Small business is often described as the backbone of the nation’s economy and for good reason. In Canada, for example, 43.8% of the nation’s total workforce is employed by small businesses.
Small business growth is key to expanding the economy, and hiring the right people is essential to small business growth, yet many small business owners lack expertise in the recruiting and HR fields.
Hiring mistakes are costly, having a far bigger impact on the bottom line than many imagine. Studies estimate that replacing a salaried employee costs six to nine months’ salary on average in recruiting and training expenses.
This figure climbs much higher in the case of upper level and executive positions.
Consider the costs in time and resources of advertising, screening and interviewing candidates. Next calculate the impact of devoting resources to onboarding and training, along with the opportunity cost of reduced productivity while a new hire is getting up to speed.
The inevitable changes in customer relationships and workplace culture due to employee turnover take a toll on your bottom line as well.
So what’s a small business owner to do? Before you make another hire for your small business, here are four things you need to know:
1. Figure out what you need
Before beginning the search for candidates, determine exactly what you need in an employee. Of course this process begins with a detailed and accurate position description but don’t stop there.
Outline not only the daily tasks, monthly objectives and key performance indicators for the role but consider what other factors may contribute to an employee’s success. What skills must they possess? What skills are they expected to develop on the job?
Does the role require an extroverted personality who is good at fostering relationships with team members and customers or are the work and the workplace environment best suited to a quiet, independent worker?
Setting detailed and realistic expectations at the beginning of the hiring process will help you attract and select the right candidates for the role.
2. Get the word out
Reaching potential hires has never been quicker or easier than in our digital age.
Job search sites such as Indeed.ca make the process easy by promoting your job posting to millions of potential applicants, and allowing you to find candidates with targeted searches segmented by education, title, skills and more.
Don’t overlook another powerful tool at your disposal – you own network of coworkers, business partners, customers, family, and friends.
Some of the best candidates are found through word of mouth so let people know you are looking and share job postings on your social media channels and networking sites such as LinkedIn.
3. Analyze your applicants systematically
Web-based job search sites can be both a blessing and a curse.
Sure, the high volume of candidates you can reach increases your chances of finding the perfect person for the job, but only after combing through the high volume of resumes you will likely receive.
Develop a system for analyzing applications, beginning with a few basic yes / no criteria to help you whittle down the pile and streamline this very time-consuming task.
Next develop a ranking system in order to prioritize the list of qualified candidates and help determine which ones you should interview in person.
Which factors, skills, and experiences do you think will contribute most to their success in the position?
4. Ask the right questions
The in-person interview is one of the most important – and potentially under-utilized – steps in the hiring process.
All too often business owners simply use the interview as an opportunity to confirm the details of work history and experience a candidate has already provided on their resume.
You need to know more. How well do they handle pressure and conflicting priorities?
Will they fit in with your existing company culture? Do they enjoy a strict routine or would they be more productive in a role where no two days are the same?
Use the in-person interview to assess factors critical to an candidate’s success in the role which simply can’t be captured on an application form or resume.
There is an easier way
By now you’ve probably realized that most small businesses simply don’t have the time, resources or expertise to make informed hiring decisions.
But there is an easier way; MyHiring.Guru was designed specifically with the hiring needs of small business owners in mind.
The simple to use web-based platform incorporates years of scientific research, predictive analytics, and cutting age artificial intelligence to help you find the right fit with just a few clicks.
The platform not only posts your job online, but pre-screens and ranks applicants by assigning each one a scientific “Fit Score” which predicts their likelihood of success in your specific role.
The program even prepares an interview guide and custom interview questions for you to ask each candidate.
Let MyHiring.Guru take the work out of hiring and allow you to focus on what you do best – running your business.