Learn Why Startup Needs Top Talent

Did you know that less than 50% of startups survive past the first market year? And that the average American startup employees less than 1500 people? In industries like technology and entrepreneurship, the startup space is often referred to as an "echo chamber," where brilliant ideas are met with overwhelming support, and companies are rarely challenged for their progress.

Attracting top talent in a startup hiring was never easy. However, it is becoming easier. USA employ 15.4% of its working population in startups

Person with an idea, entrepreneurial zeal, passion and perseverance can commence with a new venture, with or without some like-minded friends. This initial team will take the venture only a distance, beyond which a team at the CXO level is needed, complementing the skills of the founders.

Most ventures, till they become celebrated ones, struggle to attract the top talent, creating a vicious circle of top talent makes the venture celebrated or vice-versa.Human beings are naturally curious. But in a world where things move so quickly, keeping up with the collective pace of innovation can prove impossible. That’s where startups come in -- they offer the promise of creative space, where failure is the path to success, and the well-funded startup is a realistic goal of strategies of recruitment for any ambitious person.

Source- Getting Help With Business Plan

Why is attracting top talent important?

To understand how to do top startup hiring at CXO level, it is important to understand what turns them down. One of the largest studies undertaken ever, by the Gallup organization, surveying over a million employees and over 80000 managers, finds relationship with the boss being the primary reason for dissatisfaction and leaving.

“People leave Managers not companies” is the key message by its authors Marcus Buckingham and Curt Coffman. Other studies reveal reasons in that order, including unchallenged and boring work, financial opportunities elsewhere, not felt to be contributing to organization’s business goals, without autonomy and independence, without clear strategic direction, unfit in the organization culture with the level of politics, nepotism and policies.

This does not mean anyone fit for a big organization is fitter for a startup. Those with lack of risk taking ability will not join the startup. People without passion to create or help solve a problem will most likely stay away.

People, who are willing to join the startup, will primarily join if they distinctly see the career path in the organization in comparison to an established company. Risk may be higher and calculated, but it needs to show the prospects what it would do to their career if venture hits high. Offering equity on milestone achievement is the most resorted to. Ventures keep a fixed allocation of equity to be offered to employees partaking risks for growth.

Financial stake is not the most important factor. Career progression out of achievement of fulfilling venture’s goals, recognition in the start-up ecosystem and naturally, increased market value of the person, all contributes to fan the individual’s inert feelings in making it happen.

Such an environment can possibly happen only when it is transparent, plans are big and challenging, owned-up, and are given with freedom to execute. Failure is only a lesson for course correction and not for finger pointing.

Source- How Great Managers Motivate Their Employees at Work

Top 7 reasons why top talent will join a start-up

CEOs are building cultural identities for their business, whether in-house or via a content marketing approach. With the demand for top startup hiring on the rise, businesses across industries are forced to compete for the best talent, which is sparking a new level of competitive culture.

1.    Founders to have clear and big vision –

   Vision of the founders is an important energizer, background and intention of the founders as exhibited in the assessment discussions, is often a deal maker or breaker, as both sides assess the other. Big responsibilities offered to CXO candidates are a big attraction for them to consider the position.

    
2.     Transparency between founders and CXO candidates –

   A heart-to-heart talk is extremely important between founders and the candidate. Both sides must be frank in admitting the constraints and document them. Founders will be skeptical to take candidates, who color themselves more aligned or are referenced by the investors.

3.        Open and intuitive organization culture –

   Exciting and intuitive work environment, open-door policy, lean organization structure, transparency and equality in information reach, promotion of entrepreneurial instincts, tolerance to failure, incentivizing to learn, fun at work are some traits that make conducive work environment like in Google and IDEO.

   
   

4.   Financial stability in a short run –

   Funded with promotor or angel money, the venture should be able to sustain for a year. This assurance is important to candidates who will need time before proving themselves worth running it.

5.     Flexibility in Work-

   Rarely business plans work the way they were conceptualized in the beginning. Flexibility of the founders to adapt to changing situations, flexibility of the senior team in changing course and flexibility of investors to back the venture come the changes, is the key.

6.   Low ego –

   People from the corporate world times come with huge ego. Work at a start-up may not be conducive in massaging this high ego, either of the founders or of candidates. Humility is the key in making the work and relationship successful.

    

7. Don’t pay peanuts -

   Most motivated and self-initiated individuals value money not among the top 3 reasons to join a company. Though, they do not want to negotiate every now and then and must feel satisfied with the package they have joined. Good talent knows its value and must get it, to deliver without distractions.

   
   

   Bonus Tip: Top few Places to Find Talent for Startup

   1. Workplaces

      If something seems self-evident, that's because it is. Depending on what you're searching for, advertising on a small network of job sites can bring in dozens of candidates. To filter out the bulk of job site surfers right away, be as clear as possible in your description and criteria. Then, to reduce your search down to your top three candidates, select for phone interviews.

   2. Networking events

   People who want to meet individuals meet other people who want to meet people during professional networking events. Some are seeking for investors, clients, or just new acquaintances, while a large number are unemployed or looking for new jobs.

       3. Volunteering

   Volunteer activities are excellent places to meet potential startup employees. Most individuals you meet via volunteering aren't motivated by money; they're likely to be willing to work hard for a good cause, and they're likely to be well-connected in the community.

Communication of the existence of such an environment to attract the perfect candidate for startup hiring is still a task, which “The best job in the world” campaign in a popular competition by Tourism Queensland, promoting the Great Barrier Reef, attracted many able candidates inexpensively.

Ashish Jain

Writer mentors entrepreneurs