Written by: Team PredictiveHire
What job is HR being hired to do?
Are you measuring yourself using the right metrics?
We ask this question often to drive our product strategy. In a software company, it’s very easy to get caught up in a landslide of features and topics and in a dynamic world of competition and feature parity, product roadmaps can easily get cluttered. It may seem overly simplistic, but it works.
In our case, we are being hired to save our customers time and money in recruitment.
- 55,000 hours saved in one year from using our screening tool top of the funnel
- 500k cash cost savings from doubling conversion from assessment centres
- Churn reduction of 30% in 12 months from relying on our predictions
Click here for some examples of hours and $’s saved by our customers.
By asking this simple question — what job is HR being hired to do?— you can start to get to the heart of what your strategy should be. And then measure that religiously!
Like product roadmaps in a tech company, HR’s roadmap too can get confused or cluttered by:
> New Trends (CX- candidate experience, EX-employee experience, AI everything)
> Survey fatigue – culture diagnostics, engagement surveys, exit surveys, 1000’s of verbatim to read
> Process fatigue – performance management processes, 9 box, the annual salary review process, post engagement survey processes, and so on
> New system implementations– that can potentially crowd out low friction and affordable solutions to drive down business costs
All of this activity can produce more noise than signal because it can easily miss the “why”. And once an HR function is more mature, it can be even more difficult to understand which of the many elements of HR are the ones truly driving the most value for the business.
Here are some tips to ensure your HR team is clear on their job:
1. Make sure it is the CEO’s definition of the job, not yours. Read our second article for more of the CEO perspective.
2. Define the job so it delivers on either lead or lag indicators that are proven to impact on your organisation’s business performance. For example, for a sales business, time to hire matters a lot. Having to wait 45 days to fill a sales role vs 10 days means 35 days of lost sales. That flows straight through to the bottom line. Engagement scores, on the other hand, are neither a proven lead or lag indicator of business performance. Engagement measured from a survey is more of a vanity metric.
3. Ensure that you are looking at the whole job, not just a piece of the job. It’s easy to get too narrow in your definition