How to Hire Finance Professionals Who Become Star Performers

I've been interviewing candidates for years. Some were great people who underperformed when taking jobs ill-suited for them. Others became stars by finding situations that allowed them to excel.

When it comes to hiring, I have found that there are four types – ranging from people you should hire to those you shouldn't.

However, the types described are not fixed! As online commenter Phillip E indicates in his response to this post: "Obviously, the types refer to hiring outcomes and not to personalities."

The outcomes are situational, depending on the job itself, the hiring manager, the company culture and if the right person was chosen for the right job.

Type 4 hires are your star performers – the strong leaders who get results regardless of the challenges

This type classification provides advice for hiring managers on what it takes to recruit more great people that fit the actual job needs. On the flip side, job-seekers can reverse-engineer the advice and use it to seek out opportunities that allow them to become Type 4 hires.

The Four Types

Type 1are those you should never hire, but did anyway. Type 2 is in the bottom third (in terms of outcomes) of those who were hired. Type 3 people are in the middle third, while Type 4 are the star performers, those who get results despite the challenges.

Type 1: Those you should never hire. If you’ve ever hired someone who emerged as a true underperformer, it would have been apparent to everyone else that you did something fundamentally wrong. The likely causes:

  • You didn’t look at the résumé
  • You trusted your gut
  • You didn’t know the job
  • You hired largely on presentation and personality
  • You were desperate
  • You didn’t conduct a background check

Type 2: The bottom-third of those who are hired. Typically these people have the basic experience, technical skills and academic background, but they were assessed primarily on their personality, first impression, affability and presentation skills.

One big problem with these hires is they need more coaching and supervision to do average work. Worse, some of them demotivate everyone else on the team. These people can all become Types 3 and 4, under the right situation.

Type 3: The middle-third of those who are hired. These people also have the basic skills and experiences, but in this case the assessment had been more thorough. Generally this involved more behavioral-like interviews, with more people, a more in-depth technical assessment, a battery of questionnaires, and a thorough background check.

This is the interview process most companies use and it’s one designed largely to prevent mistakes. The unintended consequence, however, is the hiring of people just like those who have always been hired, since this is the safer decision.

The reasons why Type 3 people aren’t in the top tier typically involve lack of motivation to do the actual work, some cultural fit problem, a style clash with the hiring manager, or lack of necessary drive, leadership or team skills.

Under the right circumstances everyone in this group can be a Type 4.

Type 4: Those you hire who wind up being in the top-third of those hired. These are your star performers – the strong leaders who get results regardless of the challenges. They’re highly motivated to do the actual work required, they take on projects no one else wants, and they fit seamlessly with the people, culture and manager.

How to Hire More Type 4 People

Here are some commonsense things you can do to hire more Type 4s and what job-seekers can do to find Type 4 situations.

Define Type 4 performance. Take every “must-have” factor and generic responsibility on the job description and have the hiring manager define how the person uses the skill on the job. This should be in the form of a task or an activity.

Then ask what the top-third people do differently in doing the same work. Put the top 6-8 of these performance objectives into priority order. These are the same things you tell the new person what needs to be accomplished on the first day on the job.

Weeding out the weak in the hope that a few strong ones survive is an exercise in futility

Here’s a complete handbook for preparing these types of performance-based job descriptions for any job. Here’s the one-minute management version.

Attract more Type 4 people. Since everyone wants to hire these Type 4 people, you’ll need to use compelling recruiting advertising that emphasizes what they’ll be learning, doing and becoming.

Whether this is a job posting, email or voice mail, you’ll need to attract the person’s attention and enter into a series of exploratory conversations to keep them engaged.

Assess and screen for Type 4 performance. Since they’re handling bigger projects sooner than their peers and getting promoted faster, Type 4 people typically have less experience and depth of skills than Type 3 people.

But this is offset by the intensity of their experiences, their ability to rapidly learn and apply new skills, and having the opportunity to develop their team and leadership skills early in their career.

Dig deep into their major accomplishments, seeking out these Type 4 level indicators. The Most Important Interview Question of All Time can guide you through this process.

Stop using processes designed to attract and hire Type 3 people. If the bulk of the people you’re seeing are Type 1, Type 2 and Type 3, you won’t hire many Type 4s. Weeding out the weak in the hope that a few strong ones survive is an exercise in futility.

Since Type 4 people, whether they’re active or passive job-seekers, are always more discriminating, you need to design your hiring processes around how these people look for work and how they expect to be interviewed and hired. Here’s how to get out of this Catch-22 Staffing Spiral of Doom.

Conclusion

If there is no difference between the top-third of the people you hire and the bottom-third, you can safely ignore this article. However, if you want to see and hire more Type 4s and raise the talent bar, you have to design your hiring processes around how these people look for new career opportunities and how they expect to be professionally recruited and interviewed.

It starts by doing the right stuff while stopping doing the wrong stuff. Unfortunately, the stopping is far more difficult than the starting.

About the Author

Lou Adler is CEO of The Adler Group, a 35-year-old search and recruitment company in the US whose clients include Intel, McKinsey, Disney, ESPN and General Dynamics. He also wrote The Essential Guide for Hiring & Getting Hired (2013) and Hire With Your Head: Using Performance-Based Hiring to Build Great Teams (2007). This article originally appeared on LinkedIn’s Influencer blog, and has been re-edited for clarity and conciseness.

Photo credit: Shutterstock

Suggested Articles

Some of you might have already been aware of the news that Questex—with the aim to focus on event business—will shut down permanently all media brands in Asia…

Some advice for transitioning into an advisory role

Global risks are intensifying but the collective will to tackle them appears to be lacking. Check out this report for areas of concern