Tag Archive for: Employer Brand

The Many Costs of a Bad Hire

Any new hire comes with a price tag. You have to spend time and money advertising the position, evaluating job seekers, onboarding the top candidate, and more. Currently, it takes an average of 75 applicants and 16 interviews to secure 1 employee who will stay long-term. With that much time and resourcing going into the recruitment process for each candidate, those prices can really add up.

Many hiring managers assume the risk of making a bad hire is relatively minimal, especially for critical roles that need to be filled quickly. However, the opposite is often true, as a single subpar employee can substantially harm operations, disrupt established teams, and even cost the company customers.

Here are a few ways a bad hire impacts your organization:

1. Recruitment Costs

Recruitment costs associated with a bad hire can quickly accumulate and become a significant financial burden for an organization. At the outset, expenses arise from advertising the job opening on various job boards, which can range from inexpensive postings to premium listings costing hundreds of dollars. This is followed by the time and resources spent conducting phone screens and interviews, often involving multiple team members who must allocate valuable work hours to the process. Once a candidate is selected, onboarding begins, requiring investment in orientation sessions and materials to integrate the new hire into the company culture and workflow. Training expenses further add to the costs, as they encompass both formal training programs and the practical, hands-on guidance provided by colleagues to ensure competence in the role. Should the hire not work out, these investments are rendered fruitless, eventually necessitating further rounds of recruitment to replace the unsuitable candidate.

2. Loss of Business

A bad hire also comes with a price tag, and it’s significantly higher than one may expect. On average, a subpar selection will cost a company at least 30% of the employee’s first-year earnings. Additionally, if they work in sales or another revenue-driving position, there is an additional loss of business. If training funds are spent trying to get the bad hire to the point where they can perform, but the efforts don’t yield results, that’s additional money wasted. And if the person is ultimately fired, then you have to manage recruitment and hiring expenses again to find another candidate.

3. Productivity Cost

When you make a bad hire, your company may experience a productivity drop of approximately 36%. This occurs because the new employee not only fails to meet production standards, they also hinder their team. Often, other employees have to spend their time correcting errors made by the bad hire or simply waiting for the new worker to complete prerequisite tasks. Alternatively, they may have to put some of their own duties aside to cover essential activities the bad hire should be managing on their own. Cumulatively, the situation also damages the team’s morale. They can become frustrated with increased workloads or a bad hire’s performance, a scenario that can lead to falling engagement or even burnout. Hiring a replacement can have a similarly damaging effect, as you will again have to operate short-handed and then wait for a new hire to be brought up to speed. While this productivity dip may be necessary to get the right person in the role, it’s a secondary loss that could be avoided by waiting for an ideal candidate from the beginning.

4. Negative Work Environment

A bad hire can significantly undermine work culture and disrupt team dynamics, leading to a less cohesive and harmonious working environment. When a new employee fails to align with the company’s values or lacks the necessary skills, it can create friction and tension among team members. This discord often results in reduced collaboration and weakened communication, as colleagues may become reluctant to work closely with the problematic hire. Additionally, the presence of a poor-performing individual can lower overall morale, leading to dissatisfaction and disengagement within the team. As employees become increasingly frustrated by the additional workload and stress caused by covering for the underperformer, the once supportive and motivated work atmosphere can quickly deteriorate, impacting both productivity and retention rates as talented team members may choose to seek employment elsewhere.

5. Hinder Brand Reputation

A bad hire can significantly damage a company’s brand reputation, which is crucial both for maintaining current customers and attracting new talent. When an employee lacks the professionalism or competence expected by clients, it often results in a decline in service quality, directly affecting customer satisfaction and loyalty. Clients who experience poor service may choose to take their business elsewhere and can also spread negative reviews, tarnishing the company’s image in the marketplace. Additionally, a reputation for poor hiring choices can deter potential talent from seeking employment with the company, as skilled professionals typically seek workplaces renowned for strong team dynamics and positive work environments. Thus, the repercussions of a bad hire can extend beyond immediate operations, making it difficult to attract both future business and the high-caliber employees needed to drive ongoing success.

Avoiding a Bad Hire

When it comes to avoiding a bad hire, your hiring process is your primary line of defense. Taking the time to create a thorough and effective recruitment strategy can save your organization from potential losses in the long term. Ultimately, prioritizing quality over speed is essential when it comes to recruiting new talent for your organization. If you are looking to streamline your hiring process, Award Staffing can help. Contact us to learn more about our recruitment and hiring services today and see how our expertise can benefit you.

Internal Marketing: What is it and How can you integrate it?

One thing we can say with pride here at Award Staffing, is that we are very intentional about our internal marketing. As a company, we work hard to have an extraordinarily good company culture, as we want all of our employees to work well together and enjoy coming to work every day.

Our own experience, as well as a number of recent studies have continuously proven that organizations with a strong and positive company culture, have higher retention rates, more productivity, and a highly thought of brand reputation.

Most companies believe that as long as they pay a decent salary, provide a nice workspace, and ensure a comfortable, drama-free environment, that it’s automatically going to result in surpassing company ethos. While this is a good start, it takes an intentionally curated internal marketing strategy to form an atmosphere of overall workplace satisfaction.

Internal Marketing is the promotion of an organization’s values, mission, and purpose to its employees. Also called Employee Marketing, the goal is to sell your employees on the company to increase brand awareness and make sure that the people you hire are the right fit and feel a great sense of workplace satisfaction.

Some of the things we at Award do for Internal Marketing are:

  • Discuss and live by our core values of: work hard, have fun, and be nice
  • Have a weekly all-call over Zoom that recognizes recent employee accomplishments and includes a game of trivia and a “dad joke”
  • Casual Fridays
  • Spotlight employees on social media
  • Fun marketing campaigns for our quarterly service project that feature each employee and their individual contributions

Depending on the products or services you provide, it’s up to each individual company to determine what type Internal Marketing tactics are on-brand, and how they will go about integrating them into their model and work culture.

Here are a few of our recommendations for creating your own Internal Marketing Strategy:

1. Host Activities

A great way to break the ice and promote team building is by having weekly or bi-weekly, pressure-free activities that all employees can participate in. They can happen on-site or offsite, as long as they take place at a time that no one is working and don’t involve employees spending their own money. A game, a contest, or an employee social are all great options. It’s crucial that once you start doing these things that they continue, as they are something nearly everyone will look forward to. Hosting activities will also make new employees feel more comfortable with the team and encourage them to get to know their colleagues.

2. Reward Employees

Although everyone appreciates verbal recognition, if you want employees to truly feel valued, try offering tangible rewards. This can look like surprising them with coffee when they reach a certain goal, presenting them with a trophy or plaque to celebrate something they did, or buying their lunch one day. Just make sure that the rewards are consistent for everyone and that each employee has the same ability to earn them despite their position or department.

3. Address Issues and Take Requests into Consideration

The companies that are known for being a great place to work are the ones who genuinely care about what their employees have to say. There is nothing more frustrating than having an issue swept under the rug or sharing a request just to have it never brought up again. Check in with the individual(s) who brought something to your attention and when a new policy, procedure, etc. is implemented, make sure that all employees hear about it in a timely manner.

If your company is in need of employees, we at Award are here to help. Contact us with your staffing needs here.

How to Have a Strong Employer Brand

If someone were to ask you what it’s like to work at places like Facebook, Google, or Apple, you would likely tell them that it’s a fun and laid-back environment that is trendy and health conscious. And the interesting part is…you don’t even have to work there to know that. This is because all of these companies have a strong employer brand.

An employer brand is a company’s reputation as an employer and how they are viewed from an internal employee’s perspective.

Most companies don’t put much thought into this because there is already so much branding and marketing to be done for their products and services as well as advertising open positions. However, employers that have an amazing work culture and an innovate strategy to promote it have an easier time finding the right talent who stays with the company over the long-term.

Here are our top recommendations for creating a strong employer brand that will attract top talent.

1. Conduct a Culture Audit

A culture audit is an assessment of your organization’s workplace culture that helps you determine how your company culture is perceived by employees as well as clients and vendors. Doing so will give you a good idea of what is currently working, what your employees value, and what areas need improvement. Gather data by asking your employees to complete an anonymous survey. Some good foundational questions to ask are:

  • How would you describe our company’s leadership?
  • What is our office environment like to you?
  • Have you come across any obstacles that have gotten in the way of your work?

It’s also important that you give them the ability to offer feedback and suggestions.

2. Add a Company Culture Section to Your Website

In nearly every job posting, companies claim that they have a “great company culture”, but outside of a brief description, give prospective candidates no way to gage whether or not they see themselves as a culture fit. Since a company’s culture is such a big determining factor for whether or not someone chooses to apply and/or work for a place, having this will set you apart from your competitors. A few things to include are:

  • A video that shows what the office/worksite looks like
  • A list or photos of some of the perks and fun things your company offers
  • A link to some of the causes your company supports with facts and statistics about that social issue

3. Spotlight Your Employees

Your employees are what make your business possible, and they all want to feel recognized for their efforts and contributions. Whether it’s through your blog, social media posts, or bi-weekly newsletter, feature your employees with their picture, some personal fun facts, and a highlight of their accomplishments. This will make your employees feel valued and show anyone who visits your online platforms that you appreciate your team and the work that they do.

4. Showcase Your Company Culture Across Your Social Media Platforms

The lowest hanging fruit is to post all about your products and services and write blog posts about what’s current in your industry. While this is definitely a good use of your social media channels, it doesn’t need to be the only thing you ever post about. In fact, you will have much more traction if you do something outside of the norm. When people browse your online platforms, they want to be engaged and see your brand’s personality. Make your digital spaces a bit more personal by posting photos of company outings, projects, and events; and accompany them with a caption that tells the story behind the photo.

Additionally, it’s essential that what you advertise about your company online, translates to how it actually is to work there.

If your company is in need of employees, we at Award Staffing are here to help. Contact us with your staffing needs here.