Worked examples / Hiring: how many steps, and which ones
A licence or certificate check
A licence check for a role where an unqualified hire is costly. 200 applicants a month, one in ten without a valid licence. On these figures the check pays for itself many times over.
It pays for itself
It costs $3,490 a month and gets back $76,000.
It costs$3,490a month
It gets back$76,000what it stops, and any fee
- Of the 24.4 applicants it screens out each month, 5.4 are qualified applicants: 22.1% of everyone screened out.
- Still getting through: 1 of the 20 unqualified applicants.
- It costs the people going through it 100 hours a month, 12.2 of them from people who do not get through.
Put in your own numbers
This is a worked example with illustrative figures, not data about any real person or company. Change any of them in the calculator and the answer changes with them.
How this answer was worked out
| Step 1 | costs $3,490, gets back $76,000: +$72,510 |
Every formula is written out on the formulas page.
What the calculator asks you
- How many steps, and how many people arrive
- What each wanted person is worth, and the share each step turns away
- The share it is meant to stop, what each costs, and the share each step stops
- What a step costs the people going through it
- Any fee paid by those who get through
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