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Tuesday, 27 July 2010

Endorsed by a Competitor

We had both entered our Propositions to the Client.

There were three options:

  • in-house recruitment rated by my competitor as 0.3 effective or
  • The competitor self rated at 0.55 effective or
  • Me rated by my competitor as 0.7 effective.

Let us review the numbers, according to my Competitor

I got it right 7 times out of 10 when recruiting,
while, he got it right 5.5 times out of 10 and
and, in-house they got it wrong 7 times out of 10.

He did not win any friends in HR, but it was not their decision, so in-house was eliminated.

It was a cost/function between him and me.

His price $500, my price $5,000 ten times more expensive!

The Task was to assess sales people, 10 sales people.

"Using their own figures the competitor is going to get it wrong in at least one and possibly two cases." I said

"How much does it cost you, when you make a wrong sales recruitment decision?" I asked

"At least $24,000!" Said the CEO.

"Then, I will save you between $19,000 and $43,000. So, on that basis will you go ahead? I asked, with a smile.

I won the business and by way of this Blog, I thank my Competitor. Good Work!

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