The Value of a Search Firm in a Down Economy
By Frazer Donaldson
It's no surprise the current economy is causing headaches for employers and employees alike, with layoffs either in progress or looming, hiring budgets being frozen, and everyone concerned about their personal financial situation.
But how does all of this affect a company's relationship with their search firm?
The answer can be broken down into three parts - "image", "pipeline", and "flexibility".
Image: A valued search firm that has a true partnership with a client company is, in many ways, that company's voice on the street. Search executives have access to hiring authorities and information about a company that can paint an upbeat picture, especially in a down economy. What interesting IT projects are on the horizon? How does the company see its' IT group growing/excelling in the future?
Opportunistic search executives recognize that their job is to keep a client's value as an employer very high, to keep prospective candidate's interest high, and to do so must maintain, and "sell" the client as a whole, beyond the current economic situation.
Pipeline: A valued search firm will not only maintain, but will strengthen its pipeline of superior candidates in a down economy to be ready for their client's next hiring push. This does not mean the search firm will troll the job boards, not at all! It means search executives will increase their conversations with passive candidates, those not actively looking for a new role. It means search executives will continue to weed out average candidates from the best and the brightest, keep updated resumes in their database, and ensure that when the client calls, they are ready to deliver.
Flexibility: A valued search firm, when asked by a client company, should be prepared to offer some concessions should that client need to continue hiring, although operating under new budget constraints. For example, the search firm could defer billing for its search services until the next fiscal quarter. Or the search firm could offer a capped fee, or a slight discount in search fee, for an "impact" hire, that is essential to that client's continued success.
The point is, the search firm should recognize when a top client is in need of help, and be ready to present some options that allow that client to continue to benefit from the search firms' services despite the economy.
In conclusion, excellent talent does not disappear during a down economy! The best search firms stay in touch with that talent, continue to "champion" their client companies to that talent, and maintain both a positive attitude and a flexible nature to ensure the continuation of their mutually-beneficial relationship.
It's no surprise the current economy is causing headaches for employers and employees alike, with layoffs either in progress or looming, hiring budgets being frozen, and everyone concerned about their personal financial situation.
But how does all of this affect a company's relationship with their search firm?
The answer can be broken down into three parts - "image", "pipeline", and "flexibility".
Image: A valued search firm that has a true partnership with a client company is, in many ways, that company's voice on the street. Search executives have access to hiring authorities and information about a company that can paint an upbeat picture, especially in a down economy. What interesting IT projects are on the horizon? How does the company see its' IT group growing/excelling in the future?
Opportunistic search executives recognize that their job is to keep a client's value as an employer very high, to keep prospective candidate's interest high, and to do so must maintain, and "sell" the client as a whole, beyond the current economic situation.
Pipeline: A valued search firm will not only maintain, but will strengthen its pipeline of superior candidates in a down economy to be ready for their client's next hiring push. This does not mean the search firm will troll the job boards, not at all! It means search executives will increase their conversations with passive candidates, those not actively looking for a new role. It means search executives will continue to weed out average candidates from the best and the brightest, keep updated resumes in their database, and ensure that when the client calls, they are ready to deliver.
Flexibility: A valued search firm, when asked by a client company, should be prepared to offer some concessions should that client need to continue hiring, although operating under new budget constraints. For example, the search firm could defer billing for its search services until the next fiscal quarter. Or the search firm could offer a capped fee, or a slight discount in search fee, for an "impact" hire, that is essential to that client's continued success.
The point is, the search firm should recognize when a top client is in need of help, and be ready to present some options that allow that client to continue to benefit from the search firms' services despite the economy.
In conclusion, excellent talent does not disappear during a down economy! The best search firms stay in touch with that talent, continue to "champion" their client companies to that talent, and maintain both a positive attitude and a flexible nature to ensure the continuation of their mutually-beneficial relationship.
posted by LionSearch at
9:58 AM
