Using Reference Checks Effectively
(By Dan Simmons)
Some companies don't bother checking references because they believe "everyone has friends and those are the people you'll be speaking with," while others conduct as many as 10, yes 10, reference calls in some cases. It has been my experience that 3-4 reference checks can provide a great deal of insightful information if you’ve prepared the correct questions. These questions should be constructed to help determine if you should hire the person for this particular job, if they possess promotion potential, and how you can coach them to meet that potential.
First pick who
Choosing the right people to speak with is important, because yes, everyone does have friends. Your goal is to collect unbiased information from people who know. Choose previous supervisors, mentors, peers, customers (internal or external), and if appropriate, subordinates. Previous and current supervisors are preferred, but make certain you are not putting this person's job in jeopardy by calling their boss unless you have their permission and expect that you will make an acceptable offer if the reference goes well. This is where previous supervisors and mentors come in. These people know the candidate well enough to provide value.
Cover the basics early in the call
People providing references will want to say good things, so ask questions they can be happy answering first. Ask about how and when they and the candidate worked together and the candidate’s strengths and weaknesses. Talk about skills and talents. Then explore why the candidate left or is considering leaving their current job. Then move into important areas such as character and integrity.
Digging deeper
The reason to do reference work late in the interview process is to learn what you couldn't find out through interviewing or assessments. Ask questions about whatever concerns the hiring team. If you're concerned about the candidate’s ability to interact well with a team, dig in with questions about this. Be clear that you want to make this a win-win situation and that you’ve found many good traits in this person, but you have these concerns. The person will often open up and address these specific concerns and put your concerns to rest, or they’ll keep you from making a mistake.
Think about the future
If, after digging into the areas of concern, you think this person is a good candidate, ask about their leadership style and/or leadership potential. As this person has more experience with the candidate than you, ask how they would recommend coaching this individual. These tips should be relayed to everyone who is going to help the candidate become acclimated, and particularly to the direct supervisor. Some people learn best with specific instruction; others need a general direction and a long leash. Learn how to coach this person for success.
Disclaimers, legal items and non-responses
There are laws governing reference checks. These include having the person's written permission to check references. Talk with your HR department to make certain you are following the federal and state laws that govern your area. In addition, many companies, particularly the Fortune 500, will only provide dates of employment, title, and salary information, and they will want to see the written authorization to release this information. One way around this is to contact the people he worked with and ask for a personal reference, not a professional reference. Slant the questions toward personality traits and try to weave in other questions. This will sometimes work, particularly if you call the person at their home number during the evening.
The last word
Reference checks should be one of the deciding factors in the hiring process, not the only one. There are people who may hold a grudge against a fine person who was a great asset to a company, and subsequently, they’ll give a lousy reference. Beware of speaking with these people. This is why conducting 3-4 references will help. Balance what you hear, and make more calls if necessary. Weigh the most recent and closer working relationships more heavily than others. If, after you have done your due diligence, you still have doubts, pass on the candidate. Better to lose a good hire than hire a loser.
If you have any questions about this topic—or any other regarding recruiting, rewarding, or retaining top talent—contact me at dan@consearch.com.
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