When managers calculate the best time to hire new employees, their decisions will depend on range of factors including available budget resources and the nature of the company’s business model. Here are three popular approaches to timed hiring and the kinds of companies that tend to embrace each one.
The leanest, meanest and most efficient way to time hiring decisions is typically known as just-in-time or last minute hiring. This model is based on the idea that companies rarely make money when there are too many people walking around in the office. To avoid even the slightest chance of a budget-busting overstaffing scenario, companies often wait until their current staff are overworked, over-burdened and teetering on the brink of total burnout before bringing on new employees. Only when current personnel resources are pushed to the limit and literally bursting at the seams will last-minute hiring managers publish a posting for a new position and begin screening applicants.
The economic advantages of this model are clear, but the risks may outweigh the benefits and can undercut the amount of money saved. If your business can’t afford a single extra dollar lost on staffing and your managers are great at navigating and calculating risk, this strategy offers a promising option.
Long Range Planning Based on Sales and Other Data
Cyclical businesses and companies that can draw a clear line between sales data and staff size may benefit from long range planning based on careful predictions of company growth and future needs. To make this model work for your firm, you’ll have to find a way to gather data that’s accurate, clear, and directly tied to personnel requirements. Growing sales that are likely to keep rising at a steady rate may warrant the acquisition of two, six, or ten new employees during the coming year. But only adopt this model if past performance can be expected to align with future results.
High Potential Hiring
“High potential” hiring is a strategy often embraced by companies with flexible hiring budgets and those that need to compete aggressively for top talent. With this model in place, extremely skilled applicants who respond to a posting are contacted whether their skills match the posting or not. These candidates are then brought on board and positions are designed to match their talents, rather than vice versa.
The risk of overstaffing can be significant for companies that use this approach. But these tend to be organizations that embrace innovation and flexibility and they also tend to be firms that can afford higher risk as long as that risk comes with the potential for high reward.
Are you interested in hiring new staff but uncertain about the timing of your decision? Temporary staffing can provide qualified help with minimal hiring risk. Contact the NC temporary staffing experts at PSU and find out what we can do to move your company forward.