Internal bid programs have long been considered to be one of the best sources for hires and promotions. In fact, some sources indicate that existing employees make up over half of all successful candidates that filled positions in 2016 in some of America’s larger companies.
Even though the average posting may only attract 4-5 internal candidates versus an average of over 200+ external applicants, (or 1000’s if your ads are not written correctly) those internal candidates are far more likely to be successful as the final candidates.
So, doesn’t it makes sense to have a formal internal bid or internal mobility plan in place? Well, yes it does, although one poll found that only 28% of Fortune 500 CHRO’s actually had a well-defined plan.
Well defined would include:
- Well thought out- put some real time into what type of plan will work best for your organization
- Documented- get it down on paper, so to speak. Make sure the steps make sense and that you have the technology to support it
- Communicated- plan different communication mechanism- an employee newsletter, published posts on your intranet form employees who have bid and been accepted, announcements at your monthly stand ups
- Adhered to- nothing is worse than putting a plan together, communicating it and then not following your own plan. This means that EVERY position must be posted. Nothing will derail your success faster than publishing some but all your positions
- Promoted- find fun ways to promote the internal bid process- highlight the employees who have been successful. Tie balloons to the cubes, hand out congratulations cupcakes. Anything to bring attention to your program!
- Tracked- ensure that you are tracking your metrics from the start and that you can report on your success. Tracking your metrics will also tell you if certain teams are accepting more internal bids than others and allow you to focus your continued efforts in the right places
The number one reason job seekers reported looking for new opportunities in one 2016 poll? Lack of advancement and promotional opportunities. Stated another way, what you don’t retain, you replace.
Recruiting is an expensive proposition no matter how you cut it. In fact, almost 20% the dollars spent by an employer every year go toward the costs of recruiting and onboarding backfills.
So, well run internal bid programs not only make sense from an employee morale standout, but from a very real dollars and cents standpoint as well.