In an era where companies are scrambling for growth, it can be difficult to find qualified candidates for every open position. According to G2 Statistics, 89% of employers think employees leave for more money but in reality, only 12% do. Most people want to work for themselves but if that isn’t an option, they want to work for a company where other employees are happy.
When it’s time to hire new employees, businesses should consider hiring from within by focusing on these 3 reasons.
Why Your Company Should Turn to Its Internal Talent Pool
Regardless of the size of your company, hiring within can save both time and money. When a company is invested in the success of the current employees, money is saved by not having to screen candidates from outside sources.
In addition, companies won’t have to pay for training or on-the-job coaching for new hires. Most importantly as a small business owner, hiring internally may be the most effective management strategy to maintain stability and productivity in your workplace.
1. Employees Already Know the Company Culture
The culture of a company is often one of the most important deciding factors when it comes to selecting an employer. An employee that already knows the company will have a head start in understanding what their new job responsibilities are and what the company’s expectations are for them. When you hire internally, you not only get a talented employee but also someone who is already familiar with your company’s culture.
When it comes to hiring within the company, the team is not only looking for qualified applicants, but also a candidate who fits in and will be part of the team. In addition to finding the right person, you want someone with skills that the company needs and who can be a positive force in the office.
2. Your Current Employees Will Be Happy
It seems like an impossible task when a company searches externally to fill a position. A business can better sustain itself when its employees are content with their jobs as this leads to less turnover which means more stability for your company.
3. Retention Rates Are Higher
According to Gallup, employee engagement is higher among workers who feel valued. It’s not always an easy sell for HR to convince the higher-ups that hiring from within is a better option. However, there are many reasons why. When you hire someone internally, you are eliminating the risk of spending time and money on training and turnover costs. You also know the person’s personality and abilities, so they can be placed in the right position quickly and without any complications.
Train Your Workforce Today
Connect with Udacity’s Enterprise Solutions, to learn how to create value for your team and produce higher retention rates.
