Think back to the last time you interviewed a potential employee. Was the candidate fully qualified? Or were you, perhaps, tempted to hire them based on their potential? Hiring a candidate based on potential has a lot of benefits, but only if you are properly prepared to help them succeed.
Hiring employees based on potential can free you to hire candidates who fit the company but lack experience, which can produce some amazing employees. Hiring in this way can be a great asset to companies who are able to invest the necessary time, but it can also be a misstep for those who are short on time and need a candidate to hit the ground running. Knowing your company’s situation during an interview determines who you can and cannot hire.
Why hire based on potential?
The ability to hire based on potential can be a benefit to your company. While bringing in someone with five years of experience might seem beneficial at first, it can also come with five years of ingrained habits. Their previous company may have had a different culture or set of values, or the candidate might have developed practices that don’t align with your company’s way of doing things. Although they may start strong, they could also bring along some unwanted baggage.
The second major reason to hire based on potential is the cost-effectiveness. These employees are generally less expensive to bring on board. By hiring for potential, you can train them to perform the job exactly as you want it done, while also offering a salary at the lower end of your range. Ultimately, this approach can result in a higher-performing employee at a lower cost to your company.
Overcoming barriers to hiring based on potential
The biggest pitfall for companies to avoid when hiring based on potential is doing it without a plan for turning potential into success. If you hire based on potential but fail to invest the time and resources into training, it sets your new employee up for failure. In that scenario, you create a situation where they may be put on a performance improvement plan or possibly even terminated, which would leave you at square one — needing to rehire and retrain the position.
Keep in mind this simple equation: potential = time. Do you have the time to put into hiring a candidate who is full of potential but short on experience or specific skills? If the answer is currently no but you’d like to work toward being able to say yes, there are several strategies to put in place.
First, create an excellent onboarding process. On day one of the job, all new employees should walk into a situation in which they have access to all the tools they need to succeed. This includes both the tools required to do the job and the knowledge of the company’s inner workings.
Next, introduce new hires to all the key players with whom they will need to interact. Show them how supplies are ordered or accessed and what processes are in place to help them complete their tasks. Make sure every new employee knows who to ask for help, and how to get things done. A regimented onboarding process is key to being sure no important piece of information is missed.
Finally, have a plan to speed up the learning curve. In other words, have a set training program. Each job should have a training program laid out that teaches the new employee how you want every aspect of the job handled. From the way emails or phone calls are managed to the way meetings work and widgets are made, take the time to train employees on all the details up front.
By laying out a training plan, you will answer many questions preemptively. Questions are always great and welcomed, but if you equip a new employee with knowledge before they need it, they will become more efficient and successful with less frustration.
When you’re strategic about hiring based on potential and have the right structure in place to support those employees, it can be a huge benefit for your business. But, if you’re not ready to spend the time, it’s good to recognize that and hiring someone with the experience needed.
If you need help developing a strategy for hiring for potential, reach out to the WhyHR team to schedule a consultation.