Slow, inefficient hiring can severely damage your recruiting and business results in a number of ways. For starters, the most in-demand candidates will drop out if you take too long to respond to them or make a decision. Here are the words of such a candidate, who was vying for a management position at a well-known firm:
“It’s not like I need their job. If it takes them a week to respond to a resume like mine for a job of this importance, they’re not the kind of company I want to work for. I move fast, and I can already see that my style wouldn’t fit their culture.”
A Staggering Price Tag
You already know that time-to-hire is a critical business metric. But, do you fully understand the many negative impacts that can result from slow hiring? At some corporations, the cost could amount to tens of millions of dollars per year.
You need to identify and then quantify in dollar amounts each of the consequences of slow hiring, starting with the loss of high-demand candidates to your competition.
- When top talent comes on the market, they’re likely to be inundated with offers. The top 10 percent of these candidates only remain on the market for an average of 10 business days. You could easily lose them, as they accept a current offer from your competition while waiting for a possible offer from you.
Additional damage caused by slow hiring may include:
- Loss of revenue due to positions sitting open. You may mistakenly think that having jobs vacant saves salary dollars. But the economic damage caused by having revenue-generating positions vacant longer than necessary may be as much as $5,000 per day. Vacancies in mission-critical roles mean that important work stops during those days. In jobs where quality matters – and where doesn’t it? – error rates will increase and results may suffer as other employees fill in as best they can while a position is vacant.
- Damage to your image. Most candidates view their first interaction with a company as an indicator of what it would be like to work there. And by definition, most top applicants are fast and accurate decision makers. They will view your slow hiring process as evidence that once on the job, business decisions will be made at a comparable snail’s pace. Your employer brand and image will suffer as a result, as they spread the word via word of mouth and social media.
- The impact of other hidden costs. If your lengthy hiring process is the result of an excessive number of interviews, for instance, costs skyrocket even higher as more management, recruiter and employee time is spent interviewing. These added costs are “hidden” because they’re not included in the standard cost-per-hire calculation.
Are you looking for top talent?
To hire as efficiently as possible for jobs in accounting and finance, engineering, marketing, IT, cybersecurity, logistics and supply chain management, consider partnering with TRC Professional Solutions. Contact us today so we can discuss your strategy for success.