12 Reasons Why Companies Hire Executive Search Firms
March 28, 2017 | Hunt Scanlon Media
Employers typically use an executive search firm when a top job opening is important enough, senior enough and when discretion is at a premium. These three factors warrant the investment of bringing in a search firm. And an investment it is. Retaining a recruiting firm will likely cost a minimum of $75,000, but that figure can rise dramatically with the seniority and pay level of the position. Once you start recruiting executives for your C-suite that cost can easily run into the hundreds of thousands of dollars.
Usually, the search firm will charge one third of the position’s compensation package. But everything is negotiable, especially if you’re asking the recruiter to search for multiple professionals simultaneously. If the cost of not filling the role with just the right candidate is significantly higher than the cost of the search, then you might be ready to consider investing in the services of an executive search firm.
U.K.-based executive recruiting franchise, CNA International, set out to discover why and when retaining a headhunting firm is advantageous. The firm often brainstorms with senior executives about ways they can build their senior management teams without incurring the expense of bringing in the firepower of trained executive recruiters. But at the end of the day, while you can get a lot of lift from employee referrals, job postings and of course the big daddy of them all – LinkedIn – there is no service available (at least not yet, though IBM is working on it) to simply download a thoroughly vetted, interested and qualified A-player. Nothing, it seems, is comparable to an executive recruiter.
12 Ways to Recruit Top Performers
Recruiting top performers, according to the best search consultants who ply their trade day in and day out, is an exacting science – it is labor intensive, complex, and requires a rare set of people skills and business expertise. This might be why tens of thousands of recruiters roam the earth – and why most of them are in hot demand today.
Here are a dozen reasons why you need to consider bringing in an executive recruiter for your next important hiring mandate, along with tips from leading recruiters themselves.
Smooch Repovich Reynolds, managing partner of the Investor Relations and Communications practice, is quoted in the article. Find her expert below.
You have tapped out your personal and company networks for candidate referrals. If you have exhausted your network of connections for possible referrals, it is time to access another network. Executive search consultants are among the most well networked people in the business. “While the underlying premise of social media is to create a readily-available platform for people to connect, the single most valuable aspect of cultivating credible one-on-one relationships with talent is trust in the relationship,” said Smooch Repovich Reynolds, managing partner for the investor relations and communications search practice at DHR International. And that means meeting them on their turf and in their inner circles. People, she noted, are not meant to be transactional puppets, but rather valued partners in the executive search process. To that end, Ms. Reynolds suggests keeping good relationships with recruiters and keeping every option open and on the table.