Project Management: The Prescription for Successful Hiring
Most business leaders today are keenly aware of the downsides of a bad hire. On the flip side, they understand how landing the right talent can energize a company’s success and potentially boost positive feelings within a company culture and workforce. How costly is a bad hire on purely financial terms? Estimates vary, but the broad answer is very. Traveling back in time to 2003, the U.S. Department of Labor estimated that the average cost of a bad hiring decision can equal 30% of the individual’s first-year potential earnings. It’s probably higher today. Tony Hsieh, the founder and CEO at Zappos, told Business Insider in 2010 that bad hires had cost his company $100 million. The recruitment wars are littered with anecdotes and statistics about the horror bad hires can bring. Apart from the financial risks, there are other unwanted intangibles resulting from a bad hire. Mainly, there…read more...