4 Reasons to Hire Now, Not Later
In almost all businesses, hiring is often only done when someone resigns, when an employee is terminated or when the business identifies the need for extra resources, but is this the best way to manage the process? There can be a number of advantages to commencing a recruitment process before the vacancy arises that will yield positive dividends for your business.
Here are four reasons to start the process now, not later:
- Training Can Be Provided by the Incumbent: If a vacancy arises from a resignation, ideally you can get that person to train their replacement. A clear policy on notice periods, coupled with starting the recruitment process as soon as notice is given, can provide enough time for the new hire to start and perhaps “shadow” the person that is leaving.
Obviously there are some salary and cash flow considerations to consider, however one option is to start the new hire on part time basis during the transition. If the current employee isn’t a strong performer or is not leaving through their own choice, you can assign another current employee to get an idea of the role so that they can complete the training. Alternatively, you can complete a job analysis and update your position descriptions.
- The Loss in Productivity is Minimised: By ensuring that your new hire is properly trained, the loss in productivity experienced when hiring new staff should be minimised. Further to this, even if you are working with a recruitment partner, a successful recruitment exercise takes up your time and resources. If you have to find a replacement in addition to covering that vacancy in some capacity, overall productivity (and maybe profitability) will suffer.
- Attract New Customers: Many businesses hire new staff when a new contract is awarded, or when a new, large customer comes on board. Businesses can have the mindset that growth and profitability come first, then new staff. In some industries, by hiring the right people before you need them, enables new hires to actively grow the business and attract new customers. In other situations, hiring new employees may enable you to work on the business, rather than in it, also promoting growth.
- Maintain or Grow the Business During Slowdowns: During times of economic slowdown, it is conventional for organisations to conduct redundancy exercises to reduce overheads. From a financial perspective, this is certainly a sound decision and can mean the difference between survival and failure. However, by retaining or even hiring the very best staff for your “customer facing” positions, you increase your ability to retain key staff and potentially, attract new ones when it is most crucial. It's a great time to get some market share!
The above suggestions are of course at the mercy of one key element of any business, cash flow. That being said, the short term “pain” of taking on additional staff can result in significant positives for the business down the track. If you need assistance with planning for future recruitment or any other needs, please don’t hesitate to contact us.Back to News