The New Recruiting KPI

By far, the most common recruiting KPI in the real estate industry is net hires (# of agents recruited – # of agents lost).

It’s the quickest way to benchmark growth, but it makes the assumption that bigger is better.

But bigger is not better for many teams and offices.

More productive is better.

As one CEO recently told me:

We look at recruiting as an opportunity to upgrade our organization.

Every time we hire someone we ask: Who is this person going to replace?

By changing focus, this company grew their per person productivity by 14% over the last 12 months.

Recruiting is hard, and we sometimes make less-than-ideal hires.

Rather than hanging onto a mistake, we look for ways to swap out a low performer with someone who will likely make a better contribution.

Productivity KPIs are not new, but they are newcomers to most recruiting discussions.