Miscasting in companies is more common than you might think

Miscasts in companies are common: 50 percent of executives surveyed as part of a labor market study by personnel service provider Robert Half have hired staff in the past twelve months that later turned out to be a miscast. Seventy-two percent of respondents are even more critical of such mis-hires than they were a year ago, as the impact is now much more severe against a backdrop of increased staff shortages in some industries. The study was conducted in February 2022 on behalf of Robert Half. It surveyed 1500 managers with HR responsibility (general managers, CIOs, CFOs) in Belgium, Brazil, France, Germany and the UK. This means that the results are not necessarily representative for Switzerland.

However, miscasts also occur in this country. Basically, every wrong decision in personnel selection leads to high follow-up costs, potential insecurity among employees and an immense organizational effort. That's why it's worth investigating the causes.

Causes of miscasting: Speed versus diligence

Respondents see the main reason for bad hires as having handled the hiring process too quickly (17 %). Fifteen percent of managers say they settled for applicants whose skills did not match the requirements of the job. Just as many say they focused too much on applicants' technical skills at the expense of soft skills. But what is too fast for some managers is too slow for others: 12 percent consider a lengthy hiring process to be the cause of hiring mistakes because candidates dropped out during the selection process.

"Companies should exercise due diligence when making hiring decisions. Bad hires have a negative impact on the existing team and result in high costs," explains Eva Mahoney Associate Director at Robert Half. "Neither too fast nor too slow recruiting processes are helpful. It is also important to clarify in advance which professional skills are indispensable and which soft skills the company expects. Whether there is an interpersonal fit can be checked well by including selected employees in the interviews." This is because respondents also see the exclusion of key stakeholders from the hiring process - such as middle management or people with interface functions - as one of the causes of poor hires (10 %). Other problem areas include insufficient checking of references (10 %), too much focus on whether applicants fit in with the corporate culture, and a lack of an attractive compensation package (11 % each).

Counteracting through optimized application processes

In response to the high miscast rate, a quarter of respondents screen applicants more carefully than before. 18 percent determine in advance which areas and skills are essential and indispensable; 16 percent have introduced an optimized application process. In addition, 15 percent are increasingly hiring temporary staff who can be taken on later. Another 13 percent hire a staffing service provider for process support to reduce hiring mistakes.

"New job postings should be created with care. They must present the current requirements, describe precisely what personal and professional competencies are expected, and outline what awaits applicants in the company. It is effective to involve the specialist department and to compare one's own job posting with those of the competition. In this way, it quickly becomes clear whether one's own offer is competitive and attractive. The more detailed the job posting, the greater the chance of attracting the right applicants," says Mahoney.

Source: Robert Half