July 16, 2024
If your business has been hiring in the last several years, very likely you’ve come across the term "talent war”. Hiring managers are finding themselves in a kind of fierce battle to attract and retain the best employees. While securing the best person for the job can provide a significant competitive advantage, the risks of hiring someone only to have them leave for other opportunities is also significant.
One of GLC’s core objectives has always been to make other businesses more efficient and profitable. With this in mind, we’ve naturally taken on many of the risks associated with hiring and training the people necessary to make business operations run smoothly. With those risks rising to the forefront of the job market, we know that it is more important than ever that we do what we do best for our clients.
We’ve long been committed to Lean Six Sigma principles. At the same time that some opportunities to attract the best employees are complementary to those lean practices, such as allowing for remote work, the very notion of warring for talent and experiencing frequent turn-over are distinct problems when it comes to following those principles.
We often see a problem in companies rushing to fill critical positions to their own detriment. We see companies prioritizing technical skills over cultural fit and alignment with company values. In addition, there is a temptation to use job sites which promise to deliver on volume of applications, rather than quality of candidates.
As our own Business Development Lead, Samanth Eib, said “Candidate sourcing isn’t the problem right now, there’s plenty of talent out there. The challenge in Talent Acquisition is finding the right talent that best fits your company and the candidate's needs. The benefits of having a third-party provider is that we always have our feelers out for new talent and building these strong relationships between Employer and Employee. We feel this helps us in ensuring natural turnover and seasonal time off are properly covered so your business is always mission-ready.”
Sam’s statements strongly align with our company's ideals of putting the right people in the proper position. Hiring individuals who do not align with the organization's culture can lead to higher turnover rates, reduced employee morale, and potential conflicts within teams. Our own HR team has found this to be counterproductive when it comes to hiring. Over years of experience our experts have found that most skills can be taught, but that personalities can make or break the work environment. Hiring for culture fit has proven to be a much more effective method when seeking retention, rather than hiring by the resume alone.
We also find that focusing excessively on attracting new talent can sometimes lead companies to neglect the development and retention of their existing employees. There is a vast rate of turnover when the workforce feels demotivated, or stuck in their current positions. As interviewees are likely wondering where the position can lead, it is important that managers do the same. Employee development is important to anyone seeking retention. Current employees may feel overlooked or undervalued when new positions open without consideration for those already seeking to advance within the company. When it comes to retention, internal hiring, and promotion is one of the key elements that have kept us satisfied with the results of our efforts.
Candidate sourcing isn’t the problem right now, there’s plenty of talent out there. The challenge in Talent Acquisition is finding the right talent that best fits your company and the candidate's needs. The benefits of having a third-party provider is that we always have our feelers out for new talent and building these strong relationships between Employer and Employee. We feel this helps us in ensuring natural turnover and seasonal time off are properly covered so your business is always mission-ready. - Samantha Eib
High turnover rates are arguably the most significant risk in a talent war. When employees see their colleagues leaving for better opportunities, they may be more inclined to explore new job prospects themselves. Additionally, if the company is frequently losing talent to competitors, it can signal instability to both current employees and potential candidates.
Internally, we have strategies to promote a culture of appreciation and recognition for individuals who are consistent in their work, and who go above and beyond in their roles. This helps foster a positive work environment and employee engagement. While this takes effort from our leadership team, it is a key element of allowing employees to receive praise in public.
Under pressure to fill positions quickly, companies may lower their hiring standards, leading to the recruitment of candidates who do not meet the necessary qualifications or competencies. This can result in poor performance, decreased productivity, and increased costs associated with training and managing underqualified employees.
An inevitable outcome of this problem is that the urgency of a talent war strains HR and recruitment teams. The increased workload can lead to burnout, reduced effectiveness, and potential errors in the hiring process. While this leads to a revolving door of internal problems for most businesses, our teams are hired with the awareness that placement of propper candidates is at the core of what we do. Our team leaders, like Sam, maintain standards for our clients even in the most dire of circumstances to provide the white-glove service we pride ourselves on.
For most businesses, however, the positions most affected by employee turnover are those that do not generate revenue. However, the business is most affected when those revenue-generating employees are impacted by poor competence, disorganization, or low morale within the organization.
While some hiring managers lose sight of the importance of hiring and developing teams that handle services like the mailroom, document production, and reception, these are often the people who represent the business’s brand first, who allow other employees to operate efficiently whether they be remote or in-office. Hiring for these positions is no place to slack, even when managers feel that they can do so quickly or without the same attention they would give to revenue-generating employees. The problems arise when the culture suffers and turnover drains their resources. Our teams are meant to protect against that.
While hiring in a talent war presents opportunities to secure top talent, it also comes with significant risks. By recognizing these risks and implementing strategies to mitigate them, companies can navigate the challenges of a talent war more effectively and build a stable, high-performing workforce. Our teams are built to absorb that risk for your business, hiring with care and attention to prevent turnover and maximize productivity in our clients’ offices for years to come.
If the risks of hiring are causing your business to suffer low productivity, morale, or poor organization, ask how our dedicated teams can help you Consider It Done.