5 Common Hiring Mistakes

2009 | Jan 14 in Home Page News , Systems , Management , Leadership

By E-Myth Business Coach,

Your hiring process, like other systems in your business, is about creating consistent, predictable results. Whether you're a two-person business, or a company with 300 employees, a hiring process will take the guesswork out of finding the right person for the job.

Don't think you need a hiring system? What if you had to hire 30 people at a time? What if you had to have somebody else in your organization do the hiring for you? How can you be sure that you'll end up with the best possible person for the position?

An example we use with our clients is that of Olympic judges. Olympic judges have pre-defined scoring criteria that they all adhere to as they judge each event. You can watch an athlete perform what you think is the most amazingly perfect display of athleticism, and the judges will end up giving them a poor score because of a detail you missed. Why? Because the judges have consistent criteria to judge with; they're all on the same page and they can choose the winner based on those criteria. It's the same thing for your hiring process. You need a system in place that allows you to consistently choose the candidate who scores a perfect 10!

5 Common Mistakes to Avoid

Keep the following list of common hiring mistakes in mind as you build your hiring process. Remember, it's never too late to build systems into your business. Even if you're not hiring right now, by creating a hiring system, you'll be prepared when the time comes.

1. Assuming a new hire is the answer – If you're considering hiring a new employee the first thing to ask yourself is: "Can we achieve our desired results without hiring anyone?" In other words, force yourself to consider all of the options you have at your disposal (besides adding people) to produce the result you want. Only move forward with your recruiting and hiring systems when you've determined that a new employee is absolutely necessary.


2. Confusing recruiting and hiring – In an E-Myth'd business, hiring and recruiting are separate things. Recruiting involves defining the position and the ideal candidate and then communicating that recruiting message so that you attract the right candidate. The hiring process is about choosing the right candidate. By keeping these two processes clearly defined, you'll maximize the impact of both and end up with the best qualified candidate for the job.


3. Hiring on the spot – There's an old saying that hiring decisions are made in the first seven seconds of an interview. Seven seconds? This means that most hiring decisions are made from an emotional perspective. The candidate just "feels right," and while trusting your instinct is good; it must be tempered with objectivity. We sometimes tell clients, "When you feel the urge to hire, don't." Your hiring decisions are some of the most consequential decisions you can make in your business — it's essential to have a hiring system in place that allows you to consider all the pertinent data.


4. "Selling" the company – If you've done your recruiting process right, there's no need for you to sell the company to your candidate because they already know exactly what you are about. By the time the candidate has gotten to the interview stage with you, you should be in hiring mode, focused on choosing the right candidate instead of them choosing you. If you feel like you need to convince a candidate that your company is "so great that you really should come work for us" then you've got a problem and it's time to re-evaluate your recruiting process.


5. Hiring based purely on skill — Don't hire based only on the candidate's skill set. You should be looking for skill and attitude. Look for the right attitude because you can always train the right candidate in the skills of the job, but you can't change anybody. For more about this topic, see our article The People Problem.

Share Your Story

What kind of hiring systems do you have in place? How has your hiring process helped you create a world-class team? Got a hiring nightmare that the right process could have avoided? We invite you to comment and share your story with the E-Myth community.

Comments

1. Tony R. says:

   I strongly disagree with point 4.

   - A company will not hire everyone they interview but, since they have spent a great deal of management time in interviewing, they should have a goal that every candidate interviewed will want to work for the company. Each one of them then becomes a positive emissary to the outside world.

   - The implicit goal of hiring is to acquire the best people possible. It is a competitive world out there and it would be sophmoric to think you are the only game in town.

   - Many companies don't scrutinize the interview team. Think what one naysayer can do to an overall corporate impression.

   Submitted Jan 15, 2009 6:29 AM

2. Ryan S. says:

   These are great points. I'd like to suggest another consideration. Leadership IQ did a study of 20,000+ new hires and found that 46% of them failed in the first 18 months. Of those who failed, only 11% failed for technical competence reasons. The rest of the employees who failed did so for reasons related to emotional intelligence: they wouldn't take coaching, they weren't motivated, didn't have the temperament, or simply weren't aware of their own emotions, or the emotions of others.

   Of the emotional intelligence reasons, refusing to take coaching was the biggest reason employees failed. Including an emotional intelligence component in hiring makes a huge difference in preventing unwanted turnover.

   Submitted Jan 15, 2009 8:28 AM

3. Adena F. says:

   Great subject and timely indeed.

   To Tony R.'s disagreement, I would suggest that an interview is not the time or the place to sell the company. The time to promote the company is during the recruiting process. Often candidates want to know more about the company and the position during the interview, which suggests again that the recruiting system needs improvement. Of course, if information about the company or the job is requested at the hiring stage, it can be done for information purposes, and not for promotion.

   It's the same difference as lead generation and lead conversion.

   Ryan S. makes a great point. I'm about to lose the second person of the same position in less than 2 years. The 1st couldn't pass the exams required for our industry and the 2nd, well, you've given me the answer because while the candidate was brilliantly skilled, his emotional intelligence was such that he didn't think he should have to deal with clients (as per the position agreement). As for coaching, he actually made it to 2 employee development meetings, and let the rest drop.

   Ahh, we do learn, don't we? I sure am!

   Submitted Jan 15, 2009 9:02 AM

4. Alan L. says:

   You're right to emphasize attitude over knowledge.  At Saelig Co. Inc. I make sure I hire people with "a servant's heart".  Is this person likely to be willing to do menial tasks around our small office?  If I perceive that they are not willing to do any task when the need arises, I give them a wide berth.  Ethics is also vital, since the new employee is your substitute to customers.  I aks about prior ethical dilemmas and how the candidate dealt with them.

   Submitted Jan 15, 2009 9:26 AM

5. John B. says:

   These are all very good guidelines. Another thing that validates keeping the recruiting and hiring seperate is that the candidate you want has allready researched your company early in the recruitment phase. The hiring phase is for validating and measuring the candidates.

   Submitted Jan 15, 2009 9:36 AM

6. Rui B. says:

   I agree with Tony R. point 4 is not correct. When you are hiring high talent persons. You are competing for talent, therefore you have "to sell" the benefits of working with you ...

   Submitted Jan 15, 2009 9:39 AM

7. Jason R. says:

   I agree that finding the person with the right attitude should be high on the list.  You can train just about anyone who is willing to learn. Finding someone to fit into, and add to, your business' culture is more difficult yet important. People who like to work with each other are happier, more productive and willing to share the load no matter what the task may be.

   Submitted Jan 15, 2009 9:42 AM

8. Jacob B. says:

   Regarding item 4, I think you can't apply one rule to all occasions. If the position requires hard-to-find skill set than you do everything in your power to attract the right person. However item 4 can be easily applied to 90% of all hiring cases.

   Regarding item 5, I completely agree, however it's very challenging to get a feeling of one's attitude. At interview most hirees know what type of attitude is required for the particular position and may immitate this attitude quite successfully.

   Submitted Jan 15, 2009 1:03 PM

9. Rob W. says:

   When I was in retail management (Target) I would walk  candidates to my back office at a very fast pace.  If they couldn't keep up to the back office, their energy level probably wasn't high enough for the fast paced retail job.  They should be able to match the sense of urgency in any given situation. 

   I would love a series of pysch questions that could test ethical/moral standings better than my own feelings during an interview.  Anyone got a suggestion?

   Submitted Jan 15, 2009 1:29 PM

10. Bart L. says:

    Killer subject!

    Being from the construction industry I would have to add one thing to the list that I beleive a lot of construction guys screw up.  Check references for the emotional problems.  I have guys call me about former emplyees and not one of them every askes how I or the crew got along with the person.  They all want to know if they showed up and did good work.  You can learn a lot about a person from talking to there former bosses about emotional problems.

    Submitted Jan 15, 2009 2:55 PM

11. Tracey M. says:

    We all know that it is better to be short staffed than to employ the wrong person, but it is much easier to say than to do. Having a robust hiring system certainly helps with this.

    In my old company I used to put candidates I thought had potential with a couple of different staff members for a short period. This gave the opportunity of more feedback from a variety of people who all have a slightly different approach. Not only did this seem to produce better results, it also got buy in from existing staff to support the new employee.

    Submitted Jan 15, 2009 3:37 PM

12. Phil R. says:

    My old boss's mantra was "At work it's attitude not aptitude that gives you altitude".

    Rob W, suggest you investigate the Thomas International system (DiSC). It's a behavioural assessment not a clinical psych assessment. I've used it for many years to avoid "hiring someone for their skills and firing for their behaviour".

    Submitted Jan 15, 2009 7:07 PM

13. Hester F. says:

    Unfortunately in our industry (civil engineering) acquiring black skilled staff has become an absolute must but it also has lead to a high staff turnover as young graduates know that they have the industry wrapped around there fingers and therefore even though they cannot bring anything to the table they expect very high salaries.  It also makes it extremely difficult if there are employers out there (like bigger firms) who can pay them more and that results in employees having no loyalty whatsoever and they will leave your company for a mere R200 per month extra.  Allready these graduates are earning far more than they should.  If you offer them more in two months they would getter another offer - it is just a vicious circle.

    Submitted Jan 15, 2009 11:01 PM

14. Thomas H. says:

    So where from here? Are there any books or other material out there that will show me how to design the 'ultimate' recruitment process? Some companies must have already done this and may just be a case of implementing their process.

    Submitted Jan 16, 2009 1:34 AM

15. Debera V. says:

    Our most important hiring consideration is culture fit - this has worked well for us, we have a fantastic team and since we have adopted this policy we haven't had to advertise for employees.  Over the last 12 months we have been approached by 5 people for positions within the team.  They have all fit our culture requirements and we have been able to use them in our growth planning.  We haven't had any of our team leave in 3 years.  We are in a highly specialised field with large learning curves so we treat them with respect and earn their loyalty very quickly - including our apprentices.  We listen to their goals and regularly help them to see our they can reach them within our organisation so its not necessary for them to look else where.  We are extremely proud of our team and it is a pleasure going to work each day.

    Submitted Jan 16, 2009 2:27 AM

16. Erik S. says:

    I am just learning about this type of hiring and this has been a great help. These tips and techniques are going to be very helpful in future hiring. In the past I have always wanted to help others and have not hired the most qualified or best attitude people because I thought I could work the miracle in them. I have since found that I cannot devote enough tome to them as I would like due to my committments to the other parts of the business. I am now rethinking how I want to do the hiring and this will be a great help. I have also found that more people is not always the answer to the problem, it's the people that I hire that are the problem. I am all about systems and the people I hire have to have the same personality traits. The small details really count.

    Submitted Jan 16, 2009 9:02 AM

17. Charles N. says:

    Being part of the E-Myth family has been an eye-opener for me in my coaching business. As part of my business, I host a business coaching programme on radio. Many of my clients/listeners come up with issues/scenarios regularly discussed here. I totally agree with item 1, small business owners should tread sofly before going for a new hire. It happened to me in 2005 when I started out, I recruited too early. As always, great article.

    Submitted Jan 19, 2009 7:33 AM

18. ufg s. says:

    I love Rob W's comment about the energy level and challenging the candidate to walk a fast pace to the office.  I have an employee who knows her stuff but who moves too slowly.  I wish I had this technique when I was in the hiring mode with her.  I would have been able to evaluate her in a different way.  It has become an issue because others feel they carry more weight in the store.  Thanks for the insights!

    Submitted Jan 21, 2009 8:00 PM

19. garry h. says:

    I like the  article for hiring , what i do is not give them what they want as far as price.I want to see if they are able to except and try to work their way up in the buisness, i want them to earn the position and money, once they start to complain , AFTER ABOUT 3 MONTHS YOU KIND OF KNOW WHAT YOU HAVE TO WORK WITH!, If you believe in people then, you can win them over and try to do the miracle, 90 day probation always works and if they dont work out then you can let them go. I worked hard for my buisness and i am not going to give it away! i LIKE THE SUGGESTION E-MYTH TO SEE IF WE REALLY NEED TO HIRE ANOTHER PERSON.

    Submitted Jan 24, 2009 8:09 PM

20. Ron L. says:

    The value of an employee is also determined on the value added and if the employer profits more than the employee does in the relationship.

    Submitted Jan 27, 2009 2:42 PM

21. Aileen G. says:

    I just read a great book called Hire Tough, Manage Easy by Mel Kleiman, he mainly talks about hiring hourly workers, but there are some very helpful insights and screening questions throughout the book. Interviewees practice for interviews, shouldn't we learn how to screen better?

    Submitted Jan 28, 2009 5:51 PM

22. Blair C. says:

    I agree with 4. By the time you get to interview, we'll assume this means 'final interview'; there should be no more selling or interviewing.  This is the time to re-enforce the details of the offer, get it signed and talk about the next steps: onboarding, training and orientation.  Plus, it is time 'to close' the transaction, ensure all the significant others are onboard and confirm items such as; relocation, benefits, spousal employment, kids schools are positioned.  You will also want to avoid counter-offers: as the deal is never done until a few months after start date.

    Submitted Feb 5, 2009 10:53 AM

23. Robin H. says:

    In regards to #4; you are always selling.  A candidate is sizing up the company throughout the entire hiring process, initial date of hire, 90 days of employment and forever through their career with the company.  Especially management should be selling the company daily, reinforcing the values - goals - mission statement (purpose of why the company exists).  Employees today, even in our current economy, have choices.  Sure, we shouldn't have to motivate our current staff to stay in the game but that is reality.  As a former HR Director (SPHR) and current Recruiter for the cement industry and International LifeSuccess Coach (coach Robin Harpe) my experience has been employees who become dis-engaged because management is not paying attention to them - will leave.  These are usually, not always, your top talent.  Those folks can find jobs in any economy!  Hold on to your top talent.  I have an article you might want to review as well on Ezine Articles called the Top 10 HIring Mistakes Many Managers Make.  Check it out for more information. 

    Submitted Feb 5, 2009 1:15 PM

24. Mel K. says:

    Most of us build systems to hire the best applicant not the best employee. Just like the article say you need to get be on the world of structure you need to get to the world of ridged when it come to selection. Remember two key points.1. The government looks at everything you do in the hiring process as a test. 2. The most important decision you make in your business life is who you allow in the door to be part of your team and take care of you customer.

    Thanks Ailee for the comment on my book Hire Tough Manage Easy other wise I would have never found this site.

    Submitted Feb 5, 2009 8:20 PM

25. Kimberley K. says:

    In reguards to point number 4.  Is there a difference between selling and sharing a vision?  Is the selling coming from a place of insecurity (re: competing for the best employees) and is that the best place to be coming from in an interview process.  I think unconcously we often submit our power because we think we have to compete so we desparatley at times sell the company rather than put our company strongly out there and let that standard then speak through us.  If we have our vision in place our behaviours should follow that vision - we should not have to keep selling we should ooooze it.

    Submitted Feb 7, 2009 9:39 AM

26. Lance G. says:

    The best people we have hired have come from structured interviews.

    I agree with item 4 in the sense that if the employee is interested in the company, he/she will reasearch the company.  Our last hire did just that.  A Gen X type in his late 20s.  It is also important to convey to the potential employee what the company is all about.  IE:  We are a service business,  all about quality, doing it right the first time, who pays your paycheck......................................  This does not have to be a long disertation.

    Recently we implemented the ideas in a book called "Who" on how to pick "A" players (not to be confused with type A people)

    It was incredible how much more we were able to learn about the candidates from the interview process.  We were able to cross check stories and even interviewing the references was wonderful. They were receptive to answering questions about the person.  From that we made what I believe to be one of the best candidate selections we have ever made.  And we felt good about it, objectively as well as instinctively.

    One of the most valuable items was to ask what the candidates career goals were.  If they don't have them, you don't need them.  I have always asked about goals, but never took it any further.  This process eliminated people that were not going to help us grow our business.

    Submitted Feb 7, 2009 11:52 AM

27. Kimberley K. says:

    Lance - those all sound like very easy, implementable, and logical tools to the hiring process

    thanks

    Submitted Feb 7, 2009 2:36 PM

28. christina m. says:

    I found out the hard way to be careful you dont give the person you are interviewing to much info.  i own a photography studio and i was hiring a girl to be the marketing person.  well i had to fire her after 3 days and she took my marketing plan and started her own photog business.  she is not a  good photographer, just has a nice camera. 

    so that would be my add to the 5 mistakes.  if you are a small business, becare that you are not hiring and training your potential competition.

    Submitted Feb 15, 2009 4:05 PM

29. Michae P. says:

    I like the book

    45 effective ways for hiring smart by Pierre mornell

    I have developed a list from his book and use it.  Some tasks are very easy and dont cost anything, other like the tests are more expensive and time consuming.

    Submitted Feb 26, 2009 1:53 PM

30. John D. says:

    I agree with Rob W. I own a bar and a café bar and when I hire bar and waiting staff I walk them around at speed and watch how they move. If they are quick on their feet, chances are, they are quick.

    I was telling this to a customer one time and she told me that her father had a factory making coats, hats, gloves etc. His office was at the top of the building. After interviewing he would offer to show the candidate around and then "run" down the stairs. If the candidate was still behind him when he reached the shop floor, she was hired.

    Not scientific. but it works.

    Submitted Jul 9, 2009 6:00 AM

31. mobi t. says:

    I am currrently concluding plans on a business i want to start with my buddy. I have since wondered how exactly i am going to go about the the recruitment process, but i must confess that with these wonderful posts, i know have a clearer insight. Thank you very much

    Submitted Jul 15, 2009 7:42 PM

32. molotsi m. says:

    I agree with you entirely, i have fallen into the trap of hiring on the spot, i ended up with a lot of people doing the same job but not taking responsibility. I tried a Practice Manger at my Clinic with an accounting backround , she wanted the latest computer software to do the accounts and delegated the job to students on attatchment. It was a big mess. Learson learned, one has to learn all the things we did not learn at school, design a process and monitor all the outcomes using indicators. We can not change people and we should not be impressed by qualifications and definitely do not hire on the spot, it is more difficult to dismiss that person.

    Submitted Jul 22, 2009 1:40 PM

33. David S. says:

    After 35 years at this, most of these basic rules are part of my nature when it comes to hiring. This was good to read and adds some fresh perspective to the hiring process. I also can see where I have made some of the same mistakes over and over that always end up the same. hiring on site is a mistake, and usually happens when I am in a bind. The person that gets hired at that time will most times feel that they are needed so much that they can break or bend the rules....then they find out that, my company and my name are more important than any one (bad apple )worker ever will be.

    I make it clear to everyone that even thinks about working for me, I have put in 35 years of busting mt hump, and doing so with a smile and good attitude making sure take we provide the best posible service is a must for me

    I will have to try that running down the stairs bit

    Submitted May 25, 2010 8:32 AM