Hiring Success Tips for the Construction Industry By Patty DeDominic former owner CT Engineering

Interview with YPO in advance of her Hiring Workshop for Construction Industry Owners.

Dive into an interactive hiring for the construction industry discussion with Patty DeDominic, a lifetime Young President’s Organization member once named 'CEO of the Year' by the Los Angeles Journal for her companies CT Engineering & PDQCareers. Today, Patty is a business coach for high-growth entrepreneurs, helping companies in the $15-150 million dollar space scale more rapidly.

Ahead of the call, we had the opportunity to sit down with Patty DeDominic and she revealed some of her top tips and insights around recruitment and retention. See the interview below...

Let's dive right in, tell us the most common mistakes you see companies fall into when it comes to recruitment?

Patty: There's a few to mention, namely:

1.    Beginning recruitment without a structured interview and hiring plan.

2.    Hiring without an inventory of skills, an updated job description or a plan to refine your organization every time you hire.

3.    Writing dull posts or job descriptions on one or more websites like Indeed or ZipRecruiter. To get people's attention now, you must use the AIDA formula (Attention, Interest, Desire, Action) for writing alluring ads.

4.    Having a weak or no internal referral bonus program in place and failing to notify the team or ask for referrals will also hurt recruitment efforts.

5.    Only placing your ad in one or two places and wasting time to screen unqualified candidates by not screening ahead with recorded or phone/zoom interviews are mistakes I see all too often.

Right, with recruitment out of the way, what practice would you say is essential in increasing or improving retention for businesses in the industry?
  
Patty:  Easy, it’s HIRE SMARTER!   

One of the most important tips for retention is to hire grateful and loyal people who have a history of serving towards the bigger picture and who wish to contribute to your Mission and Vision. To assess this, you can use predictive instruments like the KOLBE strengths Index, Test Gorilla, and Enneagram personality tests, among others.

You can also refine your behavioral interview questions and drop hypothetical questions. Remember, you are digging for their practices, not their theories.  

Example Question: “Tell me about your most stressful week in 2022”?

This question is going to get you better insight into what they consider stress and how they handled it, versus asking "How do you handle stress?"  

Example Question: “Give me an example of how you solved a highly sensitive matter this past month” versus "How do you think serious office politics should be handled?"

This question points to the importance of developing a culture of continuous learning and high levels of accountability, for not only their own projects and growth but for the whole company.

When you bring on people with these skills and traits, respect them, share your vision and mission, and train and create stronger teams with more accountability. In addition, you implement promotions from within, provide leadership experiences, and on-the-job training and growth opportunities, you'll find that the best are less likely to leave.

In your opinion, what companies, whether in the industry or not, do you think do a great job at recruiting and retaining A players?

Patty: Turnover can cost as much as 50% or more of the annual salary in lost productivity but could cost 10X in lost opportunities when you can’t hire or under hire. Having said that, some turnover is healthy, and I would prefer passing brilliance to a stagnant non-growing workforce, which promotes permanent mediocrity.

Here are some examples of companies I feel do a good job:

Allied Steel Buildings: A company located in Florida with a reputation for integrity and good service, Glassdoor's ratings are higher than most at 4.5 (out of 5) good work-life balance, diversity, high ratings for supervisors, and a 91% approval rating for their CEO.  

Their website states that their team members are their most important asset, and they invest in continuous development and recognize contributions to company success. They seek individuals that are (1) “Hungry” to make an impact (2) Eager to develop and grow (3) Assertive self-starters and (4) Diverse and action-driven individuals.

It's important to know that you can screen for these traits, as well as additional ones such community involvement, preoccupation with achievement and other attributes outside themselves, such as a tendency to leave a job, and for gratitude. 

Some of the benefits offered by Allied include:

·         Paid parental leave

·         Bonuses

·         401k

·         Pet insurance

·         Flexible paid time off

Golden Hippo: Offering direct-to-consumer marketing, this Los Angeles-based company is employee-owned, won 6 awards in 2021 and 4 awards in 2022. In 2021, the awards included 'Best Company Culture', 'Best Company Perks & Benefits', 'Best Career', and 'Best Marketing Team'. In 2022, they were awarded 'Best Career Growth', 'Best Leadership Teams', 'Best Places to Work in Los Angeles', and 'Best Company Outlook'.  

Based on 5,331 ratings and 169 participants, employees were found to be “very satisfied with their work experience”. The overall culture score of 83 out of 100 incorporates employee ratings based on their feedback on the Compensation, CEO Rating, eNPS (Employee Net Promoter Score), and more. 

What about turnover, what is this largely based on?

Patty: Turnover is relative to geography, competition, roles in a company, and industries among other things, including employee satisfaction and security. As you'll likely know, in most economies around the world, turnover in the construction industry is particularly high. 

Below is a 2019 U.S. Census Bureau graph showing turnover trends between the 1990s and late 2010s. The bottom line represents turnover averages in all industries and the top line represents the Construction Industry.

Great Insights! Can you share some best practices around recruitment target areas and how best to connect with desired employee prospects?

Patty: I'd advise that you use a structured interview and onboarding process. One that covers potential counter offers in advance and lays the groundwork by contrasting and comparing the candidates against an objective grid you develop with must-have and nice-to-have skills and characteristics.

Additionally, I would advise you do the following (and we'll discuss this in more depth on the call):

1.    Post your opportunities internally and earn referrals from your employees.

2.    Post your sizzling and alluring ad in as many places as you can, at least 10-20 platforms.

3.    Develop a company relationship with a few executives, specialty and temp firms before you need to hire a lot of people.

4.    Reel qualified detail-oriented candidates who follow your instructions in quickly. Roll out the red carpet for them.

5.    Ask candidates behavioral, not hypothetical questions to get better information.

Looking forward to this call! How should members prepare to make the most out of your session?

Patty: Here's what I suggest you do.

1.    Bring your hiring manager

2.    Bring the ad which pulled the very best for you in the past

3.    Bring your list of places to recruit and ask for referrals to share in breakouts

4.    Think about the next person you need to hire, update that job description and bring the role and, if you have it, your ad to our meeting.

We will dive deeper into these issues, including Deadly Sins of Hiring, in our call.

If you wish to join in one of these calls after Sept 2022, to help turbocharge your hiring,
please call or text us at 805 453 7490    www.dedominic.com