If You Are Hiring on the Basis of Skills, You Are Doing it Wrong!

Sunday, July 31, 2016

HiringManagers typically don’t do enough to understand their own organisational culture, and that exposes the organisation to significant risk. Such is the assertion in a recent Australian Financial Review article (read it here) that looks into organisational culture.

In fact, the traditional definition of organisational culture as being ‘the way we do things around here’ is challenged in the article with an alternative suggestion being ‘how we understand what motivates individuals at the forefront of our business and why they are engaging in the conduct they are.’

One of the main points of the article is that organisations typically hire people based on their skill sets and capabilities, yet fire them because of their behaviours and cultural fit. Why not instead consider behaviours and cultural fit at the time of hiring? Hence the question as to whether Australian managers really know enough about their organisational culture and people to really know what people are needed to move the organisation forward.

Another issue raised in the article concerns what organisations say is their purpose and culture often being quite different to what customers and front-line employees are actually experiencing. This is identified as a significant risk for organisations whereby people are empowered to disregard management statements because they have proven to be meaningless.

Within your organisation, does your organisational culture at all levels match what you say it is? And even more importantly, are you hiring people who are congruent with that culture? The Avondale Business School can advise your organisation on being effective in these areas – find out how by contacting Warrick Long at the Avondale Business School.

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