Well, that might depend entirely on both ones perspective, and/or the objective(s) in mind.
What if the objectives were to;
Minimise the impact of a bad hire
Reduce the length of time (Sales RAMP) to sales productivity
And what if the perspective were to;
Create a standard and culture of great performance, instead of inconsistent and mediocrity
And/or to provide the best possible platform for learning and development when it comes to assessing the knowledge, skill and attitude of a new/existing sales recruit
Some experts suggest that the cost goes an awful lot further, however. Hiring guru Bradford Smart estimates the cost of a ‘mis-hire’ to be anywhere from four times annual salary for supervisors all the way up to 15 times annual salary for vice presidents and executives
Here’s an eye-opening example from his most recent book:
SALES REPRESENTATIVE
Hiring Costs £13,982
Compensation £89,842
Maintenance £8,330
Severance £14,875
Opportunity Costs £148,745
Disruption Costs £59,498
TOTAL COST £335,272
Comments