Knowing, finding and hiring the types of people you really want in your organisation is taxing. It is a key challenge for us at Lexden at the moment and why we have been observing how different businesses go about it.
Hiring the wrong people costs businesses millions. From the CEO who formulates the wrong strategy, through the senior manager who cannot appropriately engage their staff to the operations associate who has a problem with punctuality, the upfront financial cost of getting these people in the business is never recouped. Let alone the non-financial costs in terms of lower morale for the staff who were there before the person started, and who probably knew there would be problems from day one.
So much about deciding whether a person will fit into an organisation comes down to deciding on the ‘chemistry’. Now this is something you cannot get from a beautifully written two page CV. It is pretty difficult to ascertain from a one to one interview. And you only gain marginally more information from one of those group interview exercises where individuals are observed by senior managers, whilst completing a task as part of a team.
Very few jobs do not require a significant amount of interaction with fellow colleagues and staff members. If a new hire does not fit in with the existing processes, procedures and personalities then it is not hard to see that the team dynamic will be altered and productivity will suffer. It can have a major impact on the business.
Pret a Manger have an interesting way of mitigating the risk of this happening. They ask all prospective new hires to work for a day in a typical Pret shop (for pay). At the end of their day, the existing Pret team members then vote on whether they should be hired. Simple.
There are, I think, two reasons why this is a great approach. Firstly it gives Pret the best chance of making the right hiring decisions in the first place-who better than the team members the person will work closely with to make the decision? And secondly, by empowering the team to make the hiring decision, Pret makes the team jointly responsible for ensuring the success of the new staff member. Since they are on the line for the decision, there is no way they won’t make every effort to assimilate the new hire.
It is certainly a different-unordinary-approach to the market norms for hiring staff in the coffee shop/fast food industries. But if you look at Pret’s growth, consistent customer experience, happy looking people and low staff turnover, they seem to be in a very different place to their competition. Who says democracy does not work?
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