Is Your Company’s Hiring Process Too Slow?
“It’s not that I need their job. If it takes a week to respond to a resume like mine for a job of this importance, they’re not the kind of company I want to work for. I move fast, and I can already see that my style wouldn’t fit their culture.”
This is an actual quote from a high-demand candidate who dropped out of a search for a general manager position – and it underlines the critical importance of having an efficient hiring process.
Time to fill now averages 44 calendar days, an increase of 50 percent since 2010. And, there’s a high correlation between slow hiring and the resulting negative impact on your company.
How Slow Hiring Hurts
If your hiring process is too slow, it can hurt your business in numerous ways, including:
- Loss of leading candidates: The best talent is only on the market for an average of 10 business days. After 30 days, only the weakest candidates remain available – and if you wind up bringing them on board, you need to add the cost of lower performance on their part to the already dismal results of a slow hire. Unless you speed up your hiring process, you will risk losing the best people to your competition. According to recent research, the loss from missing out on just a single game-changing applicant can add up to a staggering $1 million or more.
- Loss of revenue and productivity: If business-critical positions remain open for extended periods of time, error rates will increase and quality will suffer. You may think you’re saving a few dollars by keeping a job open, but whatever short-term savings you incur will be far surpassed by the damage caused by these “vacant position days.” Depending on the specific job, this could total as much as $5,000 per day.
- The need to pay new hires more: If you’re the first firm to approach top talent with an offer, in most cases, they will accept with minimal haggling. However, if you drag out your hiring process, there will be ample time for other companies to recruit the same candidates. Once multiple firms start to vie for the same talent, salary demands inevitably grow. This is especially true in today’s candidate-driven market. If you speed up your hiring process, you may be able to pay up to 25 percent less than you would after several other organizations place their bids.
- Lower morale: Teammates have to work harder when positions are open. It’s okay at first, but when prolonged, it can lead to stress, dissatisfaction and discouragement about the future. With declining morale comes higher absenteeism, more errors, possible safety compromises and ultimately, higher turnover. None of these bode well for profitability or positive outcomes.
Partner with Frontline Source Group!
Successful recruiting has the greatest impact of all talent management functions when it comes to efficient hiring and increased revenue for your company. Turn to Frontline Source Group to ensure maximum speed and success as you attract, source and hire top candidates. To get in touch with our staffing service in Denver, CO, click here. Contact us to find the branch nearest to you or read our related posts to learn more!