Data and Distance from the Market

On February 9, 2017, in HRExaminer, by John Sumser

2017 02 09 hrexaminer data and distance from the market img chart data report pexels photo 159888 sq crop 200px.jpg

One of the wonderful things about content marketing is that there is some amazing educational material scattered around the web. Sadly, it’s usually buried in a sea of puffery, bad ideas and time-wasting nonsense.

One of the wonderful things about content marketing is that there is some amazing educational material scattered around the web. Sadly, it’s usually buried in a sea of puffery, bad ideas and time wasting nonsense.

Jibe has a great tutorial on the elements of ‘time to fill (TTF)’.  (TTF = Total Number of Days Job is Available and Unfilled). They break it down into the following elements:

  • Time to advertise an open position in all channels
  • Time to identify an acceptable candidate
  • Time to complete all interviews
  • Time to complete background checks (if needed)
  • Time to create and extend an offer
  • Time for candidate to accept offer

Dice, through its DHIHiringIndicators arm, produces a monthly report showing the average time to fill an open position is in the 28 or 29 day range across all industries. TTF and DHI’s indicators describe the amount of time the requisition is in the hands of recruiting.

Who cares?

It’s a meaningless figure unless you work directly in recruiting. Meaningless to the business, meaningless to the hiring manager, meaningless to the candidate. The hiring authority is interested in ‘how long does it take to get a new person in the job?’ The candidate wants to know, ‘How long until I can start the new job?’ The business wants to know, ‘When can we stop paying overtime and working Saturdays?”

Peter Drucker famously said, “Inside an organization there are only cost centers. The only profit center is a customer whose check has not bounced.”

For the hiring manager, how long it takes to get a person into the job includes

  • Time to recognize the need for additional help
  • Time to define the job
  • Time to get the requisition approved
  • Time to find out that what you want can’t be done
  • Time to rewrite the job description
  • Time to scan the workforce to see if there are internal candidates

on the front end and, 

  • Time between offer acceptance and next onboarding class
  • Onboarding
  • Time to fumble into productivity
  • Job specific retraining

Part of the reason that Talent Acquisition departments are growing is that this particular view of the process shows how minor the recruiting function’s role in the process actually is. Much of the pressure that recruiters face daily has to do with the Real Time to Fill (RTFF).

RTFF = time from earliest identification of the hiring requirement to a productive employee doing the job.

Largely because of the variances and ambiguity in the unmanaged processes the definition of RTFF might easily be expanded to include:

  • Time to figure out that you hired the wrong person
  • Time to ramp up the termination process
  • Time to find and fill the replacement.

Recently, I’ve been seeing stats (largely from vendors who want to fix the problem) that suggest that hiring decisions are flawed a minimum of 50% of the time and get into the mid 80s as the level of the hire increases. My sense is that the error rate comes from the parts of hiring that are not executed by recruiting. 

I’m surprised I don’t see more about this part of the hiring problem. It’s as if it doesn’t belong to anyone.

 
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