By Chuck Blakeman via cobizmag.com Article
The biggest thing wrong with hiring is the people doing it
“A growing number of great companies are dumping hiring managers altogether and putting hiring in the hands of peer teams. It turns out eight to 10 brains are better than one.
Harvard Business Review says 80 percent of employee turnover is due to bad hiring decisions, and that those decisions can cost more than five times the annual salary of the bad hire. The problem is largely with who is doing the hiring: managers.
Easily the most broken part of the recruiting process is that hiring and ops managers are the ones doing it. That’s an archaic Industrial Age factory system approach that was a bad idea back then, and a much worse idea in the Participation Age we’re in today. …
Managerless Hiring Works Better
Managers may be the start of the process, but at a growing number of great companies, they not only don’t do the hiring, they no longer exist, having been replaced with self-managed teams. In many companies with very high retention, hiring is done by peers of the person who is being hired. …
… managerless cultures share a common, simple but very profound belief; that EVERYONE is smart and motivated. Because that belief is deeply held, they have all set up a company business culture where that can be a self-fulfilling prophecy. They attract and retain nothing but smart and motivated people who don’t need to be managed.
In contrast, companies who rely on managers to do the hiring have a culture that believes the manager is at least a little bit smarter and more motivated, more experienced, more committed, etc. And too often, the assumption is the manager is a lot more of all those things. That is also a cultural distinction, but a very negative one. …
If your culture is set on believing people are smart and motivated, you can take managers out of the picture and put the hiring process in the hands of those most affected by the decision–the new hire’s peers. If you think only certain rare people have the skill, experience, smarts or motivation to hire, you’re communicating the worst possible message to those you are hiring, as well as those who are already there.”