“Transcendent” means extending or lying beyond normal limits. According to LeadershipIQ, 46% of new hires fail within the first 18 months of employment. As a company, if we were only 54% successful in providing our product or service, would we still be in business? This affects company growth, and more importantly, the bottom line. To put this into perspective, an employee making $24,000 a year will cost his or her employer $4,000 by leaving that company. For managers and executives, the turnover cost is even more magnified, ranging between 30%-500% of that person’s annual salary.
Those are the harsh realities of turnover. Now let’s talk about how we can make our hiring transcendent. The first step in improving hiring is attracting the best talent. We can do this by treating our job advertisements more like marketing material. Try using a video or infographic to attract these great candidates. The top candidates searching for a job want to be inspired and intrigued to work for your company.
Next, we need to eliminate hiring biases. Over 82% of hiring managers agree that biases factor into their hiring practice, many of which are not able to be directly articulated by the hiring manager. The four most common hiring biases are: 1) overconfidence; 2) halo effect; 3) similarity attraction; and 4) confirmation bias. Are you guilty of any of these? Although it is not always considered a bias, in a recent survey we found that when recruiters and hiring managers look at a resume, they immediately gravitate to the education section of the candidate’s resume. Education is only a 1% predictor of workplace productivity, and GPA is only a 7% predictor. So it seems we focus way too much on factors that have no bearing on true workplace performance.
As we move toward making our hiring transcendent we need to consider the top two predictors of workplace performance: behavioral and cognitive ability. Good news! Both of these traits/abilities can be measured with the Predictive Index. This assessment takes just five or six minutes, and provides insights into the candidate’s inherent behavioral needs, allowing you to maximize job productivity. Using the assessments at the beginning of the hiring process will help make your hiring process more objective, along with saving you money, by not interviewing candidates who are not a match for the position or the company.
To further elevate your recruiting/hiring process, use structured interviews, where the same people ask the same questions to each candidate, relative to that particular position. The result provides you a numerical grading system to quantify the answers.
In short, to achieve transcendent hiring at your company, start by creating job ads that inspire people to work for you the same way a good sales ad causes customers to buy from you. Be sure to eliminate biases throughout the hiring process, set behavioral and cognitive job targets, then assess candidates using behavioral and cognitive assessments. Finally, use a structured interview process to make the process more quantifiable.
Mark Franklin is a Predictive Index Certified Trainer and Analyst.