Rob Blythe is the co-CEO of Instant Impact, a leading Recruitment Process Outsourcing (RPO) partner, where he works with SMEs to revolutionise their talent strategies using cutting-edge technology and a world-class team. A proud father of three and a keen tennis enthusiast, Rob is passionate about building a business that people love to be part of and fostering transparent leadership and work-life balance. He frequently shares insights on HR, talent acquisition, and leadership.
We’ve achieved the Talent Acquisition holy grail…
While traditional recruitment metrics such as Time to Fill and Cost of Hire remain essential, the core objective of any successful talent acquisition function is to secure the best talent available.
But how do you measure something as complex as “quality” when it comes to hiring? Inspired by insights from No Rules Rules by Reed Hastings and Erin Meyer, we’ve developed two practical and impactful measures that can help you evaluate the success of your hiring efforts:
- Quality of Hire Indicator (easy)
- New Joiner Talent Density (advanced)
Together, these metrics provide a clear snapshot of immediate performance while aligning recruitment with your organisation’s long-term goals. Let’s break down how they work and why they matter.
The Quality of Hire Indicator
This first tool is designed for simplicity and delivers valuable insights quickly. At its core is one key question, asked to hiring managers three months (or an alternative timeframe if preferable) after a new hire joins the team:
“Would you enthusiastically re-hire this person?”
The answer choices are straightforward: Yes, No, or Not Sure Yet. Responses marked as “Not Yet Sure” can be surveyed again at a later timeframe, such as six months, with only “Yes” or “No” options available.
This question can be supplemented with additional evaluations to provide deeper insights into the new hire’s performance, such as:
- Performance ratings
- Engagement levels
- Speed to competence
- Shifts in perception since the interview
- Suggestions for improving the recruitment process
Following this, we calculate a Quality of Hire score based on the percentage of “Yes” responses at both the 3-month and 6-month marks. This provides a clear metric to track new hire performance early in their journey.
Benefits of the Quality of Hire Indicator
This feedback loop delivers powerful advantages:
- Proactive probation management: By gathering critical feedback before formal reviews, HR can address concerns early, avoiding last-minute surprises.
- Valuable insights: Both qualitative and quantitative data help refine recruitment and performance management processes.
While some may argue that this metric relies heavily on hiring managers’ opinions, it’s worth noting that organisations already trust these managers to make hiring decisions. It stands to reason, then, to trust their judgment in assessing the quality of those decisions.
New Joiner Talent Density
While the Quality of Hire Indicator is easy to implement and gives an indication of whether you’re hiring the right people, New Joiner Talent Density offers a broader, more sophisticated view of how new hires influence the overall capability of your workforce.
To measure New Joiner Talent Density, you first need to establish a concise measure for Talent Density across all levels within your organisation. This step requires delving into performance analytics, ranging from skills matrices to 9-Box Grids, depending on your organisational structure.
Once you’ve defined your Global Talent Density, New Joiner Talent Density can be found using the formula:
(New Joiner Talent Density – Global Talent Density) / Global Talent Density
A positive result means your new hires are elevating your Talent Density, aligning with the ultimate goal of improving talent across all levels—from junior positions to senior strategic hires.
Why New Joiner Talent Density Matters
The real strength of this metric lies in its versatility. You can apply it on a global level or zoom in to analyse specific teams and departments. Regular reviews, such as the biannual evaluations we conduct at Instant Impact, allow for a detailed understanding of how new hires contribute to the company’s talent growth over time.
How We Use These Metrics
At Instant Impact, these two metrics form the backbone of our talent acquisition strategy, helping us continuously optimise our hiring efforts.
- The Quality of Hire Indicator gives us an immediate pulse check after each new hire, allowing us to fine-tune our processes early.
- New Joiner Talent Density offers a long-term view, ensuring that every hire strengthens the overall talent within the business.
By combining real-time feedback with long-term insights, we’re able to drive continuous improvement in both recruitment and talent management.
Unlocking the Power of Quality of Hire
Implementing a Quality of Hire Indicator is a straightforward yet highly effective way to improve your recruitment outcomes. Once this practice is embedded, taking the next step with New Joiner Talent Density can provide a deeper, more comprehensive look at the overall quality of talent within your organisation.
At Instant Impact, we’re committed to helping businesses optimise their talent acquisition strategies through data-driven insights.
The Road Ahead
By focusing on these advanced metrics, your organisation can align hiring practices with its strategic goals, ensuring that every new addition contributes meaningfully to your workforce.