The Cost Of The Unfilled Position

What is the value of an established relationship with an executive search firm such as 5-Star Hospitality for current and future hiring needs? The equation below can help you determine how much money your organization saves by eliminating the unfilled position.

Using a pre-established relationship with a search firm has value because it greatly decreases the time to fill open positions, and it reduces the cost of lost revenue from not having that position filled. A vacant position can cost your company or firm hundreds of millions of dollars across all open and unfilled hiring needs. To calculate how much an unfilled job costs you, use the following equation (this equation has been extremely simplified for illustration purposes):

Total revenue lost per day for all open jobs can easily approach millions of dollars for an organization when using this simplified formula.