Published on 20-04-2017
Cultural Fit explained – what are the benefits?
On April 5 Marloes Peters, Essent, and Bjorn Veenstra, CEO CompanyMatch, presented their Cultural Fit in Recruitment & Employer Branding case study during the eRecruitment17 conference. Download the full presentation to gain insights and find out more about the following topics:
- Cultural Fit explained
- Which employer suits me?
- What are the costs of a mismatch?
- Improve the quality of hire with Cultural Fit
- Cultural Fit, what are the benefits? The Essent case study
A short summary of the presentation can be found below:
Cultural Fit explained
Cultural Fit is the match between employer and candidate based on shared ambitions, values and motivators. A good fit will result in happier and better performing employees. A recognisable situation for jobseekers and employers is the moment you meet for a job interview and realise there is no chemistry. Obviously you were invited for an interview for good reasons so why does this happen? Most likely it is down to the Cultural Fit between individual and organisation. Maybe not directly tangible but both jobseeker and employer will recognise almost instantly whether there is a connection… or not.
Which employer suits me?
Cultural Fit plays an important role in online search behaviour of often still anonymous jobseekers. 95% of all jobseekers say that during the orientation phase they are mostly searching for information about the company and the people who work there. According to a publication by Bersin/Deloitte themes such as wages are far less important during this phase of the job search. Jobseekers are trying to get a good understanding of the work environment and potential colleagues. But also to understand the organisation’s drivers, motivators and values. What is the organisation trying to achieve? What do they represent? In short, during the online orientation phase jobseekers are mostly looking to answer the question of which employer suits them. An approach closely related to the question millennials on the job market ask themselves: ‘Who do I offer my talents to?’ As an employer it is vital to be well prepared for these attitudes towards employment. If you as an employer are unable to answer the jobseekers questions during their orientation phase you may simply not be interesting enough to be pursued and lose the opportunity to engage with the candidate.
What are the costs of a mismatch?
Cultural Fit and a mismatch go hand in hand. The fewer similarities between applicants and employers in what drives them the greater the risk of a mismatch where a candidate will leave the organisation within 18 months. Not great for the employee who had probably hoped for more, nor is it any different for the employer who will have invested heavily in recruitment, selection, onboarding and training of new employees. Don’t forget the impact on team morale and lost productivity. It is different for every job level in every organisation but the cost of a mismatch could on average equate to about 30,000 pound sterling per candidate. Harris Interactive research on the German job market suggests the average cost in Germany is 45.000 euro with similar costs expected in the Netherlands and Belgium. Include the hidden costs and a mismatch is much more expensive than the recruitment cost alone.
Improve the quality of hire with Cultural Fit
There is a strong correlation between the quality of hire and the Cultural Fit of the candidate with the organisation. So much so that over a longer period Cultural Fit can be considered the most significant parameter in deciding if the hire was ultimately successful. The time it takes to hire a candidate and the related hiring costs do not necessarily state anything about the quality of hire. What we do know is that a successful hire does not only depend on skills but even more so on the personality matching with the organisation. In other words… ‘hire for attitude and train for skills’.
The benefits of Cultural Fit – the Essent case study
What are the benefits of Cultural Fit for an employer? Marloes Peters, senior advisor recruitment marketing & employer branding Essent, highlights the importance of Cultural Fit and its impact on the Essent employer brand and results achieved in their recruitment process. Covering everything from activating the anonymous career site visitor, attaching the CompanyMatch scan to your application form to the conversion rate and number of hires who added their CompanyMatch to their application.
Interested in the full cases study presentation? Download it in PDF below.