Introduction
Hiring new employees can be both time
consuming and costly for businesses. Not only must businesses work to retain as
many hard-working personnel as possible, they also work to make good hiring
decisions to avoid a loss when it comes to the training of new hires. There are
certain qualities companies look for when hiring new employees, which often can
be discovered in the first interview.
1. Long Term Potential
Turnover can be expensive given the
investment in training new employees, and businesses do not want to hire
someone who does not have potential as a long-term hire. Recruiters should look
for traits of commitment and longevity in an interviewee’s resume. For
instance, a candidate with a graduate degree or multiple certifications would
indicate a passion for pursuing learning, professional growth and long-term
advancement opportunities.
When interviewing candidates, prompt
them to speak in detail about their past. Supporting a growth strategy in your
organization is much smoother when new hires come in with proven track records
of producing solid results. Allow new hires to boast about previous successes,
and ask for details into how they reached various career goals. Hiring managers
should look for enthusiastic candidates eager to push the envelope and possess
personal drive toward future achievements.
3. Enthusiasm and Passion
Look for candidates who are enthusiastic
and passionate about what they do. Their successes should shine through during
the interview. People who love the work they do often stay at companies longer
than people who work for the sake of the paycheck. Enthusiasm is a great trait
to possess for a new employee; enthusiastic and outgoing employees are often
useful to a business because they are likely proficient when it comes to operations
management, enterprise resource planning, and healthcare management.
4. Putting Skills to Action
Some hiring managers may request potential new
hires to complete a task or work on a project to better illustrate their skill
set. An employer wants to find a candidate who is self-motivated, excited to be
an active participant in company efforts, and willing to put in the extra
effort to achieve success in the business. Candidates who keep their composure
while simultaneously showcasing their problem-solving skills are
often better prepared to work well under pressure and responsibility that might
come along with the job.
When interviewing a candidate, it is important
to measure their “fit” in two distinct ways. First, consider their fit for the
position itself based on their knowledge, skill capacity and overall abilities
to successfully perform the required functions. Second, measure their fit for
the organization as a whole by envisioning how they would personally “fit” into
the company culture. Employees who feel successful at their position and have a
sense of belonging at the company will often stay longer.
6. Team Player
In many situations, employees will have
to function with fellow coworkers on a project. Even if a job requires most
tasks to be completed alone, there will be times when employees will have to
work together. Recruiters and hiring managers usually ask potential hires about
how well they work as a team and what type of work environment they prefer.
Some employers may even bring applicants in for a group interview to see how
well they interact with a number of people already on staff.
7. Ambition
Businesses want to hire motivated and
driven people who will go above and beyond what is asked of them. Ambitious
employees work hard to do the best they can in their position and often think
of ways to improve their work and be more efficient, making it a great quality
for an online HR graduate to have. An employee, who possesses these
traits, is sure to have a greater chance of being considered for more
challenging positions once the opportunity arises.
Hiring managers will also look for
honesty and integrity during the interview. When receiving a compliment, it is
commendable for candidates to share the credit with fellow employees that
helped them succeed. Appreciating other employees will strengthen both the
group and individual morale, which builds and reinforces a trusting
environment. Hiring managers should look for self-assured, confident employees
who take credit for their work, while also recognizing the efforts from the
whole team involved.
9. Responsiveness
Being intently responsive shows respect
and courtesy towards the hiring managers, a candidate who thoughtfully responds
when being addressed, politely greets others, says “thank you” and “you’re
welcome,” will set the applicant apart from others who lack proper social
interaction skills. It is also a key indicator of how they will interact with
peers and customers once in the position. Treating people respectfully will
yield better business results in every aspect of a company, especially when
dealing directly with clients.
Candidates who make a good first
impression will set the right tone for the interview. Their actions can create
lasting impressions during those all-important first encounters. Common sense
is key: dress appropriately for the interview and be on time. Similar rules
apply for the interviewer. Are you setting a tone that accurately reflects the
true nature of the organization? Making a positive first impression is crucial
for all concerned.
In order to run a background check on an
employee, you must have their written consent before you request a report. It’s
smart to use a third party service to run the report. According to Privacy Rights.org, a background check
can help you discover information like:
- Driving records
- Vehicle registration
- Credit records
- Criminal records
- Social Security no
- Education records
- Court records
- Workers’ compensation
- Bankruptcy
- Character references
- Medical records
- Property ownership
- Military records
- State licensing records
- Drug test records
- Past employers
- Personal references
- Incarceration records
- Sex offender lists
Employment Preferences: Another
aid in hiring is a listing of employment preferences. The answers can be quite
enlightening when studied with the responses to interview questions and a
review of an application form. The answers to these questions are important
regardless of the level of the position that you are seeking to fill.
Here is a sample employment preferences
questionnaire:
Rank the factors listed below, on a
scale of 1 through 10, with 10 being the most important and 1 being the least
important to you in considering a position with our company.
- 401(k) plan or retirement saving plan
- Health and dental insurance
- Incentive bonus plan
- Initial base compensation
- Job security
- Opportunity for advancement
- Retirement plan
- Vacation time
- Working conditions
- Working hours
The
Employment Application: Once you have identified
legitimate candidates for the position, you must have them complete an
employment application. Failure to do so may result in your inability to defend
your decision to hire or not hire an individual. There are a number of sources
available for securing a sample form that complies with all government
regulations and laws. Or, you can develop one of your own and have your legal
counsel review and revise it to ensure that it is acceptable in the eyes of the
law.
Hiring
the Right Person
How you approach hiring the right person
for a job depends upon the level and type of job. It goes without saying that
hiring an entry-level person is substantially different than securing the
services of a high-level technical person or a number two or three in the chain
of command. In every case, however, reference checking is mandatory.
Despite your prior knowledge (assumed)
of a key manager-level applicant, you may be surprised at what you find when
checking references and credit. Remember: Some of the biggest names in industry
have been embezzlers, bankrupts, accused of sexual misconduct and harassment,
felons, and convicted of lesser crimes. Check out their education, call prior
supervisors, check for felony convictions and verify prior employment.
There are several employment selling
points that you should emphasize.
1. Stress
the positive factors
That have influenced the candidate to
favorably consider the position. They may include your company's reputation, a
positive environment in which to work, an equity opportunity, the possibility
of advancement, the prospect of securing improved monetary rewards for
outstanding performance, or simply a "great challenge." Remember that
compensation is not the key incentive for people with the "right
stuff."
2. Do
not "buy" their services
Any person who is primarily motivated by
an immediate increase in base pay is not looking for the strong, long-term
relationship that will contribute to the company's success. Why wouldn't he
leave your company six months from now for another immediate increase in base
pay? This is quite different from a candidate's desire to be properly rewarded
for an outstanding contribution to the company's objectives. Although you
shouldn't "buy" the candidate, you should be willing to "pay for
what you get." Good people cost more! More about incentive compensation
later.
3. Assure
the candidate that his contribution to the company's objective is meaningful.
What is more discouraging than being
pursued by a company and, once employed, becoming an unnoticed number on the
employee roster?
4. Consider involving more than one key manager in the
hiring process to reinforce the positive factors.
It's fine to discuss prospective
employment with the key manager who is involved; however, if other managers are
present, it will give the candidate a stronger feeling of being wanted. If you
are hiring your number-two man or prospective successor, the group approach is
not appropriate, unless that group involves other owners or directors of the
company.
5. Consider an employment contract or offer
letter.
There may be occasions when a candidate
for a high-level management position will be more comfortable seeing all of the
conditions of employment in writing. The written document is a permanent record
of the covenants between the candidate and the company and lessens the
possibility for misunderstanding between the parties.
The written document may be as
beneficial to the company as it is to the candidate. It would be desirable for
you to have your legal counsel draft or at least review and approve either of
these types of documents to prevent any potential future legal problems. Be
especially careful with any noncompeting language. Non-compete agreements are
frequently not enforceable.
One of the most common mistakes made by
small businesses in the human resources area is believing that a new hire will
perform exactly as expected. At the very least, there is an indoctrination
phase that should be provided to every new employee. In addition to learning
his way around the facility, the new employee must be provided information that
will improve his chances of contributing immediately to the company's
performance. This indoctrination phase should consist of the following, at a
minimum.
6. Presenting the company's personnel
policies.
Although the new employee will have
learned a good bit about the company's personnel policies during the hiring
process, he should now be provided a personnel handbook (assuming one is
available) that explains the more important policies. These policies should
include the hiring process just completed, a definition of salaried and hourly
personnel (and their differences), salary administration, incentive bonus plan,
profit sharing, retirement plan (if any), pay grade structure, time reporting,
working hours, overtime pay, shift premium, pay for attending funerals and jury
duty, and performance appraisals. Employee benefits should be explained,
including vacation time, health and dental insurance, disability compensation
and other benefits, such as awards and company automobiles.
If the company has a 401(k) plan like Profit Sharing/401 k Council of America
and a Section 125 "cafeteria plan," they should be covered carefully
so the new employee understands how and when he can begin to participate. All
of these matters, and others you may think of, are important to the employee
and should be presented as soon as possible.
1. Teaching the company's safety programs.
The Occupational
Safety and Health Administration (OSHA) has issued standards
and regulations designed to protect employees from safety and health hazards.
These standards and regulations involve the communication of information about
hazardous or toxic materials, infectious materials, respiratory hazards and
safety procedures for the operation of equipment. In addition, OSHA requires
the development of a fire safety program that prescribes, among other things,
fire exits, fire extinguishers, an emergency action plan, evacuation routes and
procedures, an accounting for employees, assigned fire personnel, the alerting
of fire emergencies and training relative to all of the above. Check within
your state for any other local regulations and related reporting that may be
required.
Many companies also have plans that
relate to local or regional weather problems, such as tornados, hurricanes and
flooding. All of these plans and programs must be communicated to the employee,
who usually must also be trained in the execution of the plans.
2. Understanding the company's business.
This may be the most important part of
the indoctrination program. The new employee needs to learn about the company's
operations, its objectives and, in broad terms, the plan for achieving the
objectives. The new employee should understand product information, competitive
position, marketing strategy, manufacturing or service process, and personnel
organization.
Obviously, the depth of this part of the
indoctrination will depend upon the position. He must be involved and made to
feel a part of the company's business; the best time to initiate that feeling
is at the very beginning of his employment. If there is a plant, include a
brief plant tour and introduction to other employees. If there are products,
provide an explanation of what they are and why they are unique. If the company
offers services, explain what those services are and how they're provided to
the customer.
Training the Right Employee
In some cases, you may have hired a
person who has all of the character attributes that you desire but may not be
well-versed in some technical area of his responsibility. He may be a good
machine operator but not have adequate training in computer numerical
controlled (C.N.C.) equipment, or he may be a great salesperson but not understand
the required data entry functions required of sales personnel, e.g., use of a
point-of-sale device, cash register and so forth. Many times a person with
responsibilities in operations may have no background at all in accounting and
financial controls. In all of these cases, a training program may be
appropriate. There are several ways to provide the needed training.
1. Vocational technical school.
V-tech schools are quite good in
training people in industrial arts, such as machine tool operation, engineering
design, computer-assisted design (CAD), computer-assisted manufacturing (CAM),
and similar skills. You or the person who is responsible for human resources
matters should be well acquainted with any Vo-tech schools in your company's
area and the types of skills for which they offer training.
2. Business schools, colleges and universities.
These institutions offer excellent
training and education in traditional areas of marketing, sales, accounting,
computer operation, clerical skills and others. If the school is of sufficient
size, it will offer these subjects at night, interfering less with the normal
workday. If your company has a policy for doing so, you may offer to pay the
tuition to attend such classes, provided the classes relate to the employee's
primary job responsibility, the classes are approved in advance, and the
employee completes the course satisfactorily. And, of course, I must mention
the seminars and workshops offered by the local SCORE chapters and
by the Small Business Development Centers (S.B.D.C.). Most often, these educational
opportunities are low cost and, in some cases, free to the participant.
3. Industry schools and seminars.
Depending upon the background of the
instructor and his or her teaching skill, industry-sponsored seminars or
workshops can be an excellent way to provide "brush-up" training to
new employees. The sessions are usually not lengthy and the value of meeting
their peers from other companies may be even more valuable than the training
itself.
4. In-house training.
Many small companies don't have the
facilities or time to offer formal in-house training. However, one-on-one or
on-the-job training, focusing on the critical needs of the new employee, is an
excellent way to make sure the needed information is learned. Keep in mind that
such training may detract from the efficiency of the trainer but the new hire
will learn "our preferred methods," enabling him to contribute more
rapidly to the company's performance.
Motivation
and Involvement
Do you really know what motivates your
people? Have you thought about what motivates you? I believe the answer can be
expressed in this way:
Something or someone you respect has
told you, in some way, "You have done well!"
The "some way" may be a silent
nod, a communication from someone you respect, or your own knowledge (based on
parameters you know and honor) that you have "done well." The more
clearly this acknowledgment is perceived, the more effective the motivation.
The premise that "nothing succeeds
like success" is illustrated by a research study involving ten adults who
were given a puzzle to solve. The puzzle was the same for all ten participants.
After they were completed, five of the adults were told that they did quite
well, getting seven or more correct out of 10 possibilities (which wasn't
true). The other five (who may have done well) were told that they had done
poorly, seven out of 10 wrong (which wasn't true either).
Then all 10 were given another puzzle,
the same for each person. The five who'd been told they had done well on the
first puzzle really did do well on the second puzzle. The five who'd been told
they had done poorly on the first puzzle did poorly on the second puzzle.
Having coached little league football
(ages 9 to 16) for 16 years, we can absolutely corroborate the results of the
puzzle experiment. We created good teams out of players who were average in
technical skills by reinforcing the good things that each player accomplished.
We pointed out that poor performances were the result of some technical miscue
of which the players simply weren't aware and we were sure that they would do
better now that they were aware. This confidence that we expressed in the
players was rewarded.
Organizations often hired young
people who had just graduated from secondary school and were known to proven employees. The on-the-job training program will be essential to the success
of these new recruits; however, positive recognition of their successful
accomplishments plays an immense role in their becoming valued and competent
employees. Organization deal with their mistakes as a learning process as long as their
attitude remained good and they did not often repeat the same mistakes.
Positive reinforcement is a powerful motivator.
Obviously, motivation is not as simple
as a pat on the back or a person knowing that they've done well. You must
understand the normal desires of people relative to their employment,
regardless of the level of their responsibility. Most people desire the
following:
- Recognition for their good work.
- Meaningful participation in the company's efforts.
- A feeling of belonging in a successful organization.
- Opportunities for growth and advancement in their competence and responsibility.
- Security in their job if they perform to expectation.
- Monetary reward for an expected level of performance.
- Benefits that protect them and their families from significant monetary loss.
Even top-level management personnel, who
are typically self-motivated, desire the same things as those in positions of
lesser responsibility. A mutual recognition by their peers for a job well done
or a project successfully completed may be sufficient. A brief recognition of
their success by the top executive goes even further as a motivator.
Keep
Your Employees Happy
There have been many such surveys
published, but none that I have found have ever identified what I believe is
the most important factor in successful employment:
Enjoying the job
How many people do you know that
sincerely like to go to work in the morning? How many people do you know who
would say they honestly like their job? We all know people who have worked all
their lives at jobs that they have not enjoyed. Considering that many men and
women spend 35 percent to 50 percent of their waking moments at work, not
enjoying that time would be very depressing.
So, how do you make an employee's work
something that he or she enjoys? It is called involvement. Keep your people
involved. Consider the following:
1. Communicate with them.
Make them aware of company business that
might affect them, either directly or indirectly. Make sure they know about new
products or services, give those copies of new company brochures, and tell them
about negotiations for new health insurance. They have a need to know.
2. Reinforce their contributions to the company's
objective.
Informal discussions are needed to bring
the employees up to date on their role in the business. Annual performance
appraisals offer an excellent chance to involve the employees in company
affairs in addition to letting them know how effectively they have been
working.
3. Solicit suggestions for positive changes.
Whether in customer service, new
products, manufacturing processes or administration. Often, the employees who
are closest to a problem will come up with the best solution. Involve them in
problem solving and operational improvements. A lot of good ideas have come
from a suggestion box and those ideas should be rewarded with recognition and
monetary rewards.
4. Encourage a sense of belonging.
A sense of being a part of a successful
effort. This is much like being a part of a winning sports team, an experience
that is never forgotten.
Martin E. Davis, CPA, has owned and
worked extensively with small businesses. He is the chairman of the Northern Arizona
chapter of SCORE, "Counselors to America's Small Business," which is
an organization of experienced business owners who offer free support to
small-business owners across the United States.
Types Employees
Employees get different entitlements depending
on their type of employment.
Find out about these types of employees:
- Full-time
- Part-time
- Casual
- Fixed term
- Shift workers
- Daily hire and weekly hire
- Probation
- Outworkers
The Basic Elements of an Employment
Contract
Before you hire someone you need to
ensure that both you and the job candidate are on the same page. The best way
to do this is to utilize a contract of employment. There are several essential
elements of an employment contract that you need to know about before you reach
this point.
Employment contracts define the
employee-employer relationship. They can be written, verbal, or implied and are
designed to protect your company and your employee. These legal documents need
to be detailed to ensure that everyone knows exactly what to expect. With a
well written employment contract there shouldn’t be any surprises about the
job. Basically an employment contract will clearly outline who, what, where,
when, why, and how of the job. This is the basis of the working relationship.
Delegate the task of writing employment contracts to your legal team. Always
allow any signing parties an adequate amount of time to read through the fine
print before asking them to sign.
Some of the essential elements of an
employment contract are as follows:
- Names and address of all parties involved
- Description of business
- Clearly defined job position and role
- Company specific requirements and/or protections
- Length of job and duration of schedule/work hours
- Pay, compensation, & benefits
- Employee classification category
- Privacy policies
- Performance requirements
- Tasks & duties
- Terms of relationship
- Termination guidelines
- Signatures and dates
There are some other things to include
in the employment contract but that’s up to the legal team to decide. There may
be some overlap with employee handbook and that’s ok.
When you can clearly spell out the details of a job it will save you headaches
later on.
Both your company and the new employee
must accept the terms and agreements of the employment contract to have a
binding arrangement. Employment contracts can hold up in the court of law so
you absolutely must take them seriously. Whenever you have questions about
employment contracts, always consult with your legal team to ensure that your
company’s employment contracts are legitimate and work in the favor of all
parties involved.
Check list for how to hire Employees
- Make sure you have an E.I.N. (Employer Identification Number).
- Set up records for withholding taxes.
- Define the role you’re hiring for.
- Find your candidates.
- Conduct interviews.
- Run a background check.
- Make sure the eligibility to work in the company.
- Report your new hires to your employment agency.
- Obtain workers’ compensation insurance.
- Choose a payroll method.
- Display workplace posters.
Advantages
of hiring the right candidate at first time
- Slash the costs of the hiring process.
- Maximize productivity.
- Save time reviewing applications or sitting in interviews.
- Avoid damages that a bad hire can do to the company.
- Preserve the morale of internal teams.
- Protect your image as an employer.
- Not letting good candidates go out the door.
- No need to train an employee who stick around.
- Avoid giving passwords and confidential company information to people you can’t trust.
Disadvantages
- Finding quality talent can be tough, especially in smaller cities.
- Top employees may expect medical and dental benefits.
- Finding, interviewing and negotiating can take time.
- Intellectual property may have the risk of being exposed.
- Fake freelance profiles can exaggerate talent.
- Different physical locations can have different styles.
- Communication gaps can be likely.
- Freelancers work in different time zones and have different types of schedules.
- Freelancers can get quite expensive.
- Some freelancers can increase the length of a project depending on other higher paying projects.
Remember, there are three vital factors
to in-house hiring and outsourcing: cost, expertise and flexibility. These
three factors may play the largest role in how you choose between in-house
hiring and outsourcing. It may be hard to have the best of all worlds, but this
list of advantages and disadvantages may help you make a more informed
decision.
Conclusion
The hiring process is difficult- made tougher by the fact that some job searchers are willing to lie to enhance their employment chances. Employers can fight bad hires by implementing detailed employee screening processes, including criminal background checks, reference checks, verification checks (for employment, education, and professional certification) skills, tests, personality assessments, and targeted interview questions. These methods, combined with a clear picture of what the job at hand entails and what the company culture should be, will help you find the right hire the first time around. After hiring the best candidate, you may find that they are unintentionally breaking rules or company policies.
The hiring process is difficult- made tougher by the fact that some job searchers are willing to lie to enhance their employment chances. Employers can fight bad hires by implementing detailed employee screening processes, including criminal background checks, reference checks, verification checks (for employment, education, and professional certification) skills, tests, personality assessments, and targeted interview questions. These methods, combined with a clear picture of what the job at hand entails and what the company culture should be, will help you find the right hire the first time around. After hiring the best candidate, you may find that they are unintentionally breaking rules or company policies.
