What is a Mis-Hire?
It’s when a new hire fails to meet the desired results within their first year in their position. Jack Welch says 1 out of every 2 hires in the US ae Mis-Hires. Only 1 in 5 are high performers.
What is the cost of a Mis-Hire?
5-24 times an annual salary. If a new hire has a base compensation at $102,692, the net average cost of a Mis Hire = $1,502,436 (14.6 times base compensation-includes opportunity costs, hiring fees, stress on other staff, lost revenue, etc). For NPs, it’s $830,239.12.
How do you prevent it?
Consistent recruiting methodologies and thorough vetting processes (more details on this to come…).
“The toughest decisions in organizations are people decisions—hiring, firing, and promoting people. These are the decisions that receive the least attention and are the ones that are the hardest to unmake.”
~ Peter Drucker