Struggling with Offer Rejections in BPO: How Do I Explain This to Management?

Hi,

This is my first posting on this site. I have found it really useful for all HR teams. I have a problem in our BPO regarding the retention of candidates who have accepted an offer but then did not show up or rejected the offer. How should I explain this to management? They are pressuring us, claiming that we are not closing positions.

Any suggestions?

I would not explain to management anything until you *know* why people are not starting. You could say to them that you are examining why people are not starting. Then, I suggest you find out why people are not starting by:

- brainstorming with your peers the possible reasons for people not starting
- asking non-starters why they did not start (this will require a good dose of interpersonal skills to do this effectively)
- review your salary offers (are they competitive?)
- review your recruitment process (are you looking in the right places?)
- review your selection process (are you selecting candidates with a good fit?)

Vicki Heath
Human Resources Software and Resources
http://www.businessperform.com

I agree with Viki, first you should find the cause for the problem. Do some market research. Analyze procedures in similar companies. Observe the trends. And also evaluate your recruiting, selecting, hiring procedure. Put your self in the candidates' shoes. Would you want to join this company if it was you?? If not, try to approach it in a manner where your company image reflects what the candidates' are looking for.
Always remember as much as the candidates' need a job, they may have so many options open. And some of the best possible candidates might not even be looking for jobs.
Evaluate your current procedure and come out with a better strategy.

Candidates do sometimes misuse the offer letter. They show the offer at another company and bargain. We show the candidate the appointment letter but hand it over only on the joining date. This may help you too.

Hi,

My suggestion would be that since it is your responsibility to fulfill the target, you should try to make an analysis of your competitors. You should try to find the trend in the market pertaining to your problem. It will be a lengthy procedure, but believe me, if you give your management the exact figures of offer rejections in a similar industry, they will be more convinced. Once you are able to get their support, then try finding ways of coming out of the problem.

Regards,
Pooja

Hi Sudheer,

I understand that business loss due to a lack of manpower is one of the most critical factors for the success of a BPO. Therefore:

1. Explain to your management that it is better to have backup manpower as attrition rates are very high.
2. When you require 2 manpower, send an offer to 3 people.

Regards,
Sathya

Hi,

This is the same problem we are facing in our company. We are working on a Black Belt project to improve the conversion rate from the current rate to a 15% increase. There may be various causes such as salary, service agreements with the company, shift timings, etc.

During the first round of interviews, make sure to explain to the candidates all these factors. This will help in minimizing the conversion rate. In the HR round, if you feel that a person is indecisive, there is no need to offer a position to such individuals.

Regards,
Siva

Hi Siva,

Most companies face this problem. You mentioned working on a black belt project to enhance the conversion rate. Could you please explain what this means?

Hi Sudheer,

This is Nikki (Ankita). Good to see you on this site.

Which company are you working with? As far as retention is concerned, do you guys have fixed dates of joining for new hires? In our company, we have tentatively fixed the date of joining after every 15 days, and we ensure strong follow-up calls for those who have accepted the offer letter.

We also put them through a training process before they actually start on the floor.

Regards,
Ankita

Oh dear, this is a recruiter's nightmare. Most of the corporates I know hand over the appointment letter on the date of joining.

Hi,

In the process of Six Sigma, we have gathered data on offers made in the past 6 months but not accepted, and we have reached out to these candidates. Through this process, we have identified around 100 reasons for non-acceptance. By prioritizing these reasons as high, medium, and low, we have drawn some conclusions. Additionally, we have started examining how candidates are treated during interviews and have revamped our HR round approach. Instead of focusing solely on numbers, we have begun investing more time in engaging with the candidates, among other strategies.

By the end of the day, our hiring quality has improved in a cost-effective manner.

If you have any best practices to share, please do so.

Regards,
Siva