Why is it that we obsess about metrics like cost per hire when the cost of not filling a job can literally kill an organization’s bottom line?
I was in a meeting with the CEO, CMO, director of recruiting, and key staffers at a Fortune 500 company. The discussion was on candidate flow and the difficulty they were having filling revenue-producing positions. The company’s massive investment in equipment, bricks and mortar was lying idle. Customers were passing them by.
HR’s response? Don’t do anything to our recruiting strategy that would increase the company’s current $700 cost per hire by $50.