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May 2013
Recruiting: good to great
Page 2
Why?
ā€¢ To Be Great at Recruiting
ā€¢ Great Recruiting is:
ā€¢ Telling Stories ā€“ Company & Positions
ā€¢ Understanding the Candidate
ā€¢ Crafting an Experience
ā€¢ Work to make it a strength of your org
Page 3
Role of Talent
ā€¢ Create the Experience
ā€¢ Keep the Trains Moving
ā€¢ Troubleshoot
ā€¢ Learn to use data
Page 4
Agenda
ā€¢ Recruiting Process/Experience
ā€¢ Interview Structure
ā€¢ Preparing Offers
ā€¢ Compensation Data
ā€¢ Sourcing
ā€¢ Scaling Culture ā€“ Steve Cadigan
Page 5
The Experience
ā€¢ The goal of recruiting is more than just a repeatable process, it is
about crafting an overall experience
ā€¢ You should be deliberate about every step a candidate goes
through. Be aware of:
ā€¢ Itā€™s purpose
ā€¢ What it feels like to go through
ā€¢ Map steps and measure how long it takes
Page 6
The Experience
ā€¢ Basic Anatomy
ā€¢ Introduction
ā€¢ Evaluation
ā€¢ Connection
ā€¢ Close
Page 7
Setup
ā€¢ Goal:
ā€¢ Sync with manager on the ideal candidate and prepare the interview team.
ā€¢ The Position:
ā€¢ Why does this role exist and what is the potential impact to the company?
ā€¢ What will the person work on the first 3, 6, 12 months? Why is it interesting?
ā€¢ What hard skills do they need? Required vs. nice to have ā€“ prioritize
ā€¢ Perquisite experience? How senior?
ā€¢ What are you willing to trade off: domain experience vs. coding chops
ā€¢ Ideal candidates? Where do they work? Look through LinkedIn together
ā€¢ Process:
ā€¢ Select interview team and give them responsibilities ā€“ more to follow
Page 8
Introduction
ā€¢ Goal: Generate Interest & Understand What They Value (LISTEN TO THEM)
ā€¢ Generate Interest (storytelling):
ā€¢ Why does the company exist and why does that matter?
ā€¢ Why are you going to succeed where other have failed?
ā€¢ Why does the company matter to you? Mission? Culture?
ā€¢ Upcoming projects
ā€¢ Set Expectations and Prepare for what lies next
Page 9
Introduction
ā€¢ Discovery:
ā€¢ Why are they looking and how serious are they?
ā€¢ What are they not getting from their current company?
ā€¢ When are they looking to make a decision? Timing?
ā€¢ Who is the competition? Other startups, founding something, large companies
ā€¢ What do they want out of their next position?
ā€¢ Whatā€™s their current comp and what are they looking for? Stock vs. cash?
ā€¢ Who are the decision makers? Parents, wife, kids, etcā€¦
*WRITE IT DOWN & SYNC WITH THE HIRING MANAGER
Page 10
Evaluation
ā€¢ Goal:
ā€¢ Evaluate Fit , Communicate the Responsibilities of the Position &
Answer Outstanding Questions
ā€¢ Main Areas:
ā€¢ Work Experience, Relevant Skills, Culture Fit.
Page 11
Evaluation
ā€¢ Work Experience
ā€¢ Systematically breakdown what theyā€™ve done for the past 5 years.
ā€¢ What projects where they working on? What were their specific
responsibilities? ā€“ Really dig into the details.
ā€¢ What did they deliver? How did they influence the direction of the product?
ā€¢ How much autonomy did they have to make decisions? Enough, too much?
ā€¢ Did they work on core parts of the project?
ā€¢ How did they deal with roadblocks? What happens when they get frustrated?
ā€¢ Look for people that had key roles and that have had increased responsibility
over time. Each role should be a step forward.
*Takeaway: What have they done, how well did they do it, was it hard
Page 12
Evaluation
ā€¢ Relevant Skills: Break it down to the fewest people possible
ā€¢ Technical Skills
ā€¢ Programming languages, writing abilities, sourcing
ā€¢ Problem Solving
ā€¢ CS Fundamentals, deductive reasoning, situational questions
ā€¢ They should be relevant to the position
ā€¢ Practicals
ā€¢ Tests, presentations, role playing
ā€¢ Can be used as a filter if you have a lot of applicants or towards the
end of the process if you need to do a lot of selling.
ā€¢ Examples of Previous of Work
ā€¢ Code Samples, writing samples, portfolio
Page 13
Evaluation
*Takeaways:
ā€¢ Strength of knowledge on each required skill
ā€¢ Horsepower
ā€¢ Problem solving abilities
ā€¢ Quality of work
*2 - 3 interviews:
ā€¢ Always leave time for questions and for interviewers to talk about their
experience
Page 14
Evaluation
ā€¢ Culture Fit:
ā€¢ Understand and quantify your culture first
ā€¢ How do decisions get made?
ā€¢ Conviction of ideas?
ā€¢ How collaborative?
ā€¢ Pedigree?
ā€¢ Passions/Interests?
ā€¢ Positive vs. questioning?
ā€¢ How independent are people expected to be?
Page 15
Evaluation
ā€¢ The questions asked should be relevant to your current culture or the one
youā€™re trying to build
ā€¢ How much control do you want over decisions?
ā€¢ How do you handle disagreements with coworkers? What do you do if you
disagree with a decision thatā€™s been made?
ā€¢ What risks have you taken? What was the outcome, what did you learn?
ā€¢ When have you gone out of your way to do something or learn a skill that
wasnā€™t required?
ā€¢ When was the last time someone was critical of your work, how did you handle
it?
*Takeaways: How well do they fit into the organization you have and do you think
they can adapt?
Page 16
Connection
ā€¢ Find ways of endearing the candidate to you
ā€¢ Social interaction:
ā€¢ Team lunch, dinner, golf, ping pong
ā€¢ Potentially engaging other interests: family-life, outdoor activities, etc
ā€¢ Check-in:
ā€¢ Engage the candidate after their onsite
ā€¢ How excited are they?
ā€¢ What questions do they need answered?
ā€¢ Offer to spend more time outside of the interview process
ā€¢ Discuss career growth and future aspirations
ā€¢ Love Bomb:
ā€¢ Have the interviewers reach back out
ā€¢ Send a gift basket that relates to their interest
Page 17
Debrief
ā€¢ Goal: Moderate a discussion with Hiring Manager and Interviewer(s) to determine
hiring decision
ā€¢ Facilitating the conversation:
ā€¢ Require concrete data
ā€¢ Avoid statements like ā€œI feelā€
ā€¢ Be thoughtful about the order in which people give feedback
ā€¢ Donā€™t have the most influential people speak up first
ā€¢ Look for a champion
ā€¢ A weak YES is really a NO
ā€¢ Donā€™t hire someone to be the weakest person on the team
ā€¢ Get value out of ā€œnoā€™sā€
ā€¢ Know why they are a pass
ā€¢ Learn what would have made them a YES
Page 18
Close: pre-offer
ā€¢ Goal: Have the candidate ready to accept before the offer is delivered
ā€¢ Begins at the Introduction: Reinforced through each stage of the process (slide 8)
ā€¢ Take each thing they value and cross it off the list as you interact with the
candidate
ā€¢ Have hiring manager and other leaders communicate the vision for the
company and how the candidate fits in. Why it is a career and not a job.
ā€¢ Constantly check-in:
ā€¢ How excited are they about the position?
ā€¢ What concerns to the they have about the company, job, etc?
ā€¢ What questions do they need answered?
ā€¢ How does it compare to other positions?
ā€¢ If terms could be agreed upon, would you accept?
ā€¢ When can you start?
ā€¢ Learn to position against: smaller companies, other startups larger companies
Page 19
Close: talking numbers
ā€¢ Making Comp Recommendations
1. Employeeā€™s comp history ā€“ discuss early
2. Expectations/Motivations (equity vs. cash)
3. Industry benchmarks
4. Competing offers
5. Internal comparisons
Page 20
Close: delivery
ā€¢ Figure out the best person to deliver the offer
ā€¢ Hiring manager, CEO, Recruiter
ā€¢ Have a ā€œconfidantā€
ā€¢ Typically the recruiter, someone that can discuss the details of the
offer while still being removed from the negotiation
ā€¢ Negotiation
ā€¢ Avoid unless theyā€™re ready to accept
ā€¢ Sign-on Bonus
Page 21
Close: the counter
ā€¢ Mentally prepare the candidate for a counter offer
ā€¢ Strengthen their resolve
ā€¢ Stay connected, itā€™s not done until they show up
Page 22
Experience Killers
ā€¢ Time in process
ā€¢ Clock is ticking from initial intro or connection
ā€¢ Treat employee referrals like gold
ā€¢ Lumpy communication
ā€¢ Follow-up immediately
ā€¢ Missing interviews or being left waiting
ā€¢ Not paying complete attention ā€“ checking phone/email
ā€¢ Inconsistent expectations between interviewers, candidates
ā€¢ Asking the same questions
ā€¢ People that donā€™t know what the hell theyā€™re talking about
ā€¢ Weak Process
ā€¢ Not challenging enough
Page 23
Useful Metrics
ā€¢ Goal: Understand conversion and time in process
ā€¢ Overall Conversion Funnel
ā€¢ Total Outreach ļƒ  response rate ļƒ  interview process ļƒ  offer
ā€¢ Instrument interview process
ā€¢ Track each stage in ATS
ā€¢ Understand the funnel conversion from phone screen to offer
ā€¢ Track days spent in each step
ā€¢ Offer Conversion
ā€¢ Run a post-mortem on each rejected offer, avoid making the same mistake
twice
ā€¢ Sources
ā€¢ Track where offers and hires come from, will help you better allocate time
Page 24
Comp
ā€¢ Define your philosophy:
ā€¢ Create salary bands
ā€¢ Donā€™t be a slave to data but be aware when youā€™re breaking band
ā€¢ Update bands each year
ā€¢ Start to level employees but donā€™t worry about it until 50 or so
ā€¢ Stock Refresh
ā€¢ @ 3 years in
Page 25
Comp: trends
ā€¢ Modest increase in salary and equity (<5%) from 2012
ā€¢ Average Salary for New Grad Engineers at top companies: $100K
ā€¢ Companies are essentially paying 2 years ahead of current experience
ā€¢ Will likely push other salaries up
ā€¢ Little to no discount on salary for early stage companies
ā€¢ Perks are getting more creative
ā€¢ Laundry service, task rabbit, uber

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Recruiting: Good to Great

  • 2. Page 2 Why? ā€¢ To Be Great at Recruiting ā€¢ Great Recruiting is: ā€¢ Telling Stories ā€“ Company & Positions ā€¢ Understanding the Candidate ā€¢ Crafting an Experience ā€¢ Work to make it a strength of your org
  • 3. Page 3 Role of Talent ā€¢ Create the Experience ā€¢ Keep the Trains Moving ā€¢ Troubleshoot ā€¢ Learn to use data
  • 4. Page 4 Agenda ā€¢ Recruiting Process/Experience ā€¢ Interview Structure ā€¢ Preparing Offers ā€¢ Compensation Data ā€¢ Sourcing ā€¢ Scaling Culture ā€“ Steve Cadigan
  • 5. Page 5 The Experience ā€¢ The goal of recruiting is more than just a repeatable process, it is about crafting an overall experience ā€¢ You should be deliberate about every step a candidate goes through. Be aware of: ā€¢ Itā€™s purpose ā€¢ What it feels like to go through ā€¢ Map steps and measure how long it takes
  • 6. Page 6 The Experience ā€¢ Basic Anatomy ā€¢ Introduction ā€¢ Evaluation ā€¢ Connection ā€¢ Close
  • 7. Page 7 Setup ā€¢ Goal: ā€¢ Sync with manager on the ideal candidate and prepare the interview team. ā€¢ The Position: ā€¢ Why does this role exist and what is the potential impact to the company? ā€¢ What will the person work on the first 3, 6, 12 months? Why is it interesting? ā€¢ What hard skills do they need? Required vs. nice to have ā€“ prioritize ā€¢ Perquisite experience? How senior? ā€¢ What are you willing to trade off: domain experience vs. coding chops ā€¢ Ideal candidates? Where do they work? Look through LinkedIn together ā€¢ Process: ā€¢ Select interview team and give them responsibilities ā€“ more to follow
  • 8. Page 8 Introduction ā€¢ Goal: Generate Interest & Understand What They Value (LISTEN TO THEM) ā€¢ Generate Interest (storytelling): ā€¢ Why does the company exist and why does that matter? ā€¢ Why are you going to succeed where other have failed? ā€¢ Why does the company matter to you? Mission? Culture? ā€¢ Upcoming projects ā€¢ Set Expectations and Prepare for what lies next
  • 9. Page 9 Introduction ā€¢ Discovery: ā€¢ Why are they looking and how serious are they? ā€¢ What are they not getting from their current company? ā€¢ When are they looking to make a decision? Timing? ā€¢ Who is the competition? Other startups, founding something, large companies ā€¢ What do they want out of their next position? ā€¢ Whatā€™s their current comp and what are they looking for? Stock vs. cash? ā€¢ Who are the decision makers? Parents, wife, kids, etcā€¦ *WRITE IT DOWN & SYNC WITH THE HIRING MANAGER
  • 10. Page 10 Evaluation ā€¢ Goal: ā€¢ Evaluate Fit , Communicate the Responsibilities of the Position & Answer Outstanding Questions ā€¢ Main Areas: ā€¢ Work Experience, Relevant Skills, Culture Fit.
  • 11. Page 11 Evaluation ā€¢ Work Experience ā€¢ Systematically breakdown what theyā€™ve done for the past 5 years. ā€¢ What projects where they working on? What were their specific responsibilities? ā€“ Really dig into the details. ā€¢ What did they deliver? How did they influence the direction of the product? ā€¢ How much autonomy did they have to make decisions? Enough, too much? ā€¢ Did they work on core parts of the project? ā€¢ How did they deal with roadblocks? What happens when they get frustrated? ā€¢ Look for people that had key roles and that have had increased responsibility over time. Each role should be a step forward. *Takeaway: What have they done, how well did they do it, was it hard
  • 12. Page 12 Evaluation ā€¢ Relevant Skills: Break it down to the fewest people possible ā€¢ Technical Skills ā€¢ Programming languages, writing abilities, sourcing ā€¢ Problem Solving ā€¢ CS Fundamentals, deductive reasoning, situational questions ā€¢ They should be relevant to the position ā€¢ Practicals ā€¢ Tests, presentations, role playing ā€¢ Can be used as a filter if you have a lot of applicants or towards the end of the process if you need to do a lot of selling. ā€¢ Examples of Previous of Work ā€¢ Code Samples, writing samples, portfolio
  • 13. Page 13 Evaluation *Takeaways: ā€¢ Strength of knowledge on each required skill ā€¢ Horsepower ā€¢ Problem solving abilities ā€¢ Quality of work *2 - 3 interviews: ā€¢ Always leave time for questions and for interviewers to talk about their experience
  • 14. Page 14 Evaluation ā€¢ Culture Fit: ā€¢ Understand and quantify your culture first ā€¢ How do decisions get made? ā€¢ Conviction of ideas? ā€¢ How collaborative? ā€¢ Pedigree? ā€¢ Passions/Interests? ā€¢ Positive vs. questioning? ā€¢ How independent are people expected to be?
  • 15. Page 15 Evaluation ā€¢ The questions asked should be relevant to your current culture or the one youā€™re trying to build ā€¢ How much control do you want over decisions? ā€¢ How do you handle disagreements with coworkers? What do you do if you disagree with a decision thatā€™s been made? ā€¢ What risks have you taken? What was the outcome, what did you learn? ā€¢ When have you gone out of your way to do something or learn a skill that wasnā€™t required? ā€¢ When was the last time someone was critical of your work, how did you handle it? *Takeaways: How well do they fit into the organization you have and do you think they can adapt?
  • 16. Page 16 Connection ā€¢ Find ways of endearing the candidate to you ā€¢ Social interaction: ā€¢ Team lunch, dinner, golf, ping pong ā€¢ Potentially engaging other interests: family-life, outdoor activities, etc ā€¢ Check-in: ā€¢ Engage the candidate after their onsite ā€¢ How excited are they? ā€¢ What questions do they need answered? ā€¢ Offer to spend more time outside of the interview process ā€¢ Discuss career growth and future aspirations ā€¢ Love Bomb: ā€¢ Have the interviewers reach back out ā€¢ Send a gift basket that relates to their interest
  • 17. Page 17 Debrief ā€¢ Goal: Moderate a discussion with Hiring Manager and Interviewer(s) to determine hiring decision ā€¢ Facilitating the conversation: ā€¢ Require concrete data ā€¢ Avoid statements like ā€œI feelā€ ā€¢ Be thoughtful about the order in which people give feedback ā€¢ Donā€™t have the most influential people speak up first ā€¢ Look for a champion ā€¢ A weak YES is really a NO ā€¢ Donā€™t hire someone to be the weakest person on the team ā€¢ Get value out of ā€œnoā€™sā€ ā€¢ Know why they are a pass ā€¢ Learn what would have made them a YES
  • 18. Page 18 Close: pre-offer ā€¢ Goal: Have the candidate ready to accept before the offer is delivered ā€¢ Begins at the Introduction: Reinforced through each stage of the process (slide 8) ā€¢ Take each thing they value and cross it off the list as you interact with the candidate ā€¢ Have hiring manager and other leaders communicate the vision for the company and how the candidate fits in. Why it is a career and not a job. ā€¢ Constantly check-in: ā€¢ How excited are they about the position? ā€¢ What concerns to the they have about the company, job, etc? ā€¢ What questions do they need answered? ā€¢ How does it compare to other positions? ā€¢ If terms could be agreed upon, would you accept? ā€¢ When can you start? ā€¢ Learn to position against: smaller companies, other startups larger companies
  • 19. Page 19 Close: talking numbers ā€¢ Making Comp Recommendations 1. Employeeā€™s comp history ā€“ discuss early 2. Expectations/Motivations (equity vs. cash) 3. Industry benchmarks 4. Competing offers 5. Internal comparisons
  • 20. Page 20 Close: delivery ā€¢ Figure out the best person to deliver the offer ā€¢ Hiring manager, CEO, Recruiter ā€¢ Have a ā€œconfidantā€ ā€¢ Typically the recruiter, someone that can discuss the details of the offer while still being removed from the negotiation ā€¢ Negotiation ā€¢ Avoid unless theyā€™re ready to accept ā€¢ Sign-on Bonus
  • 21. Page 21 Close: the counter ā€¢ Mentally prepare the candidate for a counter offer ā€¢ Strengthen their resolve ā€¢ Stay connected, itā€™s not done until they show up
  • 22. Page 22 Experience Killers ā€¢ Time in process ā€¢ Clock is ticking from initial intro or connection ā€¢ Treat employee referrals like gold ā€¢ Lumpy communication ā€¢ Follow-up immediately ā€¢ Missing interviews or being left waiting ā€¢ Not paying complete attention ā€“ checking phone/email ā€¢ Inconsistent expectations between interviewers, candidates ā€¢ Asking the same questions ā€¢ People that donā€™t know what the hell theyā€™re talking about ā€¢ Weak Process ā€¢ Not challenging enough
  • 23. Page 23 Useful Metrics ā€¢ Goal: Understand conversion and time in process ā€¢ Overall Conversion Funnel ā€¢ Total Outreach ļƒ  response rate ļƒ  interview process ļƒ  offer ā€¢ Instrument interview process ā€¢ Track each stage in ATS ā€¢ Understand the funnel conversion from phone screen to offer ā€¢ Track days spent in each step ā€¢ Offer Conversion ā€¢ Run a post-mortem on each rejected offer, avoid making the same mistake twice ā€¢ Sources ā€¢ Track where offers and hires come from, will help you better allocate time
  • 24. Page 24 Comp ā€¢ Define your philosophy: ā€¢ Create salary bands ā€¢ Donā€™t be a slave to data but be aware when youā€™re breaking band ā€¢ Update bands each year ā€¢ Start to level employees but donā€™t worry about it until 50 or so ā€¢ Stock Refresh ā€¢ @ 3 years in
  • 25. Page 25 Comp: trends ā€¢ Modest increase in salary and equity (<5%) from 2012 ā€¢ Average Salary for New Grad Engineers at top companies: $100K ā€¢ Companies are essentially paying 2 years ahead of current experience ā€¢ Will likely push other salaries up ā€¢ Little to no discount on salary for early stage companies ā€¢ Perks are getting more creative ā€¢ Laundry service, task rabbit, uber