Top 3 Mistakes Entrepreneurs Make In Hiring

Who Should Not Hire And Why?

I am about to share with you things that took me long time to figure out for myself…

As stated in People Management article, the average dollar cost of a mis-hire for small business owners who make $100,000 a year is about $1.5 million – research done by Smarts & Associates Inc. – it becomes obvious that hiring the right people for your business is not just a necessity, but a set of direction…

If you do not hire the right people for your business, there’s no way of moving forward, regardless of personal ambitions, aims and goals.

Now, that’s a tough one to say, but there will be no business, if there are no spectacular people that work on your team.

“Take our 20 best people away, and I will tell you that Microsoft would be an unimportant company” – Bill Gates

That’s why the importance of hiring great individuals and assembling great teams in crucial.

Having that said, here’re the top three mistakes to avoid when it comes to hiring and outsourcing:


Mistake #1: Waiting Until You Have The Need, And You Are Desperate…

Typical situation for this could be, getting a manager or doing it yourself where at some point you realize that you need to hire someone, because you cannot handle it all yourself. Then, letting that need go for a while, until it becomes unbearable and finally “ready” to hire someone.

Now, what most people do not realize here is that you have to pay a WAITING and WANTING tax. Why?

Because if you have to quickly scramble and hire somebody, you get under pressure by getting the job done, and eventually hiring ANYONE than having no one is better. It is almost like you are “forced” to hire someone, because of the emergency in the situation.

What’s the problem with that?

When humans are under pressure, we do all kinds of crazy things …we imagine the perfect outcome, we idealize, and eventually when we interview someone, ok great … you are perfect, here quickly come in and help us out…

You do not want just to hire anyone, because this is going to affect the overall performance of your business, not just that area where you need a person. Eventually, mis-hires become the bottleneck of your business, and they really slow things down.

Often mis-hires protect themselves by making things look complicated, so when you do not like this person, because of the “complexity” of the situation, you can’t fire them, because it creates the assumption that no one else can do this job…

All the sudden we become “prisons” in your own business, because of not taking under consideration the correct hiring process. I encourage you to get this book: Topgrading: How Leading Companies Lead By Hiring, Coaching And Keeping The Best People. It is going to definitely improve your current hiring model and increase the flow of great potential candidates.

Our job is to hire slow, bur fire fast… if you turn this around you better prepare yourself for a disaster.


Mistake #2: Hiring People That You Like…

This is a little non-intuitive, because likability plays a critical role in relationships. However, when you hire someone because of the things they say to you, it is often different than the results you get pursuant to their performance. Why?

Because we usually identify ourselves with the people we like. We think that they are like us, based on the responses we get from them on interviews or during sessions.

There’s a huge difference between “talking or promising great results” and actually performing certain activities to get those results.

People who are usually great talkers are usually low performers, there are few exceptions to this, but you want to judge people by their actions, not by their words and promises.


Mistake #3: Hiring Someone Who Likes Us

It is a human nature to have this personal desire of everyone to like us and want us. This is great, but when it comes to business, things are a little different…

Often we fall into a trap of hiring a person that fancies us. Those people are usually trying to get a stable and secured job. It is nothing wrong with that, but they just are not a business oriented people.

The business world is different from the job world. When people are looking for “jobs” they care more about what’s going to happen with them, rather than the business.

A person who’s dedicated to the job world is trying to get or extract value from his or her employer. However, business oriented people always look for giving value first regardless of the outcome.

Before you hire someone, you should ask yourself if that person is job or business oriented. It is best if you ask them… however, their behavior should determine very clearly their intentions.

Often, there are people who study, “How To Fake Your Way On An Interview…” Well, when I was in college, I’ve seen a lot of manuals and study guides like this …

When someone learns how to deal with interviews and overcoming objections, this does not necessarily mean that they are great performers. Those kind of people are usually well “polished” from the first contact to the interview and beyond…

It often sounds too good for your ears to be true, and it seems that you finally found the person you were looking for….well, think again. Have they performed yet to see what results you can get from their efforts? If you did not, do not just walk away … RUN!

We should not judge people based on what they tell us, but based on how they perform …

If you want to learn more about hiring and outsourcing, visit this article, and watch the video blow.


The Bottom Line Is…

These are perhaps the four most important words in business that I’ve learned from Allie Longoria (Owner At SendMeSolutions) “Hire slow, fire fast!”

The question is, “How to hire great candidates?” Check out a free video series that I’ve personally prepared to show you how!


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