“Wrong recruitment decisions expensive”
By: Dave Robbins
22 May 2013
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Hiring someone who ultimately isn’t up to the job was cited as the most common business failing by small and medium sized enterprises (SMEs) in the UK. That was one of the findings from the ‘However Big Your Ambition’ report by VW Caddy, commissioned to understand the common mistakes made by SME owners. The report calculates that mistakes and bad decisions cost SMEs an average of £2,340 every year.
Other common mistakes listed in the report, which talked to 1,000 SME business owners, included: making pricing errors, investing in equipment that didn’t work, ignoring good advice/listening to bad advice and taking on a friend or relative to work for you.
Commenting on the report, Alex Smith, director of VW Commercial Vehicles said: “Running a business isn’t easy and having the best staff working for you is critical. Of course it’s hard to get decisions right every time and even successful business owners will have made a mistake at some point in the past. The key thing is to avoid repeating them.”