Where would the U.S. be without entrepreneurs? In a free market economy, entrepreneurs are the lifeblood of new ideas and innovative business ventures. They are the ones that get new businesses off the ground. But entrepreneurs are not necessarily skilled in every aspect of running a business. Take hiring. Not all entrepreneurs know how to do it. As a business owner, it’s important to know when you should start outsourcing HR and other tasks.
Knowing how to hire goes beyond posting job openings and conducting interviews. There are intangible aspects too, and often times these intangibles are manifested in certain skills that are not always inherent to entrepreneurship.
Outsourcing HR and Hiring Should Be Governed by Guidelines
A sole proprietor looking to bring on a helper probably doesn’t need a formal hiring process. But as the company grows and adds workers, things change. Reaching a certain threshold indicates the need to create guidelines for future hiring. Such guidelines become indispensable as a company’s payroll begins to swell.
Candidate Skills Are Important
A big part of knowing how to hire is knowing the skills that are vital to a company’s operation. Initially, HR managers tend to want to look for job candidates who already possess such skills. In addition, certain types of skills require local or state licensing. So licenses are often part of the recruiting equation.
The thing is that some of the skills a company needs might not show up on a resume. So how does an employer discover that a candidate possesses such skills? That is what the interview is for. But if the HR manager doesn’t know how to give a good interview, vital information could be left uncovered.
Other Abilities Are Important, Too
As specialists in outsourcing HR, we can tell you that hard and fast skills documented by licenses, certifications, and degrees only go so far. It is vital that employers understand just how important other abilities are. In this day and age, it’s more important than ever before that employees be able to think things through and solve problems. They need to be teachable and willing to learn. They need to demonstrate a strong work ethic.
Many entrepreneurs do not know how to hire because they focus exclusively on resumes and CVs. They are unable to see those intangible things that could make a candidate without a college degree more valuable to the company than the most degreed professional on staff.
We have been in the outsourcing HR business for years. We cannot tell you how many great hiring opportunities we have seen wasted by HR managers and company owners unable to see the intangible abilities job candidates possess.
Don’t Forget Knowledge of the Job
Capping off this discussion on not knowing how to hire is knowledge of the job in question. Entrepreneurs are exceptionally good at coming up with ideas and getting those ideas launched. They do not necessarily know what it takes to keep their new companies operating at a high level over the long term. And when it comes to hiring, this lack is sometimes manifested in not fully understanding the job for which the company is hiring.
Knowing exactly what a job entails makes reading and interpreting resumes easier. Adequate knowledge lays the foundation for asking the right interview questions. It improves an HR manager’s ability to determine whether a particular candidate is a good fit. On the other hand, not fully understanding the job at hand makes hiring a guessing game.
Knowing how to hire separates entrepreneurs from long-term business owners. Entrepreneurs that do not know how to do it are better off outsourcing HR, at least in terms of recruiting, hiring, and retention. If you need help streamlining your hiring process, consider Vertisource HR for your outsourcing HR needs.