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| What Tier Is Your Firm
On? |
| by Andrew Shapiro, President of The
Cluen Corporation |
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| Before investing in Recruiting
technology, be sure that your Recruiting process is in place. You can't sprint
before you learn how to crawl. Over the past thirteen years, I have reviewed
over 1000 software implementations to executive search firms, and I have seen a
strong correlation between the maturity of a company's Recruiting process and
the types of recruitment technology that they are able to implement. I now
classify companies into one of four tiers of readiness to absorb recruiting
technology. |
|
Bottom
Tier: Off The Cuff
Chaos triumphs over information in a firm at
this bottom tier. Individual recruiters tend to view themselves as masters of
their own information domains who are not bound by the dictates of a structured
methodology for working with clients and candidates. There may be a suggested
recruitment process, but it is used unsystematically at best, based on the
impulses of the individual recruiter. |
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| Being a bottom tier organization
does not mean you are a failure, it simply means that results are
unpredictable. In this type of company, assignments come in, offers are made,
and deals are closed. However, sometimes placement rates are 20 percent,
sometimes they are 1 percent. Sometimes searches close in a month, sometimes in
one year. Sometimes client/candidate satisfaction ratings are near 100 percent,
sometimes they are in the pits. The problem is nobody can explain why these
things happen. |
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| The success of a Bottom Tier firm is
not dependent on automated Recruiting processes - because there aren't any!
Instead, it is based solely on the skill levels of individual marketing,
recruiting, and account management personnel. |
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| If there are no Recruiting processes
in place, it is impossible to implement a sophisticated Recruiting system, as
there is nothing to automate. Such companies need to do a lot of work on
process definition before they try to expand their Recruiting technology plans.
A firm at this tier would be best served by providing its people with a step by
step plan starting with basic contact management tools that focus on increasing
individual efficiency (contact managers, word processors, spreadsheets, and
e-mail) versus organizational effectiveness. Immediate efficiency gains can be
achieved through selective use of a powerful automated system. Once individuals
recognize the tremendous benefits that are possible, further initiatives can
begin -- baby steps. |
|
Middle
Tier: Old Dog
A Middle tier executive search firm is one in which
things are pretty much under control. The recruiters hit their numbers
regularly, future business practices are forecasted with a fair degree of
confidence, and client satisfaction is within an acceptable range. The key
attribute of a middle tier company is that it achieves its success not through
sophisticated recruiting technology and process, but rather through solid
management. |
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| Middle Tier firms are driven by "If
it ain't broke, don't fix it" - the belief that, "If we keep using the best
procedures of the past, we will keep hitting our numbers in the future." These
types of executive search firms tend to be profitable, but only as long as
there are no major changes in the way business is done in the industry (which
has been proven not to be the case). |
|
| This type of company can
successfully implement a more advanced Recruiting technology than a Bottom Tier
firm. Since there is a recognized way of doing business, such tools as
applicant tracking, contact management, and job-posting software can be
implemented to help improve business processes. |
|
Upper -
Middle Tier: All Ears
An Upper-Middle Tier executive search firm
is one where the Recruiting processes have become a way of life for the
company. Every employee in sales, recruiting and research has the manual for
how things need to be done - not only the accepted way of doing things, but
also the only way to do them. |
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| Because these processes are so
embedded into daily operations, they can be periodically evaluated and
enhanced. This type of firm is rarely caught off guard by changes in the
industry. It can detect very early on when practice areas begin to shift, when
competitive strategies are becoming more effective, or when client satisfaction
is just starting to decline. |
|
| This type of executive search firm
is a most advantageous nominee for a more sophisticated Recruiting technology.
Processes are so well disseminated throughout the business that these firms can
successfully absorb technological innovations such as search automation
systems, knowledge management systems, and recruiting metric analysis.
Ironically, even though their systems are already reliable, these firms may get
the speediest payback from adopting industrial strength tools and proven "best
practices" techniques. |
|
Top Tier:
Ascension
The Top Tier is where every executive search firm wants
to be. A firm at this level has solid Recruiting processes that are optimized
by the most sophisticated recruiting technology. These companies also are
strong believers in gathering and continually analyzing metrics about their
performance. They have a solid understanding of how they recruit, how they
manage candidates and practice areas, and how they need to service clients to
create long-term loyalty. |
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| Top Tier firms are constantly
questioning the status quo. They ask themselves such things as: Why do 25
percent of the candidates who submit their resume online do not leave pertinent
information? Why do 15 percent of our Superstar candidates never follow up? Why
do 23 percent of the searches we conduct close past date? For these types of
firms, Recruitment technologies are not an option - they are a necessity.
Implementing Recruitment Technology is the only way these companies can get the
information they need to analyze and improve their performance. |
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| A Top Tier company is in a position
to implement not just great Recruitment Technology, but great knowledge
management systems as well. The companies' knowledge of how they, their
practice areas, and their clients do business gives them the insights they need
to determine how to best leverage technology to optimize their operations going
forward. |
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What's Your
Level?
If you want to get a feeling for how successful the
implementation of your Recruiting technology will be, first do a realistic
"gut-check" on what type of organization you have. If you find yours is a
Bottom Tier firm, and you are currently planning to implement a very
sophisticated recruiting system, chances are you will fall flat on your face.
You are talking about running a four-minute mile when you can barely walk
around the block. |
|
| Pick the level of recruiting
technology your organization can successfully absorb today. If you don't like
the Tier of maturity of your Recruiting processes, then work to improve it.
Once the changes have occurred, then upgrade your Recruiting systems to match
your new level of process performance. Most importantly, make sure that you
have proper guidance from a team that has done hundreds of similar projects and
will help you avoid the expensive and morale-busting pitfalls that are lurking
out there. |
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| This article was first published in
Employment Marketplace. |
