Human capital is the most valuable asset a company has. After all, it’s the knowledge and skill-sets of the employees that keep a business productive, competitive and growing. One of the best ways to find and cultivate new talent for your business is through employee referrals. Implementing a well thought-out referral program can help fill vacant positions faster and improve the retention rate of the company.
In addition, a program of this nature can lead to better quality workers. This is because current employees already understand the culture of the company and they can weed out candidates who don’t fit in. This can keep you from wasting your time interviewing people who are going to either quit of get canned shortly after they’re hired.
Referral Program Success
Creating a successful employee referral program takes more than handing out company t-shirts. The company needs to be a place workers respect and are willing to tell others about. Staff members who feel apathy toward their workplace aren’t going to refer friends and associates so they can suffer the same fate.
Employees must also have a reason to want to refer candidates for open positions. Even if they love the company, they’re not going to waste their energy rounding up potential new hires unless there is something in it for them – it’s just human nature.
Offering money in exchange for successful referrals is one way to put some fire under your workers’ bums. However, employees tend to respond to rewards that consist of more than financial compensation. They appreciate the human element that goes into the process of putting real thought into thanking them appropriately.
Design a simple way for them to refer their candidates. If the process is complicated, employees will get frustrated and the referral program won’t work. Consider an online process that saves time and streamlines the process. After staff members submit referrals, make contacting them a priority. Also, keep the employee updated on the status of the candidates they refer.
In addition, use an applicant tracking system to help you with your recruitment needs. A tracking system will help manage resume and application data so you can easily pinpoint the most qualified candidates for the job.
A properly implemented jobs referral program is an untapped resource that can help you keep positions in your company filled with quality individuals. If you go this route when hiring, your employers will fit in with the existing culture of the company and they’ll stick around for the long-haul.