Hi wilfred,
Thanks for raising this genuine concern which is widening now in the industry, especially in IT. Well, we have been struggling with the same problem and I am sure every company today. I have done a detailed analysis of the reasons of back-outs and if you allow me I would like to share them below:
1. People look for change for various reasons, some of the very common reasons are, Monetary Growth, Vertical Growth, Sense of Security, Family Reasons, Location Constraint, Inter-Team conflict, Illness etc. If one goes in the deep of the above reasons and explores the real situation and thoughts of the candidate's mind, the back-out ratio can be brought down.
2. Competition plays an important factor in this. Especially in the IT industry, the salaries are high and that creates the negotiation factor in the mind of the candidate, which gets into a never ending loop, ultimately the loss is caused to the employer. Therefore, what best can be done to refrain this is to check the needs, responsibilities and dependency level of the candidate to find out how important money is for him and how much obligation he has, if you find that the candidate is freaky/ money minded, do not decide the offer.
3. There is no ethics in business; it's a famous quote by a renowned business man. One looks for the best in its favor. Infact, employers are also not different. When it comes to hiring a person, we evaluate many and choose one. So we should be ready for the same act from the candidate's side. Though steps can be taken to decrease this. 4. In generic situations, there could be number of ways to decrease the back-out ratio. Proper and Transparent communication plays the most important role here. Every company is offering high salaries but this is not the only factor which influences the minds, there are many other like Joining Bonus, Onsite Assurance etc. Cheers Raghu |