The most talented software developer might not precisely be an appropriate fit for a company. That’s where the referral programs come in to offer a reliable alternative to traditional recruitment.
Call it your cost-efficiency supporter or the talent pool navigator, the employee referral programs are a life savior in today’s day and age. Whether it’s about curating a concise list of responsibilities or picking the channels for query advertisements, referral culture is vital to building efficiency.
As easy as it appears, building an employee referral culture within an organization requires consistent efforts and innovation. (Much like the rise of any technology!) If you haven’t been able to zero in on the precise standards you must incorporate into your employee advocacy program, stop brainstorming.
Here’s all you need!
1. Figure out your objective with the employee referral program
Before jumping on the employee referral advocacy wagon, tech companies need to decide their goals with the same.
Do you want to enhance the existing workforce’s morale? Do you aim to improve the cultural suitability of new recruiters?
Whatever your company’s objective, establishing it from the get-go ensures faster fulfillment with the business’s growth. Besides, it helps you visualize the overall impact of setting such channels and its operational costs’ benefit for the company. In addition, it also enables the involvement of senior management throughout the course of a hiring process with ease.
Some outcomes you can aim at with referral programs comprise:
- Reduced recruitment costs
- Decreased time budget for hiring talented candidates
- Better targeting and access to both active and passive job seekers
- Increased employee retention
- Streamlined creation of recruitment pipeline
2. Compile the participation rules
The efficiency of a referral program depends on the quality of references for recruiters to pick from. And that’s why deciding on the standards of participation in the advocacy program is important. Doing this ensures faster leveraging of high-quality connections and provides a framework for the reward system.
You can position a questionnaire in the process to acquire the details of the referred candidates and the strength of connection with your employee. For instance, a former coworker with your existing employee will be a better prospect to target than an acquaintance on social media platforms.
It incorporates suitable candidates in the recruitment pipeline at much lower costs with laser-focused targeting. Additionally, such strong connections are three times more likely to result in good recruitment.
3. Thin-slice the referral process
One of the fastest ways to set the stage for failure while creating an employee referral culture is by not thinking about the process. Pondering over it for tech companies requires more than merely adding the human resource department to the group chat. It demands analyzing the overall procedure and considering every step on the way to fulfill the program establishment goal.
The entire process requires keen attention, from curating an interesting job vacancy post to reward initiation as soon as the referred employee is hired. The referral program in your tech business must include the following:
- Defining the roles and responsibilities for the vacant position
- Assigning the metrics for reward acquisition and distribution
- Intimation to the employees for spreading the word
- Tracking of the application process through integrated software or excel sheet management
- Dispensation of reward after the completion of the job
4. Reward the referees
Positive reinforcements can be the transformational milestone your tech venture needs. Your business can ensure cost and resource optimization by deploying a referral program. However, without the involvement of your crucial employees, it won’t be successful.
That’s why it’s mandatory for businesses today to generate a reward system within the advocacy program to keep the employees’ morale up. But, doing this will require you to develop a streamlined process for attracting communication and keeping track of the same.
One way to ensure a hassle-free referral process is by automating the entire referral routine. Not only will you be able to offer your hyper-burdened human resource team some relief, but you will also ensure quicker tracking of the referred applications.
5. Incorporate variety in the reward distribution
Offering bonus payments for successful new recruitment can be one way to ensure the efforts of the employee get recognized. However, there are various other ways that you can utilize in the creation of employee referral culture in your tech company, such as:
- Paid leave
- Points system to exchange with a gift
- Gift coupons
- Recognition in official meetings and company newsletter
The payment for a successful referral can depend on the company’s budget. However, not recognizing the efforts of your employees without monetary compensation isn’t wise.
In addition, reward offerings can be immediate or delayed. However, the recognition mustn’t involve a measure that acts to the detriment of the referee, like the year-long retention of the new hire.
6. Consider the method of communication
An effective referral program considers all forms of channels to inform the employees about its release, status and other details. Being a tech venture, you need to meet your employees where they spend most of their time.
For instance, the younger generation wants to receive information through texts, while older employees consider emails as the most reliable tool for an exchange.
Segment your workforce to deliver the message through their preferred channels.
Once every employee is aware of the details of the program, incorporate smart marketing methods to disperse the information within and outside the company.
To be precise
Employee referral programs are the new-age tool to ensure efficiency and inclusivity throughout the organization. From enhancing the ROI of a recruitment process to increasing employee morale, these methods enable tech companies to keep the fun alive even in the most technical jobs. However, designing a robust employee advocacy program must factor in specific details relevant to the organization and its employees.
Automation and strategic planning can be potent tools to establish a culture of employee upliftment while scaling a venture effortlessly. But, the most important part to focus on in building an employee referral program is developing a company with minimal effort and maximum returns.