Statistics show that your time (your personal net worth in production) is worth five (5) times your annual compensation to your company.
Therefore:
ANNUAL INCOME
$ 70,000
$ 80,000
$ 90,000
$100,000
Your Personal Net Worth
$350,000 or $168.00 per hour
$400,000 or $192.00 per hour
$450,000 or $216.00 per hour
$500,000 or $240.00 per hour
These hourly rates were derived by dividing each net worth figure by 2080 (40 hours per week x 52 weeks = 2080 hours per year)
Consider this scenario:
Your annual compensation is $80,000 per year; your personal net worth to your organization is then $400,000 or $192.00 per hour.
You have a position that you need filled. Instead of hiring a professional recruiter, you try to “save money” and do it yourself. The salary for this position is $50,000 per year.
Let’s add up some of the average time-consuming tasks involved in the screening/interviewing phase to see how much money you save:
Compose/correct/amend an Ad:
Receive & qualify 200 resumes (10-min avg each)
Delete/discard 100 resumes, re-screen 100 resumes
Delete 70, re-qualify 30 resumes (20-min avg each)
(Delete 15 resumes) TOTAL RESUME TIME INVESTED:
30 minutes
2,000 minutes
1,000 minutes
600 minutes
3,630 minutes (60.5 Hours)
SCREENING: 15 Candidates
Telephone Interviews (30 minutes each)
Reference Check 5 of the 15 (30-min avg each)
Schedule 5 Face-to-face interviews (2 hours each)
Second interview (2 hours each)
SCREENING TIME INVESTED:
TOTAL RECRUITMENT HOURS EXPENDED
7.5 HOURS
2.5 HOURS
10 HOURS
4 HOURS
24 HOURS
84.5 HOURS
MONETARY INVESTMENT: 84.5 hours x $192.00 (your personal net worth hourly rate) = $16,224 PLUS THE COST OF POSTING AN AD!
Thoughts to consider…You now have 2 candidates that are qualified—but will either one accept the job, if offered?
You have now invested 84.5 hours (10.5 working days), taking away time from your other key priorities, to identify 2 individuals out of 200 resumes – who may or may not accept a position with your company—if even offered the position.? Imagine, as we all can, having to start this process over!
These processes are our business. We do this to save you time and, in the end, also save you money. And with our effort you are guaranteed results—or you don’t pay a dime! Our services are on a contingency basis–you only pay a fee when you hire our candidate. Can your posting, social media, or job board offer you that?
Isn’t your time better spent on your organization’s strategic goals and projects, where your expertise and experience are really needed? Put our expertise to work for you.