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Insights and Guidance

Building a Hiring Program

Building a hiring program is one of the most important and deciding activity for the future success of your business. I have often said that recruiting is the most important function in my role as a leader, but without a mature hiring program you’ll never get those amazing people in the door. Building and operating a hiring program is an exhaustive exercise - it’s not simply writing a job description and letting your internal recruiters loose on the world. It’s also not overly complicating the process to the detriment of candidate experience or availability. It requires just as much care and consideration as the biggest corporate initiative your company will ever execute.

In this article I’ll distill the major components in Planning, Building, and Implementing a mature recruiting and hiring program that has been successful at small Series-B round startups as well as large 10,000+ multinationals. As a side benefit, going through these exercises also tends to bring greater clarity of company vision, values, and strategy. Surfacing and resolving dissenting opinions now can eliminate the fracturing of a company if allowed to be cemented into the corporate structure. Done right, the people you hire now will lead you into a brighter tomorrow.

Plan

Define Clear Objectives and Goals

Start by engaging in a collaborative session with key stakeholders to outline precise and measurable objectives for both company-wide and team-specific hiring. Don't just think short-term; envision the composition of your teams in the long run.

Action item: Host a strategic workshop involving department heads to articulate hiring goals and discuss how these align with broader company objectives. This sets a clear roadmap for future talent acquisition efforts.

Leaders should be aware of next year’s goals by Q4 and have shared strategies in place by quarter’s end. Knowing the goals of GTM, Sales Engineering leaders can forecast their hiring goals and adapt their plans accordingly, as discussed here.

Establish Recruitment Budget

When determining the budget, look beyond immediate costs. Conduct a detailed cost-benefit analysis to understand the return on investment (ROI) for different recruitment strategies. Determine pay ranges and flexible options to simplify hire approvals.

Action item: Task your finance team with a thorough analysis, assessing not only the direct costs of recruitment but also the impact on overall organizational performance. Invest strategically to ensure efficiency and attract high-quality talent.

Unbeknownst to me, budgets had been slashed after the last board meeting. So when it came time to write offers to three individuals who had been sourced by external recruiters, they were rejected outright because we couldn’t afford the fees. So I now over-communicate for every hire, especially in startups, to make sure nothing of significance has changed but was not communicated.

Define Shared Values

Identifying shared values isn't just about listing them; it's about integrating them into your hiring process. Values are core, unchanging, and universally shared. They are different than desired characteristics, which change as a company matures and grows. Be wary of ‘cultural fit’ considerations - instead focus on what really matters: integrity, honesty, creativity, growth, compassion, courage, respect etc.

Action item: Develop a framework for assessing core values during interviews. Equip your hiring managers with questions and scenarios that reveal a candidate's alignment with your organization's values. Recognize and reward when these values are demonstrated internally to foster a culture that attracts like-minded individuals.

A great exercise is to bring your team into a room and brainstorm shared values. Start with core values each person feels strongly represent themselves, then share core values they appreciate in their teammates, then about what core values perhaps missing. Get it all on the board (Post-it notes work best) and vote on the top 5-10. Use this to underpin your hiring selection as well as bring your teams closer together.

Selection Criteria and Evaluation Process

Set clear and consistent selection criteria for each role, and implement a standardized evaluation process to ensure fairness. Use frameworks that measure poor, acceptable, and exceptional candidate responses and strategically test specific areas with each step in the process. Gather input and agreement from all stakeholders who will be part of the hiring decision and hold them accountable to the process. I once missed out on a rockstar candidate because the CEO got a poor gut feel of the person, and subsequently dismantled the process that his co-founder and I had built.

Action item: Train your hiring managers on effective interview techniques and the importance of using standardized criteria. Regularly review and refine your selection process based on real-time feedback and insights.

A good rule to follow is that the entire interview should be completed in less than 5 steps and/or less than a week. Each step tests a specific area of professional development, clearly communicated to the candidate so they can best prepare. Accompanying these interactions, internal hiring teams have a set of qualification measurements to objectively measure poor, average, and exceptional responses. You should also expect your candidates to do something hands-on - for more technical roles this could be a lab or sales presentation and for more senior roles this could be a P&L exercise or business proposal.

Organizational Restructuring or Realignment

Don't shy away from the possibility of restructuring if the hiring program reveals a need. Maintain awareness of wider organizational needs and establish that line of sight by constructing the necessary structures.

Action item: Initiate an organizational review considering both short-term hiring needs and long-term strategic objectives. Be open to restructuring discussions, ensuring your organization remains agile in response to changing market conditions.

In early stage startups, technical evaluations are often science projects. Your sales engineering teams are often inundated with stressful work requiring subject matter expertise to overcome. The solution is to establish a framework or guidance in navigating the scoping of these evaluations in order to improve deal velocity and with predicable outcomes. In my case, my team was often '“too busy to stop and sharpen the ax” so I petitioned for the creation of a sales-focused architecture team that support technically complex accounts but also build that center of excellence. In doing so, we burned off the science projects and laid the foundation for repeatable technical engagement successes in future deals.

Choose Recruitment Channels

Experiment with various recruitment channels to identify the most effective ones. I’ve found that VC-aligned external recruiters, internal referrals, and competitors to be a great source of highly qualified and skilled candidates. I’ve also sourced amazing dark horses through LinkedIn Sales Navigator, prompted with the proper set of keywords and filters.

Action item: Implement a data-driven approach to track channel performance. Diversify your sourcing methods based on observed success rates. Encourage your team to leverage analytics for optimizing channel selection over time.

Applicant Tracking System

Selecting the right Applicant Tracking System (ATS) is crucial for efficiency. An ATS doesn’t have to be overly complicated, nor should it be. Your recruiting team should find the ATS a straightforward repository of activity, data, and analytics.

Action item: Form a team involving HR, IT, and relevant stakeholders to evaluate, choose, and implement an ATS. Ensure seamless integration and champion its adoption across the organization for a streamlined and transparent hiring process.

Setup

Employer Branding and Representation 

Shaping a compelling employer brand involves more than just showcasing the company's logo; it requires painting a vivid picture of what makes your organization unique. Senior leaders play a crucial role in defining and communicating the company's identity, future prospects, role responsibilities, growth opportunities, and factors negotiable in the employment package. This narrative should go beyond the surface, giving potential hires a genuine sense of the workplace culture and what they can expect.

Action item: Develop a comprehensive employer branding strategy that emphasizes these elements. Create targeted content for different roles, highlighting specific aspects that resonate with the intended audience.

I encourage hiring managers to craft a ‘power statement’ that reflects aspirations of both the company as well as the hiring team. These statements are reinforced with the actions of the hiring manager and his or her team. I frequently flew to meet candidates, to meet their families and figure out their personal goals. I would align the career and financial opportunities with those goals and endear them to my personal coaching. In doing so, I was no longer a hiring manager but an advocate and a champion.

Candidate Experience

A positive candidate experience is not only about securing top talent but also about cultivating a favorable perception of your company. Leaders should focus on ensuring that every touchpoint in the candidate journey is seamless, transparent, and respectful. From initial contact to onboarding, candidates should feel valued and informed, regardless of the outcome of their application.

Action item: Map out the entire candidate journey, identify pain points, and implement improvements. Foster a culture of timely communication and feedback, enhancing the overall candidate experience and contributing to a positive employer brand.

I preach there are two parts to recruiting: sell-side and buy-side. In sell-side I am courting the candidate. I’ve sourced them, I’m invested in them, I’m advocating for them. It can take months or years! But only once they are bought in do I move them into the interview funnel, the buy-side activities, where my team can measure and qualify. Until then they are going to experience the red carpet treatment because even if they don’t get hired, you’ll be damn sure they tell their friends and community about the amazing experience and how they WISHED they could join my team.

Legal Compliance

Navigating the legal intricacies of hiring is a critical aspect that demands attention from senior leaders. Conducting a comprehensive review of hiring processes, job descriptions, and employment contracts is necessary to ensure compliance with labor laws and regulations.

Action item: Engage legal experts to audit documentation, providing guidance on areas that need adjustment to minimize legal risks associated with recruitment.

When considering international expansion, local laws may prohibit the hiring of more than a handful of individuals in the same country without a local entity. So be aware of the laws and lean on PEOs (professional employment organizations) as a middleman until you’re fully committed to a region.

Training for Hiring Teams

Equipping hiring teams with the right skills is crucial for effective talent acquisition. Senior leaders should invest in training sessions that cover unbiased interviewing techniques, legal compliance, and strategies for promoting diversity and inclusion.

Action item: Implement a culture of continuous learning within the hiring teams, ensuring they stay updated on evolving best practices in talent acquisition. This ongoing education enhances the team's capabilities and positively influences recruitment outcomes.

This cannot be understated and I experienced an extremely embarrassing and potential legal situation when a member of my hiring committee inadvertently insulted a candidate by mentioning his ‘outdated experience.’ Age is a protected class and whether you think someone’s experience in PHP is outdated compared to R doesn’t matter when the man is 55 and can take that offhand comment to an attorney. Luckily I had a long-running relationship with the external recruiter so we were able to resolve the whole thing, but it’s a hard lesson learned: certify your hiring team, inspect regularly, and solicit candidate experience every time.

Implement

Data Analytics and Reporting

It's not just about collecting data but deriving actionable insights to refine strategies. Leaders should implement robust analytics tools to track key recruitment metrics, such as time-to-fill, cost-per-hire, candidate quality, and candidate feedback.

Action item: Invest in data analytics tools that align with your organization's needs. Establish clear key performance indicators (KPIs) for recruitment and regularly analyze the data to identify trends, challenges, and areas for improvement.

Continuous Improvement

Acknowledging that there's always room for improvement is a mindset senior leaders should instill in the recruitment process. Continuous improvement involves regularly assessing and refining strategies based on feedback and evolving market trends.

Action item: Foster a culture of continuous improvement within your recruitment teams. Encourage regular reviews of processes and outcomes, emphasizing the importance of learning from both successes and challenges. Implement feedback loops and celebrate adaptability and innovation.

Onboarding Process

Efficient onboarding is critical for a new hire's seamless integration into the company. Senior leaders should not view onboarding as a mere administrative task but as a strategic process that sets the tone for an employee's journey. Reducing the time to productivity is paramount to the success of the team and new hires should shadow and experience activities as early as possible.

Action item: Collaborate with HR teams to review and enhance the onboarding process. Ensure that it goes beyond administrative tasks to encompass cultural assimilation, role clarity, and a welcoming experience. Regularly gather feedback from new hires to refine and optimize the onboarding journey.

I took the corporate onboarding program and shortened it to 90 days (from 6 months!), focused heavily on field experience and lab work, complimented by internal networking and resource navigation. I asked the first cohort of new hires how we could improve the onboarding and gave a stretch goal to measurable do so. The next cohort onboarded in 45 days and said it was the best and most impactful onboarding they ever received.