Hire Slow, Fire Fast
As larger employers face uncertainty and layoffs become increasingly more common, two meaningful scenarios have emerged that may leave a positive impact on your agency. First, there is an abundance of talent on the street available for recruitment, providing an excellent opportunity to enlist more “A” players on your team. Second, your new business efforts are likely to pick up as companies no longer have the in-house staff to fully support their marketing efforts. As these two possibilities converge, it is important to avoid making a devastating mistake: hiring too quickly to fit growing demands. In fact, rushing to hire can have a negative impact on agency culture and profitability.
In this article, I’ll discuss the importance of deliberate hiring and quick decision making. We will use the popular mantra of “hire slow, fire fast” as our guide. If you'd prefer to hear an audio version of this topic, then check out the podcast Creative Friction where we discuss the pros and cons of hiring slow and firing fast.
The Adage of Hire Slow, Fire Fast
Author Jim Collins (Good to Great) once famously said, "The most important decisions that businesspeople make are not what decisions, but who decisions." The idea behind the "hire slow, fire fast" philosophy is to take the time to find the right candidates who are a good cultural fit for your agency and the role. Next, you must act quickly to remove employees who are not a good fit.
3 Reasons to Hire Slow
Finding the right fit: Hiring slowly doesn't mean dragging your feet to make a decision. Instead, this involves taking the time to find candidates who are a good match for the role and your agency culture. Rushing the process can lead to hiring the wrong person, resulting in higher turnover rates and wasted resources.
Reducing costs: Hiring the wrong person can be costly in terms of recruitment, training, onboarding, and lost productivity. By hiring slowly, you can reduce the likelihood of taking a chance with the wrong person—a decision that can save you money overall.
Improving retention rates: Employees who are a good fit for the role and the agency culture are more likely to stay with your agency long term. By hiring slowly and finding the right fit, you can improve retention rates and reduce turnover.
3 Reasons to Fire Fast
Improving team dynamics: An employee who is not a good fit can create unnecessary tension and conflict within your team. By firing fast, you can remove the bad apple to facilitate a more positive work environment.
Sending a message: Firing an employee who is not meeting expectations sends a message to other employees that poor performance will not be tolerated. The inverse is also true—not firing someone communicates that you accept mediocrity and below-standard performance.
Maintaining productivity: An employee who is not performing or is causing disruptions can affect productivity. By firing fast, you can maintain efficiency and ensure that other employees are not negatively affected by the poor performance of one individual.
Bottom Line
Hiring and firing are important events that should not be taken lightly, no matter the situation. Waiting until there's a need to look for talent can force you to make a desperate hire, which may negatively impact your team. As you look into your agency’s future, consider this rule of thumb: it’s better to be proactive in attracting talent to your agency and planning for future needs. Deliberate hiring and quick decision making can protect your team from individuals who don't want to be there.
“Hire slow, fire fast" is an important philosophy for agencies to follow. By taking the time to find the right candidates who are a good cultural fit—and acting quickly to remove employees who are not a good fit—you can improve retention rates, reduce turnover, and maintain productivity. It's wise to be deliberate and intentional around your talent management strategy, as it impacts both agency culture and profitability.
If you're interested in developing a plan to attract, develop, and retain “A” players for your team, then reach out about my Agency Ops service today. I will work with you to develop a talent management strategy that works for your agency so that you can focus on growing your business. Don't wait until it's too late—invest in your team now and watch your agency thrive.