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Small Employers Have Tough Road in Talent Market
January 27 - February 2, 2003


The greatest challenge that small employers face in competing for talent stems from their size. In manufacturing, higher volume results in greater economies of scale and the same rule applies to recruiting. As an organization increases the number of candidates it recruits & hires, it achieves consistency in quality, cost and time.
For companies that hire new employees sporadically, the opposite holds true. Every time they go out to the market to recruit – they’re starting from scratch. Even if a company averages one new hire per month, the recruiting process is laborious and costly.
To add insult to injury, smaller companies face the disadvantage of anonymity within the labor market. They rarely have brand recognition among the general public and they don’t appear on the “Best Places to Work” lists or other popular job references.
You already know how to sell
Of course, there is always a bright side. Small companies know how to sell! In fact, the tenacity and competitiveness that is required for survival in this tough market provides a distinct advantage to the micro employer. The key to unlocking this advantage is to use traditional sales strategies to recruit. By creating a sales-focused recruiting plan, even the smallest of businesses can successfully compete with the region’s 50 largest employers to capture the brightest employees.

Here are six easy steps that companies can use to develop a sales-focused recruiting plan.

1. Establish a recruiting goal for the current year. This is a fairly straightforward task that identifies an organization’s current labor needs while projecting its future requirements. A simple formula to use is current opening
 
+ annual turnover + future needs. Suppose that a company needs to fill 2 new positions, and it currently has 32 employees with an average turnover rate of 25%. If they meet their sales goals, the resulting business volume will require 3 new employees by the end of the year. By using the formula, this company can reasonably predict that it will hire 13 new employees during the coming year. This knowledge enables a company to take pro-active steps in its advertising and interviewing.

2. Identify your target market. In order to recruit best-matched candidates, a company should understand the types of individuals who fit into its culture. Regardless of individual job functions, people within a small group tend to share common traits. A cohesive team can be built by matching certain characteristics like educational background, personality and employment history.

3. Develop your message. Hopefully, your company already delivers a compelling and unique message to its customer base. Why not use the same technique in selling to the candidate? In a region with over 14,000 employers, companies need to differentiate themselves in order to attract the best talent. Creating a unique message and transmitting it consistently through your recruiting channels will draw a higher-caliber (and more interested) candidate than traditional classified advertising.

Close the sale!

The first three steps help companies identify & attract the right people to their business. The next three steps improve the likelihood that those people will accept an offer of employment.

4. Perform a needs-analysis with your candidate. This is a typical area of weakness in traditional recruiting practices. Hiring managers are so focused on learning about a   candidate’s previous experience that they often neglect to discover what motivates the candidate today. By  asking intelligent questions, a sales-oriented interviewer can uncover a person’s true career & financial goals. Hint: this involves much more than learning a candidate’s salary range.

5. Customize the job’s benefits to the candidate – don’t talk about the health plan & vacation days. An effective offer combines a thorough needs-analysis with a strong benefit sale. Based on the candidate’s uncovered needs, an employer can present the specific aspects of a job that will be most appealing to this individual.

6. No sale is ever made without being closed. There are thousands of interviewers who have been surprised by a “perfect” candidate turning down a “great” offer at the eleventh hour. In order to hire the best people for your business, every employee involved with the candidate should always be closing. Within the scope of recruiting, this means they should be looking for any doubts or uncertainty within the candidate and addressing it head-on. Remember that candidates (like customers) do not always voice their concerns.

If an organization injects even half of these elements into its current hiring practices, it will achieve measurable improvements in the quality of its workforce. This plan recognizes that employees are on the same level as suppliers and customers. They are trading value (their skills & time) for value (wages & benefits). Good candidates need to be sold.


By Kevin F. Flemming,
Director of Sales & Marketing
INTEGRITY Personnel, Inc.
 


©2003-2008 Integrity Personnel • Allentown, PA • 610-433-3500