Your Business Might Need a Recruiter

Given today’s lean economic times, businesses large and small are left with a vacuum when a good or key employee jumps ship. Good employees are the most strategic component of every successful business plan. Despite current unemployment statistics, finding that qualified replacement or filling a new position can be a long and seemingly impossible task.

Many Hiring Managers are swamped with the business of doing business. In the heat of battle, it may seem easier to backfill an open position from the employee pool rather than expend the resources to recruit the perfect candidate. Sourcing candidates, qualifying resumes, and conducting interviews is more than a full time job. When it’s all said and done, top candidates don’t necessarily turn out to be the best employees. After evaluating position requirements, cost, and the risk associated with the hiring process, many companies rely on third party recruiters to help make better hiring decisions.

Hiring a recruiter may appear expensive.  Typical fees ranges anywhere from 20% to 35% of a candidate’s first year salary. But if you quantify your company’s actual recruiting cost, add in the production losses from the open position coupled in with your company’s recruiting diversion cost from core business activities, you might be surprised by the best value.

Once you have compared the cost, evaluate the hiring process risk. A recruiter is a fixed cost with a performance guarantee that can be managed. A good recruiter usually fills open positions faster. Compare your company’s internal hiring track record in terms of employee bottom line quality, offer rejections, percentage that have been eventually fired, and how many have left in a short time, (replacement cost).

One final consideration in using recruiting services is the type of candidate required. Specialized skills and high level positions are typically best serviced by industry recruiters. Good recruiters have ready access to people your company can not legally or ethically contact. Recruiters are expected to disseminate information concerning new industry opportunities.

Recession, recovery, or growth markets alike, competition is and will continue to be fierce for the “best of the best” performers across all industries. A strong recruiting partner can help you plan for diverse economies, attract the best talent, hire the best fit, and build long term loyalty within your organization.