How to improve your quality of hire in 2025
Discover how to improve your hiring strategy and attract top talent this year with our 7 essential tips.
One of the biggest challenges facing hiring managers is filling skills gaps with top talent. In fact, research from Totaljobs shows that 29% of employers see skill shortages as one of their biggest obstacles, with 27% adding that improving talent attraction was a top priority.
While some organisations initially succeed in filling empty roles with the right candidates, many then find it difficult to keep hold of them, with around 30% of new hires leaving within 90 days.
These challenges highlight the need for talent acquisition teams to focus on improving the quality of their hires. That means getting candidates who have the right skills and experience and are more likely to stay put and drive long-term success.
This guide will look at what quality of hire means and why it’s so important before examining seven ways to improve your organisation’s overall quality of hire.
What is quality of hire?
Quality of hire encompasses the return on investment (ROI) derived from the recruitment and onboarding of a new staff member. This multifaceted concept can be measured in various ways, with different organisations prioritising different aspects. However, it generally revolves around several key factors:
- Cost-effectiveness: Evaluating whether the expenses associated with sourcing, hiring, and onboarding justify the value brought by the new hire.
- Retention: Assessing the duration of the new hire’s tenure within the organisation as an indicator of satisfaction and alignment with company goals.
- Time to productivity: Analysing how quickly the new hire adapts to their role and starts making meaningful contributions, minimising downtime and maximising efficiency.
- Skill enrichment: Evaluating the expertise and experiences the new hire brings, enriching the organisation’s capabilities and potential for innovation.
- Cultural alignment: Determining whether the new hire aligns with the organisation’s values and norms, fostering a cohesive and positive work environment.
- Leadership potential: Observing the new hire’s capacity for growth and development within the organisation, potentially evolving into a leadership role and driving further success.
To effectively measure quality of hire, it’s essential to establish a robust measurement framework aligned with organisational objectives. This framework serves as the foundation for assessing recruitment success and identifying areas for improvement. Recruiting metrics should mirror the key aspects mentioned above, tailored to specific organisational needs.
While some elements are quantifiable, others require a qualitative approach. Implementing processes promptly to gather this data is crucial, utilising resources like the finance department for numerical insights and involving managers for qualitative input.
Quantitative metrics offer tangible indicators of a hire’s job performance and impact, including meeting targets and retention rates. However, qualitative metrics delve into nuanced factors such as cultural alignment and employee engagement levels, often derived from discussions and feedback from managers.
Integrating both quantitative and qualitative measures provides a comprehensive understanding of the quality of hires, enabling informed decision-making and continuous improvement efforts to optimise recruitment outcomes.
Why does quality of hire matter?
Quality of hire isn’t just about filling positions. It’s about ensuring an organisation can thrive in both the short and long term.
Research from Totaljobs highlights the critical impact of quality hires. For instance, up to a third of new employees resign within the first six months, leading to significant financial losses and wasted time. Additionally, 43% of new hires leave due to unmet role expectations, while 32% cite cultural misalignment, underscoring the importance of getting hires right from the start.
Beyond reducing turnover rate, quality of hire directly affects team and organisational success. Hiring individuals without the necessary technical skills can result in a dip in productivity until they are trained or replaced. In customer-facing positions, inadequately skilled hires can tarnish an organisation’s brand and actually damage business relationships.
Conversely, high-quality hires require less handholding to get up to speed. They can be relied upon to deliver high-quality work punctually and contribute positively to internal culture and external relationships, thereby enhancing overall organisational effectiveness.
7 strategies for improving quality of hire
With so much on the line when it comes to hiring, improving your quality of hire should be a priority. Here are seven ways to do so.
1. Write clear job description
Candidates won’t appreciate turning up for an interview and being blindsided about an element of the role, and potential candidates can be put off applying for a role if the job description includes unclear responsibilities and requirements. Furthermore, vague job descriptions can also waste an employer’s time, leading unsuitable candidates to apply.
As a result, it’s always important to write clear, concise, and accurate job descriptions. Key responsibilities should be set out, while the minimum and ‘nice-to-have’ requirements should be made clear and communicated to candidates.
It can also a useful to outline the organisation’s values, as this allows applicants to understand if they are likely to be a good cultural fit.
2. Run a structured interview process
One of the best ways to improve quality of hire is to remove as much subjectivity as possible from the recruitment process. To do this, employers can utilise a structured interview process, as this helps to ensure that each candidate faces the same criteria for success.
To create a structured interview process that objectively assesses a candidate’s suitability for a role, employers also need to reduce bias as much as possible throughout the hiring process. One good way to do this is to utilise panel interviews, as this format prevents an individual’s unconscious bias from having a significant impact on the decision-making process.
3. Use competency-based assessments
When it comes to reducing bias and increasing objectivity, competency-based interviews are among the most effective tools for employers. Using competency-based interviews, employers and recruiters can better assess whether a candidate has what it takes to succeed in the role and pinpoint areas when they might be lacking.
To do this, hiring managers can use a set of questions that ask the candidate to explain a time where they used or showcased the required competencies for the role in a previous job. Based on how well they demonstrate that competency, the candidate’s answers should then be recorded using a simple scoring system.
Using these scoring systems, hiring managers can then get a more objective ranking of each candidate’s suitability, helping to prevent subjective opinion from playing a significant part and elevate final hiring decisions.
4. Strengthen employer branding
Attracting top-quality candidates isn’t just about evaluating applications, skills, potential and personal branding – it’s also about showcasing what an organisation can offer as a potential employer.
In fact, research shows that for 78% of employers, employer branding is a top priority amid the hunt for top talent, with 60% saying that differentiating their employer brand from competitors is a key objective.
To enhance their employer brand, organisations can use their website, social media channels, and in-person events to:
- Showcase company culture
- Promote employee testimonials
- Share customer or client feedback
5. Create comprehensive onboarding processes
Enhancing quality of hires begins with a seamless onboarding experience. Robust onboarding procedures not only facilitate successful integration but also boost employee retention rates. Organisations can establish an effective onboarding framework by focusing on:
- Orientation: Provide new hires with a thorough introduction to the company’s culture, values, and organisational structure, setting the stage for a smooth transition into their roles.
- Training programmes: Equip employees with the skills and knowledge they need to excel in their positions, with structured training modules tailored to each role, covering essential job functions, company policies, and industry-specific practices.
- Mentorship initiatives: Mentorship programs offer invaluable support and guidance, helping newcomers navigate challenges and acclimate to their new environment more effectively.
By implementing these essential steps, employers can create a comprehensive onboarding experience that sets new hires up for success from day one.
6. Offer competitive compensation and benefits
There is no way around the fact that a good salary is at the top of many workers’ agendas. Data shows that 73% of workers say salary is the biggest influence in their decision to apply for a role, while at least 70% of workers know how much they should be paid for their job.
That means if your salaries are not competitive within the context of the wider market, then you are likely to struggle to get the best candidates to apply for roles and keep hold of staff who could be on the lookout for a pay rise elsewhere.
Don’t forget other benefits too. High-performing employees will expect at least an industry-standard benefits package, but going the extra mile with other perks can help to both attract and retain top talent.
7. Provide ongoing training and development opportunities
An often-neglected method to enhance staff retention and consequently improve quality of hire is providing authentic training and development prospects. Our research reveals that 72% of employees desire more learning and development opportunities from their employers, with 76% indicating that a company offering additional skills training would be more enticing to them.
By incorporating development opportunities within your organisation and showcasing them in your job postings, you can elevate the quality of hire and attract candidates who value ongoing growth and learning.
Elevating your hiring practices
Improving the quality of your hires is crucial to achieving long-term organisational success, with skill shortages making comprehensive recruitment strategies increasingly important. To attract top talent and reduce turnover, organisations can utilise the strategies outlined above, including creating clear job descriptions, structured interview processes, competency-based assessments, and building a strong employer brand.
By incorporating these strategies, you can create a robust hiring framework that not only fills positions with the right candidates, but also fosters long-term engagement and success to position your organisation to thrive in 2024 and beyond.