Framing The Issues: Reference Checks - Great Info or Blowin' Smoke?
Sales and Marketing Search
 



 
Welcome Business Managers Vol 1, No 3, July, 2002

Remember "ChainSaw Al?" As the "CEO of Sunbeam in the mid 90s", Al Dunlap cut half of the company's 12,000 jobs before finally being ousted by the Board of Directors.

In the end, it was brought to light that the national search firm who placed the "butcher in a pinstripe suit" (as he was also affectionately called) never did a background check on their candidate! The New York Times found Dunlap was fired from two firms and was also accused of accounting fraud.

As unbelievable as this sounds, many companies - large and small - never bother to check references. This month we talk about why reference checks are necessary and give you five solid suggestions that will help you in your reference checking.


Betsy Harper
Managing Partner
Sales and Marketing Search

in this issue...
  • Reference Checks - Great Info or Blowin' Smoke?
  • Feedback On "Bo!"
  • We're Bookworms!
  • Nothing Succeeds Like Success
  • Signup for This Newsletter!

     

    Reference Checks - Great Info or Blowin' Smoke?

    You must always check references. Its just good business. It could prevent a disaster in your company plus provide important insights into your future employee.

    Detailed below are 5 steps to make sure that
    who you see is who you get!





    1. Get the Right References. Check to see how long each of the references has worked with your candidate. If you are speaking to people who have only known him or her for a short time, this could be a red flag. Ask your candidate for references with whom there's a history.

      Also, make sure you're given a well-rounded group: a manager, a customer, a peer and a even a senior executive who the candidate may not have reported to is a nice mix.


    2. Ask the Right Questions. There's a great old saying, "Ask the right questions, and you'll get the right answers." Ask open-ended questions. Use phrases like "tell me a little about . .. " or "on a scale of one to ten . . ." While there are some stock questions (how long did the candidate work for you, exact title, etc.), keep it conversational!

      One that we like to use is asking the reference to tell us about what was the most significant contribution that the candidate made to the organization. That's a great one. We've gotten everything from they "kept the kitchen picked up all the time" to "executed the marketing strategy and were single-handedly responsible for the successful IPO of the company."

      IMPORTANT: if you are speaking to a reference that has hired the candidate before, there's only ONE "yes or no" question you should ask at the end of your conversation -- "Would you ever hire this candidate again?" Ask the question and then sit back and listen.


    3. Check Them Yourself. Many times we're asked, "who should check the references?" Answer: The person who has the most to gain -the hiring manager!

      While good companies make use of their HR department, the person who has the most to gain from these conversations is whoever that person will be working for. This is a golden opportunity to find out how the candidate works, their motivations, management style, etc. I guarantee that this quick ten-minute conversation will be a gold mine for you - if you ask the right questions. Don't pass it up!


    4. Get the Facts. The most lied about fact on resumes is education. Make sure you call the college or university listed and ask to verify a degree (schools are more than happy to do this).

      If there's any discrepancy between what is on the paper and what the school verifies, straighten this out immediately with your candidate! You may have a problem.


    5. Don't Be Afraid To Establish a Contingency. Remember, if you haven't done the reference check and you want to make the offer, do it "contingent upon successful completion of references." This way you won't lose your candidate to a competitor and you leave yourself a loophole in case those references don't check out!

    So, in the end, it's a pain and many people think it's a waste of time. But, it's important! Like buying a new home - you hope for the best but only a fool would close the deal without that all-important home inspection. It's just good business!

     

     

    Feedback On "Bo!"
    Wow! We knew we'd get some response to our last article about the "Perfect 10." And was it ever fun to read.

    Henry White, CEO of Momenta Consulting wrote "Hi Betsy, great content-but couldn't you have made the picture of Bo Derek a little larger?"

    Bruce P. Allen, VP Americas of Team Studio Inc. wrote "I hire for the intrinsic qualities I can't teach - positive mental attitude, a natural sense of inquisitiveness and chemistry. In other words, give me a 7 any day. Then I can train them myself-a much better strategy."

    Responses were all over the lot - or from 1 to 10 you could say! Click "reply" to log in your opinion!

    In the meantime - keep on looking for those enthusiastic 7's and 8's - and don't slow down your hiring searching for perfection!

    We're Bookworms!
    Okay, this won't go down as this summers' potboiler, but if you have questions about what you can and can't ask in an interview, what employment forms you need to submit to hire someone, performance appraisal guidelines, etc. etc. check out the SBANE (Smaller Business Association of New England ) "Human Resource Guide to Recruiting, Retaining and Rewarding Employees."

    Whether or not you have an HR department in your company, this is an invaluable guide.

    Click here to contact SBANE »


    Nothing Succeeds Like Success
    You have to love a company that consistently racks up stellar sales and financial performance (and has a stock that has withstood this crazy tech market!).

    Recently, our client Kronos, the premier provider of frontline labor management software, was named one of Massachusetts' top 100 performing companies by The Boston Globe.

    They also made a move to enter the HR/payroll software market and asked us to help them find their first channel sales manager for that product in New England. We did - and we wish them every success in this new venture!

    Click here to find out more about Kronos! »

    Sales and Marketing Search is an executive search and recruiting firm
    that specializes in placing great candidates in growing companies.

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    Beverly, MA 01915
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