In the UK, according to a study by the Recruitment & Employment Confederation (REC) in 2021 has found across the UK, poor recruitment strategies are costing businesses productivity and impeding a vital COVID-19 recovery boost to the economy.
- The costs of hiring the wrong person for a role can come in a variety of forms.
Understanding these costs will give you better insight into why it’s essential to hire the right fit for the role first time. REC estimate that a bad sales hire at mid level (earning £42,000) can end up costing up to £132,015.
This loss is a culmination of lost salary costs, wasted training after onboarding, recruitment and training costs, loss of productivity/productivity unrealised, team productivity losses and turnover costs/management costs/IT/HR and associated costs.
- The cost of productivity loss
Productivity loss or drag, is that insidious failure that takes the traction out of any campaign or initiative. Whenever someone does not hold to their end of the bargain, everyone else suffers.
A sales person who doesn’t hit target, isn’t motivated or doesn’t fit in with the company culture can impact your business in many unexpected ways, one of which is in your team morale. According to CareerBuilder, nearly a quarter of UK businesses report a loss in overall productivity as a result of making a bad hire.
Sales people who struggle to meet target and require additional support often lead to their team members picking up the slack, which can result in resentment and disruption.
If it comes time to terminate the bad hire, your remaining sales people may question why the person was let go, how it affects their workload and what impact it will have on their own performance and place in the business.
As many sales targets are team-based, the impact of having someone who consistently fails to reach their numbers can be devastating not only to your business bottom line, but also the morale of their fellow team members.
As a business owner or partner, you are onto a lose/lose formula with everything that happens, plus you have falling of or slow sales growth, compounding the problem further.
When you analyse the actual decisions to hire, they are often made from around 60 to 90 minutes interview time.
**WHY?** Simply because many hiring managers don’t want to hire people that
a. could make them look bad, and
b. are difficult to manage; typically meaning, eager to please, always looking for more work/more responsibility, wanting to get involved in new projects types, which then feeds into a.
- The solution
The only solution is to hire Superheroes! But that is not as easy as it sounds.
We have a solution whereby you only hire superheroes and once onboard they fly.
We can help streamline your salesforce and help you hire superheroes.
Contact us today on 020 8087 2377 or email us
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