Do you know what talent exists in your organization or are you forced to go outside each time you need to find talent? The cost of external hiring is estimated to range between 50% and 250% of salary. Yet, as many as 93% of CEO’s admit that they do not have a good handle on the talent that already exists in their organization. This is an untapped answer to the current employee motivation and talent problem on many levels. We need to know what hidden skills and talent exist in our organizations and how that translates into hiring needs for new talent. What talent do we really need? We can’t answer that question today. We spend a lot of money and time recruiting and hiring. Do we always need to seek outside talent or are we forced to take that route because we lack the information to make any other decision?
A shrinking labor pool and stiff competition for talent will continue to drive the cost of external hiring up and up and businesses will be held hostage by this because they really do not know what talent they need to add to their organization.
We need a way to assess talent that goes beyond the subjective, increases the objective with meaningful information far exceeding the amount of information we typically collect today. Internally, we need to collect and maintain key information about our existing staff. Most companies rely on the performance review, a manager’s recommendation, perhaps peer reviews and job performance. Again, all subjective. We need a method that is more objective, blind to subjectivity and human bias if we are to have the best chance of understanding the talent that already exists in the organization so we can clearly assess the talent we need to hire.
The answer is a carefully selected suite of assessments that allow a company to develop strategic information around the skill sets and characteristics of their employees. Some companies use assessments when they hire, but the assessment used typically is one that measures what one knows or one’s intelligence, perhaps personal style and behavior. Using assessments to augment the hiring process is good and helps to collect some of the data needed, but it is usually only done at the onset of employment and the results are recorded in the personnel file, used for the hiring decision and not much else. The problem is that we do not have a complete picture of our employees. We only have what is on the resume, job description and our observations of employees performing their current tasks. What else can they do? What other experience do they have? What do they enjoy doing? We need to understand our talent pool at a much deeper level than we do today.
Developing a carefully executed suite of assessments as an objective data collection tool and then using that information in a systematic way to make decisions beyond hiring will be a key component of developing a competitive edge in the future. We call it the Human Competitive Edge™, a carefully selected set of assessments administered by our Certified Administrators to facilitate the collection of the right information and then organizing it so it can be used strategically as a body of business intelligence around an organizations workforce that will allow the organization to:
- Better assess actual external talent needs and reduce the time and cost of hiring new talent.
- Develop leading indicators for hiring instead of chasing the job market.
- Insulate the organization from the shrinking employment pool.
- Better utilize the employee assets already in the organization building motivation, satisfaction and loyalty.
- Pull the right skill sets together to quickly capitalize on new opportunity.
- Have a methodology for coaching and communicating employee value today and laying out future contribution possibility for improved employee retention.
I founded a company and we built a culture of get it done, failure is not an option employees by creating and using our proprietary M.A.T.C.H.™ system. These people worked at home at a time when very few people did. They were self-managed, had very low error rates, very low absenteeism and gave 110% effort all the time because they wanted to, not because they were asked to or demanded to. They wanted to because they were a good M.A.T.C.H.™ to the opportunity we offered, to the company culture, for the skills needed to do the work they did and the way we got it done. The work ethic and the dedication was amazing all because we created an M.A.T.C.H.™ The M.A.T.C.H.™ system creates happy, motivated, engaged and productive employees.
Contact us to learn more about our work in this area.