Promote from within or hire externally?

You have a new leadership position that has opened up at your organization, and there is an internal candidate who may be a good fit. But you’re wondering what to do – should you give them a shot, or should you search outside? And how do you avoid losing them if you don’t select them?

As an executive recruiter specializing in nonprofit leadership, clients often ask me how they should approach this situation. While it may seem surprising coming from someone in my profession, I am a huge advocate for internal promotion. It rewards loyalty, and says a lot about your values as an organization. But there are also many situations where it is better for the organization to look outside, so today I am going to help you think through how to approach this dilemma.

The Case for Internal Promotion

When contemplating filling a leadership role, I think it is a great idea to first consider internal candidates. Here’s why:

1.??????? Loyalty and Cultural Fit: Internal candidates bring with them a proven track record of loyalty to the organization and an intimate understanding of its culture. Their commitment can often translate into long-term dedication to the role and its responsibilities.

2.??????? Leveraging Familiarity: Hiring externally entails a learning curve as new hires familiarize themselves with organizational dynamics. Internal candidates, on the other hand, are already acquainted with the ins and outs of your nonprofit, minimizing the adjustment period and allowing for a smoother transition.

3.??????? Know What You’re Getting: Every candidate has strengths and weaknesses, but you often won’t know those for a new hire until they have been with you for 90-180 days. With an internal candidate, you already know their challenges and can decide if those are acceptable in the role.

While advocating for internal promotion, I’m not suggesting a blind approach. It’s essential to vet internal candidates rigorously, subjecting them to internal interviews and soliciting feedback from colleagues to ensure they align with the role’s requirements and expectations.

Evaluating Internal Candidates

Let’s also take a moment to look at a few factors you should strongly consider in deciding whether or not to hire an internal candidate:

1.??????? Leadership and Skill Assessment: Assess whether the candidate possesses the necessary leadership abilities and skill set to excel in the new role. If they require additional support or training, evaluate whether your organization can afford the time and resources for their development.

2.??????? Fresh Perspective: Reflect on whether your nonprofit could benefit from a fresh perspective and innovative ideas. If the organization is in a state of flux or in need of revitalization/turnaround, an external hire may inject new energy and insights.

3.??????? Technical Skill Requirements: Determine if the role necessitates specific technical skills that your internal candidate lacks. While attitude and potential are crucial, senior positions often demand a certain level of expertise that cannot be acquired overnight.

Navigating Communication and Decision-Making

Strong and honest communication with the internal candidate throughout the process is vital to keeping them as an engaged and productive team member if you end up not hiring them, and is frankly just a good way of treating them. I would keep the following in mind:

1.??????? Transparency and Trust: Keep internal candidates informed at every stage of the process, fostering an environment of transparency and trust. Clear communication ensures that candidates feel valued and respected, regardless of the outcome.

2.??????? Honest Feedback: If an internal candidate is not selected for promotion, provide constructive feedback on areas for improvement. Don’t beat around the bush or avoid communication. Encourage their professional growth by offering guidance and opportunities for development, reinforcing their commitment to the organization.

3.??????? Supporting Growth: They may not be right for the role, but it is important to show them a clear path for professional growth. They will not leave just because they don’t get the promotion, but not giving them a path to move forward and not nurturing their growth will erode trust and cause you to lose an otherwise engaged team member.

Conclusion

In the perennial debate between internal promotion and external search, there’s no one-size-fits-all solution. We have been involved in running searches where internal candidates were vetted first and then the organization looked outside because they weren’t sure the existing team member was best for the role. And we have also done searches where internal candidates were included in an objective interview process to compare them to external candidates.

Hopefully, you can use the thoughts above to help you decide how to proceed. Follow a process that helps you feel confident you have the right person for the role. And regardless of which approach you choose, I am a strong advocate of honest communication to promote a culture where talent is recognized, nurtured, and empowered to thrive.

?

About Us

If you want to discuss how to hire top-tier leaders for your organization or discuss how to decide between an internal promotion and an external hire, reach out to me at [email protected] . ?We will schedule a no-cost, no obligation 30-minute consultation to discuss how to meet your goals.

Maneva Group is a?woman and minority owned?national?Executive Search firm focusing on the social sector,?with expertise in completely managing the recruiting process, curating diverse and exceptionally qualified candidate pools,?and advising C-suite executives and board members through crucial hiring decisions.??