How to Improve Hiring at Startups

by Mark Suster on March 27, 2010

This is part of my ongoing series with Startup Advice.

job interviewOK, hiring is a loooong topic and I couldn’t do it justice in single post.  But I thought it might be useful to do a headline view of the key components and then come back and do the individual topics over time if people seem interested.  I’ve been recruiting for 20 years so I’ve learned a few things along the way.  I think this can also be a great resource for others to chip in with other suggestions since I clearly don’t corner the market on recruiting advice.

BEFORE YOU START

1. Define criteria for judging – I find that many people I know go into interviews without thinking about what is important to them first.  In fact, many people just go into interviews and “wing it.”  If that’s you then vow never to do it again.  You’ll never have a great outcome without some planning.  I recommend that you design a standardized form broken down into high level criteria such as, “Intellect, Work Experience, Personality, Attributes Required for this Job, etc.” and then sub categories underneath.  Example: Work Experience can be broken down into: has managed a team, has led direct sales efforts, has worked for a startup before, etc.  And on this form score everybody 1-10.

Once the form is created make sure to check with anybody else who is responsible for hiring or managing the person going forward before you finalize the evaluation sheet.  Make sure to denote which sub categories are the most important by making them bold, italic, shaded in yellow, whatever.  But you need to know (and agree if multiple people involved) what your most important 4-5 criteria will be.  These will form the basis of your deep dive in the interview.

2.Create a process- Create a process that you’ll use to recuit people before you start.  You’ll want to include a plan such as which databases you’ll use (or which recruiters), make sure you have a timeline of when the deadline for submission is, how people apply, when you’ll review applications, when you’ll give notice to those not selected, when you’ll interview candidates and when you hope to select somebody.  When I run the process without a recruiter I set up a gmail account specifically for the job.  I set up an auto-responder that tells people what the process is when they email us (on some occasions I did this manually).  It set up separate folders for “rejected, in process, phone call, in-person interview, finalist.”

The reason a process is so important is because if you get too far ahead on one candidate it’s hard to slow them down while you wait for more to come through the process.  Also, if people start applying and you don’t get back to them for 3 weeks while you wait for resumes to come in that pisses people off.  Communication with people is key.  On the basis that you’re not going to hire 99.9% of the people you apply – how you handle this can matter to your brand.  I’m not a big process guy, but on recruiting I become a process machine!  You have to be.

3.Have a good pipeline of candidates – I find that too many people who recruit candidates only see a couple of candidates (sometimes only one!) when they want to hire somebody.  I don’t understand this.  Yes, I know you’re in a rush and wanted the person yesterday.  You’re dying without them.  But the person you hire is hopefully going to be an important contributor to the company so making sure you’ve seen multiple candidates for each role will help you benchmark whether you’re hiring the best that you can for that job.  The only time to sole source is if it’s somebody you know from a previous job or a very trusted referral.

4. Use referrals where possible – Obviously if you knew lots of people who wanted to have the job you’re recruiting for you would have just hired them and saved yourself all the hassle.  But I mention this for two reasons: 1) referrals are often the best employees.  It’s far better to hire somebody that a trusted person has told you that they worked with in the past and they can confirm that he/she was a star than it is to hire the perfect resume + interview.  I’d take the former any day of the week.  2) the other reason I mention it is that a large part of your process ought to be outbound emails/FB/LinkedIn/Twitter messages to friends asking for their help.  Dedicate enough time to this.  Also, I think most companies should offer bounties for people who refer other employees provided they join and stay for a minimum period of time.  I’d far rather give $3,000-5,000 to an employee for a well-known referral than to pay $10-20k+ for a recruiter to go through a process.  Obviously you need rules.  But don’t be a cheap bastard.  Pay your staff to bring the best people they know to the table.

5. Pre interview testing – There are some jobs where you can test people before having to spend time with them.  An obvious example is programming.  We always used to do this and there are some good online tools for doing programming tests.  If it’s a job that requires writing you could ask them to submit a sample in advance.  I’m sure it’s true of other professions as well.  One other thing that I do.  If I’m hiring in LA, for example, and the person doesn’t live here (but they seem very qualified) I call them to understand why they’re applying here.  Sometimes you’ll find out that they have a spouse who just got accepted to med school or have family members in your town.  I do often rule people out if they have no reason for being in my town (I’m hugely against relo’s for startups with the exception of Silicon Valley).  I’ll cover that another day.

THE INTERVIEW

1. Read their freakin’ resume before the meeting – How many times have you been in an interview situation where the person is reading your resume right in front of you and clearly hasn’t read it in advance?  It’s too common.  It’s totally disrespectful of the person and a waste of your valuable interview time.  I’d far rather you go in 5 minutes late to the meeting but have read their resume in advance.  Seriously, do yourself the favor of not being this person.

2. Don’t do a “world tour” of resume – Here is the biggest mistake interviewers make.  They allow the candidate to do the “world tour” of their resume for 2-30.  What a waste!  You’ll learn very little.  This is the practiced version of what this person wants to tell you.  You need to drive the interview process, not them.  I do this two ways.  Either I say, I want the resume history in under 5 minutes (I usually do this to be polite since I know they’re dying to tell me what they’ve practiced).  But I ask them to really honor the 5 minute rule.  Or I just say, “I don’t want to take this in order, do you mind if I just dig in on the key jobs that I find most relevant?”  Depends on my mood.

3. Do deep dive in key criteria areas – OK, you’ll never be as psycho as I am here but maybe you’ll feel comfortable going part way.  I like to do really deep dives around specific topics and on specific job aspects.  Example: if I’m interviewing a sales candidate I’ll ask them to name a sales campaign that they worked on.  I’ll say “name one that you remember really well.  Something you’re proud of.”

I then perform a proctology exam.  I’ll ask how they first heard about the lead.  How they first contacted the customer.  ”Did you send an email first or call?  Did you get introduced or cold call?  Who introduced you?  Who came to the first meeting?  Who were you competing against?  Why do you think you won the deal? What was your original price quote? What was your final price?  What was the name of your champion?  What was their title?”  And on, and on.  I tell them politely before that I might get a little detailed on this question. I apologize afterward for the uncomfortable exam.

The reason that the deep dive is so important is that you 1) really understand if they did what their resume says they did.  Nobody can fudge details that perfectly on a proctology exam.  and 2) it shows you much more about how they think about things.  You can ask them questions about how they approached certain situation like setbacks in the sales process or how they handled the price negotiation.  Why they lowered price by 20%.  Honestly, about 50-60% of interviewee’s do poorly on the deep dive.  It’s a great divider in my interview process.  It’s the most important part of my interview.

4. Ask  consistent questions – If you prepare in advance for an interview and know your criteria then asking consistent questions is easy.  Strange to me that so few people do this.  It’s the only real way to get apples-to-apples comparisons in how people think.  Again, sticking to my sales interview examples, I often have a sheet of questions such as, “do you prefer to call high and get passed down or stay below the radar and win pilot projects before you see more senior people?” and “How long does it take to know whether a sales employee is going to be successful or not?” and “What’s your best secret for getting past the assistant of senior executives?”  I usually have 10-12 questions like this.  It is the great equalizer to hear different perspectives on questions where there is no clear right or wrong answer.

5. Don’t do all the talking! Another really common problem in interviews is “the talker.”  Too nervous to sit there and politely interrogate the prospective employee they fall back on talking.  They find it easier to tell you about the company and their job.  I know it sounds crazy to many of you but I promise it’s not that uncommon.  Your job isn’t to socialize with the person, become their best friend or tell them your life story.  You can (and should) start the meeting with the appropriate amount of banter to build rapport.  You should leave time at the end for questions.  But the rest of the time it’s over to you to ask questions.  Not only is it the right thing to do in order to maximize your understanding of the person but it is what they expect and want also!  They didn’t come here to hear you speak.  They came to get the job.  So they’ll want as much time as possible to sell you on why they’re so great.  And they can’t do that if you don’t zip it.

6. Save time for questions – OK, so I just advised you not to do all the talking.  I usually say right before I start interviewing (e.g. after the banter) that I plan to ask question for X minutes and will save 10-15 minutes at the end so that they can ask me anything they want to.  If they don’t ask you anything don’t hire them.  I’m not saying that because they should have prepared the standard 3 questions that we were all taught after college.  I’m saying that because if they’re not curious enough to want to know anything about you, your company, the job, the role, the expectations or whatever, they’re clearly not worth hiring.  Ever.  I’m always shocked when people say, “I don’t really have any questions.  I read your website and talked to so-and-so.  I feel like I understand it pretty well.”  No.  Curiosity.  No. Job.

7. Score immediately when done – I actually try to score many meetings while it’s going.  Especially when I’m running a big process (e.g. seeing 6-8 candidates in one day).  In that situation there’s no time to write it up afterward.  If you have your scoring form you can simply leave it under their resume and take notes on it and circle the score as they speak.  They can’t see – don’t worry.  If the interviews are more spread out you can do it afterward.  This is really important.  An hour after an interview you’ve forgotten key facts.  And if you see 5 people through the process TRUST ME they’ll all start to blend together.  Get the salient facts, circle your scores.  You won’t regret it.

AFTERWARD

1. Multiple meetings with top 2 candidates – Don’t make a hiring decision from a single meeting.  When you have your final two candidates make sure you have 2-3 meetings with each.  I know it’s a big time commitment but if you’re a small company and this is an important hire then you owe it to yourself to be sure.  I never recommend “sole sourcing.”  If you only have 1 final candidate your in trouble.  What are you going to do if they drop out?  What if you start to have doubts? (you’ll just hire them anyways out of fear or fatigue) Keep a spare in the back pocket.  At least one of every 6-8 hires I end up with the backup candidate.

2. Thorough reference / background checks – Yes, you need to call their references.  Expect them to sing their praises.  If a person doesn’t list the most positive references to begin with then you know they’re not worth hiring.  But you have to find a way to call people not on their list.  You need to be careful and respectful of them because it’s possible that their boss doesn’t know they’re interviewing.  But you have to find a way to get some info.  Often you can find people if you learn to become a LinkedIn Ninja.  Also, I highly recommend spending a small amount of money for a background check.  You never know.  There are many cases where prominent startups have hired people with a record.  You may still hire them, but better that you’re aware of it going in.

3. Make sure good cultural fit – I said you needed multiple meetings.  I always try to make one of the last meetings social and over food.  Cultural fit matters a lot to me.  So I want to be sure that we really get along.  Obviously if you’re hiring 10 programmers on your team you can’t follow this entire process and do many meetings and lunches, but do as much as you can.  When we used to do a ton of recruiting at Accenture a lunch meeting with junior staff was always part of the process.  Not only do you learn about cultural fit but people open up a lot more when they’re in a social and non interview environment.  Funny, that.

4. Move fast – Just because you have multiple meetings doesn’t mean you should move slowly.  Changing jobs (if they already have one) is a very emotional decision.  If they’ve decided that they’re excited about a position with you, you need to capitalize on this positive momentum.  All too often candidates drop out of the process because it goes on too long.

5. Show the love – When you decide to hire somebody really show them the love.  You’re most vulnerable right after you make the offer and they accept.  Keep up the pressure and love.  Schedule a dinner.  Have everyone who spoke with them call and tell them how excited they are.  Start having calls to talk about their new role.  And, as I’ve said before, help shepherd them out of their former employer.

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  • William
    Excellent post. Two other things that are important for me:

    I will always pepper them with questions about topics they should know something about, but where it's impossible to know everything. I'll then dig into one of their responses, seeing how deep their knowledge goes. This is partly to judge smarts and experience, but mainly to tell what happens when they don't know something. If they can't comfortably say, "I don't know," then I never hire them.

    The other is to, if possible, make them do some actual work. For developers, my last step is a 3-hour pair programming session working on some toy problem that I use on all the final candidates. This not only lets you eliminate the bluffers, but it lets you find the occasional rock star with poor self-promotion skills.
  • philsugar
    The only thing I expect to get out of a reference is a referral to another reference.....second level references really show the true picture.

    Totally agree about the process (why piss people off) and the deep dive (amazing how many people will take credit for something but not be able to remember the gory details)
  • pinghelbrecht
    Loads of great information and there's a lot in here which I religiously practice myself. Thanks for the post and many comments.

    My (personally) most successful hiring practice has been a homework assignment. A 2nd/3rd round interview should *always* require the candidate to come in with a deliverable (e.g. an engineer with code, a lawyer with a contract redline, a sales person with a fake sales pitch, a product manager with the 12m roadmap etc). I typically structure it in a way that it would take 2hrs to prepare (=reasonable). Apart from being able to judge the quality of the person's work (read: 50%+ of my candidates bomb it and are out), it also shows their commitment to the job and their work ethic (sense the difference between the person who doesn't want to do it vs. the person who spend 10+ hours on it?).
  • We've found it's very revealing to get the applicants to play with the product then give us feedback.

    We were hiring a knowledge engineer at True Knowledge so asked them to sign up for an account and give it a test drive. Amazingly many didn't bother at all, even those who looked really good on paper. Obviously that works best with consumer websites like ours, but I'm sure most startups could do something equivalent.

    Then in the interviews they all gave the standard line about how they wanted to join us because 'True Knowledge is so exciting'. So I'd ask them what features they'd most like to see added to the product and what direction was most exciting for it.

    Some really did get excited - "Ooh it should do this and this and this..." but most had no vision of anything. The most memorable massively qualified but total no-hoper was "Well I can't really imagine why people would use a question answering service at all..."
  • Item #3 "Do deep dive in key criteria areas" is a critical one.

    Separating what 'we' did from what an individual does is critical especially when your hire comes from a larger organization.

    Really useful post Mark.
  • Yeah, the "deep dive" is my patented style in interviews. I don't understand why more people don't do it. And "the talker" is much more common than people think. I think some interviewers don't even realize they're doing it
  • toivotuo
    Just wondering if there isn't a web app out there for the initial process part? Though the Gmail approach outlined in the post isn't overly complicated either. Anyhow, great post as usual.
  • If I knew one I'd certainly use it. Anyone?
  • toivotuo, Check out JobsbyRef.com - it addresses the initial process part as outlined by Mark. I am the co-founder of this portal. You can reach me on ravi at jobsbyref dot com.
  • josburger
    Hi Mark, great post. LinkedIn is mentioned several times in the comments. Some people believe in the power of recommendations on LinkedIn. I don't. I see too much "I scratch your back and you scratch mine" recommendations. A good recommendation is also quite often part of the severance package when people are fired. However, with you I strongly believe in the power of personal recommendations of trusted persons.
  • So true.
  • Recommendations on LinkedIn are a total waste. I use LinkedIn to find out who else worked at a company so I can find people to call to reference check. Example: if you were the CEO (but not founder) of the company I might go to LinkedIn to find out who the previous CEO's were. Or if you were VP Marketing maybe I'll find some of your peers (rather than the ONE guy you gave me who is presumably a friend). You have to be careful about doing this because often people haven't told their employers that they're thinking about leaving. I never do this without the candidates consent (although I don't tell them whom I am going to call).
  • Very good summary in details, thanks! You are right that if candidate does not have questions then it is kind of strange, as there is no interest in working with your company.

    Another point of hiring process from me: to test person's abstract thinking and experience I give them situation from our current projects. It might be a problem that we are facing or something new we are thinking of. A small description of situation and it all theirs to give their vision, understanding and solutions. It is like a 5-10 minutes brainstorming on a real situation, that models how that kind of discussions will be done in a real working environment. I am not requiring them to solve the problem, but this kind of assignments show how person thinks and how he/she applies their experience and knowledge to solve the situation. And as interview is a stressful process for many candidates, it also shows how confident they are with themselves. And it opens a person from a task-solving perspective on a concrete case, instead of the abstract "have you done this or that" without getting "how" they done that!

    P.S. Multiple meetings with candidates you would like to hire are a must (3 interview at least). As you want to hire a person who will help you build a company (I am talking about startups, where every person matters). However it is common in startups that some people simply leaving very soon or literally being "burned" by the process. Thank them and let them go, but keep the core team as that is the real value of the startup company :)
  • re: scenarios from a current project that the candidate needs to solve / answer - I do that all the time. It's important. Thanks for mentioning.

    re: letting people who drop out of the process through attrition go - I agree. Better that you know that they're not committed before they join.
  • Excellent! post, right on the money. Everything you have written is so relevant. In fact we have built this recruitment platform, which addresses a major part of what you have written about. It is called JobsByRef.com (Jobs By Reference) , which was launched a year and half back. Currently we are servicing the indian market, looking to get into US shortly.

    It is interesting when you say "It's definitely a market inefficiency that needs to be solved." Our premise was same and thats why we went and built this solution.
  • That's great. I've seen people try but so far no mass adoption. Good luck with your eventual US entry.
  • Thanks Mark. Will like to ping you with details and get your thoughts. Can I?
  • jeffsolomon
    sick one! i hate that i've been "that guy" before. I've also created the worksheet, but when i get busy i have neglected it. never again.
  • I'm sure we've all been "that guy" at some point! I try really hard not to be.
  • Mark since you know everyone I'll assume you know Elad Gil.

    Just ran across his excellent Ninja Hiring Techniques for Early Stage Startups: How to Get Your First 3 Employees, posting in case helpful to others. Different focus than your post but great specifics e.g. ask for intros directly where possible vs. via LinkedIn's confounding process.
  • Thanks for providing the link!
  • ElReyalto
    Great article and oh I how I wish that's how it was actually done at most startups! As someone who has worked for 7 start-ups and in the process of interviewing now to potentially work with an 8th one, let me add some comments from the candidate's viewpoint:

    1. Candidates have long memories and will remember how they are treated throughout the hiring process. Right now it's clearly an employer's market out there but it won't always be the case. When the tide turns again, you better believe the candidates you perhaps now want to pursue will remember how they were treated the first time. Which leads me to...

    2. Treat candidates the same way you would a client or customer. The startup world is pretty small and people talk. Negative experiences during the hiring process can be just as damaging as an unhappy customer. This is particularly true of start-up veterans, whom you better believe compare notes when they are job hunting.

    3. First impressions go both ways. As Mark correctly pointed out, being prepared for the interview is critical as is being as professional as possible with candidates. There have been several cases when even after just meeting one person, I had already made up my mind not to work there. Trust me, you will lose great candidates if you don't realize you are being interviewed just as much as you are interviewing them.

    4. Enthusiasm is great, arrogance not so much. This can be particularly true if you have a younger staff, where that line because confidence and cocky can be easily crossed. I remember meeting with the ceo of a company during the heady dot com boom (when it was most definitely an employee's market.) During our chat, the ceo boasted about wanting to make "plane money" with the company. He probably thought that would impress me but all it did was make me want to leave there as fast as possible.

    5. Don't post a job before making sure you aren't going to give it to a current staffer. This is a particular pet peeve of mine as it's happened to me several times. I will never fault a company for wanting to promote from within but don't waste a candidate's time if you may do so. You may think it's still good to meet with people for eventual hires, but it may very well cause that candidate to never consider your company again.

    And finally...

    6. Don't be cute/coy with your job descriptions and ferchrissakes proofread them! I can't count the number of times I've read a job description where I can't really tell what the job truly entails. Even worse is when I read one with typos in it (even in the boilerplate on the company!) You might as well not have even bothered posting it in the first place.

    Again, great article Mark and hope more companies follow your excellent tips.

  • Thank you. I appreciate your detailed and spot on reply.
  • garydpdx
    #5 Pre-interview - that caught my eye because of the geography factor. Why can't the hiring manager assume that a candidate from out of town is bothering to apply because they want to come to your location? I factor that into my applications; no offense but there is a reason why nobody in Boise, Idaho has received an application from me. But a good point on ringing up the out-of-town prospect, just to confirm that they are for real!

    As for start-ups, I'm curious on why there's an exception for relocation to Silicon Valley. Versus, say, Seattle or Chicago. I would expect that the same candidate, if passed, would be equally desired in any of those locations.
  • Hey, Gary. If it's OK with you I'd like to save this for a separate blog post rather than a reply. I plan to do it in the next 30 days. If I forget and if you'd like me to do it please remind me. It's a big topic for me and one that I have a lot of experience in.
  • garydpdx
    Thanks, Mark! It's a topic near and dear to my heart, I will look forward to it.

    As someone who has lived and worked in eight different cities, this issue is always a concern for me and I try to mention in my cover letter that a) I have been to their city before on business or vacation, and am interested in living there, or b) I have lived in that city before and would welcome the chance to return. In my mind, skill and talent should match first and when (e.g.) a Silicon Valley fabless semi start-up states "local candidates only", it may block out or discourage someone who matches what they need but is working in Florida (or awaiting their next opportunity from there).

    And I have been on the other side before, in the 90's, appealing to alumni of a three letter multinational who are brought to Chicago, pass the interview with flying colors, but turn down the offer because they're too tied to their upstate New York town (or spouse can't move). I haven't been involved with hiring in the 2000's but can imagine that such a candidate would introduce a telecommute wrinkle in that situation before talks end. Anyways, relocation might deserve at least one article, if not more! Thanks, Mark.
  • Good post. In the early days of FaceTime, this is exactly the process we formalized. Later on, I got yelled at for insisting on superstars, having unreasonably high standards, and as s result not hiring fast enough. :)
  • Roman Giverts
    A longer post on How To Create a Pipeline would be great. I have a couple friends that are recruiters, and I've found that most of the stuff they do is really basic. They just have a tool bag of simple tricks that many of us don't know, like how to surf linkedin well, how to find developers' personal websites, etc. I don't see the point of paying 30k for one high end developer, when I know that the recruiter didn't do anything special to find that developer. It would be cool to get a great discussion going where all of us can share our own tricks, and get the "recruiter secrets" out in the open.

    My trick: if you're looking to hire college talent and recent grads, post on the Cal Berkeley job board. Unlike at Stanford, berkeley has only has 1 main job board, so EVERY graduating student uses it almost exclusively. Very few students look for jobs on craigslist/monster type sites bc the Berkeley job board is so good, it's the largest of any college in the country. And this isnt just for companies in the bay area, remember many students are moving back to where their families are. Lastly, unlike Stanford's many job boards, this one is completely free and well organized by job type and industry!

    Great joke on the proctology exam. I'm the same way, and always felt a bit weird--glad to hear others interview that way too. I remember I was interviewing someone and having them walk me through one of their sales cycles. At one point I literally asked for the exact words they wrote in an email!! ... maybe that's weird, but hey, i wanted to know!
  • re: pipeline - I'll write that post at some point. if I forget remind me! re: "weird" - not at all. I ask similar questions and details. It's where I learn the most.
  • The last bit of advice, "Show the love", might just be the most important.

    I've been at startups where we hired someone and then thought the process was done. We didn't keep up the pressure and love, so it's no surprise looking back that this particular hire ended up changing their mind and staying at their old job. In fact, the "selling process" for a new hire probably extends several months after they've started work.
  • For sure. That's why I wrote two posts, "how to quit your job" and "your must vulnerable just after you've won the deal." So true.
  • Love the proctology exam in particular - can't allow yourself to get snowed. Do you mentally or explicitly adjust for people's comfort and skill in talking on the spot? For a sales role, everyone should be able to dance on command, but what if the person is a product manager or an engineer?
  • Good question - I don't expect everybody to have the same level of verbal skills, for sure. But I still want to go a mile deep. If a developer can't give you deep feedback on their structuring, coding, debugging and feedback skills there's a problem. If a product manager can't go a mile deep into how they get feedback / input from customers, how they prioritize, how they deal with unsolicited requests from the CEO, etc. - it's a problem.
  • Great post Mark! These are great hiring tips for any size company and not just for start-ups. I agree with most of them. My team has been practicing a specific style of behavioral interviews. A few highlights:

    1) People are great at what they do e.g. engineering, marketing, product management etc. but they don't necessarily have the right skills to interview people. We all went through a rigorous training and learned how to source and interview. You have to learn this just like everything else you learned in your life. No excuses.

    2) We spent significant time upfront to determine critical requirements of a role for which we were hiring. It was a day long workshop with all the people involved agreeing on the behaviors we would test the candidates for. We have two conditions for these critical behaviors - you can't live without it or you're willing to train the candidate for it and you should be able to test for it. We transformed labels such as "culture", "chemistry", "fit" into behaviors that we could communicate to the interview team and they could test them.

    Our critical requirements were based on our business goals, past performance reviews, benchmarks, customer discussions etc.

    3) Each interviewer would be assigned a few EAR (Example, Action, Result). These are created by mapping behaviors to a resume. Once we identify an EAR we will write down the questions beforehand that we will ask a candidate during an interview. This allows us to focus on listening during an interview against thinking about the next question we want to ask. This also demonstrates the professional attitude that we have - we did read your resume and we are interested in finding out more. No gimmicks or games during an interview. We never rely on behaviors exhibited *during* an interview since that does not map to real work environment. We always rely on past *exhibited* behaviors that predict future behaviors. No theoretical questions since they lead to theoretical answers and don't predict the future behaviors. We have a list of ineffective questions that we avoid during an interview to stay in control and get the right information.

    4) Once all the people are done interviewing a candidate the decision is pretty simple. How many EARs does the candidate satisfy? If he/she does we proceed further. There are no debates and discussions. It is very objective and takes emotions out of the process.

    5) I would highly encourage phone screens and phone interviews. They help us focus to ask questions since there are no in-person distractions and people don't jump to judgements.

    6) Never rely on your gut feeling to make a decision, instead use gut feeling as a warning system - it could be positive or negative. Follow up with questions to test your gut feeling.

    I do not agree with your point in talking to multiple people to benchmark them against each other. There is always a better candidate out there than the one you are planning to hire. The question is - how long are you willing to wait and how and when would he/she come to you? To deal with this dilemma we believe in screening-in against screening-out. We put enough work upfront in critical requirements and EARs. The first person who meets the criteria moves forward. Of course we continue interviewing people since the first person who met the criteria may or may not go through the rest of the process due to a variety of reasons.

    I would tell everyone to have a recruiting mentality. This can't be a side task for you.
  • Roman Giverts
    Chirag,

    great stuff, but it sounds like you work at a large company? I cant even imagine this stuff at a start up. Day long workshops.... just the thought makes me shudder.

    I took an HR class in college where I was literally taught everything in this post. Then when I started my company and started hiring for the first time, I had to unlearn everything. It was brutal.

    Agree with Mark a lot on this. I've hired much better by using my judgment or "gut" more and things like benchmarks less. The last person I hired was by far the worst candidate on paper of every person we interviewed. I hired him bc i could tell he had a unique potential to grow into a rock star that other candidates didnt. How? I just could... and he's been great.

    readers beware...
  • Hi Roman,

    Thanks. You are right, I do work for a big company. I don't think you have to unlearn everything. You need to adapt to the size of your company. I have seen people use this interview style at start-ups as well. You have a day long code reviews and brainstorming sessions to decide your company logo. Why not a session on aligning people whom they should hire?

    It's great that the person whom you hired based on your gut turned out to be awesome. But as you said, I am not sure if I would advocate this to others - not everyone is as skilled and as lucky as you :-)
  • Roman Giverts
    Chirag,
    It's pretty condescending of you to say "other" people don't have
    the luck and skill I do. You should go out and meet a few successful
    entrepreneurs, you will find that what makes them who they are is
    their luck and skill in making the right decision. Your assumption of
    mediocroty maybe ok in your large company, but will absolutely lead to
    failure in a start up.

    The problem with your advice is that it assumes the hiring manager's
    judgement is inadequente, so you have this big process that guarantees
    a slightly above average result. This may be great in a large
    company, but slightly above average start ups almost always fail.



    Roman
  • I apologize if you think that it is condescending for me to say that not all entrepreneurs are skilled and lucky at the same time to make the best judgement calls based on their gut. I have personally known many hiring managers (at start-ups and at big companies) that have made miserable hiring mistakes. I don't blame them - it's a challenging and difficult role to hire the right people.

    1) The behavioral interviews do not assume that the hiring managers have inadequate judgement. Instead they assume that the people who interview are the smart people (otherwise they won't be there) and give them the right tools and methods to put their judgement to work. Following a process does not mean you are not capable of judging.

    2) Long process: I shared the same reaction when I first learned this process - this is a long process and we can't keep doing this. Once I started using it I realized that it actually saves time since you are well-prepared and you are only interviewing the people that have effectively been screened-in.

    "You should go out and meet a few successful entrepreneurs,"

    I have been in Silicon Valley for the last 13 years and that gave has given me many opportunities to meet many successful entrepreneurs. Many of these successful entrepreneurs are my close friends.

    " Your assumption of mediocroty maybe ok in your large company"

    Just wanted to clarify, I have no such assumption. Putting rigor (of whatever kind) behind hiring does not imply that people are mediocre. Interviewing people is an essential skill that everyone should acquire regardless of the hiring process.

    Once again I am sorry if you think I am trying to put a process down someone's throat. I also don't think this is about small or big companies. Hiring the best people is a key to success. Period.

  • Hey, man. I didn't read your comments as condescending. My main take away - some people are more trained to do interviewing than other people. I think that's fair. I'm still not sure the solution is to add more process but certainly more interview training. Either way, I appreciate your contributions to the debate. This is a subjective topic.
  • Hey Chirag. Great reply - lots of insight. Two points we'll have to agree to disagree on. In my (subjective) view:

    1. You always need multiple candidates. It's too hard to benchmark one without seeing a few. If you run a good process (database, recruiter, etc.) there's no excuse for not having multiple candidates

    2. I think your gut instinct is your best source of the decision. It's important to have a scoring sheet with you key criteria. But let's face it - your scoring of people on this will always have a bias built in. Recruiting by definition is a subjective process (I know some people try to quantify and say it can be objective - that's hogwash). I'm a big believer in Gladwell's book, "Blink." Your gut instinct matters more than any process or scoring sheet. Just ask anyone in Hollywood or the music business. Or any VC for that matter.
  • Mark, a few words before I agree to disagree :-)

    I am a big fan of Gladwell and rapid cognition. This situation differs based on who is interviewing. During your career as an entrepreneur and a VC you would have probably interviewed dozens of candidates and heard countless start-up pitches. This essentially trains you to, what Gladwell refers to as, perform thin-slicing. Your subjective assessment is based on a series of objective analysis that your brain is unconsciously performing. You slowly become a kind person that Gladwell describes - the one who can predict a double fault in tennis before a person serves a ball and predicting number of years after which a couple will go through a divorce by overhearing their conversation for a few minutes. The young entrepreneurs haven't interviewed enough people and that's where I would be cautious.
  • Fair points. I appreciate that. Plus, I think some people are better reads of character than other people.
  • Thanks about this! :)
  • Great post, Mark.

    I know this is about hiring at startups, so it is mostly irrelevant, but I can't stress this enough: DO NOT let HR do the "Before you start" portion. Whoever the candidates' boss is to be should do most of this process, but allow hiring and lower coworkers screen, research and interview each candidate.
  • Phillip Morelock
    I absolutely agree. Hiring is the beginning of a relationship, and you don't want to have other people negotiate and position on your behalf at the beginning of your relationship. Take the time to guide the candidate, make the offer yourself, and close the deal all the way to start day. It pays off.

    I've had more than one "turf" fight with recruiters / HR about this point, but it absolutely matters.
  • Cody, TOTALLY! Great point. And ... never let the recruiter manage the "offer process." I think I'll do a separate post on that some day.
  • Yes! I didn't want to get into specifics, but the "offer process" was my main point of contention. Lost a really good candidate because of this.
  • True. I don't want to diss HR in general, but it's amazing how bad big company HR processes can be. A couple of friends have interviewed with Google in the last year, and the HR process has been typical "big company" poor. Impacts your recruiting yield, your overall brand, how excited new employees are when they come in, etc. Someone needs to come up with a way to reliably build a superstar HR organization, if such a thing is possible.
  • Mark, this is an excellent post. Love the super practical steps of things to do and not do and you're right about needing to get a process established beforehand. One question - what do you think of group interviews vs. one-on-one interviews. Let's say there are 3 decision makers in the hiring process. Do you think it's always better to have 3 one-on-one interviews or a single three-on-one interview?
  • Thanks for the feedback and interesting question. I hate group interviews. I think 3 one-on-ones is always preferable. In a group no interviewer gets to ask his/her preferred questions and you lose a lot of the rapport that you gain in a one-on-one. The flow is somehow "off." Also, never compare notes before all interviewers have met the candidate. It totally skews the interview if you know in advance how somebody else thinks.
  • Mark, I think you and I would agree on this one - where possible, meet their spouse.

    When I grew a very large company I found that the most telling aspect of person's behavior was their relationship with their spouse and to some degree with their children.

    Not everyone has a great relationship at home, despite their work performance, so this isn't about comparing their work acumen. This is about how they treat people they care about, how they grow with them as a person, and how they fundamentally respect others.

    I can remember having hired a very senior level guy who did wonderfully in the interview (as many senior level people tend to do) that we hired to run one of our operating companies.

    That weekend we had a group dinner with all the senior officers and their spouses. I watched this guy turn into a completely different person around his wife. He snapped at her. He cut her off in the middle of her sentences. He spoke down to her. It was absolutely appalling.

    This guy was a strong work candidate, but wound up being one of the most despised people individually in the organization. You would never have been able to tell in the interview, or on his resume, but one evening with his wife at dinner and it was obvious.

    Conversely, and Mark delete this if I'm talking out of school, the last dinner that Mark and I had with our spouses couldn't have gone better. If you want to know what a great guy Mark is, all you have to do is meet his wife. It speaks volumes.
  • Roman Giverts
    This is one of the best comments I have ever read on a blog. But for me, it's not so much how a person treats their spouse, but what kind of person their spouse is. In other words, if the wife doesnt understand what it takes to grow a start up and isn't 100% supportive of the necessary sacrifices, your hire will never make those sacrifices. For example, is she the kind of person that...
    -- is going to nag when you have to work nights or weekends?
    -- understands that equity in the long run is worth a lot more than this month's salary?
    -- wants her husband to be great, not just above average?

    If only you could find these things out before you hire someone.

    Sorry to call out the wives, but honestly I havent heard of as many problematic husbands :)
  • Hi Will. Wow, that is a pretty big step, meeting the spouse :)

    Interested in Mark's take. My view is that for tactical hires it's not always necessary, but for exec or other key hires I am with you. Not so much/not just to see the chemistry, but because to Mark's last point #5, Show The Love, it pays off HUGE to make sure the spouse is comfortable and on your side.

    Especially in a startup, especially if they have kids and are taking a flyer on you for their family's livelihood, it is always worth the time to take the couple to dinner.

    Mark, I am 100% with you on the Proctology exam. Your examples for a sales hire are great. Another case I do this a lot is with Designers. Many show you samples, but then I ask:
    - ok which parts *did you do yourself*
    - which parts were done by a visual designer or an IA person or marketing
    - what kind of user feedback did you collect *before* designing?
    - what were key design decisions and how did you make them?
    - what was the users' response to the design ("I don't know" == automatic #fail)

    I will add my own
    Roy's Secret Ninja Hiring Tip. ABH- Always Be Hiring.

    I have found some of the best people through just keeping my eyes open.
    - I hired an active member of the Going community as a Product Manager, she was great
    - We found a guy fresh out of school for QA but quickly groomed him into a star PM
    - I had a guy come in through Craigslist for a job he was not appropriate for, but he turned out to be one of our best designers.

    Ok enough out of me. BTW small typo Mark- "and they can confirm that he/she was a start" -> "was a star"
  • ABH - that's awesome. You're totally right on that. Thanks for spotting the typo. Takes me too long to proof read everything so I always appreciate it. Fixing now.
  • Hey, Wil. What great advice. You obviously can't do this early in the process and for everybody your recruit but for senior hires it is imperative. You learn a lot about a person from their "other half" (if they have one) and how they interact with them. As you know, we already loved you. But after meeting Sara we loved you even more. Tania was very impressed and said, "he chose a great partner and treated her very well. If she has been with him for years he must be a quality guy." So, true.

    Also, on at least one occasion after meeting somebody's wife I told my colleague, "there's no way this guy is going to stay with our company very long." It was situation specific but without that interaction I would have never known.

    Finally, never underestimate the importance that a spouse often plays in the decision of whether to join in the first place. Especially for a startup. Getting the spouse on board that you're a real person, passionate, visionary and care about people can go a long way. Thanks again for the advice.
  • Phillip Morelock
    I like the thought here, but the "big-company-trained-HR" meter in my head is going off. What if you meet the wife/husband and that ends up being the reason you don't hire the candidate? Is this legal? Is it appropriate? And, considering I always try to be really frank with people who make it far in the process but don't get the job -- what do you tell them??

    This is very interesting and I admit this angle is something I never would have considered. Would appreciate guidance on the sticky legal/personal front.
  • very important, especially the more "executive" or strategic the position. too bad you don't get a couple of double dates and the "other" half not only gets at least 50% of the hire's time.. but can also take a key hire's head right out of your business.
  • evreeland
    Mark, great post. I've been thinking a lot about the inefficiencies in the hiring market recently while working on an idea based on referral recruiting. I'd love to chat with you more about it sometime. Do you mind if I send a deck I've been working on over?
  • Roman Giverts
    This area needs to be improved. I know so many smart people looking for jobs who cant find the right one and I know so many companies looking for those people and cant find them. It's ridiculous.

    Just saw a commercial for theladders, which may have potential. The problem with Monster and craigslist is all the noise in both directions.
  • Yeah, I'm not a fan of Craigslist or Monster. I've had some luck with Doostang for high end jobs and recruits. I think Jibe just launched, too, but I haven't used it.
  • sure. send it over. mark at grpvc dot you know what. If I don't respond ping me a couple of times. It's definitely a market inefficiency that needs to be solved.
  • benrombaoa
    Mark,

    Great post! Definitely will be able to use as a guide in the near future.

    Thanks again.
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