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Business Growth for Recruiters: Key Mistakes to Avoid

by Veronica Blatt

Image of man holding head representing mistakes in business growth for recruitersI came across a blog entry from Greg Savage (The Savage Truth), 10 massive blunders I have made in recruitment and wanted to share some other ideas. Greg is the founder of leading recruitment companies Firebrand Talent Search, People2People and Recruitment Solutions. He is an established global leader of the recruitment industry and a regular keynote speaker worldwide. (Disclosure: NPA has hired Greg as a professional speaker/trainer on several occasions. NPA gets nothing from Greg for reading his blog and sharing comments here.)

Greg maintains that it’s difficult to run a successful recruiter organization. There are a lot of variables that can impact business growth for recruiters. I agree. Read the rest of this entry »

Budgets: Recruitment Agency Challenge or Opportunity?

by Dave Nerz

image of calculator used in a recruitment agencyIn many parts of the world it is budget season and businesses are planning for 2014. Do you know how budgeting will impact your recruitment agency in the year ahead?

I have long considered this a great time of year to understand what kind of support clients will require from a recruitment agency in the year ahead. If I want to know if a client is planning to bring all recruiting in-house or if they will have no needs until the back half of 2014, it is so much better to know now.

I am in search of some recruitment best practices. How can a recruitment agency use this time of year as an opportunity?

  • What do you do differently this time of year when engaging a client?
  • What are the best questions to ask to open a client’s mind to sharing more detail with you?
  • Does anyone provide a historical summary of the business and positions filled in prior years?
  • Have you ever provided market data on salary levels to hiring managers in preparation for a future year?
  • Have you ever built a target list of positions to be filled and dates to be filled for a future year with a client?
  • Do you have clients that have a people budget, growth budget, talent acquisition budget?
  • What are your favorite cost savings ideas you suggest to clients as they enter the budget season?

So do you fear this time of year or do you embrace it as an opportunity? I hope this topics gets you thinking — please share your recruitment best practice!

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6 Ways to Minimize Split Placement Risk

by Veronica Blatt

image of a lightbulb representing recruiting resourcesSplit placements can be a lucrative and rewarding addition to your business mix. For recruiters who are making split placements without the benefit of a formal recruiting network or other recruiter organization, here are six ways to minimize split placement risk:

1. Get an upfront written (and signed) split fee agreement
The lack of a formal, written split-fee agreement is the number one cause of problems between split placement partners. Read the rest of this entry »

Build Your Recruiter Network – 5 Ways to Make Connections

by Veronica Blatt

image of tree bearing fruit to represent growth of a recruiter networkWith the skills shortage that is projected to last for a number of years moving forward, I believe employers will need skilled recruiting resources more than ever before. Independent recruiters will need to work cooperatively to quickly source the best candidates for their clients, which means you’ll need to invest time building a strong recruiter network.

There is a growing trend (at least in our membership) of smaller offices and more single-person recruiting firms, many working from home, which removes the traditional “built-in” recruiter network of co-workers. Working alone or in a very small office requires you to reach out to external recruiting resources.

Here are five ways to build your recruiter network:

  • Look for online recruiter communities in LinkedIn or other social media sites. Many recruiters are already active LinkedIn users. You can look for recruiting groups based on location or specialty, or start your own group that serves your specific needs.
  • Organize an informal Meet-Up or Tweet-Up to meet recruiters in your community. LinkedIn and Twitter both offer mechanisms for creating and publicizing face-to-face events. It can be as simple as getting together for an informal breakfast meeting at the local coffee shop.
  • Get active in your local / state / provincial / national recruiting association. Most associations are in constant need of volunteer support, and this can be a great way to meet other recruiters as well as taking advantage of professional development and educational opportunities.
  • Attend face-to-face conferences and educational opportunities. Virtual “connections” can be handy, but there still is no real substitute for face-to-face networking. There are myriad opportunities for these kinds of events, which are sure ways to build lasting relationships for your recruiter network.
  • Consider joining a formal recruiting network or other recruiting organization. These recruiting resources are often purpose-built for independent recruiters who share a common niche or geographic market. Many can provide infrastructure, business support and other recruiter resources which can create more time for you to spend on your core activities.

There are many other ways to build your recruiter network. It’s not important HOW you do it; what matters is that you have a trusted pool of reliable recruitment partners who can help you serve your clients quickly and effectively.

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7 Ideas to Help You Learn How to Make International Placements

by Veronica Blatt

image of world flags representing how to make international placementsIs international recruiting a part of your business mix? If the answer is ‘no’ or ‘not yet,’ it might be time to think about how to recruit internationally. Odds are good that your clients already operate internationally, even if you don’t know it. And the global talent shortage being what it is, the odds are similarly good that they could use a few good recruiters to help fill key international roles.

A question our own members often wonder as they begin to explore international recruiting is how to make international placements. It seems that many people think the process is wildly different when different countries are involved. The best answer might be, “it depends.”

Here are some points to consider about international recruiting:

  • Ask your clients if they have an overseas location, or are planning an international expansion. Then ask how they are filling key roles, and ask to be included in that process. On this point, the process is pretty similar to your other business development efforts.
  • Assuming you get the job, you’ll need to figure out what kind of candidates you can source. Does the client want to “transplant” skills from another country? Will they sponsor and pay for the visa? Do they want an ex-pat who is looking to return “home”? Do they want local talent, already familiar with the local language and business customs?
  • If the client is bringing in “outside” talent, you’ll need to understand the interview process. In-person interviews may not happen. Is the candidate interviewing with your local contact? Or the contact at the international location? What is the time difference? Do you have resources to help with video interviews, if needed?
  • If your client needs local talent, it could be difficult for you to source candidates. Business customs vary wildly, as do employment and privacy laws. Are you knowledgeable in these areas? With a significant time difference between countries, will you be able to easily perform phone screens? If not, you may want to consider a recruiting partner who can help.
  • A local recruiting partner can help source candidates, and will have knowledge of and experience with local laws, customs, language and other issues. Do you have such a partner? If not, do you have the recruiting resources to find one?
  • Will you consider a split-fee arrangement? In international splits, it’s fairly common to see variances from the typical 50/50 arrangement.
  • If you already have someone who can help you recruit internationally, have you considered what to do about future opportunities? If you’re putting a “partner” in touch with your client, make sure you have a clear written agreement between you and your trading partner about how future openings will be handled.
  • You may wish to seek out a formal recruiting organization that knows how to make international placements. There are trade associations such as NAPS in the USA and RCSA in Australia that can help you understand the local employment laws. Joining a recruiting network can be another way to help you get connected globally.

International recruiting can be a lucrative and rewarding addition to your business mix, but there can be a big learning curve. Taking the time to learn how to make international placements in advance can save you a lot of hassle.

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5 Mistakes Independent Recruiters Shouldn’t Be Making…But Do!

by Veronica Blatt

image of yield sign I think there is a combination of things that come into play when independent recruiters are looking for candidates – sometimes it takes alignment of the stars. I don’t think I would say luck plays that much of a part in the process (mostly because I don’t believe in luck), but I would say that things have to line up just perfectly in order to fill that purple squirrel position. I often write about things that independent recruiters can do to give themselves a better chance of making a placement but today I’m going to write about mistakes recruiters make that will keep them from making a placement. Read the rest of this entry »

5 Ways Split Placements Can Benefit Your Recruiting Firm

by Veronica Blatt

image of sandwich cut in half to represent split placementsNPA has been in the business of fostering split placement opportunities since 1956. Obviously we are big believers in splits, since that’s the very reason for our existence. If you haven’t considered integrating split placements into your business model, here are some reasons you should:

  1. Split placements can help level out cash flow fluctuations. Splits are good for business in all kinds of economic conditions because they provide incremental revenue that stabilizes seasonal or cyclical revenue fluctuations.
  2. Split placements can allow to you work on more projects simultaneously. A split fee recruiter can complete more projects. More completed placements means more satisfied clients and more profitability.
  3. Split placements help you serve your clients faster and more efficiently. The most successful recruiters I know are those whose sole desire is to get the best candidate in front of their client faster than anyone else. By building a reputation as the “most reliable provider” they are guaranteeing future business.
  4. Split placements can help you expand your scope of service in terms of both geography and occupational or industrial markets. Participating in split placements means you can help your clients with a wider variety of assignments, whether that means branching out geographically or different types of roles.
  5. Split placements offer an affordable alternative to hiring additional recruiters in your recruiting firm. Instead of hiring a new recruiter or investing resources in developing a new niche, you can reach out to trading partners who are already established experts. Best of all, there is no ongoing overhead – you simply pay for their services when you need them.

If you’re interested in adding split placements to your business model (or increasing the number of splits you currently make), there are two primary ways of doing so. One way is to relentlessly build your own network of like-minded recruiters that you can trust and who work the same way as you. You’ll need to spend time creating a split fee agreement, upfront, each time, to ensure your client and candidate relationships are protected. The other way is to join an established recruitment network. Split placement networks bring you a ready-made cadre of trading partners, infrastructure and ground rules governing how splits will be made, and dispute resolution if needed.

NPA offers a free tool to help you determine if joining a split fee network could benefit your recruiting firm. The NPA self-evaluation tool is anonymous. NPA does not capture any of the data you submit so you won’t get any phone calls or emails as a result of filling out the questionnaire.

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Changing Your Recruiting Niche

by Veronica Blatt

image of shift key representing a change in recruiting nicheToday’s post is from Russ Bray with Southern Recruiting Solutions in Tampa, Florida. Russ is a two-time member of the NPA Board of Directors, as well as a long-time member of the network. Southern Recruiting Solutions specializes in placing professionals in the chemical, oil/gas, and manufacturing industries throughout the U.S.

In 2012 I thought it was time to challenge the old axiom, “you can’t teach an old dog new tricks.” I had been working in the information technology and aerospace / defense recruiting niche for over 25 years. I found myself worn out and not collecting a lot of fees. My clients seemed uncooperative and the jobs seemed stale. Same old, same old. I decided it was time to change my recruiting niche. Read the rest of this entry »

What causes turndowns, and what can an agency recruiter do about it?

by Veronica Blatt

agency recruiters participating in salary negotiationsIt’s no secret that top talent is scarce in many (most?) employment sectors today. Candidates are receiving multiple offers, including counteroffers from their current employers, at a level (and ferocity) which we haven’t seen or heard of in quite some time. In turn, this is leading to a significant increase in turndowns. There are multiple factors at play during the offer stage; here are a few that contribute to turndowns. A good agency recruiter can be a crucial piece of the puzzle, helping two sides reach a fair deal. Read the rest of this entry »

Recruitment Agencies Can Save Time with Video Interviews

by Dave Nerz

image of recruiter conducting a video interviewEmployers and recruiters alike are using web-based job video interviews to screen candidates for employment or to make hiring decisions. While this is not new, it seems that many recruitment agencies are not keeping up with this trend. There are many great tools out there that help facilitate these interviews ranging from Skype, a generic video chat tool, to InterviewStream or HireVue products made specifically for employers and recruitment agencies.

As with many new technology trends, the use of these tools was at first most prevalent with the high-tech companies and those with large global hiring needs. Global recruiters and recruitment agency networks were also early adopters of the video interview concept. These tools allow hiring managers to view the video interview and create a short-list for fellow managers to offer feedback. The ability for each manager to see the same questions, presented identically and then responded to by each candidate, is a great leveler of the playing field. For the employer, video interviewing can save time and expenses, by reducing travel costs and the time for meetings and interview sessions. For recruiting agencies it can save much monotony and vast quantities of time.

Our global recruiter network has been searching for a new service provider in Australia, so I figured I would give the video interview a go. I used the InterviewStream product for RolePlays and it was quite simple, fairly intuitive and while not a huge time saver for me, it saved much time for the candidates and for those I wanted to engage in my selection process. I did a more typical phone screen followed by just 3 simple questions to each of my four finalists. Their answers were recorded and it allowed me to share these recordings with two Regional Directors that would otherwise just have to go with my best judgment. It also allowed me a second benchmark to follow-up on my initial phone screen. The results were not altered by the video addition, but it did offer me greater confidence in the decisions I had made.

If you are a global recruiter, I really don’t know why you wouldn’t experiment with the use of video. Those annoying 20-minute interruptions from potential candidates on the phone could go like this…”I’m interested in your abilities. I place candidates like you in good jobs frequently and would like to learn more about what makes you unique and able to be placed with my employers. Would you mind taking 10 minutes to provide me some background on you? I will send you a link and you can respond to my video-recorded questions with the specifics appropriate to you. Since the interview allows for you to redo any answer you feel you got started incorrectly, this allows you to put your best foot forward from the start. Once I have reviewed your responses, I can tell you if you are a good fit for my practice.” Positive for you and positive for the candidate. Since candidates will need to have better skills in this area in the years ahead, you are likely helping that candidate prepare for the way the world might work.

Tell me why you wouldn’t use video or what concerns you about the use of video by recruitment agencies?

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