Risk management is a decision making process that identifies risks of an investment and the most appropriate action to take based on those risks. Not practicing risk management can be detrimental to a company’s finances. There are many segments of risk management and one of the biggest risks for a company is hiring a new employee.

Employees Are An Investment

Bringing in new employees to your company can be a daunting task. You truly don’t know much about the person you are about to hire and if they will be the right fit. You should always double check the accuracy of the information provided on their resume or application. Between Google, social media and background checks, it has become quite easy to uncover someone’s behavior, social activities or online presence. Do your research because after all, it is just a piece of paper and their words you are relying on.

Onboarding a new hire requires a substantial investment of the companys time, money and other resources. To ensure that the candidate you’re about to hire is worth the effort and won’t leave within a month or two, be very detailed about the company’s expectations and day-to-day responsibilities. Make a point to ask them questions about their expectations and future goals as well. Employee turnover is costly for every business. According to The Human Capitalist, “the cost of losing an employee in the first year is estimated to be at least three times the salary”. There are many costs of losing an employee for a company including recruiting, decreased productivity, severed relationships, work overflow and administrative procedures.

Who Should Manage the Hiring Process?

The hiring process can be overwhelming and stressful, especially for smaller companies that do not have a human resources department. Many companies simply do not have the time they need to thoroughly screen a potential employee. Temp agencies take on the risk and cost of hiring temporary employees, which lowers the cost for companies. When you are faced with a staffing shortage, the last thing Flaggers4Hire wants you to worry about is the quality of the individual who can help you get through it.

Flaggers4Hire is a leader in staffing services with over 30 years of experience in the temporary staffing industry. We are focused on matching the right temporary employee for the right jobs so that a business’s productivity will not be affected by staffing shortages. All employees who are seeking job placements through Flaggers4Hire must first go through a selective screening process to ensure that they can meet the needs of our customers. Visit any one of our employment agencies to learn more. We have locations in Arizona, Colorado, Iowa, Nebraska, New Mexico, Nevada, Oklahoma, Tennessee, Virginia and Washington.