Insights Use Case: Choose location & compensation

Every time you need to make a hire you have to answer two important questions: 

• What is my budget for this hire? 
• Where will this person be located?

Your answers to those questions heavily impact how long it is going to take you to find a new hire. The bad news is, you usually don't know what that impact will be. Is it going to be weeks or months to find the right person? 

Relode Insights can help you set both your compensation and location for new hires to be the most competitive in the market. This helps you get an idea of what lead time to expect for making a hire. 

Steps to Decide the Location

When hiring for a new role, it is important to think about where you will have the highest probability to find the right talent. Depending on the job type you will have one of four options for the new hires location.

Review these scenarios, and decide which best matches with your job needs.  

1. Specific location: the person must be located in a specific town because the job requires them to be at a physical location to perform the job duties
2. Multiple locations: the person must be located in one of several locations, the job requires them to be in a physical location to perform the job duties, but you have several locations that would be acceptable 
3. Regionally located: the person must be in a specific state or timezone to perform the job duties because they need to able to physically be in a location within driving distance for them to perform the job duties
4. Remote: the person can be located anywhere to perform the job duties 

Based on what you decide for your the jobs location you can then run Insights reports for the location(s) to get a sense of the market. You want to decide which location(s) you will have the highest chance of making a hire in.

Things you want to consider: 

• Is there a location that has a better supply vs demand ratio? 
  • If so you probably have a better chance of making a hire there and should prioritize that location 
  • Review interpreting insights: supply & demand to decide which locations are more favorable 
• Is there a location that has access to more diverse talent? 
  • If you are looking to achieve specific DE&I goals consider prioritizing that location 
  • Review: insights use case: set achievable de&i goals & interpreting insights: diversity

Once you have decided you're preferred locations, now its time to think about your compensation range!

Steps to Decide the Compensation Range  

Here are 5 easy steps to help you decide what compensation range you should lead with for any new hire. Making sure your compensation is competitive is very important to help you attract the right talent. 

1. Run a Relode Insights report for the role you are hiring for: how to run an insights report
2. Check to see how competitive the market is
   1. You want to compare the supply (people or talent in the market) with the demand (current open jobs): interpreting insights: supply & demand
3. Decide how much experience or tenure you want your new hire to have 
   1. Its helpful to group it into, low, medium and high experience 
4. Answer the question - could a person doing this job work remotely doing the same job for a different company?
   1. If yes - review the national compensation data for the role 
   2. If no - review the regional compensation data for the role 
5. Decide your compensation range
   1. A general rule of thumb is the more specialization and/or experience you want in a role the further to the right of the compensation chart you'll need to be
   2. Another rule of thumb you can use is to review this chart and consider the market and the experience level you are seeking: