2torial #0411:
Learn2
Hire Employees
Find your hire power
One successful date doesn't necessarily lead to a good marriage, and the same holds true for hiring good employees. You can't rush it. While a good hire can mean a more productive workplace, one bad judgement call can sour the whole mix. The time you save by making a hasty decision will be more than wasted on dealing with complaints, low productivity, and the possibility of having to fire the person and start your search over again.
So do it right the first time. We'll take you from pre-search to post-interviews to get you what you're looking for.
Depending on what your business is and how many employees you're seeking, the laws regulating hiring practices can be numerous and complex. Certain businesses may be required to hire a certain percentage of minorities, others may have to consult unions, and so on. If you have questions regarding your business' legal obligations, contact your state labor department.
All employers, however, must be aware of what constitutes a discriminatory act. Generally speaking, you can't pose any qualifications that would exclude a person from a job unless the qualifications are essential to doing the job (otherwise known as BFOQs--bona fide occupational qualifications). Qualifications that usually don't fall under BFOQs are age, race, religion, sex, marital status, dependents (present or planned), physical attributes, citizenship (as long as they have a work visa), disabilities, felony records, military experience, and so on. It's up to you to decide what, if any, BFOQs your business has. If you're at all unsure whether or not the law is on your side, consult a lawyer.
At no point in your hiring process can you ask about non-BFOQs. Even if a candidate offers up information that falls under that category, it's best not to take it into consideration.
Assess your needs
Before you jump into the wide world of staffing, take a step back and ask yourself a few key questions regarding your hiring needs:
Do you really need to hire someone? The answer might be obvious, but it also might be a simple case of needing better business organization. Check over your work methods first to see if anything can be tightened up.
Can you afford an employee? You'll need to estimate how much new business a new employee will bring in (as well as the new business created from the extra time on your hands), and factor that against the cost of paying for the employee's salary and benefits, plus any time you'd need for training the person. Remember, you'll have to pay at least minimum wage, in addition to providing legally mandated employee benefits. If the math works out in your favor, then you're in good shape. If not, you may want to look into other alternatives.
How many employees do you need? If the work is more than one person can handle, break down your business into all the various jobs required to keep it running. Consider the broader needs you have, present and future, such as sales, marketing, operations, and so on. You'll want to hire people whose skills match these areas.
For a smaller business, your hires may perform multiple tasks in different areas. To figure out who will go where, take your job list and cross out tasks you and any current employees can take care of (be realistic), then write down a rough estimate of how long the remaining jobs take per week. Add up the total hours and divide by 40. This should give you the rough estimate of how many employees you'll need to hire, if each person works 40 hours a week (but don't forget, you can also hire part-timers).
Divvy up the various tasks into 40-hour (or less for part-time) blocks, keeping the related tasks together. The assignments you make won't be set in stone--they'll just give you a more defined idea of what you need, so you can move on to listing the jobs and finding the right applicants.
Write a job description
A good, specific job description can get you the right applicants and save you a tremendous amount of time and effort down the line. A bad one can swamp you with the wrong people, or attract no one. While the actual job posting may be much shorter, writing out the description can help you think through the all the details of the position. Consider these guidelines as you set to work:
Choose a job title. This is the first thing a potential applicant will see, so you want it on target. Keep the title compelling and connected to the company ("online advertising sales rep" is better than "salesperson"). Avoid confusing jargon and keep your company's hierarchy in mind (add "senior," "associate," or "assistant," if applicable).
Describe the work environment. What's your business like? Fast-paced, relaxed, corporate, casual? The work environment can have a lot to do with a candidate's decision. If you're a new business, emphasize the great opportunity for job growth. If you have a good location (in a scenic area, or near public transportation), let 'em know.
List the essential tasks involved. Essential means the tasks they'll be dealing with on a regular basis. Honesty is the best policy here. If you skip or gloss over certain tasks because you're afraid job seekers will be put off, you're only asking for trouble later on. If multiple tasks are involved, be specific regarding how much of each they'll be expected to do.
List the necessary skills and requirements. There's a difference between skills needed prior to the job and skills you can teach. It's up to you to decide what's necessary. Be as specific as possible--if you're asking for computer skills, what type of programs? If employees need to be able to lift heavy loads, how heavy? Will they need any special licenses? Foreign languages?
List the preferred experience. The amount of experience you ask for will depend largely on how much you can afford to pay. Consider how much responsibility you want the employee to take on versus how much time you'll spend on training.
List any required materials. At the end of the description, you'll need to tell candidates what's necessary to start the application process. Do they need to send their resume, cover letter, work samples, references, and so on? Or will they need an actual application, in which case you'll need to tell them how to get one (come by your business, request one by mail, or print one from your website).
Decide the pay and work terms. You don't need to list this in the description, but it's better to decide on pay levels now. Take experience and training into account, and, of course, your budget. Also decide whether it will be hourly or by contract, full- or part-time, if the pay is set or negotiable, what benefits will be available, and if there will be any probationary or review period after hiring.
Don't forget contact info: a phone number, address, fax number, or e-mail address. Your name is optional.
Advertise the position
Where you post the position depends on whom you want to attract. If you're posting a variety of positions, you may want to stagger them so you aren't swamped with applications all at once. Here are some possible resources:
Your own business. In some cases, advertising the position is as simple as putting a "Help Wanted" sign in the window. If you have any current employees who want to change their position (and are qualified to do so), be sure to run the openings by them first.
Your peers. Ask friends or colleagues if they can recommend someone suitable for the job. (Be careful about hiring acquaintances, though--friendship and business don't always mix.)
Publications. Advertising in newspaper and magazine classifieds is probably the most traditional search method, and is an effective option. Your space will be limited in these venues, and cost can vary quite a bit, from a few dollars in a small town paper to thousands for a national magazine. Don't forget specialty publications: your industry (or the particular trade you're searching for) may put out papers and magazines.
Online. With its ever-growing volume of users, the Internet is a great place to post your ad and look for candidates. You should be able to find several suitable job posting sites, from local to national, general to trade-specific, some for a fee, some for free. Many of these sites also carry information from job seekers (such as resumes and work samples).
Schools and colleges. School publications and job placement offices are a great place to find bright, eager employees for entry-level positions. Be sure to take their interests into account so they can grow with the company. Additionally, schools are terrific resources for seasonal help.
Employment agencies. These range from general to specific in their job focus, and usually require a finder's fee as well as a percentage of the person's salary for the first year. They do, however, take care of the drudgery of screening applicants, and sometimes provide a venue (like a convention) to meet a large number of qualified individuals, saving you even more time. Just remember that many of them get applicants from running an ad in the paper or recruiting online--easy enough for you to do too.
Recruiters. Professional recruiters can be costly (paid in a similar way to employment agencies) but they're also the most thorough in their research and cast the widest net. Generally, businesses use recruiters for higher-end positions.
Professional employer organizations (PEOs). These are human resource specialists that go far beyond recruiting and selecting possible employees. They can also take care of training, payroll, benefits, government compliance, and employer liability.
Government agencies. Depending on your needs, many agencies have great records. These agencies can be a useful source for filling all types of occupations, from manual to technical to managerial positions.
Review the applications
The review process can be one of the slower steps of hiring employees. Be prepared for a lot of applicants who are obviously under- or overqualified. Or you may not get enough applicants, in which case you should probably reevaluate your posting strategy.
To start off, divide the applications (or resumes) into three groups as they come in--candidates who you're very interested in, those who are possibilities, and those who aren't. The criteria for choosing are up to you, but consider these points as you go:
- Application/resume red flags. Be wary of large gaps in work history (or an undated work history), a large number of jobs in a short time span, and job descriptions that are suspiciously full of overblown, vague language. If a particular educational degree is required, make sure the applicant has completed the degree, and is not still working toward it.
- Cover letters. Is the letter well written and professional, or hard to follow, with spelling or grammatical mistakes? You can learn a lot about an applicant's communication and writing abilities from these, as well as the applicant's personality, so read carefully.
- Related experience. An applicant's experience isn't always cut and dry. Look for skills that could translate to your needs. For example, someone who's managed a kitchen staff could probably handle managing your bookstore's staff.
Once you have a comfortable number of applicants in the first and second group, conduct a brief phone interview with each one, starting with your top picks. This interview is mainly to see if they're still interested in the position, and to answer basic questions they might have. You can also get a feel for the candidates by asking some specific questions about their experience. Begin each call by asking if the present time is convenient to talk, and end by explaining you'll contact the person soon regarding a face-to-face interview. Or, just schedule a meeting right then if it feels right.
Develop interview questions
Preparing ahead for the interview will keep you clear of any possible legal swamps (remember those inappropriate questions) and can make all the difference in how well you understand the applicant. As you develop your questions, keep these guidelines in mind:
Skills questions. If the duties involve any expertise that you won't provide training for, check the skills the applicant claims to have by asking specific questions relating to the field.
Performance questions. You also want to know how they work, so create a few hypothetical business scenarios and ask how the applicants would behave within them. For example, how would they deal with a stressful workload, an angry customer or coworker, or solving a problem particular to your business? You can also ask if the person has ever experienced such a situation, and have him or her talk about that.
Enthusiasm questions. An interested worker is a hard worker. To gauge their enthusiasm in your business, ask what they think of the business, the industry, what they like, what they have questions about, what they think could be improved, and, of course, why they want to work there. The more they've done their homework, the more interest they're likely to have.
Stale questions. There's a long list of these: "What are your strengths and weaknesses?" "Where do you see yourself in ten years?" "What quality do you admire most?" and so on. They can be effective, but if you want to avoid answers that are just as overused, try to rephrase the questions in fresh ways. Tailor them to your business needs, or to the specific experiences of the applicant.
Current work. Asking about their current or most recent work experience can shed light on work habits and what they expect from you as an employer. Why are they looking for a new job? What skills from their last experience will apply to this position? What was their biggest challenge? You can also ask what their salary was--information that may help you decide on a salary offer.
Interview candidates
You're in the homestretch now. You've pared your list down--time to schedule interviews, meet, talk, and whittle it down a little more. Here's how:
- Give applicants a choice of times and days for the interview and at least a few days advance notice. Schedule 45 minutes to an hour for the interview itself (more or less depending on the position). Tell them who they'll meet with, if they'll need to take a test, and any other pertinent information.
- Have a private, comfortable area where you can conduct the interview. Having something to drink handy is always appreciated.
- A typical interview is broken into three parts: getting the applicant comfortable by talking a little about the business and the position; interviewing the applicant with your prepared questions; and letting the applicant interview you by asking questions regarding the business, position, salary, and so on.
- Take notes, especially if you have a large number of applicants.
- Have an outline of questions for the candidate, but be prepared for each interview to take a different direction. Although you should try to ask each candidate the same questions, you'll also want to clarify any confusing (or intriguing) answers. More probing questions will give you a better feel for the candidate's abilities and work ethic.
- Even if you're positive you don't want to hire a particular candidate, never cut an interview short. On the flip side, even if you're positive you want to hire an applicant, never offer the job during the interview process.
- Don't make any promises (regarding salary, benefits, work conditions, and so on) that you can't keep.
- Give the person room. Don't take up too much time trying to sell your business, and don't get nervous if there are a few long pauses or slightly rambling answers. Some people need time to work out what they want to say.
- Judging appearance and personality is a matter of opinion. If the job involves people skills, then you'll want to pay more attention to details like body language, eye contact, dress, and so on.
End the interview by giving the candidate a specific time frame in which you'll reach your decision, and collect any necessary samples or reference information. Once the person has left, jot down your impressions while they're still fresh in your mind. What was your impression? What were the person's strengths and weaknesses? Then move on to the final steps of the process.
Narrow your choices
Out of the interviews, you'll want to select your top choices for the position and rank them. Even if one candidate completely stands out as the obvious choice, it's best to take a few steps back and put a little more time into the decision.
Qualifications. Although your main concern is which applicant has the best skills for the position, remember that an ideal candidate will balance out in all qualifications, from related experience and interests, to goals and personality. You might not want to hire someone with incredible technical skills but an abrasive personality, but on the other hand, charm is no substitute for experience. You have to decide on the best overall fit for the job.
Interest. When analyzing the interviews, consider not just how the candidates answered your questions, but what questions they asked. How excited were they about working at your business? Beware of those candidates whose only concerns were salary, benefits and vacation time.
Fit. If you have other employees, think about how the candidate will fit in with them. Consider what makes the current business culture work (or what it needs to get better) and how your employees make up the personality of your business, then factor the candidate into the equation.
Once you've narrowed it down, it's time for the final check.
Check references
It's not a perfect world--there's always a chance a candidate gave false or misleading information on his or her application or resume. Even if the applicant provided letters of recommendation, follow-up phone calls to the people who wrote them are a good idea. If you call up former employers, tell them who you are, that you've been given permission to contact them by the candidate, and have a short list of questions prepared:
- What was the candidate's job and responsibilities?
- What were any special projects that he or she completed?
- How was his or her overall performance?
- How did he or she get along with coworkers?
- Why did the candidate leave the workplace?
You should also check the person's school record, especially if he or she has a limited work background. If appropriate, talk to the candidate's teachers about study and work habits. If you're wondering about degree credentials, you can call the school's office of the registrar, or alumni affairs.
Make your offer
If your top choice checks out, you have your possible hire (it ain't over yet--the candidate still has to accept). If your choice doesn't check out, and if you have misgivings over the conflicting information, move on to the candidate next in line. When you find your candidate, it's usually a good idea to make the offer over the phone--the person is likely to come to a decision much faster than if you send one by mail. When you do make the offer, remember these guidelines:
- Restate the position for the record, to be sure there's no confusion.
- If the starting salary is firm, restate that as well. If the candidate wants to negotiate, tell him or her you can't compromise.
- If the salary is negotiable, you need to know how high a figure you can afford before you make your offer. Businesses typically start with their lowest offer, just be sure it's a reasonable amount given the candidate's experience. If the candidate wants more and the figure is acceptable, move on to the other details. But if the figure is too high, you can either state this and hope the person will go down, or try a counteroffer, in which you give a new figure and/or added benefits. If the candidate still doesn't accept, you need to decide if the person is worth it, or if you should move on to the next candidate in line.
- Give the person some time to consider the offer (end of day, overnight, etc.)
- Once the salary and benefits are accepted, agree on a start date and make an appointment to get the contract in writing (usually the first day on the job will do). At this meeting you'll also go over any other necessary paperwork, usually given in a prepared packet.
- Call or mail the candidates who didn't make the cut. You don't have to explain why these others weren't chosen. Simply tell them you went with someone else who you felt was the best fit.
And hopefully, that's what you'll have--an employee who you know is the best fit for the position, the business, and you.
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