In most companies, executive and senior talent search fee’s still make up a heavy percentage of overall attraction spend. However, the market is starting to shift and employers are making the move to bring it in-house, and this is why:
- The recession has broken the back of the senior search market. The mix of fewer senior roles and budgetary cuts has lead to large recruitment fees being first on the chopping bloke.
- The magic black book of headhunters now exists online in the form of LinkedIn and senior job board databases. Anyone can be found online, if not through these channels then on company websites and industry news stories.
- Today we have better in-house teams than we ever have done, with the skill set to have mature conversations with any level of candidate, allowing them to sell their company to potential executives and senior candidates.
- A big advantage the head hunting firms had was the relationships they had with their clients and understanding company culture and vision. Cut backs have meant there is less time spent with clients, resulting in a drop in this understanding, creating a fantastic opportunity for the in-house teams to be the evangelizers of their company within this market. Who knows the company better than the people that work there?
- Executive referral programs have proved a big success state side, with companies making a sizable donation to the charity of choice of the executive that made the recommendation, and other such initiatives.
- The use of external companies to recruit the really critical roles reinforces the negative image that in-house teams can not handle the tough assignments. Owning that responsibility improves PR for both HR and in-house teams.
- External firms shop around the best candidates in order to drive the largest salaries. Sometimes, you will never even see the best candidates for your roles. Bringing that in-house gives you ownership of the relationship between your company and the candidates.
- And probably most importantly in these times; it will save your company, a lot of money.
As the market pulls out of this bull market, more senior positions will be created. Leadership roles will be born to lead business back to economic stability. The international tiger markets will continue to look to the UK workforce for executives and experienced business heads. The time is right to bring your executive and senior search in-house.
On the 6th September, Reconverse will host #rcnvs Executive Search: Cutting Out The Middle Man, in association with TheLadders.co.uk. In the usual Reconverse format, employers will get a chance to meet new suppliers that can aid them in bringing these assignments in-house. Over lunch, our guest speakers will give a few short presentations on the market from different viewpoints. The round table them opens up (for in-house recruiters only) and the conversation then builds until we have 3-5 great points to share with the world. All followed by a few drinks afterwards.