Ask Steve – EP 10 – Why is the activity I am doing not working?
Hello everybody! Steve here from Recruitment School and welcome to another episode Ask Steve.
Today we have a question which is from Ben. Ben has asked question, Hey Steve this is Ben. I love Ask Steve! I have a question for you. I’m putting in all the activity but I am not generating any results. Can you help me understand, why?
Thanks Ben! Ben that’s a tough one. I need way way more information but let’s let’s see if we can unpack it a little bit for you. First thing I need to know Ben, is what your activity levels are? I don’t know. When you say, you’re putting in the activity. What does that mean? Like my good activity levels versus your good activity levels might be two different things. You’re only fairly new in the industry. You’ve only been in the industry for a short period of time and as a a new person in the industry what you need to do is to get out there and become known because no one knows you. You can’t just pick up the phone and just expect that it all happens. I don’t know what your activity levels are but what I want you to remember Ben is we are a dating agency that’s what we do. We effectively put two people together. When you put two people together they either like each other or they don’t if they do they create a relationship and that’s called an employment relationship. That’s what we are we’re dating agency. We just put two people together and the more people we put together, the more placements we’re going to make.
Now there’s going to be people that they meet each other and go no. I can’t stand you, you remind me of my my Auntie and I can’t stand my Auntie or whatever it may be. You remind me of an ex. You remind me of whatever doesn’t matter but there’s going to be times that it just doesn’t work but we know that the more people you put out for an interview with a candidates on interview with client, the more placement you’re going to make. Because no one ever ever gets placed very rarely anyway. They may in the tech sector and they may in some other weird sectors but in traditional recruitment the generalization here but nobody actually gets a job and gets placed into a job unless there’s been some sort of interview process with me as the employer has met with the candidate that doesn’t happen right? There’s always an interview process somewhere. So and I’m talking perm here right? So and you’re in perm. So that’s why I’m talking perm.
So your objective here and I don’t care about the rest of it. So your objective here is to get people out on interviews. Now what I want you to do is to do this for me Ben and we’re coming up with a calculator for this so you’ll be able to get access to it and I’ll update that in this video when we do that. But basically I want you to look at the number of people out on interview. Interviews booked. The number of people who showed up and then the number of offers from the interview and then the last one is a number of acceptances. So we got interviews booked that is the number of people who are out on interview with candidates. The actual people who showed up because unfortunately lots of people don’t turn up these days. Then I want you to think about the number of offers that I received from the people out on interview and then the number of people that accepted it. Because that is the part that will make you money right? The people who are accepting the roles. So think about this ratio. We got a ratio of candidates out on interview to offers let’s say you got 20 people out on interview in a month and you’ve only got two offers that ratio is too wide. It’s too far apart. We need to we need to reduce that level if you’ve got 20 people out on interview. You should have at least 50% of them being offered. Now I don’t know your market but in a traditional market that’s what we should be looking at. Let’s say we got 20 people out on interview and then 10 of them are being offered. How many should accept? Hopefully you’ve managed the process well but you’ve managed the negotiation process. You know there’s no surprises and you’ve managed the process really really well. So hopefully out of that 10 we should have probably seven accept. In today’s market though it’s weird people being offered jobs and and not taking them. So let’s say seven. So at that seven what how many people actually start?
Again you’re gonna have people fall off so you should be looking at probably five. So 20 people had on interview. 10 people get offers seven people accept, five people start. They’re the type of ratios you should be looking at and as I said we’re building a calculator for this which will become available on our website later this year but when that happens you can play with it and make it easier. But between now and then just write it down. Just write these numbers down. Keep track of them.Keep track of them every month but you need a target that is the number candidates out on interviews. That’s your No. 1 KPI. That’s one you should be chasing. The rest of it falls in underneath it. So again I don’t know what you’re talking about from an activity perspective but that is what we really should be measuring. The number of client visits going on, the number ofnew jobs. The number of everything right. That’s all. The number of people had on interview because all that stuff is the stuff that happens to get the people out on interview because all that stuff is the stuff that happens to get the people out on interview and yes you should be doing really well on that, on that space to get here However, I want you to track those people out on interview because they’re the key now. I don’t know if I’ve answered your question because as I said I need a lot more information to be able to solve this problem for you.
So if you have any more questions or you have some more information. Please go to recruitmentschool.com.au click on the Ask Steve send it through again and we will have a look at it and see if we can update this video.
I hope that helped. Take care of yourselves. Be kind to others and I look forward to talking to you in the next video.
Take care
