And it fell through.

Anyone can lose a candidate in the eleventh hour. Any number of factors sway the outcome. Most, however, can be predicted, if not prevented. As the hiring executive, you can limit the risk of losing a final candidate by knowing the triggers of a possible collapse in the hiring process:

The Nickel and Dime Demise
Don't get tangled, then strangled in negotiations. When a hiring executive plays negotiation gambits, a final candidate might well develop a distaste for the company and the whole deal.

Know what your candidate values and offer a reasonable, win-win employment package. Your willingness to meet a specific need will deliver an early invitation of trust, loyalty and commitment. When you can't accommodate a wish, describe your bind and demonstrate creativity in providing alternative perks. Negotiations are a first chance to work together in finding solutions.

Consider the top candidate for Chief Technologist in a growing information technology company. Prior to his candidacy, he was slated to present two papers at international conferences. The hiring executive was prepared to offer only two weeks of vacation and the deal nearly crumbled. As executive search consultants, we recognized the value of honoring this commitment and encouraged the hiring manager to not only create "business-related leave", but also to leverage the opportunity for company visibility.

The Communications Black Hole
Don't linger indefinitely. While every aspect of the hiring process warrants absolute thoroughness, keeping a candidate on hold for too long might lead him/her to accept a competing offer or reconsider the appeal of your company. Explain a legitimate delay as openly as possible to keep your finalist informed. When possible, outline your timeline at the onset so that your top candidates can plan - and sit tight accordingly.

A candidate for Vice President of Engineering in an entrepreneurial manufacturing firm almost withdrew his candidacy after remaining "on hold" for six months. The hiring executive had been initially eager to recruit, but stalled and failed to return the candidate's phone calls over time. When the CEO was finally ready to hire, this candidate needed to be carefully wooed and reassured by our search firm, acting as advocate.

Excessive Haste
Don't rush the process so much that you seem desperate to your finalist. While expedience is in all parties' interest, be careful not to appear too eager for immediate resolution to a hiring crisis. Such haste might raise red flags to a top executive about the leadership team or company culture. Express your sense of urgency, but not at the expense of thoroughness and professionalism.

Remember also to allow time for candidates to ask questions and reach their own comfort level with the opportunity. Otherwise, candidates might be simply flattered by the attention and accept the position for the wrong reasons, dooming their retention.

Exaggerated Preview
Don't inflate the position or compensation possibilities during the initial interview, only to back-peddle in the actual offer. If you build the opportunity honestly, your candidate need not experience disappointment. Tempt top executives with the real upsides of the opportunity and recognize downsides so that you are prepared to overcome possible objections.

A hiring manager in a high-tech, semi-conductor industry assured senior executives that he would accommodate their salary needs. In the end, however, he lacked the authority to increase the budget or renegotiate compensation. Top candidates jumped ship and the position was down-graded.

The Forgotten Spouse
Don't underestimate the importance of including your candidate's spouse/ significant other early in the relocation process. By giving both parties time to consider and investigate the new geography, you decrease the risk of rejection.

During the candidate's second visit to your site, his/her partner might want to explore job opportunities or real estate. By all means, get to know the significant other and determine his/ her needs and motivations. This is a "two-for" deal -- offers are rejected because a spouse didn't really want to relocate. Whatever the case, it will only help to have the significant other on board.

Interview Overkill
Don't ask your finalist to meet individually with every other manager on payroll. While you obviously want to solicit input from other key players in your company, avoid demonstrating a macro sense of bureaucracy. Instead, group interviews, lunch meetings, plant tours and other encounters give all parties a chance to meet.

Selling the Wrong Advantages (Features vs. Functions)
Don't miss the messages being sent to you. Find out more about the needs and values of your finalist. When he/she requires some added wooing, the issue is probably not at the surface. Pay attention to what's said and not said. Maybe there's an illness in the family and your candidate must determine whether health benefits are transferable. Sometimes you'll need to dig to uncover the underlying questions or objections; only then can you respond appropriately.

The Package
Don't think a high salary will compensate for other important perks. Many executives in today's market seek stock options and/or higher-level titles or broader functions and would be willing to sacrifice dollars for them. Again, find out what your finalist values and maintain flexibility in creating a compensation/benefits package that serves both of you.

A financial executive in a large company was offered a club membership as a perk intended to sway her. Because her position did not require her to entertain clients, she was disinterested. The hiring manager needed to determine what would matter to her, whether it was career growth opportunities or increased upside potential.

Bidding Battle
Don't engage in a financial bidding war with another company. Sometimes a candidate seeks a new position and hefty title to demonstrate his/her market value to a current employer. Though not intentionally, your top candidate might use your offer to leverage a raise in his/her present company. Ironically, candidates in these cases are likely to leave their current employers in less than two years.

Before you make an offer, know what your candidate finds most appealing about the opportunity in your company. In the unlikely event that a bidding battle ensues, frame it as an issue of priorities or interests, not only dollars.

In the hiring process, identifying and screening qualified candidates is just the beginning. The hiring executive's greater challenge begins when the top candidates are found. The art of closing successful hiring deals differs little from other deals - you uncover the real need, find out what matters and create a win-win situation.

Is hiring an executive different than achieving success in a joint venture?
According to a survey of 593 CEO's by Dataquest (1992) and Conference Board Survey of CEO's (1995), the top three reasons that joint venture deals fail are:
1. excessive optimism;
2. dramatic changes in the business environment;
3. poor communications.

Hiring executives need to watch out for the very same deal-breakers. Hiring is clearly another form of merger.

Two final candidates are identified. One candidate is eliminated as a result of compensation demands that are beyond the scope of the position. The second candidate is "lost" (accepts another position) as a result of protracted negotiations with the first candidate. The penalty for indecisiveness!

The search process, ostensibly, must start anew.

ACTION
As with any "deal", it's never over until it's over. Top management reacts swiftly, mobilizing all three partners to apply the "full court press" to the lost candidate. During the interview process, each of the three partners had interviewed the lost candidate and had developed strong rapport. Each of the three partners knew of the candidate's high interest in their company's position and became aware of the candidate's sense of "settling" in the accepted position. Also, through dialogue during the interviews with other members of the management team, key weaknesses in the company's proposed offer were uncovered.

SOLUTION
Management sought advice and opinions from every member of the management team who had met the candidate, consolidated the information and reapproached the candidate with a win-win offer addressing the candidate's primary needs. Following additional negotiations, the candidate accepted the position.

As an executive search firm, CEO Resources provides valuable service throughout the hiring process. We are responsible for not only high-quality recruiting, but for ensuring smooth deal-making as well. As the "go-betweens" at this critical point, we can:

• get directly to the real issues on both sides;
• field tricky questions and handle delicate issues;
• protect the hiring manager and company from having to disappoint candidates or "sour the deal" during negotiation;
• abbreviate the hiring cycle;
• provide valuable feedback about the company's reputation on the street;
• save company executives time and effort;
• ensure that the deal that's offered is the one that will be accepted;
• establish clear, acceptable expectations - on both sides - that set the stage for successful long-term employment.