Backfill vs. Replacement: What Managers Should Know

Sometimes, even the most reliable employees can decide to move on with little notice, leaving unprepared companies scrambling to fill the vacancy. To find the right fit for the position, many businesses turn to backfilling, a strategy that can be incredibly efficient when leveraged wisely. Managers aiming to fill a role quickly should understand the difference between backfilling vs. replacement to make the best staffing decision for their team's needs.

DEFINING BACKFILL VS. REPLACEMENT
Before deciding between backfilling and replacing employees, you must understand each strategy. 

What Does Backfilling a Position Mean?

Backfilling is a strategic process designed to ensure operational continuity when employees leave roles. Usually, an existing employee is temporarily assigned to cover the responsibilities of the vacated position until a permanent replacement is found.

To backfill a position, managers start by assessing the role's importance and its impact on the organization. From there, they evaluate current employees to identify who is best suited to take on the responsibilities of the position.

What Is a Replacement Position?

Replacement is about filling vacancies permanently. When you hire a replacement, you’re looking for someone who can stay on long-term.

HOW IS REPLACEMENT DIFFERENT FROM BACKFILLING? 

Backfilling typically happens faster because the goal is to quickly assign someone to step in and cover the role until a permanent hire is made. 

Replacement, on the other hand, focuses on finding the right person to fill the role permanently, which can take up to 42 days on average.

HOW DO YOU DECIDE ON BACKFILL VS. REPLACEMENT?

Backfilling and replacing a job serve similar purposes, but they differ in time and scope. In most cases, backfilling should be considered an emergency staffing strategy rather than a permanent solution.

There are a number of reasons organizations might justify a backfill vs. replacement. Here are some of the most common considerations.

The Needs of the Role

Not all roles are equally suited for backfilling. Entry-level or mid-level positions with well-documented processes and standardized training programs are often easier to backfill, as internal employees can step into these roles with minimal disruption. 

However, leadership positions and specialized roles typically require a more careful hiring process. These positions often demand niche expertise, long-term strategic thinking, or deep industry knowledge that internal employees may not yet possess. In such cases, it is usually more beneficial to conduct an external search to find a highly qualified replacement rather than relying on a temporary backfill solution.

Immediate Operational Continuity

Companies don’t always have a choice when it comes to backfilling a position. In some industries and organizations, even a short-term vacancy can lead to chaos and financial disaster.

Rather than taking their time to find a replacement, some businesses opt to immediately backfill. They can always look for a permanent replacement down the road, but when time is of the essence, backfilling is the go-to solution.

Choosy Hiring

In cases where immediate operational continuity is not essential, organizations may decide to sit back, relax, and enjoy the recruiting process. They may be eager to source external talent, conducting a thorough search for the ideal candidate that aligns with the company culture.

By rushing the process, organizations run the risk of hiring the wrong person for the job. It’s hardly any surprise, then, that those who can afford to be picky prefer backfilling a position as opposed to grabbing the nearest appropriate candidate.

While it’s great to take your time, it’s important to remember that backfilling is meant to be temporary. Some businesses end up keeping existing employees in the same roles long-term. This limits the candidate pool and can make it harder for organizations to find good talent. Over time, they may miss out on valuable ideas and perspectives.

Greater Flexibility

Backfilling generally involves a high degree of flexibility, especially in companies or industries where roles and responsibilities tend to shift rapidly. This can be beneficial during periods of organizational change, such as M&As or internal restructuring, where the company’s future needs are not yet clear.

By opting to backfill rather than replace a position, companies can more easily adjust the permanent role’s requirements based on evolving business needs. This helps to ensure that whoever they hire is well-aligned with the organization’s new direction.

The best employees are capable of wearing multiple hats, but you never want to strain them. When an employee is reassigned to a vacant role, their original duties are typically redistributed among remaining team members, which can lead to increased workloads. If not managed carefully, this added pressure can lead to job dissatisfaction and even increased turnover.

Employee Development and Morale

Employee morale is crucial for business success, and one of the best ways you can keep your employees happy and engaged is by supporting their development. Backfilling offers internal candidates the opportunity to work on new skills and sharpen their existing expertise.

And who knows? You may just find that that person is the perfect fit for the position and decide you don’t even need to search for an external replacement.

On the other hand, when you’ve got a good thing going, it’s important to preserve it at all costs. While backfilling a position can result in temporary efficiency and lower costs, when handled incorrectly, it can irreversibly damage your team dynamics. You may experience communication challenges, misunderstandings, and even conflicts. Some team members might feel undervalued if they perceive the backfilling decision as favoritism.

HOW MUCH DOES IT COST TO BACKFILL VS. REPLACE A POSITION?

The cost to backfill a job can vary significantly, but it’s generally less expensive than finding a replacement. As such, backfilling is often the preferred method for businesses that lack the funds to hire a new permanent employee. Backfilling costs depend on several factors, including:

• Training and onboarding
• Revenue lost through the vacancy
• Administrative and management time
• Temporary staffing needs

It’s no secret that hiring new employees can be expensive. In fact, data from the Society for Human Resource Management shows that the average cost per hire in the US is $4,683. These costs can include everything from job postings to onboarding tools. Internal candidates are already familiar with company culture and policies and are less expensive to train than external job hunters.

If you prefer replacement to backfilling, one way to overcome this is to consider outsourcing to a recruiter. The cost for a recruiter may be worth it. The right one will speed up the replacement process, providing access to a larger talent pool and reducing the burden on internal HR teams, ultimately saving you money.

The bottom line? Backfilling costs are complicated and are ultimately determined by your company’s dynamics and the role’s impact on your organization. Senior or executive roles are likely to leave a bigger gaping hole than other positions.

STRUGGLING TO DECIDE BETWEEN BACKFILL VS. REPLACEMENT? WE CAN HELP

Backfilling and replacement each have significant benefits and drawbacks. Backfilling a position is a great option for companies looking for immediate solutions, but it may not be right for every situation. If you’re looking to fill a vacancy with permanent talent, consider partnering with TSP. We offer IT talent solutions to help businesses find the perfect fit. Contact us today to see how.