By this point, it’s been well established that we’re entering a new economic reality: Rising interest rates, sky-high inflation, and geopolitical uncertainties have put an end to more than a decade of unrestrained growth across the tech industry. What’s clear is that current market conditions mean that the days of growth at all costs—and hiring with reckless abandon to fuel that unsustainable, short term growth—are a relic of the past.
As with any tumultuous time, this is a moment where companies will be forced to take a critical look at their established way of doing business, and the ones who adopt more thoughtful, efficient processes in response will continue to thrive. In particular, leaders will need to shift their mindset towards hiring for quality in order to help their organizations thrive as they encounter a new set of challenges.
Why the way we hire has to change
The current situation has revealed that one of the key areas in need of transformation is hiring. We’re already seeing the unfortunate aftermath of the haphazard, short-sighted hiring practices of the past decade resulting in layoffs at a slew of high-profile companies and many other companies dropping forecasted headcount growth by 30-50%.
Disorganized, inconsistent, and low-quality hiring