Mastering the Art of the Reference Check during Hiring in a Small Business: Uncover the Hidden Gems.

In the world of recruitment, finding your next A-Player is like trying to find a drop bear in the bush – challenging but oh so crucial.

After an extensive recruitment and interview process, you've finally spotted a potential A-Player for your team.

And here's where the magic happens: the reference check.

It's your last line of defence against hiring mishaps, as well as a way to uncover some hidden gems.

As tempting as it may be, rushing through this phase is a sure fire way to set yourself up for trouble.

So, let's dive deep into the art of conducting reference checks.

This is your ticket to making informed, top-notch hiring decisions.

Picture this: you've found a candidate who seems to fit like a glove.

It's tempting to skip the reference check and hand them the golden ticket straight away.

But hold your horses!

Reference checks ain't just a formality, they're your secret weapon when used well.

These checks can confirm or challenge your view of the candidate, so don't rush in like a bull at a gate.

Take your time, because this step is vital for dodging risks and ensuring long-term success.

My advice is to always aim to speak to a previous manager or someone highly credible - almost always aim to speak with someone they reported to.

You may be given names of a colleague or friend who is going to speak highly of them in any situation.

This is a waste of time.

Watch for this and request the name of managers or organisational leaders who relied on the performance of this person.

Often you will be given limited time to speak with a candidates referee.

You may be speaking with a manager or leader who is very busy and has only limited incentive or motivation to give up their time to offer a reference check for someone they no longer work with.

With this in mind, make sure you get some bare essentials out of the conversation.

Some of the key things to check through the reference check process are:

To help facilitate a useful discussion, it’s important to build rapport with referees.

Start the conversation with a ‘thank you’, and ask if they're comfortable being a reference.

It sets a positive tone and shows respect for their time.

Often, previous managers may be reluctant to share any negative information on previous employees either through a sense of loyalty or fear of any repercussions.

This is where it is important to read the tea leaves regarding what is being told to you by any referees.

The question regarding “would you rehire this person” is often the most telling.

If there is any hesitation in the provided answer, you need to carefully evaluate your information and, if necessary, double check any hunches you may have with additional reference checks.

Give thought to how many references you need to speak to.

An ideal number is three to ensure you get a rounded view of the candidates strengths and weaknesses, and plenty of opportunity to get different perspectives on the information gaps that remained after the interview stage.

However, in some situations you may be comfortable with one very trusted reference, or you may want five or six to triangulate an accurate picture and allay any doubts or concerns.

In Australia, reference checking is governed by several laws and regulations, including the Privacy Act 1988, the Fair Work Act 2009 and the Australian Human Rights Commission Act 1986.

Employers have a legal obligation to comply with these laws and regulations when conducting reference checks.

Here are some key points to keep in mind:

In summary, employers in Australia must obtain consent, handle personal information appropriately, avoid discrimination, ensure accuracy and comply with the Fair Work Act when conducting reference checks.

Let's clear something up - reference checks aren't about doubting yourself or the candidate.

They're about diving deeper, confirming strengths, and uncovering hidden qualities that might've stayed in the shadows during interviews.

Think of it as a treasure hunt – the gold is in those references.

One of the great things about reference checks is discovering hidden gems within a candidate's skill set and personality.

These gems might've been hiding during the interview, but they can be game-changers for your team.

Maybe your candidate is a mentor in disguise, goes above-and-beyond, or can adapt.

Reference checks are where these nuggets of potential shine.

Interviews are crucial, but not enough.

They're great for assessing a candidate's immediate fit, but they often miss the full picture.

Nervousness, time constraints, or interview jitters can hide a candidate's true brilliance.

That's where the reference check can add another dimension.

Imagine hiring a project manager.

In interviews, they're organised and unflappable.

But during the reference check, a former colleague spills the beans – this candidate is not just a manager but a mentor, a team leader in the making.

These hidden gems can reshape your team dynamics, so don't let them slip through your fingers.

Reference checks can reveal a treasure trove of qualities:

Asking the right questions is the key to unlocking these treasures.

To find hidden gems and red flags, ask questions that dig deeper.

References are best known for helping you spot red flags.

Red flags are not there to scare you off; they're your wake-up call.

While candidates can put on a good show in interviews, references can spill the beans on potential issues that might sink your ship:

Where time permits, ask questions that dig deep.

Question Types to Consider:

If possible, don't stop at yes or no answers.

Dive deeper with follow-up questions, like asking for details on how they solved a problem or how they contributed to a successful team.

Adapt your questions to the candidate's role and past experience.

For tech roles, go techie.

For leaders, ask about leadership moments.

Customisation is the name of the game.

When red flags pop up, don't jump the gun.

Consider the context, the severity, and whether it's a one-time slip or a recurring theme.

A single hiccup might not be a deal-breaker, but patterns of behaviour indicate a concern.

References aren't the final word.

They're another piece of the puzzle.

Sometimes, they'll back up what you've seen, other times they'll drop a bombshell.

It's all part of the game.

Now, with all the info in your kit bag, it's time to decide.

Consider skills, experience, interview performance, and reference insights.

It's like putting together a jigsaw puzzle – every piece counts.

Mastering reference checks is your secret weapon in the recruitment game.

Don't rush it, embrace it.

Find those hidden gems and spot the red flags.

It's not just a formality, it's the final piece of the puzzle that ensures your team is top-notch.

So, take your time, ask the right questions, and go into this crucial step with confidence.

Your A-Team awaits.

People are the hardest part in business AND where the value is created.

We always recommend business leaders invest in developing their recruitment skills as building a team full of A-players is potentially the best thing you can do to improve the growth rate of your business.

The fastest way to become a better hiring manager is to do our 10 day ‘Ultimate Recruitment Toolkit’ online course.

Included are recommendations on the five best books we have read on recruitment, and a Playbook we have developed with templates, email and phone scripts and more - so you can copy, drop into your business and tailor with ease.