If you think it’s expensive to hire a professional to do the job, wait until you hire an amateur. – Red Adair
Today, we kick off our new webinar series and dive deep into the key findings and research from our recently published HR Benchmark Report. And it makes sense to start where it all begins on the HR and employee journey – Best Practices for Recruiting and Hiring.
For small and medium-sized business owners, recruiting and hiring new employees can become a daunting task, impacting the company’s growth and future. These entrepreneurs, while experts in their respective fields and passionate about their business, are often not fully up to speed on key Human Capital Management (“HCM”) best practices, leaving them at risk for compliance issues or, even worse, hiring talent that isn’t aligned with the company’s vision, culture, or growth trajectory.
At Asure, we help take the guesswork out of the recruiting and hiring process, allowing entrepreneurs to do what they do best, focus on growing their businesses. Based on a survey of 2,065 small and medium-sized businesses, our team was able to explore what recruiting and hiring best practices made employers more likely to attract top-performing employees that contributed to company growth. Let’s take a deeper look at what exactly sets these fast-growth companies apart from the rest of the pack.
Using Job Boards WELL Makes All the Difference When Recruiting Excellent Talent
Sure, posting a job description on a job board seems like a no-brainer as the first step to any company’s hiring process, but optimizing how a job board is utilized makes all the difference in effective recruitment. Our HR Benchmark study found that 82% of companies that identify as fast growth optimized their use of job boards, whereas 55% of businesses that experienced a down year did not. Using job boards consistently and providing applicants with simple, user-friendly job applications on those job boards are key to maintaining a strong pipeline of talent. Additionally, while posting on job boards can often be pricey, what’s truly expensive is hiring an applicant that doesn’t contribute to company growth and, later, having to course correct.
Applicant Tracking Systems Save Time, and Time is Money
Our HR study found that a majority of fast-growth businesses use applicant-tracking software.
These tools often fall under the radar, but investing in a great applicant-tracking system is an invaluable resource in sourcing excellent talent. From having a clear picture of which job boards the most compelling and qualified candidates for your company are using to seamlessly integrating information from applicant systems directly into payroll systems. These tools have become game-changers for growing businesses.
Written Job Descriptions and Offer Letters = Prepared (Future) Employees
For most employers, the lifecycle of an employee begins well before their first day in the office – It starts with the creation of a full, written job description and outlining key role responsibilities while also ensuring the future employee has an understanding of team culture and opportunities for growth. According to our research, 91% of fast-growth companies provide clearly written job descriptions for open positions. In addition to using job boards effectively, an up-to-date, thorough, written job description is a key differentiator between growing companies and those having a down year. Further, a thoughtful and consistent job description is the cornerstone of a compelling job ad, ultimately setting the tone for what an applicant can expect from a specific role or company.
Once an applicant makes it through the application and interview process, it’s time for a formal offer for which the same rule applies – Put it in writing! This may sound simple, but many companies don’t provide a formal written offer to future employees. A well-written offer works as a crucial employer step to set clear expectations prior to day one on the job, ensuring both employer and employee are prepared to put their best foot forward.
When it Comes to Recruiting and Hiring, Compliance is King
One-third of the 2,065 companies we surveyed were not certain their job descriptions were compliant with state and federal regulations. While correct disclaimers and nuanced language in job descriptions and employee training on what is legal to say or not say when interviewing a candidate are not always at the top of a busy entrepreneur’s mind, being non-compliant can result in BIG problems. Our survey and research found that 15% of all companies we surveyed may inadvertently be asking illegal questions on job applications, making it vital to have a SHRM-certified professional review any and all job application materials to protect your company from legal action or sizeable fines.
It’s reasonable to conclude that companies that focus on the best recruiting and hiring practices outlined in our Small Business HR Benchmark report are aligned with success and explosive growth.
If our HR report showcased anything, it is that “How you do Anything – is How you do Everything.”
It’s critical to the whole employee-centric experience and the cornerstone of your future growth to prioritize how your company engages, communicates and supports employees before they even join the team.
To learn more about these topics and other areas where HR can positively impact growth, check out our webinar series here.