No One Can Afford a Bad Hire! IQ vs. EQ
Blog Provided By: Roxi Hewertson, Guest Blogger & SLS Partner
Fact 1: Nationally, about 50% of hires, fail. Of those that succeed only about 20% are top performers.
Fact 2: 90% of failures are UNRELATED to brains and technical skills.
Fact 3: The cost of a bad hire is up to 2X the person’s annual salary and benefits… until you fire them or they leave. How much you lose depends on how awful they are and how much time, money, and productivity is flushed away in the meantime. Then…add another 2X to 2.5X their salary costs to replace them.
Fact 4: Turnover in any position costs you real money. Turnover of good people leaving because they don’t want to work with your bad hires, costs you even more.
Do I Have Your Attention?
This is not theory – it is fact. And yet…we hire most people and positions based on shiny new degrees and/or technical skills along with perceived or tested IQ. We now KNOW, for a fact, that EQ (Emotional Quotient/Intelligence) is far more important for success in most jobs, and definitely within leadership roles. Still, we continue to hire and promote people, including leaders, largely for IQ and technical skill sets. “The best salesperson will surely be the best leader of other salespersons,” right? WRONG!
It just gets dumber and dumber. We keep getting the same lousy results and yet we have not substantively changed the hiring practices in most organizations. It is mind-boggling! I believe Albert Einstein had something clever to say about this phenomenon being related to insanity.
Whatever methods (legal and ethical of course) you use, you need to discover at least these SIX key things about your candidates BEFORE you hire.
6 Key Aspects to Hiring the Perfect Fit:
A: Attitude: Is theirs one of abundance and can do, or scarcity and focused on obstacles?
B: Brains: Can they do the job or learn quickly how to do the job?
C: Character: What are their core personal values?
D: Drive: Are they self-motivated to achieve their goals and yours?
E: Experience: What have they done in the past that prepares them, or makes them ready for what you want them to do now?
F: FIT: Will they truly FIT into your culture, your organizational values, help you accomplish your mission, and advance your vision?
If you said NO or Can’t Tell, to even ONE of these about the candidate, do not hire that person. Seriously – don’t do it!
Trust the answers to ABCDEF & trust your GUT. If the person doesn’t feel right to you or others, he/she probably isn’t right. In any case, it’s rarely, if ever, worth the risk to you and your team.
5 Key Questions to Ask a Prospective Boss or Employer
1. How would your team describe You/Your Style as their leader? Listen very carefully to his/her self-description (Ask her/his direct reports and look for matching answers).
2. How will you measure success of the person filling this position? If it were me, how will I receive constructive feedback about those success metrics?
3. In what ways do people have fun together at work here?
4. What are the operating values of the organization/department/division?
(If he/she has to look them up or there are none, run – don’t walk away!).
5. How are people rewarded when meeting or exceeding expectations, and held accountable when they don’t?
Here’s my biggest piece of advice. If you are a star or even a solid good performer; if people often ask you to be on their teams, or help find solutions…don’t look for a JOB; do look for the right BOSS and the right TEAM. Look for the people who will challenge you and from whom you will learn, where the values and culture FIT your values. Learn how to ask “culture” and “boss” questions. Believe you are stronger for having good questions than just being a “pin cushion” for questions about you.
The bottom line is….can you determine the right hire?