Have you ever wondered if you should choose between internal and external candidate for one of the vacancies in your organization?
Alex was a rising star working for a pharmaceutical organization for 5 years before he applied for a senior position in his department. Lo and behold, the position was filled by an external candidates with similar background and experience. Disappointed he was not offered the job, Alex turned to the job market and was hired within a month for a senior job similar the one available with his former employer. As a result, his employer lost his rising star to a competitor and was left with a vacancy he had much difficulty filling.
As a rule, I advise my clients to choose amongst internal candidates for the following several reasons.
Lower Cost and No Time Wasted to Hire
Unlike new hires, current employees don’t need adjustment periods to acclimate to the work environment. Internal candidates understand the organization’s goals and culture. Internal candidates get up to speed much quicker than external candidates, resulting in less productivity waste. This is a big advantage for a business owner since the transition to a new person is seamless to your clients.
You Are Already Aware Of the Strengths and Weaknesses
Did you ever hire a candidate based on how well he handled himself during the interview and did not recognize him a month later? When you hire from within, the reliability and convenience of your assessment avoids the gamble of hiring total strangers. You know the candidate will continue to add value to your business.
Improves Morale and Increases Retention
Alex’ resignation had devastating results on the organization. In addition, the cost of Alex leaving was significant in terms of dollars invested in training, loss of morale and loss of productivity.
When you promote from within, you position your brand as caring for the advancement of your employees and you improve the morale of your team. You have shown recognition to your rising stars.
It Builds Your Reputation
Alex’ “word on the street” in regards to his former employer is one of an organization with limited potential and no recognition to their loyal and rising stars. A successful brand and image is key to attracting and retaining good candidates. The better your organization fosters sterling culture and reputation, the more likely people will want to work for you.
Hopefully those tips will provide sufficient knowledge for you to be successful when you hire for your small business without losing your rising stars.
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