Hiring Not Your Thing? The skill CEO's Need to Master!

Happy Sunday!

If you’re reading this, I hope you’re having a peaceful weekend and have carved out some time to unwind. Grab your favorite drink, settle into a cozy spot, put your feet up, and enjoy. Thanks for being here!

But before we get into the newsletter, here are some treats for you…

• In this week’s Pay or Quit Podcast, co-host Tony Cline and I started a two-part series in which we interviewed each other. Tony discusses an illness that took him to his knees, how he overcame it, and how it strengthened him as a leader. Listen here or click the thumbnail below!

• If you’re a big fan of learning on YouTube, like I am, check out my channel @ShawnAustinJohnson 

Do you hate hiring? Do you feel like you’re not very good at it? Don’t worry, I used to feel the same way.

As a CEO, your most crucial role isn’t just driving revenue or managing operations—it’s building a high-performing team that can take your company to new heights. The people you hire shape your company’s future, from daily operations to company culture, and they directly impact how fast (and sustainably) your business can grow. Here are five powerful reasons why an excellent hiring process is essential to driving your business forward, along with practical actions you can take to get it right.

1. Stop Wasting Time: Effective Hiring Cuts Down on Turnover

A strong hiring process may require an upfront investment in time, but it pays off significantly. According to the Society for Human Resource Management (SHRM), the average cost to replace a bad hire can be up to 50-60% of their annual salary. A structured hiring process might seem time-intensive, but it’s essential to long-term success. Bringing in the right people upfront reduces turnover, boosts productivity, and prevents the endless cycle of recruiting and training replacements.

• Example: Instead of constantly onboarding new hires, imagine focusing on leading a stable team that’s already aligned with your company’s mission.

• Action: Set a high standard for your hiring process. Establish clear roles, multiple interview rounds, and skills tests to ensure every hire is worth your investment.

2. How the Right Hire Saves You Thousands—Avoid the Costly Mistakes

A great hire is an investment that pays off, while a poor hire can be a costly setback. Studies show that a bad hire can cost up to 30% of that employee’s annual salary in lost productivity and turnover costs. As CEO, ensuring the right fit can be one of the most financially impactful decisions you make.

• Example: If you hire a salesperson who doesn’t fit, it could cost you not just in salary but in lost sales opportunities. However, a great salesperson must drive revenue that far exceeds their salary.

• Action: Don’t rush the hiring process. Take your time to vet candidates thoroughly. Use behavioral interviews and reference checks to ensure they’re not only skilled but also a good cultural fit.

3. Hiring for Culture Fit: The Secret to a Motivated Team