Engagement Practice _ 13: Track Measures of Hiring Success

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Many companies track cost per hire, but fewer than 10 percent of companies

track the most meaningful hiring measure of them all—quality of

hire.12 Here are recommended ways of tracking the measure that comes

closest to quantifying the match between person and job:

Each hiring manager sets quarterly and first-year performance objectives

for the new hire expressed in terms of expected quantifiable

results and, in partnership with human resources, tracks quality of

hire based on the achievement of those results. Some organizations

use the first-year performance appraisal to track quality-of-hire. How

soon to measure quality of hire may vary from job to job based partly

on expected ramp-up and learning curve.

Results may be based on customer satisfaction surveys, achievement

of on-schedule results, cost/quality targets, absenteeism rates, and

achievement of targeted quantitative objectives.

Track first-year retention rates of all new hires.

Track employee engagement survey scores of first-year employees as

a group.

Each year hiring managers complete quality-of-hire ratings on all

new hires.

Gather 360-degree feedback ratings on all new hires at the end of

their first year.

It is recommended that all hiring managers meet with human resources

staff once a year to review quality of hires and to discuss any mistakes made,

lessons learned, new strategies, and plans for improvement.