A “Recruiter” By Any Other Name… (Understanding the difference in recruiting philosophies will help you know what you’re paying for)

Hiring is on the upswing again, and many small and mid-sized businesses are evaluating their hiring needs. This means plenty of recruiters are circling, asking for your business and pledging to help you find “the one.”

Here is my advice to help you understand what kind of recruiter you’re signing on with and what this means for your business. 

In my business travels, I am frequently asked to explain what it means to be a retained search recruiter (which is how I work) as opposed to a contingent search recruiter.

As a retained search recruiter, I am hired by companies as a business partner and consultant. My compensation is earned in three parts: at the start of a new search, at the midpoint of a search and once a candidate has been successfully placed.  I intentionally take on only a few searches at a time, focusing on quality over quantity and drawing upon my extensive network to find the right candidate for the position. My client is assured that I will personally meet with each candidate (on local searches) and there will be a successful conclusion to the search with a great hire,

By comparison, contingent search recruiters are paid only when a candidate is placed. Because some hiring managers give the same search to a few contingent search recruiters, they are often in hot competition to make a placement; as a result, they may tend to focus on quantity over quality and speed is of the essence.

There is no right or wrong method for recruiting—and both methodologies have their place. But I do think it’s essential that you know what you’re getting when choosing a recruiter to conduct a search for your company.

I speak from experience. Early in my career, I worked for many years as a contingent recruiter for a well-respected local staffing agency. In this environment, I was one of many recruiters filling positions to meet monthly and annual quotas. For meeting our sales goals, we were rewarded with vacations, jewelry, cash bonuses—even mink coats!

Meeting sales quotas and earning “spiffs” are standard operating procedures in a commission-based environment. But….do they really incent the right behavior that is in the best interest of the customer? It’s not hard to imagine that some recruiters may be more concerned with meeting quota to earn spiffs (or keep their job, ) rather than actually concentrating and focusing on what you had to say about your company, your hiring needs and the ideal candidate you want them to recruit for you.

Unfortunately, this business model, left unchecked, can lend itself to what I call “the ugly side of recruiting.” I witnessed—and continue hearing about  today in similar recruiting firms—how the SALES QUOTA SYSTEM may lead to unethical and questionable business practices. Candidates and hiring managers regularly complain about the high pressure from some recruiters to hire a candidate that isn’t right for the job, or to take a job that isn’t the right career move. That type of behavior can give our industry a bad name. I often wonder: Do you really want to get your business caught up in all of that?

When I hung out my own search firm shingle in 2002, I was relieved to get out from under the sales quota thumb and shift my business model from contingent to retained search. I do not have quotas, and, in fact, I intentionally only take on a few searches at a time because I know that’s in my clients’ best interests.

Gone are the days of being pressured by my sales manager at the end of the month to make the placement, regardless of whether it was in the best interest of the candidate and/or client. I don’t believe that a calendar or a recruiter’s job security should dictate the timing of a placement.

The only right time to make a hire is when all the pieces come together—and not because it’s the end of the month or quarter. Pressuring recruiters to make a placement happen prematurely  to make a quota  is a business practice that many clients are unaware of. If you are feeling pressure….look at the calendar and ask your recruiter: “Why the rush?”

I’m all for a sales person meeting quota….but not if it adversely affects the life of a human being or the dynamics of a company.

Whether you are a hiring company or a job seeker being wooed for a new opportunity, understand what’s motivating your recruiter. Is your recruiter a partner with you, motivated by finding that “perfect match” for all parties?

Or, is your recruiter instead motivated by quantity over quality, more interested in earning that trip to Hawaii than in finding you that ideal candidate?

My Advice to Companies

When you are  considering hiring a recruiter to help you fill important positions, you will probably ask them standard questions about their experience, successes, recruitment processes, etc., as part of your vetting process.  But have you thought about asking about quotas? These tips will help you know just what you’re getting.

Carefully scrutinize staffing and recruiting firms, especially those who have sales quotas.
At month-end, recruiters are scrambling to meet or exceed their quota to earn their bonus or other incentives (vacations, jewelry, you name it)-and sometimes even to keep their job. This means some (not all) recruiters may be chiefly motivated to close the deal, even if it means sending unqualified candidates your way. The best advice is to ask around-the best recruiters in the area have a solid reputation and a success track record to match.

If you’ve already hired a staffing firm, be wary if the recruiter exhibits these behaviors:

• Pushing you to make a hiring decision before you’re ready.
• Skimming over the details, which may indicate you’re not getting the full story about a candidate. (This is called “gilding the lily” in some insider recruiter circles.)
• Falsely tells you that the candidate has another offer pending.
• Threatening to take away a top candidate if you don’t make an offer right now.

When interviewing recruiters, ask these core questions: 

–          Tell me about your business model.

–          Do you have a personal sales quota at your company?

–          How often do you make your quota?

–          What happens if you don’t meet the quota?

–          Tell me about a time when you tried to make a placement work just to make your quota, even though you knew that it wasn’t in the best interest of your client and/or candidate.  (Then look how uncomfortable the recruiter is when being asked and while answering this question.)

My Advice to Job Seekers

If you’re a job seeker working with a recruiter, be sure this person is working with your best interests in mind. You don’t want to start a new position only to discover that it’s a terrible match.

Fortunately, there are a few warning signs. Be wary if the recruiter:

• Pushes you toward a job opportunity that doesn’t feel like the right fit.
• Warns you that “you’ll never find anything else” if you don’t take this job.
• Knowingly misrepresents any aspects of the job, including salary, culture, why the job is open,  and other important details.
• Pushes you to make a decision  within an unreasonable time frame after receiving an employment offer.

By being mindful of the various types of recruiters out there, you’ll be positioned to avoid making costly mistakes in that next hiring decision. As the old saying goes, an ounce of prevention is worth a pound of cure.

The Not So Big Employer: When it comes to gaining the competitive edge, small companies have hit it big with candidates

A number of years ago, a new trend emerged on the interior decorating scene when architect and designer Sarah Susanka introduced her “Not So Big House” philosophy, extolling the lifestyle virtues and advantages of giving up behemoth homes in favor of living in smaller spaces.

You might be surprised to know that a similar movement is emerging in the world of employment, as growing numbers of experienced managers, directors and executives are intentionally giving up a professional life inside large corporations to work for smaller, privately held companies. (I call it the “Not So Big Employer” movement!)

That’s because smaller companies offer:

Flexibility.
If given the choice between time or money, many tenured job seekers would prefer time. Whereas large corporations have stringent (and often stingy) vacation and PTO policies, smaller companies can offer flexibility to candidates through expanded vacation and PTO time, work-from-home advantages and flex time. In this day and age where one’s work and personal life obligations bump into each other constantly, more top-caliber employees are seeking out companies that provide options that give respect to all facets of their life.

Opportunity and innovation.
Smaller companies tend to have a more entrepreneurial spirit, which is appealing to business leaders who enjoy the challenge of innovating rather than simply “maintaining.” By contrast, large corporations often are mired in politics and internal bureaucracy, with policies that are set in stone and an impenetrable culture of “this is how we’ve always done it.” The speed with which innovations in large companies move forward is slow and, for many employees, highly frustrating.

Visibility.
Experienced leaders today want to make an impact and have higher visibility within their organization, and within the larger industry, during the second half of their career. They want to make a difference—and to feel that their contributions are really influencing the company and the industry.

By way of example, I recently conducted an executive search for a small, privately held firm and  identified their desired Director-level candidate. The candidate was so good, she also received a competing offer from another company—and even though my client was the better fit for her professionally, the other company offered more money but less vacation time. As a result, my client was able to up the ante by offering more vacation time—and she happily accepted.

If you’re a small company, this is all great news for you! This means you have a tremendous competitive advantage over large corporations to recruit—and keep—experienced and talented candidates. Whereas large corporations are a great “training ground” for entry-level employees, they often struggle to hold on to high performers who want to have the opportunity to influence the strategies developed at the leadership table or who may desire a more flexible arrangement.

I often speak with very talented candidates who confess to me that they are tired of working for the larger publicly-held corporations that are only looking at the bottom line and stock value. When I represent a small, privately held company, this gets the candidates’ attention immediately. Many currently employed professionals confide in me that they want to move to a smaller company, but don’t have time to hunt for a job. They are more likely to engage in my search process when I’m representing a smaller firm.

And, if you’re a job seeker, this is great news for you, too! There are some highly desirable small companies right in front of you—some that you may not have even noticed or considered before—that would love to tap into your talent, experience and desire to make a difference and will work with you to create a mutually beneficial work life model.

In essence, a “Not So Big Employer” can be the perfect place for employer and candidate to come together in a unique environment to cultivate big results!

If you are a small, privately held company looking to recruit top talent to take your firm into the future, I can help you identify the unique features within your firm that appeal to seasoned professionals and help you find—and hire—the ideal person for your business needs. You CAN compete with the big companies in the war for talent.

Call me today and I will show you how during a no-obligation initial consultation. Hockenberg Search is your ace up your sleeve–let’s play together to win!

When a Recruiter Calls, Will You Be Ready? (Hint: You should be! We recruiters are busy now, and your phone could ring!)

Hockenberg Search offers strategic tips to prepare so you can respond to recruiters quickly—and with confidence.

It’s 1:20 p.m. on a Tuesday afternoon, and you’re sitting at your desk putting the finishing touches on that marketing report. The phone rings, but it’s not a number you recognize. “Hmmm,” you think, “it could be the new customer that is having issues with delivery – better pick it up…”

“Hello, this is Bob.”

“Hi, Bob, this is Mary, and I’m a recruiter with XYZ Search company. Please excuse me for calling you out of the blue. I’m currently working on a search that might be a great career opportunity for you, and we can find out in a short phone call. Would you be open to learning about another position if it were clearly superior to what you have now?”

You stumble and fumble around. It’s been a tough year at the company and there are murmurs of “changes” that don’t sound good. Should you take the call now? Ask to call her back? Hang up? What is a “passive” candidate to do?

These types of phone calls are occurring more and more frequently as the job market picks up steam and companies are once again competing for top talent. Companies are investing in recruiters to bring them the best people to move their business forward. Now that we are growing in some sectors, companies realize that they need the right talent to make it happen.

You might be that “top talent”…but you’ve never worked with a recruiter. Perhaps you’ve even worked for only one or two companies during your entire career and are satisfied in your current job. Of course, these phone calls don’t come around every day, and if you have been in job search in the last three years you would have paid good money to get one of those recruiter calls.

As I’ve been known to say: “When opportunity knocks, open the door!”

Before the Recruiter Calls:
One day a recruiter might call you-perhaps when you are least expecting it. And, he or she may want to speak with you about a position that could very well be your “dream job.” If you are not prepared for this moment, the opportunity could easily slip right through your fingers. It pays to prepare yourself to you are ready to respond quickly, professionally and decisively.

Here are a few things to consider today, so that you are ready when the phone rings. (It’s also wise to review these things as part of your regular and ongoing career planning efforts, anyway.)

What do you want in your next career move?
Do you aspire to the next level of leadership? Are you seeking a specific title or portfolio of responsibility? Spend time considering “what’s next” on your career map.

Evaluate your current employment situation.
Do you want to leave (and if so, why)? Do you like it enough to stay (and, if so, under what circumstances and for how long)?

Make sure your LinkedIn profile and your resume are updated.
Even if you are not actively seeking a new job, you should develop a regular discipline to ensure that your professional profiles are up to date and in a state of “constant readiness.” By last count, nearly 60% of all recruiters use LinkedIn as a first stop for searching for and screening potential job candidates. Subsequently, when a recruiter does call, you simply won’t have the luxury of delaying by days, or even weeks, to get your resume up to date.

What are your compensation requirements?
What was your compensation last year, and if you are up for a bonus this year, how much will it be and when will you receive it?

In addition, if the job opportunity presented to you is a good move, are you willing to decrease your compensation in exchange for advancing your career with a new title, increased responsibilities, or experience in a new field or industry—and, therefore, eventually making more money? No one likes to leave money on the table, but sometimes there is more potential to an opportunity than strictly a sum of money.

When the Recruiter Calls:

Suggest a good time to talk.
Recruiters will almost always contact you while you are at work, but we understand that you may not be in a position to speak candidly at that time. A respectful recruiter should be flexible and arrange for a phone “meeting time” to fully discuss the opportunity. Beware of recruiters that make a high-pressure, now-or-never sales pitch, especially if it puts you in a difficult or compromising position.

Ask the recruiter about his/her relationship with the hiring company—and whether the recruiter is working on a retained or a contingent basis.
The answer will help you understand the nature of the relationship that the recruiter has with the hiring company and will likely have with you.

Understand that retained recruiters are essentially an extension of the hiring company and are exclusively representing the career opportunity to the candidate community. As a result, a retained recruiter will likely have a close relationship with the company that will provide you with more insight and information so you can make an informed decision. If a recruiter has worked with the company before or has visited with the key decision makers at the company, they can help you assess whether or not this position will be a fit. As a recruited candidate who is evaluating a potential career move, you need to have solid and truthful information in which to avoid making a career mistake. 

By contrast, contingent-fee recruiters will be paid by the hiring company only if they are the first to deliver a candidate resume who is eventually hired. There may be multiple, unrelated recruiters working on the search, each playing a game of “race the clock” to be first to send in a resume, and it’s likely that the recruiter may have never set foot in the door to meet the key employees and truly understand the culture and what the company needs to hire. The companies’ internal recruiters may also be working on the search. Make sure that all parties involved understand and respect the confidential nature of your candidacy if you are currently employed.

Ask the recruiter where his role ends.
A good recruiter will stay in touch with you through the interview process and will offer tips and suggestions to prepare you. He also will stay in touch with you even after you are hired, to ensure a smooth and effective transition.

If you are a company looking to partner with a retained-search recruiter to fill those important positions, learn more by visiting the “Resources for Companies” section of my Web site.

And, if you are a “top talent” employee anticipating a call from a recruiter, learn more about the recruiting process and  how to prepare for the interview by visiting the “Understanding the Recruiting Process” and “Resources for Candidates” section of my Web site.

To be or not to be … that person who accepted the counter-offer

The old adage is truly not a myth. People don’t leave jobs because of bad pay. They leave bad situations.

As the economy shows some signs of new life, employees are perking up to the signs that hiring is picking up at companies looking to position themselves for the recovery. For companies who are operating on the employment margins, this new reality is a threat to the stability they have enjoyed much through the fear of unemployment with current staff. Hiring and training new staff is expensive, and the knowledge that walks out the door can be invaluable to a company.

Some companies are compensating – or, better said, over-compensating – by presenting departing employees with a counter-offer.

What is an employee to do?

While there are various reasons an employer would present a counter-offer and an employee may consider accepting it, there is a greater question that should be asked.

How would accepting this offer define me as an employee, and what does it say about my employer?

Employees have much to consider when looking at new job opportunities – camaraderie, competent leadership, belief in the company mission, advancement opportunities, and respect. Compensation or advancement are only part of the equation.

Companies using counter-offers as a tool to retain employees are only commoditizing the skills and creativity people bring to the job. What happens when someone comes along who is willing to do it cheaper, even if not better? If you are worth the offer now, why weren’t you worth that before?

Employers presenting a counter-offer are only doing it for their benefit, not yours. It could be a stall tactic to keep an employee until a competent replacement is found, or it could be a tactic to make retention rates look good for that fiscal quarter. Statistics have shown that more than 80 percent of people who have accepted counter-offers no longer work with that company six months later.

Whatever the reason, the simple fact is that good companies don’t do counter-offers, whether by policy or good business practice.

And good employees don’t accept them. Consider what it says to employers and recruiters who lose candidates to a counter-offer:

• This person used me. In the age of networking and databases, this could get people blacklisted among a small world or recruiters and hiring managers. No one wants to feel like they have been used.
•  This person is a fidelity risk. No matter what a current employer says to an employee when presenting a counter-offer, the trust and sense of loyalty has already been broken.
•  No matter the situation, this person can be bought. Maybe that is a little harsh, but employees accepting counter-offers are not changing the situation that forced them to seek a new job, they are only changing the rate of pay for which they bear the situation. Counter-offers are only short-term gains for employees, not long-term growth strategies.
•  Threats do not build respect. If you have to threaten an employer to leave to get a raise or a better assignment, how often will that threat need to be used in the future?

 The last point brings us back to the employer, both the new one and the old one. Good companies recognize value. Those who are extending offers for new employment see value in an employee’s skills, and that should carry a lot of weight in considering a new job. Companies that wait until employees consider a new job to make more lucrative offers are not demonstrating good business practice that should make an employee feel comfortable about where they work.

Marni Hockenberg, principal of Hockenberg Search, serves as a trusted search consultant to companies who need to upgrade their talent and fill mission critical positions. To tap into Marni’s expertise for your next hire, or to view current searches, click here to connect. 

4 Tips to Jump Start Your 2010 Job Search

A job search can easily be put on the back burner during the holidays, especially if the search has lasted 6 months or longer. It’s good to recharge yourself during the holidays to avoid job search burnout. But, like allowing yourself ‘just one more holiday cookie’, the temptation to play now and pay later can be dangerous. Moderation is the key. During this holiday you can enjoy your down time AND take some simple and practical steps to jump-start your 2010 job search.
1. Reflect on your 2009 job search. Write down 5 activities you did that successfully moved your job search in the right direction. Keep doing them in 2010. Then write down 5 activities that didn’t provide traction and discontinue them in 2010. In other words, make a resolution to be intentional and use your time wisely.

2. Find an Accountability Buddy. Job search can be lonely but with a buddy, you don’t need to be the Lone Ranger anymore. Write down and review your daily, weekly and monthly job search goals with your buddy. Ask them to hold you accountable. When you achieve your goals, your buddy can celebrate with you!

3. Remember flashcards? I used them in school to learn math (where are they? I still need them!). Buy a pack and write down the tough interview questions that stump you. Formulate your answers and ask your Accountability Buddy to participate in a mock interview with you. Rinse, repeat, rinse, repeat. Preparation is key in a job interview!

4. Attend job search educational workshops, forums and meetings. Even if you learn one tip that will propel you toward achieving your goal, it will be worth your time. For example, I’m offering an interactive Interview Workshop on January 12th entitled “How The Hiring Game Is Really Played: Experienced Recruiter Reveals 9 Interview Secrets!” from 8:15-10:30 am at the Ridgedale Library. For information or to register, visit my website at http://www.hockenbergsearch.com/calendar.

To summarize, the simple steps you take now can pay dividends when January 4th rolls around!

Get Hired: Five Tips to a Great First Job Interview

While your resume provides an important initial “snapshot” of you and your professional experience, it’s the in-person interview that is the first real opportunity for you to introduce yourself to a potential employer and “sell” your skills, personality and ability. That’s why it’s so important to prepare in advance, so you can truly put your best professional foot forward, create a memorable first impression and demonstrate with confidence how you and your skills stand out from your competitors.

Because we at Hockenberg Search are in the business of helping companies find the right talent to help them achieve their business goals, we have counseled literally hundreds of stellar professionals as they have prepared for first interviews. We hope you will benefit from these tried-and-true best practices as you prepare for your own interview.

1. Study the company and the people who will interview you. Do your homework by reviewing the company’s Web site, reading its business literature, and scanning the news headlines to see if the company has recently been in the news. Determine ahead of time who will interview you and their roles in the organization and any special background about them. Before the interview, identify the two or three most pressing business challenges that the company, and the individuals interviewing you, are facing and the two or three challenges you will likely be asked to fix for the company.
2. Know your strengths and weaknesses. Once you’ve identified what the company will likely need of you in this role, write down the four or five strengths and unique qualities you would bring to the job. But don’t stop there. For every strength, jot down one or two examples of how that strength was exemplified in a particular situation. (For example: If a strength is “collaborating with complex personalities,” identify in one or two sentences the time you facilitated a meeting with attendees with very strong and differing opinions and how you led the group toward a successful and mutually agreeable outcome.)Then, write down two or three weaknesses and consider specific situations where you have turned that weakness into a strength. (For example:  “I am quiet by nature, but I have discovered that my peers are willing to come to me with concerns or problems that they wouldn’t normally voice, because they perceive me to be open-minded and nonjudgmental.”)
3. Show, don’t tell. Many interviewees make the mistake of giving responses that are too long, ramble on, or are unfocused. Nerves sometimes play a role in this, which is why it’s a good idea to prepare your thoughts in advance. Keep in mind that responses longer than two or three minutes will surely lose the interviewer’s interest. You may even be perceived as unfocused or not confident.To avoid these pitfalls, Lou Adler, a nationally recognized executive recruiter, coaches interviewees to remember the initialism “Say a Few Words”:

S – Make an opening statement.

(Example: “One of the skills that sets me apart from my peers is my expertise in bringing complicated negotiations to successful resolution.”)

A – Amplify that statement.

(Example: “During the last four years, I was responsible for mediating seven rounds of negotiations between my current company’s management team and three different bargaining units, all of which settled successfully in record time.”)

F – Provide a few examples.

(Example: “In one round of negotiations, a superior on the organization’s Executive Team made it clear that he would not deal with the union whatsoever. In fact, he was overheard in the shop making such statements. It was my job to successfully bring the bargaining to resolution, while also carrying forth the wishes of my superior and managing damage control. I recommended a unique solution to the union chief. While this certainly required savvy negotiating skills, it also required creativity and willingness to try something ‘outside the box’ in order to bring about a mutually agreeable resolution. As a result, we were able to reach a great contract and relations with the union have never been stronger.”

W – Wrap it up.

4. End the interview on a strong note. Some interviewees make the mistake of ending a job interview on a flat note, which can be perceived by the interviewer as disinterest. Rather, end on a strong and positive note by emphasizing that you are very interested in position and that you believe you are the right person for the role. Ask questions about the position to reinforce your value and the results you’ve achieved. Don’t be afraid to ask the interviewer again about the skills the company is seeking, thereby giving you another opportunity to highlight some of your accomplishments in those areas. Finally, ask the interviewer what the next steps are.
5. Send a thank-you note to each individual you met with. Sending a thank-you note after your interview is not only good business etiquette—it also gives you one more opportunity to emphasize your fit for the job. Keep your note simple and sincere, and don’t be afraid to mention again how you believe your skills will help the company achieve its business goals.