What Your Business Loses When You Hire the Wrong Employee
Hiring employees is necessary as you scale your company forward. While you can automate some aspects of your business, there are numerous irreplaceable functions that only a person can do. However, adding another person to your team won’t always give you the returns you expect from them. Sometimes, a bad hire is much worse than hiring no one at all.
The Cost of Hiring a Bad Employee
Bad hiring decisions can have negative consequences to your business beyond the standard financial loss. Everything from sourcing applicants to the onboarding process will all go to waste if you direct them to the wrong employee. This is why the risk of a bad hire is too great to bear, especially for startups and small to medium enterprises.
In this article, we’ll share four losses your business incurs with a bad hire.
Contrary to popular belief, money isn’t the most important capital for your business. Losing time and productivity is a much more significant loss to your company, especially if the goal is the opposite. Hiring a new employee should extend your company’s reach across different Key Performance Indicators (KPIs). However, a bad hire can drag your progress down a significant notch.
A bad hire can compromise your productivity in numerous ways. They can be inefficient in performing their tasks by submitting subpar work or missing deadlines. This can be even more infuriating if they don’t show signs of improvement after receiving sufficient training.
2. Training Resources
It’s always important to give your new hires a chance, which should be a practice every business owner needs to adopt. After all, recruits will naturally go through growing pains, even if they have previous experience in their role. However, the chances you give your new hires shouldn’t be an excuse to permit consistently poor performance.
Realizing that you’re training a bad hire can lead to many realizations of lost resources. Besides the time your senior staff takes to orient them, you’ll also waste other material capital that you can no longer retrieve.
3. Team Productivity
Adding a bad hire to your team can lead to conflicts, disrupting their flow of following your business model. This is why bad hires need to be a good fit for the role and your company culture. Otherwise, they will negatively affect the current pace of your workplace. To avoid this, you need to align your recruit’s goals with your company and team’s vision. Doing so will warn you if they’re a viable candidate for a long-term stay or not.
4. Clients and Reputation
Bad hires will have a lasting impression on your internal affairs and external business partners. This is why it will reflect poorly on your brand to keep them on board. Unless you want to compromise long-term relationships with your clients, it’s best to minimize your risk of keeping bad hires.
Unfortunately, the risk factor for bad hires becomes much greater the more critical the role you hire. This is why bad hires for your IT team will have a severe impact on your operation. Thankfully, you don’t have to take your chances on every applicant you get for your opening. Instead, you can work with professional staffing companies to give you the best the employment pool has to offer.
Reduce your risk of getting bad hires by working with us at Technical Paradigm. As the leading Chicago-based IT staffing company in the US, we can prevent you from wasting valuable resources by finding the ideal IT staff candidate. Sign up with us today and avoid major losses in the future!