OFFER ACCEPTED How to make your JOB OFFER and CLOSE IT © 2014 Real Time Australia www.realtimeaustralia.com SETTING UP THE OFFER FROM DAY 1 In the first two reports in this series, “Interview Guide” and “Adapt and Thrive”, we have laid the foundations to identifying the right candidate to join your company. Now it is grand final day you have made your choice and you want to make the offer. Will the candidate accept? You will never be able to know for sure, but if you have followed the steps laid out in these previous reports, you will have a great chance: * Have you designed the role to suit the current and future needs of the business? * Are you clear on the purpose of the role and the outputs that need to be produced? Do all stakeholders agree? * Is the job description simple, concise and relevant? Does it focus on outcomes? * Did you respond quickly and professionally to all candidates throughout the interview process? * Were the interviewers informed, aligned and engaged? * Did the interviews assess attitudinal and behavioural attributes? * Do you understand the candidate’s real motivations? * Are you sure there are no surprises - candidate needs to give 3 months’ notice; has a 6 week holiday booked in 3 months? * Did the candidate meet managers and team members they would work with? * Have you presented your opportunity as a career move or just a job? If you can confidently tick all of these boxes, you are in with a good shot. If you can’t, go back and review your methods and processes immediately, otherwise you are wasting a lot of time, money and missed opportunity. © 2014 Real Time Australia www.realtimeaustralia.com BE PREPARED TO OFFER As in sales, time kills deals and top talent is in high demand. If you want to hire the best, you must be the best in all regards, particularly the manner in which you present a job offer to your chosen candidate. A swift approval process holds the key to recruiting the right candidate. Once you are sure that the candidate is the most suitable, it is important to stay in touch with them and keep the communication channel open. The best candidates find themselves in the midst of many offers; any delay from your side because of the approval process will be viewed as unprofessional and amateurish. Remain informed of the potential and real offers a candidate has or is expecting and negotiate accordingly. You also need to check, for the last time, if the candidate’s vision of the businesses matches your exact requirements and they are the best choice to move forward with. Financial benefits play an important role in selecting a job offer. Therefore, it is vital that the package you are offering is competitive and reflects the latest industry standards. Some SMEs may struggle to compete with established corporates, therefore creative packaging e.g. stock options, profit sharing and lifestyle benefits need to be considered. In our next report we will explore how SME’s can be positioned as an “employer of choice”. Prior to offering the job, it is important to assign a person skilful and influential in negotiations to manage the job offer. Their interpersonal skills will help keep the candidate engaged and promote brightness of the future. It is pertinent to ensure that the candidate is clear about all of the benefits you offer and see a desirable career progress in the job. Make sure there is no unresolved or unclarified issue left on the negotiating table. Once you are sure to recruit a candidate, ask them about their expectations and when they can join. Do you anticipate negotiation? It is quite natural for a candidate to negotiate for a good deal. Be prepared for some bargaining in the final interview. © 2014 Real Time Australia www.realtimeaustralia.com PRESENTING THE OFFER If you have stayed close to the candidates throughout the interview process you should have a reasonably good idea of how your chosen candidate will respond to your job offer. Unfortunately you can never be certain. You may choose to trial close on the job before proceeding to formal offer. You would let them know that all of the hiring stakeholders have given positive feedback about their suitability and you are checking to see if they have any further questions; has anything changed from their end; confirm their salary expectations; if they were offered when could they start; supply referee details. Ask them directly if offered, would they accept. Trial closing helps one to know what the candidate’s current thoughts are and how they visualise the offer. It also allows you to address concerns, provide missing information and showcase the benefits and future opportunities of working with your company. THE COUNTER OFFER One of the most difficult scenarios to manage is when you have offered a candidate and they are counter offered by their current employer. If the candidate is skilled and is an asset to their organisation, they will most likely get counter offers. It is rare that a counter offer is in the best interest of the candidate. If they have to resign to be offered better conditions, it is not a good reflection on management and their relationship with the employee. A counter offer is widely viewed as a short-term solution; rather you can call it a compromise between the employer and employee. What most employees do not realise is that whilst the manager who is making the counter offer will do almost anything to convince them to stay, they will later resent being held to ransom. If the candidate has accepted your position and is being tempted to accept a counter offer from their current employer, simply remind them of the reasons they sought out a new position. Do not push too hard - it may have been a ploy by the candidate from the beginning, to force their employer’s hand; under pressure they may be reluctant to move out of their comfort zone; they may not be that ethical or trustworthy. In this situation, do not get into a Dutch auction. Keep yourself on a high pedestal showcasing that you are concerned about your employees in a way that is different from the company giving counter offers. Allow them to make their own decision while continuing to reinforce the career opportunity with your company. © 2014 Real Time Australia www.realtimeaustralia.com COMMON OBJECTIONS AND NEGOTIATIONS Candidates look upon financial benefits as one the most important factors in their job selection. Be clear on what the job and your preferred candidate are worth in the market. Any large discrepancies should have been flagged earlier in the process. If the candidate suddenly increases their salary expectation at offer time, tread cautiously. Conversely, if you are fully aware of their expectations and decide to lowball them on salary in your offer, expect a rejection. A higher role or title than the existing one acts as a catalyst to lure the best candidates to your company. It also helps to overcome salary negotiations. However, make sure you define all necessary responsibilities and obligation associated with a role or title. Any unresolved issue may adversely impact the job once the candidate joins. Address their concerns over role, environment, and location. Everyone loves flexible work conditions. Try to offer a candidate as much flexible work arrangements as possible. It helps in balancing demand for better salary or higher role. However, ensure that you don’t allow more flexibility that violates the organisational framework. Benefits negotiated are of two types – present and future. Highlight the instant benefits the new joiner is likely to get in terms of salary, assignment, and work arrangement. Also drive their attention toward long-term career growth, higher perspectives, and chance of progression within the organisation. Be prepared to walk away, if the candidate cannot be won over through negotiation. Unreasonable demands at this stage usually point to a disaster waiting to happen. You cannot satisfy all their needs and if you feel that their demands outweighs their ability and your company's set criteria, let them go notwithstanding the hard work and time you have put into getting your preferred candidate to the offer stage. Once you have made the offer, be clear about when you expect their decision. The standard practice is to allow about one week unless there are exceptional circumstances, such as for senior roles, rare skills, or where the candidate is managing an important personal event. Even under exceptional circumstances, if the candidates need more than 2 weeks maybe "they're just not that into you". © 2014 Real Time Australia www.realtimeaustralia.com WHAT HAPPENS AFTER THE OFFER IS ACCEPTED * Securing the most suitable talent for your organisation should be given top priority. Once a candidate accepts the offer, there should not be any delay in inducting them to your team. Get the checks for reference and other relevant processes done as soon as possible and finalise the paperwork. * At this stage, there are two factors that matter the most. First, the timing and second, the communication – both can be crucial in ensuring that the chosen one does not feel left out in the lurch or try to ditch you. Keep in mind that time kills deals and it assumes more significance when you have selected a candidate after a detailed and intense interview and negotiation process. * It is highly desirable that you stay close to your chosen candidate. Check to ensure the paperwork has arrived and if there are any further questions. If possible, be a little informal and talk about their comfort areas. Winning their friendship is key to ensure they join as soon as possible. Confirm start date and when you can expect a signed copy of the employment contract. * Ensure contact with your new employee every 5 days between Offer Accepted and start date. Your communication and contact with the candidate must cover common issues cropping up at this stage, such as fast and straightforward resignation from their current employer any enquiries about counter offer and presenting your offer as the best gauging response of the candidate to the counter offer sorting out logistical issues relating to their start, whom to meet, the formalities to be completed, etc. lending a helping hand to ensure a smooth transition continued showcasing of a bright future with your company - “we are all excited you will be joining us and we believe you will fit in and be very successful” © 2014 Real Time Australia www.realtimeaustralia.com LESSONS TO LEARN If candidates are consistently rejecting offers, ask the hard questions from these candidates and do some serious soul searching: 1. Is the hiring manager sending the wrong message or is it perceived that they are not a good person to work for? The real question becomes; does the company/manager have employer appeal and what is the reputation out in the industry…? Are you known for a high turnover rate of employees…? Or low employee morale in the work place. Not exactly what a new employee is expecting to learn about your company especially if they’ve chosen to potentially work with your company. 2. Are the organisational structure, facilities, opportunities to develop and employee benefits attractive? Career growth is of paramount importance for a candidate to influence their decision to change jobs. If they cannot identify opportunities to develop and employee benefits are not attractive enough, they may dither in accepting the offer. Workplace ambience is also a significant factor in cajoling candidates to join your company. However, rigid hierarchy, inflexible hours, cumbersome reporting system and sub-par work conditions will position your offer at the bottom of their list. 3. Is the vision of the company compelling and believable? Vision of a company denotes its growth objectives and business strength. Unless a clear, convincing and credible presentation of company goals, objectives and possible expansion of the business is made before prospective candidates, they may not be won over. They may feel insecure about future growth and career progress. 4. Is your recruitment process professional, efficient and quick? A swift interview is key to highlight professional expertise of your company and its efficiency in allowing right and talented candidates to become a part of it. However, if the person managing the recruitment process lacks professional conduct and efficiency, candidates may cast doubts on the work culture in the company and its business ethos. © 2014 Real Time Australia www.realtimeaustralia.com 5. Are the interviewers engaging or “wanna be” CIA interrogators? You are going to recruit a fellow co-worker and must win their trust and confidence. However, if the interview process or the negotiations become too harsh or cumbersome, the candidate may feel alienated and become disengaged. Do not interrogate a candidate or ask unrealistic questions. In a professional manner, DO ask for clarification, details and examples if their answers are not satisfactory 6. Are all of the hiring stakeholders aligned? As discussed in our report “Interview Guide and Form,” if there is lack of clarity on who the driver and stakeholders are, confusion and avoidance will derail the interview and offer process. You want to ensure that your messaging is consistent and appealing and that when your chosen candidate accepts your offer and commences, there are no rude shocks and disappointment. © 2014 Real Time Australia www.realtimeaustralia.com CONCLUSION You will never be 100% sure about a candidate accepting your offer despite your swift process and professional conduct of procedures. Certain things, such as personal circumstances and preferences of candidates may play the spoilsport if the logical end result is not materialised. Leave aside the factors you cannot control. Your focus should be on the things you CAN control. And by ensuring that things on your side are in perfect contour, you can minimise circumstantial factors and influence the personal preferences of the candidate. First, ensure the entire recruitment process – job advertisement to signing of offer letter – is carried out with utmost professionalism and in a prudent manner. The job advertisement must be presented in a clear and persuasive light with detailed documentation of the employee’s responsibility. It is vital to invite the participation of all stakeholders and engage them in defining the job profile, prospective candidate’s qualification, possible compensation opportunities and scope for growth and promotion. A swift approval of the candidates may multiply the benefits of professional HR conduct. The interviewer must be proficient to convince the candidate that the job is next to tailor-made for them offering the best possible career progress. Allow them to see the benefits during the negotiation process and consider a trial close. Keep a tab on the potential counter offer and be prepared to offset it. Interpersonal skills and expert communication is vital to turn the negotiation table in your favor and convince candidates to accept your offer. However, do not hesitate to walk away from the interview/offer, if the candidate is making unreasonable demands to accept or adapt to your organisational framework. The time, cost and effort of taking a candidate through to ‘offer stage’ are too great to have the offer rejected because of poor process or skills. Before you start the advertising and interview process, map out what must happen and ensure everyone sticks to the game plan and you will have a strong chance of having your OFFER ACCEPTED by your CANDIDATE of CHOICE. © 2014 Real Time Australia www.realtimeaustralia.com
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