How to Know When It’s Time to Hire
All executives and small business owners understand the panic that sets in when it comes to hiring. Whether the reason is amicable or unpleasant, the hiring process can be challenging. Time is of the essence when you’re replacing a critical role and a replacement isn’t the only reason you need to consider your hiring strategy. How do you know when it is the right time to bring a new employee on board? Here are a few things to keep in mind when you’re considering expansion or growth of your business.
- Know the numbers. Before you can determine your next hiring move you need to know what you can and can’t afford. Is your company positioned for growth? How will an additional salary affect your profit margin if you move that money to operations? Just as the recession hit in 2007 many companies made the mistake of predicting growth and hiring individuals they needed to lay off after the economy dropped. Be realistic when reviewing your finances.
- Trust yourself. On the opposite hand, there is some wisdom to trusting your own instincts. If you think a specific skill set can help launch a portion of your business or if new creative and innovative thinkers can move you forward, take a chance. These new employees may be just what you’re business needed to take things to the next level.
- Craft a business plan. Project your needs throughout the next several months or even years. Estimate the growth and determine the strategic plan to add new staff. Talk with your human resources department about the budgets for hiring new employees and how it will impact your business long term. Having a budget and a plan in place can help with the details as you consider adding new employees to your team. You should also understand how a replacement or a short term project will affect your overall budget.
- Partner with a placement specialist. Before you take the plunge and hire another employee consider working with a staffing company. They can help you with not only direct hire placements but also consultants who can work with your company on a short term basis with no hiring commitment from you long term. This may be a perfect solution to determining future needs and help advance innovation at the same time.