Is There a Metric for Hiring Success?

"If it can't be measured, you can't improve it."

You may have heard variations of this quote. Another is, "If a tree falls in the forest and no one is there to hear it, does it still make a sound?" Of course it does, but no one would know.

Another version that is more tangible and pertinent to the business world is:

If someone claims to be an expert at hiring rockstar employees, how do you really know?

We have talked about cognitive biases in hiring, and one bias in particular, overconfidence, provides us with a great example of how this commonly plays out.

A manager or HR person makes the claim they are an excellent judge of character and can deftly weed out bad candidates to find the diamond amidst a pile of coal.

But if you can't measure it, how do you know that's true?

They may cite a particular example from their past when they hired someone who allegedly set the industry afire with their unsurpassed performance. This limited 'sample size of one' story is another form of cognitive bias.

There must be a way to quantifiably measure the success or failure of hiring efforts. Relying on human judgment is no longer an option.

Hiring Methods

Anecdotal stories and self-professed assurances of hiring excellence and aptitude only go so far, and it's rarely far enough. Studies are showing mounting evidence that algorithms and AI systems can guide hiring decisions with greater effectiveness than human-centric judgment or outdated processes alone.

In fact, data shows that hiring with the Core Values Index psychometric assessment and the Top Performer Profile™ from eRep.com typically leads to 200% improved performance and 50% lower turn-over.

Regardless of the method used to bring someone on board, how do you measure the success or failure of that effort with objective data? What are the metrics available to evaluate—and improve—hiring efforts?

The Happiness of Performance

There are two tools available that provide solid metrics indicating hiring success or failure. eRep's Performance Fuel and Happiness Index products provide measurable data within 90 days or less that quantifiably show if a new hire is a boon or a bust.

Performance Fuel by eRep embraces the Performance Fuel Formula of Purpose + Clarity + Feedback to give employees everything they need to succeed in their role. Through a powerful yet easy to use feedback mechanism, employees receive the clarity they need to execute their tasks knowing that what they do matters and is appreciated. During this process, near-real time objective data is produced indicating if they are meeting their objectives.

Because the feedback loop and objectives cycle of Performance Fuel occurs at a monthly, weekly, or even daily cadence, the opportunity for immediate correction enables the supervisor and employee to fine-tune their activities for optimal performance.

Happiness Index measures the self-assessed and subjective morale and enthusiasm of the employee on a 90-day cycle. Employees establish a baseline Happiness Index score when they start, then complete another assessment every three months thereafter. Because their Happiness Index self assessments are integrated with their personal Core Values Index psychometric profile, the results are tuned to how they are hardwired, giving maximum insight into their satisfaction levels.

The benefit of the Performance Fuel and Happiness Index tools extends to both the employee and supervisor. Employees receive the information and feedback they need when they need it most — not once a year during a dreaded annual performance review. Supervisors get performance data that tells them on a daily or weekly basis where team members are struggling or excelling.

Hearing the Tree

With Performance Fuel and Happiness Index, organizations see objective and subjective metrics that tell them in short order whether a hire was successful or not. There is no longer a need to take someone's word for it that they are a great judge of character.

This lets you not only hear the tree fall in the forest, but measure how fast and how far.

Measure your hiring effort and improve it with Performance Fuel and Happiness Index by eRep.

Learn more:

Performance Fuel: erep.com/employers/performance-fuel/

Happiness Index: erep.com/employers/happiness-index/