills that it takes to do the job. How smart does this person need to be? What kind of physical strength, stamina, and dexterity are required? How will you find out about attitudes like honesty, dependability, and customer service and sales skills? Once you pinpoint what's required, use testing to make sure you get it. Make up some tests or check out the many validated tests on the market like our own HR Test for Managers and Professional.

5. What will I do to ensure the new person's success? Orientation and training are the two obvious answers, but I want you to go beyond the obvious. What are you going to do to keep your new hire happy and motivated? If you don't know, it won't happen.


So, besides coming up with a list of questions to ask applicants, ask yourself these five basic questions first. The exercise will refine your focus, improve the hiring process, and deliver better results.

NOTE: For information about Mel's HR Test, contact Frog Pond Group 800-704-FROG (3764).


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Mel Kleiman is a nationally-known authority and consultant on employee recruiting, selection, and retention. This article is excerpted in part from Mel Kleiman’s latest book, "Hire Tough, Manage Easy." He also serves as president of Humetrics, Incorporated, which provides employee recruiting and selection systems, pre-employment testing, as well as educational presentations and in-depth training workshops. For more informationl,



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Copyright© 2002, Mel Kleiman. All right reserved. For information contact FrogPond at email susie@FrogPond.com.