The Cost of Having a Poor Recruitment and Selection Process
“A poor recruitment and selection process can reflect poorly on your premium or luxury brand company as a whole and come with several costs. Read on to learn about these potential recruiting pitfalls and how you can avoid them.“
A recruitment and selection process allows you to replenish your top-level talent and ensure that you can deliver the level of quality expected of your premium brand. With this much pressure riding on building an effective and capable management and executive team, it’s essential to take this process seriously.
There are consequences for those who treat recruitment as a passive and negligible part of running a company. A well-developed recruitment and selection process can be an incredible boon, but having a poorly developed process makes business more difficult and costly.
The Consequences for a Poor Recruitment and Selection Process
You Will See a Spike in Employee Turnover
Ordinarily, the issue of turnover typically occurs when there’s a problem with company culture, benefits, salary, work-life balance, or growth opportunities. If candidates and new hires disagree with how a company treats its employees, they will flee in droves.
The same can occur if your recruitment and selection process is not as developed as it should be. For example, you might find a candidate “perfect” to fill a vacant leadership role in your company using a flawed recruitment system based on misaligned standards or hiring based on “gut feeling”. Unfortunately, that same candidate might not have the cultural fit, skill set, or experience needed for the job. Or, without a thorough interview process, they could resign at any moment when they find the next highest-paying opportunity.
If the talent you recruit is not committed to their employment, you will have to terminate them or scramble when they leave to fill the void. This turnover will not only put you back at “square one” but will actually cost more than having not filled the position at all.
It Drains Your Revenue to Maintain the Search
If you use an in-house recruitment and placement process to find new employees, you are likely aware that it costs money to keep your listings live. So long as your listing remains on its host site (Indeed, Glassdoor, etc.), you are paying a fee. In addition, if your hiring process attracts poor candidates for the position, your job listings will show many applicants along with a long posting time, thus further reducing the desirability of the posting while increasing cost.
Premium Brand Reputations Could Take a Hit
Hiring an employee that is not living up to the premium standards of your company and brand due to poor recruitment practices can have a devastating impact on your reputation. Poor employees will likely offer customer service that is less than the standard your loyal customers have come to expect. Regardless of the quality of your product, an unqualified employee can drive long-time customers away and sully the reputation of your premium brand when they relay this treatment to their social circle.
Worse still, prospective customers exploring your products for the first time might be driven off if the employee they interact with is not maintaining your standards. Luxury brands are in high demand, but so are representatives capable of offering service without alienating the customer.
Hire the Best with a Premium Recruitment and Selection Process
A poor recruitment process will lead to poor or fair-weather employees that you will need to replace long before they fully settle in. These employees are an unsustainable drain on your business model. While the shortage of professionals available to work might seem demoralizing, it is not an endeavor you need to attempt alone.
Here at the Bowerman Group, we work tirelessly to find premium management-level and C-Suite executives in the premium and luxury brand space who can help maintain the reputation and quality you have strived to build. If you have found that your recruitment and selection process is not drawing in suitable candidates, contact our team today to find your next top talent.