There has been growing instance of counter offers, aggressive hiring strategies and strategies to persue it. The startups are nowadays going to any length to hire top talent, even if that requires poaching.
This season, the industry is witnessing the movement of employees leaving the established organisations to join the startups. It an exciting times for the startup industry but a new new challenge of hiring at startups.
Based on the input provided, Zomato was looking to fill 1200 open positions while Practo was looking to hire 1000 employees by this year. Based on the interview given by Deepinder Goyal, founder of Zomato, –
“I poach people. I am shameless about it. If someone wants to leave his or her company it’s not my problem. If you want to call people at Zomato, please go ahead and call.”
So is poaching the new norm for hiring talents.
Game has started
Practo Founder Shashank ND explains, “We are always on the lookout for the best talent to create the right team to build great products. We are open to getting local talent if it is available. If it requires an acquisition, we do that. Our singular focus is to get the best talent here at Practo”.
Lets take Silicon Valley, in recent times it had found different techniques for hiring talents. Take Bigcommerce a e-commerce website for example. The company setup shop near Google and Facebook shuttle bus stops, in a quest of hiring talents. The interesting part was they served poached egg sandwich as a method of hiring tactics.
In case of India, when Yahoo announced that it was firing its employees, the news spread like wildfire and startups like Zomato, Pricebaba started posting tweets on how Yahoo employees could apply for work with them.
Nowadays many companies are relying on internal referral system for hiring talents. We are also facing a major crunch where 67 per cent Indian startups reported difficulty in filling job vacancies versus a global average of 34 per cent.
“This crunch is present because the rate at which organisations are growing is much higher than the rate at which people are choosing to work with startups,” says Shashank.
Business At the End
Hiring specific skilled talent isn’t easy, and that would sometime mean hiring the talents from the organisations where they can be found. But this also starts the process of negotiations around getting offer.
Roy, an HR consultant, believes that the employee is the one who benefits the most from these bidding wars. Citing an example, he says that he knows of a particular employee who had received close to a 100 per cent hike.
According to Gaurav Munjal Founder and CEO of FlatChat, if he is hiring from a friends organisation, he ensures to step in and take care of it himself.
Is money the only factor
Gaurav agrees. “There’s always someone who has more money. It can’t be the only factor that motivates people to shift. There are several factors at play, while hiring people,” he says. Looking at the amount of funding that the startup receives, money has become the foremost negotiator.
According to Rajiv “We know we can’t match many organisations with regards to money. We believe that if someone is joining us for the salary the game is lost before it started. We want people to join us because of the challenge we give and because they believe in our vision,”
Funding makes the money available to actually make the hiring. Due to the expansion of the organisation, one needs to startup hiring to meet the greater demands.
According to Sanjay, whilst hiring, a company should look for a person with passion, desire to learn and one who is not afraid of failure.
He adds that finding readymade talent with the right skills and attitude isn’t easy, so it may help to hire raw candidates and help them develop those skills with time.
Balancing Company Culture
Shashank says, “It’s imperative that organisations maintain a balance between culture and expansion, because when you have a good culture, people want to be a part of it”.
Shashank believes that the secret to low attrition is growth and as long as the company is growing, the people are happy and it also means people feel more responsible, and that they are learning more.
“It’s important that people align to the vision and that’s what we look at Practo. If an employee wants to leave your organisation, it isn’t the fault of the other organisations but yours. You need to look within your culture and see what you need to build to get people to stay,” adds Shashank.