Slideshow 10 Tips to Hiring Right the First Time

Published
  • November 14 2010, 12:00am EST
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10 Tips to Hiring Right the First Time

10. Ensure there are no surprises.
There is no nirvana as it relates to workplaces, and candidates know this. That's why they're drawn to employers who accurately characterize the risks as well as the opportunities of a new position. Because management is the No. 1 reason advisors leave, it's incumbent on you to provide candidates with candid input on what type of manager you are and what they can expect from you.


10 Tips to Hiring Right the First Time

9. Verify results.
Don't assume that a candidate will replicate the results they had at another firm with you. You have to probe into the reasons for their success: the number of branches covered, referrals received, inherited books, market conditions, sales support, the technology platform, marketing programs and other variables that may not be as prevalent at your institution.

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10 Tips to Hiring Right the First Time

8. Check references every time.
It's a standard practice to request references—and to fail to contact them. Few applicants are inept enough to provide unflattering references, so many managers view it as a fool's errand. But with properly posed questions, most references open up.


10 Tips to Hiring Right the First Time

7. Document interview responses.
Developed a matrix with the written questions on the left side and the candidate's responses on the right side, including any notes, insights or required follow-up, which the hiring manager could hone in on when meeting the candidate. The matrix highlights any discrepancies, say, the compensation grid numbers multiplied by the GDC don't equal the overall pay an advisor quoted.


10 Tips to Hiring Right the First Time

6. Multiple interviews, multiple interviewers.
While first impressions are extremely important, so too is an advisor's ability to remain enthusiastic and engaged over time, while keeping you equally enthusiastic and engaged. This combination of skill and charisma, a core competency for successful advisors, is seldom fully vetted on a first date.

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10 Tips to Hiring Right the First Time

5. Conduct an interview, not a conversation.
At KaneCarlton, our interviewing process consists of over 50 qualitative and quantitative written questions, which allow us to control the interview process and make informed decisions. We recommend leading with quantitative questions, such as past production, number of clients, licenses, designations, criminal history, compensation and experience. These questions help ease prospects into the interview.


10 Tips to Hiring Right the First Time

4. Stay involved in the financial advisor community

Establish strong relationships with individuals who are happy in their positions and don't intend to leave. Eventually some event will occur, causing that satisfaction to diminish, and you'll be there to offer a job.


10 Tips to Hiring Right the First Time

3. Source enough candidates.
The more qualified, targeted candidates you have to choose from, the better your results will be. There are multiple ways to sourcing prospective hires, but. The best source of candidates is referrals from your top producers, but also ask your board of directors, advisory boards and banking counterparts who they use as their advisor.

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10 Tips to Hiring Right the First Time

2. Create and articulate the firm's value proposition.
A program with a competitive distinction is as important to a prospective advisor as it is for prospective clients. Clearly articulating what makes this opportunity unique will help you engage the best candidates.


10 Tips to Hiring Right the First Time

1. Develop a profile of the ideal candidate.
Understanding who you should be targeting is the most important step in the recruiting process. A good starting point is looking at your top performers for patterns and then hiring others with similar DNA.


10 Tips to Hiring Right the First Time

It's difficult to overestimate the cost of hiring wrong. According to Top Grading by Dr. Bradford Smart, the average cost for a bad hire, earning between $50,000 and $100,000, is $80,000. While, there is no foolproof method that guarantees consistently good hires, here are some tips from KaneCarlton’s Tom Kane that can maximize the chances of success.