Hiring new staff is expensive. Hiring twice for the same position is doubly expensive, that’s why you MUST get it right first time. Advertising, short-listing, interviewing, offers, inductions, exit interviews for incumbents, every stage costs precious time and money; the fees quickly add up (according to the CIPD, average recruitment costs to fill one vacancy are £4,000), and with many markets experiencing skills shortages, no one can afford to get their hiring wrong.
There has never been a time when recruiting top performers and making sure they stay is so important. But the hiring doesn’t stop the day your new employee is sitting at their desk – now the hard part starts – the more enriching a new starter’s induction (and beyond) is, the greater the chance you will retain them as a loyal employee. Welcome to the post-hire experience.
What is the typical post-hire experience? That very much depends on the organisation, but what is true of every hiring company is that the post-hire experience starts with the interview process. This may sound a little confusing, but a new employee initially forms an opinion about their new employer shortly after they submit their CV for the job advert. Was the application and interview process smooth, well-organised, with solid communication throughout? Did the candidate know about every stage of the interview process and were they happy with the manner that their selection was undertaken? First impressions count and are carried long into a new employee’s probation period and beyond (remember, a company is on probation as much as a new employee). Beyond first impressions, it’s about building relationships. Personality plays a big part, so don’t be afraid to let yours show to truly enrich the post-hire experience.
Let’s jump forward a little. Day one, your new employee sits eagerly awaiting instructions at their desk. Have you provided all the tools you’re new employee needs? Is there a shiny new laptop waiting for them, or a crappy old desktop that will “make do” until something better is ordered? Does your new employee know what’s expected of them? Have they been introduced to the rest of the team? Have you set clear goals? Have they been brought up-to-speed with what is and isn’t acceptable in your office environment? This is the important stuff that many companies overlook (inappropriately plan for). Introduce them to your intranet, teach them about the company culture and show them the awesome things your organisation does. Selling your company should never stop at the interview. We live in fickle times and people have itchy feet. If you don’t already have one, introduce a buddy system to help integrate new staff. If your newest team member feels included, informed and an integral part of their new team, you will retain happy, engaged and loyal members of staff. Getting it wrong by poorly executing an induction will quickly result in your new team member looking for alternative employment.
The millennial generation are potentially the most fickle of all target employees. Graduates are one of the hardest demographics to retain in the the first year. In 2014 the CEB, an insight and technology company, published a report that showed almost 25% of millennial graduates left their first job within the first year. When you consider that £900million is spent recruiting them (CEB study), that’s almost £225 million wasted annually recruiting graduates that won’t stay. Who can afford to waste that sort of money?
In 2014, Unum, economics and employee benefits experts, conducted a report on the cost of hiring a single member of staff. The average replacement fee for a professional is £30,614 – £5,433 in fees and advertising, the remainder (£25,182) is the cost of a new employee before they reach their optimum level of productivity (typically three months). If the average employee costs £30, 614 for to replace, why would you do it twice?
Finally, always remember that your staff are your biggest assets and your biggest advocates. Happy team members bring talented people with them, massively reducing your cost-to-hire. The total levy to UK businesses for staff turnover is estimated at £4.13billion per year. This is a staggering sum of money and perfectly highlights the importance of the post-hire experience. Hiring twice is costly, get it right the first time, retain happy employees and save a small fortune.