Sunday, September 15, 2013

Product Startups - Hiring Challenges

 I have spent around 4 years in running a startup, Screen-Magic. We are now ~20 people Technology Startup.

Whats different in Hiring for Product Companies in Comparison to Software Services companies?

   You don't hire only Software developers. Currently My Dev team attributes 30% of total employees. I guess in services, around 80% would be Developers.


In software Services, your majority hiring is of Software engineeers. While in Product Companies, you need to have mix of guys from Sales, Marketing, Designer, Techies, Ops guys, vendor Managment & procurement.

So there is very much possibility that founders don't have experience of each of departments.

Problem Statement: 

Suppose I want to hire for some position X, say - Product Manager.  I have created this position considering some Business importance it have. As I am entrepreneur and its my first venture, I have certain background i.e. either I am from Tech background or from BizDev/Sales Background.  I can create the JD by reading or referring various job posted across the internet. I will get various applications if I posted openings at various places like Naukri, LinkedIn or on Company Blog.

Disclaimer: 
Startups don't afford to hire full time HR and Full Time and Experienced HRs are not available to Startups. As Startups have small sized companies, founders play role of HR initialy.

What are the Issues:
1) How to shortlist matching Candidates? Sometime resumes dont depict correct picture.
2) How to define interview Process.
3) How to judge person for his competence.
4) What Questions are correct questions?

Present Case Scenarios:
Recruitment Companies can work with Startup founders to help them recruiting. They can ease Search and Shortlisting Ops. But Actual Recruiting Process is quite long. It just doesn't stop there.

Whats Missing?Recruitment companies don't have people who have done actual Hiring for themselves. For Example they don't have successful product Managers as Hiring Managers for Hiring PM, who can draft questions and judge actual experience of Candidate. Create Real life situations for candidates during hiring process.

Its Multi-dimensional problems to solve, Medication which may effective for Person A may not be Person B. But Still comparing with Pharma guys giving Medicine to Patient on his knowledge, can not be compared with Doctor's knowledge. 

But External Experts say from Google may judge candidates differently so Startups may need to keep somethings in mind.

Have you seen a famous Movie "Moneyball" starring Brad pit?

Lets with Billy Bean Quote from Moneyball :

The problem we're trying to solve is that there are rich teams and there are poor teams. Then there's fifty feet of crap, and then there's us. It's an unfair game. And now we've been gutted. We're like organ donors for the rich. Boston's taken our kidneys, Yankees have taken our heart. And you guys just sit around talking the same old "good body" nonsense like we're selling jeans. Like we're looking for Fabio. We've got to think differently. We are the last dog at the bowl. You see what happens to the runt of the litter? He dies. 

It has analogy to Startup world, Startups are poor team, they have less money to spend. They need to spend it carefully for a person who is bang on money, Person who may not be best in the Market, May be rejected by Best of the Companies, But bang on Value for Your Company.

Problems are many in hiring, But There is no Silver bullet!





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