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Important Factors to Consider Before Hiring a New Employee

Important Factors to Consider Before Hiring a New Employee

Hiring talented professionals is one of the cornerstones of successful businesses. But, what does talent entail? Is it just a list of academic credentials and business achievements? Human Resources professionals can tell you there is a lot more to it. Factors like work ethic are difficult to assess, yet, essential when it comes to hiring the right person. A long list of academic credentials does not necessarily translate to actual skills. So how to make the right choice?

An Appropriate Job Description and Well Defined Hiring Process

A common mistake, made especially by small business owners, is not to systematize their operations. An operations manual of your organization, regardless of the size, will be of the utmost importance when hiring new staff. It should include clear descriptions of each role and how it relates to others, as well as the main tasks and activities that they should perform. This will also help you in defining the kind of pre-employment screening you require. It is not the same thing to hire a security guard than to hire an accountant; so the hiring process will vary from post to post.

One thing that candidates dread is a hiring process that is not straightforward. Talented candidates may take other jobs if they don’t understand how long will it take to get an answer from you. So, once you have decided to interview someone, be clear as to what they can expect:

  • How many people will interview them?
  • Will they be required to undergo performance tests?
  • Will they be required to undergo a psychological assessment?
  • How many on-site visits do you expect?
  • Do you offer to pay for travel expenses if your candidate lives somewhere else?
  • How long do they need to wait before they get a final offer?

How to Make the Best Decision

Common mistake business owners make is to hire the candidate they like the most. Or the one who is most like them. A hiring mistake will have an impact on your business, time and money-wise. Three things that should never be overlooked in a potential candidate are:

  1. Cultural fit: How will your new hire interact with other team members? Will he or she easily understand your organizational culture and be a part of it? A disruptive hire will not only be a waste of money and time; it can also have a very negative effect on the rest of your team. 
  2. Value: What will you get in return for a salary? Defining value is sometimes tricky. Should you choose the most experienced candidate? The one that proved most creative? Expert hiring managers recommend hiring for potential whenever possible. This means that an employee with less experience or credentials who can grow in the organization.
  3. Capabilities and skills: One thing is to hire for potential and another thing is to hire someone who will not be able to do the job. Clearly define what are the basic capabilities that are required for the position, especially the ones that are non-negotiable or essential. Defining a screening and evaluation process is extremely helpful when it comes to choosing for the right reasons.

Legal and Financial Steps Before Hiring

You finally find someone who is great for the job and a cultural fit. You make an initial offer and after some negotiation, you are ready to hire. What aspects should not be left out of the process?

  • The contract: Usually, the company drafts a contract that clearly defines what’s expected from the employee and what the company offers. This contract should always be revised by a lawyer.
  • Paperwork: from 1-9 form to validate eligibility to social security to insurance. Who takes care of all the paperwork? Remember that even small mistakes have important consequences. If you don’t have an internal HR department, you should consider hiring an expert on a per-hour basis to keep you covered. A comprehensive list can be found here.

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