Is Bias in Your Recruiting Costing You Top Talent?

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Is Bias in Your Recruiting Costing You Top Talent?

A diverse workforce and inclusive environment creates more committed and motivated employees, attracts top talent, and produces better business performance. Why is it then that so many companies still struggle to achieve the diverse range of talent they need for success?

Prejudices have for the most part been shelved in recent years as the spotlight on diversity in the boardroom has highlighted the many business benefits that a greater mix of people and bigger the pool of experience, skills, knowledge, creativity and views offers.

What Can Different People Bring To The Table?

Young people will bring fresh, new ideas and un-jaded optimism to your team; older executives provide invaluable knowledge based on years of experience; men and women offer different perspectives on business challenges and will approach your business challenges from different directions; and people from different ethnic backgrounds brings cultural understanding and the ability to explore new markets.*

Besides those benefits there are the candidates from different backgrounds and of varying physical abilities all of whom can add considerable depth to your organisation.  It’s clear then that a good mix of people can drive innovation and help your management team to unblock decision-making processes and avoid conflicts.

So why does research show that recruitment in many companies is biased and working against candidates whose profiles fall outside of the expected norm?  Often it’s not because of a conscious effort to discriminate against candidates but down to the phenomenon known as ‘unconscious bias’.

How Can You Stop Unconsciously Recruiting In Your Own Image? 

Large corporations such as the BBC have worked hard to addressed unconscious bias in their recruitment processes, putting staff through specially tailored training to help the company achieve its diversity targets.

Research supports the theory of unconscious bias and the results of one US study illustrate it clearly. The research team sent out CVs for fictitious candidates, with either stereotypical ‘black’ or ‘white’ sounding names; the results showed significant discrimination in the form of subtle cognitive biases.  Similarly, constructed deception studies have demonstrated clear gender discrimination against women applying for jobs in traditionally male dominated industries.

Historically, psychologists thought that human decision-making was a very rational and logical process, but increasingly the impact of our unconscious thought patterns is emerging.  It appears that recruitment bias is more common than we might imagine and the thinking that drives it may be subconsciously rooted so that the offenders may not even be aware that they’re responsible. Many hiring decisions are made on ‘gut’ feel – we’ve all heard someone say that they knew straight away one candidate was right for the job, but this can be unconscious bias.

 Three Tips To Cut Out Bias 

In your organisation, there may be any number of unconsciously biased people involved in the hiring process. Here are a few suggestions to help you avoid it and the poor decision making associated with it:

  1. Insist on removing all identifying factors including name, age, gender, location, nationality, from CVs before they are reviewed by the hiring manager – this way all candidates can be assessed without discrimination.
  2. Build in ample thinking time to your hiring process and insist that hirers cross-check their decisions against pre-agreed criteria.
  3. Don’t let ‘gut’ decisions take over too soon – when the conscious brain deliberates in partnership with the unconscious brain, we make better, more considered decisions.  Question ‘instinctive’ judgments and try to understand what is behind first impressions. The likelihood is that it’s the decision makers unconscious bias taking over and encouraging them to make decisions based on past ‘safe’ experiences rather than stepping into less charted but potentially equally or even more successful territory.

You may have heard of companies starting to use data analysis to help them achieve an objective and diverse recruitment processes. This involves the automated examination of volumes of candidate data against job criteria in an attempt to remove any unconscious bias and lessen the risk of human error. But, while there has been increasing interest in this strategy, there is also a lot to be said for a relationship based recruitment model, where time is taken to get to know and understand a candidate before a decision is made.

So Which Approach Should You Use? 

We have found that a combination of the algorithmic and the human approaches is most effective; using automated processes to narrow down the candidate pool without bias, and then using personal recruitment techniques to make final decisions.

The aim of any business is to have a hiring process that consistently delivers top quality talent while minimising risks. It’s not just unconscious bias we need to be looking out for though, there is also the risk of candidate deception. Harvard research found that 81 percent of people lie about themselves in job interviews, telling a shocking average of 2.19 lies every 15 minutes.  Deception expert, Jenny Radcliffe says: “CVs and Interviews are seen as situations when lies, omissions and exaggeration are commonplace, even normal. It’s like poker or negotiation, absolute truth and full disclosure are rare, there is almost an expectation that people “paint themselves in the best light” but that’s still technically deception!”

 

Would you like additional advice on improving your hiring processes? Request the “The Complete Managers’ Interview Guide” E-Book, EJC’s comprehensive guide to better recruitment practices.

Considering Retained Search & Exclusive Contingency assignments? Ask about “Prima” – EJC’s proprietary multimedia candidate behavioural assessment and presentation tool. Prima is a secure, globally accessible, mobile client portal, which allows you to access your hiring process at anytime. EJC uploads job descriptions, shortlisted candidates’ CV’s, psychometric test results, benchmark assessments, videoed presentations & interviews. This allows you more insight into a candidate before you meet them, making shortlisting decisions easier. As a first step request a copy of “Improving Recruitment: Introducing Prima” Presentation at insights@elliottjamesconsulting.com or contact your EJC consultant at +44(0) 1189 291 810 to arrange a demonstration

*http://www.academia.edu/3493066/Managing_Diversity_at_Workplace_a_Case_Study_of_HP

“I’ve used EJC for a few years now. I always know what I’m getting with Peter and his team, whether it’s a senior or a junior hire. They are professional, friendly and have a fantastic network of contacts.”

- Head of Talent Acquisition, Long-Only Asset Manager

“As someone who has worked on in finance for many years, Helen understands our business needs immediately, which is rare in recruitment. She doesn’t waste my time with unsuitable CV’s as she has a thorough pre-screening process that produces a focused list of great candidates. “

- Risk & Compliance MD, Long- Only Asset Manager

“It took quite awhile to find my current role and I was in contact with a lot of recruiters. There’s a wide variation in quality but what I liked about Hannah was she didn’t over-sell positions – she told me why I was unsuitable, took a real interest in me as a person and called me when she said she would. She found me this great job and now I’m hiring people for my team through EJC.”

- Candidate, Client Services Manager

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- Candidate, Business Development Director

“I have had to deal with numerous agencies over the past few years – but coming across EJC has been a breath of fresh air. As a candidate I felt very well looked after and represented and within three weeks of first sending my CV to them I now find myself signing on the dotted line at a large CTA manager.”

- Candidate, Quant Analyst

“Recruitment in the alternative industry is phenomenally competitive – especially for junior hires and EJC really helped me kick-start my career. There are many preconceptions about hedge funds but they helped me understand the structures of the businesses and which roles would best suit my competencies. They were very professional, knowledgeable and provided me with valuable support throughout the recruitment process. I would highly recommend them as professional head-hunters.”

- Candidate, Graduate – Junior Sales

“Over the years I have used Peter’s recruitment services as a candidate and a client. I can say wholeheartedly that he excels in both. He’s a rare breed of recruiter as he actually listens to his clients and never makes a promise on which he can’t deliver. Peter represents many leading UK and European asset managers and I wouldn’t hesitate to recommend him to anyone thinking of a new role or indeed looking to source staff for a position.”

- Client & Candidate (Portfolio Manager)

“Brad is an extremely knowledgeable consultant with a strong network of contacts that he is able to leverage. He is results orientated whilst not losing his personal approach. Brad asks the right questions at the right time, listens to the information we release to guide him and provides high quality candidates. He is often the first specialist I consider talking to now and we have only partnered within the last few months.”

- Resourcing Specialist, Ratings Agency

“EJC are always be the first recruiter I use. They are a pleasure to work with, not least because EJC takes a genuine interest in my business and the qualities and character of the people I need to hire. I get good people through EJC because they find motivated people who want to do the job, not just move elsewhere for a pay rise. They are always on top of the process and are energetic in obtaining and analysing feedback.”

- MD, Investment Consultancy

“EJC helped us in sourcing some of our key investment professionals. Rather than dealing with the commission driven, one size fits all service of larger recruiters, we appreciated the tailored and focused approach provided by EJC. Their intimate knowledge of what the hedge business is about allowed them to target a small number of high quality individuals for each role. This left us confident that the short list provided were all possible hires for us, therefore saving us the time and money.”

- CFO, Newly launched HF