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Acquiring Human Capital

 

Employment Topics

 

MARCH 2000


Why Not Change the Hiring Process Before It’s Too Late?


Subj: Controller Position

Date: 02/23/00 2:30.07 PM EST

From: Rjones@acmewidgets.com

To: Tfreeman@acmewidgets.com

Ted, three turndowns for the controller job in the past four months. What’s going on?

_______

Subj: Controller Position

Date: 02/23/00 2:48.33 PM EST

From: Tfreeman@acmewidgets.com

To: Rjones@acmewidgets.com

Hi, boss: The next time you’re in town, let me discuss this with you face-to-face. I’m as frustrated as you are!!!

THE 21ST CENTURY BUSINESS EXECUTIVE rockets along at warp speed – meeting with customers, visiting foreign subsidiaries, dashing off e-mail in airport lounges, working late in hotel rooms and actually hoping to spend two days in the office next week.

Meanwhile, back at the ranch, it’s chaos time. Everybody is waiting for the boss to return. Ted Freeman, for example, who is trying to hire a division controller, would just as soon not use e-mail to let Bob Jones know that all the rescheduled interviews, delayed hiring decisions and postponed job offers have caused major contenders to remove themselves from consideration or accept offers from other companies.

Currently, one search consultant who works with Internet companies tells his clients that any employer who fails to extend an offer within 48 hours of the final interview is likely to be "dead meat." While dot.coms may be the extreme example, it’s a jungle out there as companies of all kinds compete for qualified candidates.

Sadly, both high-tech and low-tech companies alike plan almost everything about their business except for hiring and replacing people.

In too many cases, the hiring process proceeds with no clear understanding by the participants of where it’s going or how to get there ("Someone’s just quit, what we do next?"). Hiring is often the thing that people get around to when they have completed all the chores that pay their salaries. And procedures established in the mid-20th century, such as the interview panel, continue to be used – despite the fact that no two members are ever in town at the same time.

Could there, perhaps, be a better way?

No One Size Fits All

The first step toward taking charge of the hiring process is to recognize that selecting the next CEO requires a different series of events than choosing a process engineer or assistant product manager. The degree of decision-making authority, the impact on the bottom line of decisions made, the relative importance or unimportance of specific skill sets, the need to lead or influence other people . . . these and similar job-related factors should lead to a rational judgment as to how the search and selection process will proceed – from initial screening through final offer.

Employers typically turn to executive search consultants for assistance when qualitative factors are highly important in selecting the right candidate and/or when candidates are in tight supply.

Sound advice is to let the search consultant do his or her job – so that the entire process of identifying truly qualified people, interesting them in the position and arriving at a short list of the "best of the best" is indeed outsourced and left to those experts who are trained in how to do it. Employers who get involved too early needlessly replicate what they are paying someone else to do.

At the very beginning, discuss with the consultant the kind of selection process that makes sense for the position at hand. For example, does one person need to conduct face-to-face interviews, or do eight (and, if the latter, for what purpose?). Will "telephone screens" be required in advance of on-site interviews? Will finalists be required to return for second or third rounds of interviews? Who is authorized to step in if a member of the interviewing panel is out of town or otherwise indisposed? Etc.

Also, don’t forget that time is of the essence. In the current full-employment economy, the best candidates have their choice of jobs and often are being courted by more than one employer. The company that habitually delays conducting interviews and extending job offers increasingly will be left out in the cold.

Accordingly, a good search consultant will want to work with you to establish a reasonable timeline from candidate presentation to phone screen, from phone screen to on-site visit, from first visit to any final interview, and from final interview to offer – and will want to share that information with each candidate (thus creating realistic expectations). In many cases, candidates will be less anxious and more forgiving of small delays when they understand the employer’s process.

Knowing When to Quit

"I always find something the last place I look." That time-honored saying applies to all those elderly grandmothers in search of misplaced thimbles and trifocals. It, however, does a grave injustice to all those employers who want to see "one last candidate" – and another after that – before reaching a decision.

Client companies should expect their search firms to present between three and five highly qualified candidates, any one of whom could perform at least ninety percent of the job with great distinction. (Don’t waste time looking for that nonexistent person who can walk on water and do somersaults at the same time.) The choice essentially should be a matter of simple ranking – i.e., "Who is the best fit for us?"

If you see three candidates, none of whom are right, stop the process. Discuss with your search consultant where the misunderstanding lies.

Avoiding Last-Minute Gridlock

Martha Smith believes she’s the candidate of choice. She has hit it off with everyone she’s met, received good feedback from the headhunter and communicated her enthusiasm about the job. It’s a good move, presumably for good pay. She expects an offer within 48 hours, but the hours pass – as does a week, and then another. The ultimate decision-maker is out of town, of course, and not returning e-mail. Martha takes another job.

Have a contingency plan to forestall such disasters. You know the parameters of the total compensation package the company can offer. The search consultant knows what Martha is prepared to accept. Both of you know that good old Bob Jones leaves town on a moment’s notice (why call or write when a simple trip will do?). So obtain his advance approval of the offer, just in case Martha proves to be the one. While nothing is perfect in business life, hiring can usually be made a little smoother and swifter.


 

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