The AllBusiness.com Practical Guide to Hiring Employees

The AllBusiness.com Practical Guide to Hiring Employees

Overview

Hiring the right people can make a world of difference in the success of your business. But many business owners and hiring managers make the same mistakes when recruiting and hiring new workers.

For instance, it's easy to make a hiring mistake if you are not prepared for the interview and hiring process. Know the questions you want to ask and the type of employee you are looking for. Also be ready to explain the position and answer questions about the company.

Next time you have a vacant position, think over these important issues:

• What sets your company apart from the competition?
• What skills will help you keep that advantage?
• What types of positions will best attract those kinds of people and best use them within your organization?
• What skills do you have in-house? What types of skills would complement those that you already have?

How to Publicize a Job Opening

A key element in finding and hiring strong job opening notice.

Always include the following in your job postings:

• The job title, a brief description of the duties, and the position it occupies in the corporate hierarchy.
• The minimum levels of education, experience, and skill you require.
• Software, equipment knowledge, or certifications you require.
• Good contact information - not just who will receive the applications, but also how they should be delivered (mail, fax, and email are the most common choices, but note in the ad if you don't want to receive phone inquiries).
• Information an application should include - if a portfolio of work seems appropriate, indicate what size; if all you want is a resume, say so.

What are the best resources for finding great candidates? Here are some ideas:

Temporary agencies. Temporary employment agencies can provide you with many types of employees - accountants, programmers, sales personnel, secretaries, word processing staff, and so on. With temporary employees, you get the opportunity to check out their performance, with the possibility of hiring them on a permanent basis. The only downside is that the temporary employment agency will charge you a fee if you hire one of their temps permanently.

Employment agencies. There are many agencies that will supply you permanent employees for a fee. They will have a long list of resumes and likely will have screened and checked the references of the individuals.

Headhunters. For executive-level employees, you can turn to executive search firms, often called headhunters. Be prepared, however, to pay a significant fee (typically onethird of the first-year salary of the employee), payable when the employee is hired. See the next section for more on executive recruitment.

Internal candidates. Look at your own employees to fill vacant positions: There may be someone who is ready for a promotion. You have the added benefit of already knowing the work habits of this person. Plus, the candidate already knows the organization. Promoting from within is also good for employee morale, as other employees will see opportunities for advancement.

Referral fees. Some companies give a referral fee to employees for recruiting candidates to the organization. These fees can range from $250 to $1,000, depending on how difficult it is to fill the position. Even though the fee will cost you, it's going to a good cause - your employees - and is still less costly than an outside agency's fee. Your Web site. Post your open positions on your company Web site. This makes it easy for job-seekers to view all your open positions.

Want ads. Want ads are a traditional way of getting your message to a great number of potential employees. These can be included in local newspapers, trade magazines, The Wall Street Journal, and the National Employer's Weekly.

Job Web sites. The Web has no shortage of sites that have job postings, want ads, and resumes of prospective employees, such as Monster.com and CareerBuilder.com. One good way to find these sites is through Internet search engines, such as Google and Yahoo. Also consider craigslist.com.