Hire the Best Employees for Business Success
Entrepreneurs Can Avoid These Six Critical Hiring Mistakes
Nov 15, 2009
One of the biggest challenges an entrepreneur has in maintaining a successful business is to hire the right people for key positions. Most entrepreneurs are accustomed to doing everything themselves when the business opens but, as it grows, bringing in other staff becomes critical.
Hiring the wrong person can be devastating to a business because the owner will often spend more time monitoring and correcting performance than it took to do the work herself. Here are eight mistakes that are often made in the hiring process that can be avoided.
The Interview is Only the First Step in the Process
It is very common to have a great interview with a candidate and believe that the right person has been found for a position. This is not necessarily the case because a candidate’s ability to present himself well does not equate to good perform in general. During the interview, make sure to ask the right questions to get a broad picture about a candidate. Questions need to address issues such as dependability, flexibility, common sense, and good interpersonal skills. If an interview goes well, never skip the other steps in the hiring process such as checking references and criminal background screenings.
Know What to Look for in a Candidate
Analyze the needs of a position and the personal / professional characteristics of an employee that are required. Many entrepreneurs will interview candidates assuming that the “right” candidate will emerge naturally. This seldom happens and the “right” person may end up being “wrong” because of a lack of focus on what is needed in the position. Entrepreneurs must analyze and understand as much as possible about what a position requires and what characteristics are most desirable in a candidate before beginning the interviewing process.
Not Understanding Why People Fail
Many entrepreneurs have owned other businesses or have worked as managers / directors in corporations or businesses. Prior experiences with failed or successful hirings can be very helpful in making correct hires now. That candidate who had a “great personality” but who failed miserably at the position is not an experience to forget. Instead, use the experience to determine what went wrong and how it can be avoided now.
Using Statistical and Personality Tools as the Sole Criteria for Hiring Decisions
Over the past decade, there have been a variety of tools and instruments developed to gauge the strength of candidates for positions. These resources can be very helpful, but only if used as one of many criteria for choosing a new hire. There is no instrument available that can take the place totally of a personal interview. However, they can be used to help frame interview questions and specific areas to focus on during an interview.
Relying Totally on References from Friends, Family Members, or Colleagues
All too often, an entrepreneur will hire someone based on a personal guarantee from a current / former employee, colleague or loved one. This can be a major trap for the entrepreneur because the candidate may not have the professional or personal characteristics or loyalty that the person has doing the referring. A referral of this nature does not justify disregarding other criteria used in hiring a new employee. Always interview, check references and background screenings, and perform every other step established in the process to better ensure that the right candidate is hired.
Never Skip the Background Screening Process
The world has become very complex and it is impossible to know everything about a candidate or to necessarily trust what is communicated about criminal history. There are numerous agencies available that can check a candidate’s criminal background and driving record, both nationally and locally, to determine eligibility for hiring. This is critical information to use in the hiring process because a candidate who lies about her background is probably not a good choice for the position. Also, knowledge of the background screening requirement will often motivate a candidate to be truthful about any past problems when completing an application or during the interview.
Good Hiring Practices Reduce the Likelihood of Future Human Resource Headaches
Establishing a well-designed hiring process is one of the most critical steps to building a successful business, but it is often downplayed or ignored. Hiring mistakes can be very time consuming and costly and need to be minimized in every way possible. An entrepreneur needs to design a hiring process for the business that includes interviews, reference checks, and background screenings at a minimum. It must also be conducted consistently with all candidates to maximize fairness and reduce the likelihood of future grievances and law suits.
Learn about the importance of attitude, focus, and perseverance to the success of entrepreneurs and why cost management is so important to a business’ bottom line. Also, discover how good initial planning can lay the groundwork for business success.
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