Poor recruitment processes can impact organisation’s bottom line

Monday, 14 November 2016 - New research from search and selection firm Pohlen Partners demonstrates that poor recruitment practices and adverse candidate care can directly impact an organisation’s bottom line. This aligns with international results highlighted at a recent global conference

Chief Executive of Pohlen Partners, Nicola Pohlen explains “Our research shows that a candidate who perceives they have had a poor experience is likely to choose not to buy the company’s products or services and is also likely to negatively influence the buying decisions of others.”

Pohlen Partners surveyed candidates who had applied for roles between January 2015 and June 2016. Over half (55%) of the respondents had experienced a negative experience during the recruitment process.

“That over half of candidates said they have had a negative experience in the recruitment process is concerning and shows that organisations have some way to go to improve their capability in this area” said Pohlen.

Influenced by that negative experience:

More than half (53%) responded that they will not buy that company’s product or service

45% responded that they will tell others not to buy that company’s product or service

In addition, 69% of those with a negative experience will recommend others not apply for roles in the company and 65% would not themselves accept a job offer. This directly impacts the company’s ability to attract talent.

Comparing the results with a USA survey, the overall impact of a negative experience in New Zealand is more severe than that in the United States. “Perhaps this is as a result of our smaller, more relationship driven market” says Pohlen.

Nicola Pohlen stated that candidate responses highlighted a range of matters that led to a disappointing experience, including;

A lack of constructive feedback - particularly after being interviewed

Poor interviewer expertise, from recruitment consultants and hiring companies or a perceived absence of commitment by interviewers to the candidate and the process

Ineffective communication during the process

Apparent confusion or lack of clarity about the role, the skills required or the type of candidate the company is looking for

Timeliness – a quick effective process is preferred

“These are all elements requiring attention when hiring and in establishing recruitment strategy” says Pohlen. “The survey information confirms Pohlen Partners’ belief that there is opportunity for more companies to improve hiring strategies and effectively showcase their organisation to the market. Achievement of standout candidate experience will position your business as a premium employer and a premium brand.”

Pohlen concluded, “While some companies are investing resource, combining human resources and marketing expertise to create a positive experience, this survey demonstrates that many are missing the impact of candidate experience on reputation, access to the widest talent pool and resultant impact on bottom line.”