Every hiring manager knows that a bad hire is expensive, costing anywhere from 25% to 250% of one year’s salary for the role. But it’s not just recruiting costs that figure into the total impact on your bottom line. A bad hire can have a major ripple effect across the organization, significantly raising the total cost of a single mistake.
The Cost of Missed Opportunities
When a bad hire quits – or must be let go – you’ve wasted a significant amount of time and resources hiring, training and onboarding that person only to have to start over from scratch. Typically, six months is how long it takes a new employee so start making valuable contributions, so starting over puts you that much farther behind the proverbial eight ball.
The Cost of Decreased Morale
A bad hire has a negative impact on team morale. Seasoned employees typically have to pick up the slack for new hires as they learn, taking a toll on the team. That toll worsens if the new employee has a bad attitude or is not learning quickly. Productivity and quality suffer when people are spread thin. Extra work leads to extra stress and prolonged periods of extra work lead to dissatisfaction, resentment and ultimately, turnover.
The Cost of Cultural Impact
Poor hiring decisions can also have a negative impact on corporate culture. When someone doesn’t mesh with the team – if they have a poor attitude, no desire to learn, if they are not a team player or their personal values do not align with company values, problems quickly arise.
Company culture influences the way employees go about their days, how they interact with one another and how they feel about their work. A misaligned employee can disrupt workflow and team rapport, which disrupts the way your good employees feel about their jobs. Only people who buy into your culture, add value to the culture and who thrive in your environment will succeed over the long haul.
The Simple Way To Reduce Hiring Risk
Every company experiences a bad hire once in a while, but a string of bad hires can eat away at an organization’s competitiveness and profitability. You can reduce hiring risk and eliminate the costs of making bad hires by partnering with a recruiting expert. The right partner will attract the right caliber of candidates and weed out candidates who don’t have the right skills or cultural alignment to succeed.
If you are looking for more ways to reduce hiring risk at your ag business, contact the agricultural industry staffing experts at Morris Bixby Group. Our proven strategies for success can help you access the right person for the role, every time.