How much does a bad hire cost companies? It’s more than just money according to this infographic by Mindflash. Hiring the wrong person also causes lost time, productivity, and morale. The infographic also provides some suggestions for improving the hiring process. While these are important, one of the keys to hiring great people is to have a great recruiting process. This starts with the CEO, who in my mind should serve as the Chief Recruiting Officer.
CEOs should own recruiting and treat it as a core piece of the company’s strategic plan, not a tactical fire drill. Hiring right doesn’t mean taking your time, however. If your process is set up correctly, you should be able to hire someone within two weeks – that’s resume in hand to offer letter. Superstars won’t wait around for a company that drags its feet.
Also see a slide show version of this infographic at FastCompany.com.
Hiring is a process that cannot be pushed to the back burner. Of the companies surveyed, over 40% of them reported that a bad hire resulted in an average of $25,000 – that’s not small change we’re talking about here. Investing upfront in good hiring practices allows you to get the candidates you want, while getting a strong ROI on making the hire.