We’ve talked about the cost of a bad hire, but did you know that an inefficient hiring process can also cost your company money? The longer you leave a position vacant the more you are losing valuable resources, both monetary and intangible.
Isn’t the solution obvious, then? Just work quickly to hire someone as fast as you can! Well, this isn’t always possible. The hiring process requires a lot of resources, one of which is time and which not all companies have.
However, you risk losing more when you leave a spot open. Here are a few examples of where your business can take a hit.
Loss of revenue
When revenue-generating roles such as sales are left vacant, you’re obviously going to suffer some loss of revenue. You may think you’re saving money from the payroll and benefits that would normally go to an employee, but the money they bring in is always more. Any other positions maximize productivity and revenue really, which is essential for business.
Overtime costs
For some businesses, the loss of production from a vacant role is out of the question so all the work has to fall on another employee. Of course, that employee has other responsibilities so in order to handle the extra work, they will have to do paid overtime. That employee may need a bit of training as well if their position is different from the one that is open.
Slowdown of projects
The longer you leave a spot or more open, the slower projects can progress, since teams are left shorthanded. This can snowball into splitting too much work between too few people, to the work being subpar, to clients being disappointed, to eventually their loss of trust and damage to your reputation.
Overworked staff
We mentioned having to pay overtime to overworked staff, but the truth is there’s more to this than just monetary costs. Prolonging this can result in burned out staff and them considering other opportunities for work, adding more vacant positions until your entire operation can hardly continue anymore.
Loss of productivity
Overworking your staff doesn’t guarantee increase in productivity either. If their focus is split into too many things and their skills are overlapping, they can end up just giving less than 100% for every task. They can end up neglecting their mental health, losing their work-life balance, and their physical health can even be affected.
Dip in morale
The office environment and culture changes when everyone is overworked as well. Not only because everyone is tired and taking on responsibilities beyond their scope of work, but there is also the possibility of the following questions – why is it taking so long to fill the position? Do people not want to work for this company? Then why am I still here? Is there something I didn’t see in the beginning? Perhaps it’s time for me to leave too?
Unhappy employees don’t feel like being productive and will start to wonder if staying is still worth it.
Partner with a staffing agency
We understand that there is a ton of work that goes into hiring for a specific role, it’s our job!
It’s not a simple matter of filling the role, but ensuring the role stays filled for a long time. Constant turnovers are expensive and take up a lot of time.
Allow Remote Workmate to take care of your hiring needs! We ensure only the best candidates are considered through intense screening and interviews. Plus, we help make the working relationship last by facilitating onboarding processes, regular evaluations, HR services, and payroll.
Ready to hire? Schedule an obligation-free session with us!
