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Session #401 - Hiring the Best,

Avoiding the Rest

Larry MorganHanratty and Associates

June 24, 2015

Introductions

� Larry Morgan, MAIR, SPHR, SHRM-SCP,GPHR

� Hanratty and Associate HR Advisor

� Orion HR Group, LLC

� Over 30 years of HR experience for organizations including National Car Rental, Best Buy, Lawson Software, HB Fuller, Grant Thornton, JD Edwards, CUNA Mutual Group

� Adjunct / Community Faculty at Metropolitan State University, U of M Continuing Education and St. Mary’s University

� Trainer for SHRM and IFEBP

Agenda

� Understanding new dynamics in recruiting and retaining staff

� Hiring for cultural fit

� Best practices

� New tools for recruiting and screening

candidates

� Testing candidates

Why are you here?

� Top three things you hope to gain today

� Challenges / problems in hiring

Did you ever hire your ““““ideal

candidate”””” only to find…..

� They really didn’t graduate

� They didn’t know what they said they knew

� They couldn’t get along with anyone

� It really wasn’t what the organization wanted

At your table….

� Take five minutes and come up with the best

hiring “Horror Story”� No names please

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Workforce planning

� What do we mean by workforce planning?

� How does workforce planning work in your organization? • Analyzes organizational

workforce and prepares for future needs.

• Forecasts future conditions and identifies gaps between current and future staff.

• Provides qualified individuals for jobs in the organization.

• Addresses current and future needs for knowledge, skills, and abilities.

Staffing Workforce Planning

Workforce Planning

Solution Analysis

Gap Analysis

Demand Analysis

Supply Analysis

Workforce Analysis Process

Workforce Planning

Talent wars are back…..

� Lowest unemployment rates in 30 years

� More churn

� More competition in the marketplace

� Boomers retiring

� Fewer entrants to labor market

� Higher demand for services

� Speed of change including job skills

� Global job market

� Labor Econ 101 – high demand, low supply…..

Important….

� Identify key positions and competencies where “A” players are most critical to your organizations success

� Where are you ok with “B” or “C” players?

� Cast people in the right roles

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Question

What are your critical challenges in

staffing and competing for talent?

What do we mean by successful hiring?

� Generating a significant candidate pool

� Screening out candidates without proper skillset or qualifications

� Interviewing among multiple candidates with proper skillsets

� Hiring the best candidates with the most chance of success in the position

� Proper staffing for a competitive edge

� Integrate with organization values and culture

� Cost effective

“Best practices include taking more time in the

hiring decision process”

Strategic staffing

� Proactive

� Anticipate future needs

� Persons who can grow with position and organization

� “Right person, right seat, right bus”� Talent wars

Understand the process flow1. Identify the specific needs and options (profile)

2. Review / write job description and grade3. Look internally

4. Recruitment sources

• Postings• External ad – classified, internet, trade, professional association

• Employee referral

• Colleges and universities• Job fair

• Recruiter

• Guerilla marketing including social media5. Screen and short list

6. Interview

7. Select8. Background and reference check

9. Offer

10.Onboarding

Rethink the position

� Do we need to fill the job?

� Could it be done elsewhere?� Outsourcing?

� Job enrichment?

� Combined with others?

� Are there internal candidates?

� Succession plan?

� Career pathing?� Feeder positions

� Promotion positions

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Define the job clearly

� Why does the job exist?

� Primary duties

� Essential duties

� KPI’s

� Minimum requirements

� Education

� Experience

� FLSA

� Competencies

� BFOQ’s

Creating a profile

� What are the key factors?

� Requirements vs. preferred

� Hard vs. soft skills

� Cultural fit

� “Make or break” factors

� Look beyond “current incumbent” factor

� “A, B or C” player needed?

Create a timeline

� Anticipate needs

� Identify recruitment source

� Start and stop dates

� Place ad or interview recruiters

� Candidate pool screening

� Interviewing

� Selection

� Offer and acceptance

� Testing period

� Reference and background checking

� Notice period

� Candidate starts

Develop your employment

brand…..

� Integrate vision, value proposition, mission

� Solidify the identity

� Define what it means to work here

� What experience will you have

More than...� A recruitment slogan, logo or tag line

� A statement of core values� HR policies and practices

It is...� A relationship with employees� A reputation among prospective employees and placement

agencies

� A commitment to the employee/employer relationship� A value system that is integrated throughout the organization

(“real” and believable)� Relevant to current and prospective employees

Employer brands are… Build and use your brand� Develop a brand strategy

� Internal and external should be seamless and integrated� What content?

� Who approves?

� Reflect organization “heart” and culture

� Develop a social media strategy� Determine who is in charge of social media

� Website for career postings

� Internal and external benefit information� Compensation philosophy

� Define the experience

� Delivery methods and updating to keep “fresh”

� Determine how best to integrate brand and social media

� Track use

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Recruiting- EVPWhat’s your EVP – Employee Value Proposition?

� Why do employees join and stay with your organization?

� What is your brand?� What are your external views?

� Website� DEED� Twitter� Employment application� Career fairs� Employees� Community

Using Social Media to define

your EVP

� What makes your organization different?

� Why should people come and work for you?

� Why should they stay?

Employees = Marketing Brand

AmbassadorsWhat do employees or former

employees say about you?

Top US Social Media SitesJune 2015

� 72% of online users are social networking site users

� Persons age 65 and above have tripled online presence (13% in 2009 to 43% Fall 2013)

� Only 28% of organizations have a social media strategy

� 39% of organizations monitor employee social media activities on company owned devices

� 20% of organizations use social media for internal communications

� 40% have a formal social media policy

� 33% of organizations with a policy report taking disciplinary action against employees.

� 42% of LinkedIn users regularly update their profile information

Source: SHRM, 2012 and Digital Insights, 2013

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Question:

What innovative / creative strategies

have you used to attract candidates

to your organization?

Building your candidate pool

Screening candidates

� Review resumes

� Content

� Career path

� Career goals

� Place in one of three piles

� Phone screens

� Understand the job

� Use a script

� Make sure timing is ok

� Record information on paper

� Discuss location, hours and compensation

� Schedule the interview

Red Flags on application and

resume

� Geographic moves

� Jobs held less than two years

� Spot descriptions of positions only

� Resumes reflect only organization accomplishments, not individual

� Implied levels of education

� Fuzzy reasons for leaving

� Unclear career path

� Progression across vs. up organization

� No direct supervisory references

� References refuse to respond

Who interviews?

� Employee Relations / HR?

� Executive Director?

� Board member?

� Manager?

� Subordinates?

� Other incumbents?

� Panel?

Interviewing do’’’’s and don’’’’ts

� Listen 2/3, talk 1/3

� Be ok with silence

� Avoid interview bias

� Stereotyping

� First impression

� Halo and horn effects

� Understand what you can and cannot ask

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Preparing for the interview

� Scheduling

� Set time and place

� Avoid interruptions

� Minimize distractions

� Do your homework� Understand the position

� Review the candidate background

� Prepare and distribute questions

● Train panel members

● Scorecard / rating system

Questions to ask

� Tell me what you know about us…

� How did you prepare for this interview?

� Have you been convicted of a felony?

� Work related questions such as-

� Tell me about your experience at xyz company

� How did you accomplish this project?

� Can you work on weekends?

� Do you have any physical limitations that would prohibit you from meeting the requirements of the job?

Questions to avoid� Tell me about yourself� When did you graduate?

� What medications are you taking?

� What holidays do you require to take off?� Have you ever been arrested?

� Where do you live?� How will your spouse feel about your traveling?

� What will your wife think about you working for a woman?� Have you filed a workers compensation claim?

� Do you have a car and a drivers license? (unless required for the job)

� Where were you born?

� How is your health?

� How did you get that scar? Why are you wearing that bandage?� What clubs and civic groups do you belong to?

� Are you planning to have children?� How old are your children?

Silly questions

� What are your strengths?

� What are your weaknesses?

� Who is a personal hero?

� If you were a (tree, animal, superhero, etc)….

� What kind of supervisor do you like?

� Where do you see yourself in three years?

� Sell me this pencil

� What is the last book you read?

Question

What is your favorite interview

question?

The behavior based interview

� Determine competencies

� Create questions based on competencies

� Draw upon past experience

� Past behavior is best predictor

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Why behavioral competencies?

Skills

Knowledge

Attitude

Motivation

Traits

Necessary for top

performance, but not

sufficient to guarantee

it

Personal attributes

and behaviors that

predict longer term

success

Sample competencies

� Customized for position� Executive� Technical

� Individual Contributor

� May include the following examples:� Communication skills� Leadership

� Teamwork

� Ethics� Interpersonal skills

� Planning

� Results orientation� Negotiation

� Persuasion

� Problem solving� Planning

Sample behavior based questions

� Organizing� “Tell me about a time when you had to organize a group of

activities to accomplish a project. Tell me about the project and what you did.”

� Teamwork� “Tell me about a time when you served on a team to accomplish

a goal or project and you disagreed with the direction the team was taking”.

� Decision Making� “Tell me about a difficult decision you had to make.”

� Flexibility� “Can you tell me about a time when you had to change your

plans at short notice”.

� Innovation� “Can you tell me about a time when you acted to improve a

process or make a system work better”?

Behavior based questions

� Different than hypothetical situations

� Create a “CAR” or “STAR”� Context

� Action

� Result

� Situation / Task

� Action

� Result

With a partner….

� Think of a position you were (or are) hiring for

� Identify the key competencies needed for the position

� Think of 2-3 behavior based questions that

would differentiate candidates

Develop a Scorecard� Scale

� 1 The candidate / response suggests a lack of understanding or is not qualified, did not answer question

� 2 The candidate / response is lower than expected results for the question

� 3 The candidate meets the minimum expectations for position / adequate response

� 4 The candidate exceeds the expectations for the position / above average response

� 5 The candidate greatly exceeds expectations / superior response

� Calibration� Points are totaled and compared to other candidates

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At your table….

� Break into groups of four� Person A is the candidate

� Person B is the interviewer

� Person C is the observer

� Assume you are interviewing a housekeeper

� Role play your position

� Five minutes !

Review answers

� Establish rating scale and weighting

� Determine 1-5 based on appropriate responses

� Rate candidate responses

� Part of assessment process

Observers

� What did you observe?

� How many pause points ?

� Were there any nervous behaviors on either parties

part?

� Did the interviewer pause for responses?

� Were the questions meaningful?

� Were the responses meaningful?

� What behavior based insights were provided?

� Other comments and observations?

Find a partner

� Conduct a mock “mini interview” and use the scorecard

The organization fit question

� Organization fit is critical

� Helps to determine motivation

� “Tell me about a time when you felt very satisfied with a project or assignment

accomplishment….”� Hire for attitude, organization values and

cultural fit (50%)

� Hire for skillset and experience (50%)

Three issues

� Can they do the job?

� Can they do the job here?

� Will they do the job here?

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The interview process

� Establish rapport

� Place the candidate at ease

� Explain process

� Take notes

� Follow up with questions / issues

� Note nonverbal

� Fielding questions

� Next steps

� One interview round or two?

Realistic job preview

� Explain position

� Meet with incumbents

� Tour facility and work area

� Shadow

� Disclose the “Good, Bad and Ugly”Suggested Selection Process Flow

Define Job Requirements

Initial screening

Define Testing approach

Background reviewContingent Offer

Interview

Recruit

Assessment Testing

Review results

Testing� Why test?

� What to test?

� Skills

� Psychological

� Physical

� Personality

� Drug

� Pre-employment

� Post accident

� Random

� Reasonable cause

� How to test?

� Who tests?

Three Types of Tests

� A + B + C

� Abilities

� Behaviors

� Character

Ability Tests

A job may requires certain skills and abilities.

� Physical strength

� Agility

� Hearing

� Cognitive reasoning

� Critical thinking

� Math

� Reading comprehension

� Writing

� Typing

� 10 key

May also be used to prevent workers compensation claims later on

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Behavior Tests

Each job requires crucial behaviors. Many require teamwork, customer service, etc.

� Interpersonal skills

� Personality

� Motivations

Character Tests

Every hire someone who turned out to be a thief or abused chemicals? Character tests predict attitudes or work-related character:

� Work Ethic

� Trustworthiness

� Substance Abuse

Customize Your Tests

� Customize abilities and behavior tests for each job in your company

� Conduct a benchmarking study with your best performers

� There are no “silver bullet” tests. Human beings are way too complicated

� Validate against top performers� Reliability

� Validity

� Title VII of the Civil Rights Act (1964 and 1991)

� EEOC Uniform Guidelines on Employee Selection Procedures

� http://www.uniformguidelines.com/uniguidepri

nt.html

� Work related requirements

� BFOQ

� ADA

Legal Issues with Testing

Retention &Development

Selecting theRight People

PerformanceFeedback

Productivity

What Every Organization Needs To

Know about Testing for Top Talent

CustomerService

EffectiveManagement

TeamCompatibility

Your Organization

A Manager that can’’’’t Lead

or

A Leader that can’’’’t Manage

Which would you rather have?

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• Skill

• Behavior

• Aptitude

“Do not mix”…. Reference checking

� Why check?

� Who to call

� Underground reference checking

� What to check?

� Document calls

Key questions to ask

� Verify title, dates of employment, salary� Reason for departure

� Licensure / certification issues

� What was the candidate's reason for leaving the position? � Would you rehire?

� What were the responsibilities of the position the candidate had while working at your company?

� Describe the duties and ask: Do you think the candidate is qualified to assume these responsibilities? Why or why not?

� How did the candidate perform with regard to________?

� What areas of development were communicated to the candidate and how did he or she respond?

� What are their three top qualities?� SHOULD I HIRE THIS CANDIDATE?

� Anything else I should ask?

Selection

� Skill set

� Experience

� Cultural fit

� Career fit

� Offer should be “contingent” on reference checks, passing physical and background

checks as appropriate

The cost of poor selection

� Hard and soft costs

� Lost time and productivity

� Conservative estimates of exempt turnover are 1x base salary

The offer

� Contingent on background check

� Modified language on employment at will

� Sermon on the amount� Total package

� Have market data

� Be “in the market”

� Past salary history

� Salary relative to the position and experience

� Identify motivators

� Internal equity concerns

� When to move on….

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Summary

� Define and stay with a process

� Involve more people and take more time

� Clear profile

� Hiring is more than just skills and experience

� Testing

� Behavior based interviewing Larry Morgan SPHR, SHRM- SCP, GPHR, MAIR

763-746-7861

Larrym@hanrattyassoc.com