Andy Nurumov

Author: Andrew Nurumov

After sales, hiring is the most important week-to-week responsibility component for any CEO at a growing business. How to execute and make right decisions in this area?

(Advice below is relevant, if you have 10+ on-going open positions in your business and want scalable solution in hiring area.)

First, CEO should make 2 right decisions:

1. Decide on HR outsourcing vs. in-house HR
2. Hire in-house a right HR business partner 

Second, it is important to execute the following: 

1. Consistently control hiring KPIs
2. Invest time in onboarding
3. Support right culture and HR motivation 

GO DEEPER: 

I. Outsourcing vs. in-house. 3 most important criteria to make a decision are (a) your HR brand, (b) role specifics, (c) your industry specifics. Some also think about budget and confidentiality of position but this should not be your criteria in right decision making. 

II. HR business partner. He/she is not just who had this title, but really business oriented HR. It’s very seldom to find such a person in our time. 

III. Hiring KPIs. 

Pre-hiring KPIs:

1. Find right candidates who want to talk
2. Close position searching at right time constraint
3. Have high closing rate with preferred candidates
4. Control cost of talent acquisitions 

Post-hiring KPIs:

1. Positive influence on company culture
2. Effectiveness of employee
3. High employees retention 

It is important to find a balance between pre- and post-hiring KPIs. Creation of skewed pendulum to pre-hiring does not guarantee even achieving annual business results. 

All 7 KPIs above could be revealed more. Let’s talk at least about effectiveness of employees. Remember simple 10x rule, if you hire a person for 100K USD annually, he/she should bring you at least 1 million per year consistently. With this rule you always will hire essential people and do not need to layoff people at unfriendly economic environment. 

IV. Onboarding. Important to allocate time and delegate to right people in your business. “Business” employees should be involved in this process.

V. Culture / HR motivation. System efficiently works if processes reinforce on higher results without to be broken. Culture and HR motivation allow to achieve it.