Are Executive Recruiters Worth It?

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Addressing Common Misconceptions About the Value of Talent Acquisition in the Hiring Process

It’s Q1 and you’re working with a new hiring budget for the year. You have a lot of hires you need to make, and may be overwhelmed with the state of the market. Maybe you’ve considered engaging with a talent agency – but you’re uneasy. You’re asking yourself, are executive recruiters worth it? You want to protect your money, but also your time. You’re nervous about the transactional stereotypes surrounding bad recruiters, and are hesitant to take the leap.  

All of these common questions and concerns are totally reasonable. Being curious and calculated is just good business! Let Blue Signal set the record straight and help you determine if hiring a recruiter would make the most sense for your current search.  

 

Job Ads Are Free – Why Should I Pay a Recruiter to Find Applicants? 

Chances are you’ve posted your open role online somewhere. Your results are mixed – and you’re either getting flooded with ill-fitting candidates or have received next to no applicants. You wrote the job description to the best of your ability and are stuck. You’re left wondering how paying a recruiter to “do the same thing” will help.  

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This is one of the biggest misconceptions when it comes to recruiting. Executive recruiters are able to add value to a search even before sending you resumes. Successful professionals leverage relationships with recruiting firms to stay on top of their industry, and gain insight into the market before it changes. By employing a specialized recruiter in your industry niche, their social media following and network of professionals gets your open req in front of the right audience at the onset.  

Simply put, leveraging a recruiter when advertising a role ensures access to their fine-tuned network of professionals. Talent acquisition firms are built on applicant tracking systems (ATS), and take years to properly build out. With this log of qualified talent, working with a recruiter gives you access to both active talent – or applicants looking to make a move – as well as passive talent, i.e. people who aren’t necessarily looking for a job change.  

Passive talent is usually succeeding in their current role today, giving you access to top performers that you may have otherwise missed. Additionally, recruiters have the experience and insights needed to help separate the value from the fluff. For example, specialized IT recruiters know what certifications will help you in your modernization and business transformation journeys, and HR recruiters will know what certs are needed to keep those projects all on track. They’ll be able to judge resumes and CVs accordingly, and only send you the best of the best.  

Perhaps you know what you are looking for but are unable to advertise a role or target the candidates you truly want. By leveraging a recruiter, you are able to confidentially conduct searches and have a middleman representative between you and competitors in your space. This opens doors to more hiring possibilities! By allowing a recruiter to market your role, you’re keeping your reputation intact among your own customers and peers.  

In fact, marketing a role is half the battle. Executive recruiters are master marketers, and know how to best sell a candidate on an opportunity and employer. Because talent acquisition is a fine balance between B2B and B2C sales, recruiters know just how to address the wants and needs of their B2C clientele. The candidate experience is just as important to your own process when hiring in a candidate-driven market, and recruiters are trained to navigate it daily. They will deploy different strategies – attracting particular industries, professions, even generations – to get you the candidate you need.  

Moreover, the talent acquisition world is changing daily. Executive recruiters have access to and are constantly working to master new technology in this space, especially as it surrounds job ads and applicant tracking. Artificial intelligence (AI), machine learning (ML), and automation are making an impact within talent acquisition just like every other industry. As the digital landscape of recruiting continues to evolve, recruiters will play a key role in supporting their clients as they learn new technologies, counteroffer techniques, and recruiting strategies to keep them ahead in the 2020s.  

 

Okay, But I Can Screen Applicants – Why Should I Have a Recruiter Interview My Candidates?  

Interviewing applicants is much more involved than a 30-minute phone call. Recruiters can help you manage all the moving parts. They will screen CVs and conduct the initial candidate intake for you, ensuring that the candidates that make it onto your calendar are prequalified for the position. Then, they offer support through the entire process – including interview coordination, reference checks, candidate management, and salary negotiations. Executive recruiters act as project managers throughout the interview process, prioritizing success for all involved.

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With candidate retention guarantees, it doesn’t benefit a recruiter to make a match that won’t work and then in turn, have to start the process over. Recruiters are invested – and your success is their success! When leveraging a recruiting firm with placement guarantees, you protect your investment for the first 12 months of their employment. 

However, you’ll never make a hire from an executive recruiter without determining fit for yourself. A recruiter can help there, too! Executive recruiters know what questions to ask to uncover information, and can help coach you through the interview process. 

Understandably, candidates tend to open up to recruiters differently than they would to a potential employer. With information coming from a 3rd party, they may trust recruiters’ input more than information coming straight from an employer, too. Because executive recruiters also represent the candidates’ best interests in the hiring process, they are able to uncover the candidate’s true drivers, must-haves, and qualifications. Whether it’s supporting long-term career goals, aligning core values, or negotiating pay – a recruiter can properly suss out a candidate’s needs.  

Let’s use the compensation example. To be considered for the role, a candidate may feel like they have to give hiring managers an agreeable answer, rather than being forthcoming about their true financial needs. Alternately, they will tell recruiters their honest salary expectations and a recruiter can represent them accordingly. If they are out of your budget, they  can move on with no time wasted. If they are, both parties can move forward knowing that they are well matched while maintaining traditional interview etiquette. No more losing out on candidates at the final offer stage!  

 

That Does Sound Promising, But Why Do Executive Recruiters Cost So Much? 

It does seem counterintuitive to save money by spending it to bring another party into the hiring process – but the proof is in the results. So much so that most executive recruiters will actually work for free, and will only bill you once a placement has been made. Let’s break down that value-add.  

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The majority of hiring managers are not solely responsible for hiring. Because of their normal duties, how much time are they feasibly able to contribute to the hiring process? And how much does that hinder their official responsibilities? In 2020, upper management and C-suite positions took 20% of companies more than 3 months to hire. In one study, 67% of respondents said it takes between 30 minutes to 2 hours just to schedule one interview. To cover for an absence in the team, write and post a job description, review applicants, schedule interviews, conduct interviews, and to actually make a hire can take up approximately 100 hours of a hiring manager’s time per hire. Meanwhile, a recruiter’s entire 9-5 is devoted to a search. This can reduce your team’s time spent by about 70%.  

Additionally, hiring a recruiter can offer exponential cost savings. 76% of hiring managers admit to recruiting the wrong candidate for a role, essentially making at least one bad hire per year. According to the US Department of Labor, the average cost of a bad hire is up to 30% of the employee’s first year compensation. This can result in as much as $240K depending on the role and company. When you also consider a 12-month placement guarantee, a recruiter fee seems like a fair investment to ensure your new hire pans out. Employing a recruiter helps lessen your chance of a costly bad hire.  

Finally, a recruiter’s expertise offers immeasurable value in a search. As experts in your industry niche, they will be able to provide insights into the market and your competitors’ movements that you won’t find online. They can define typical salary ranges for roles spanning several industries, locations, job functions, and skill levels. As hiring professionals, they are constantly in the business of knowing what companies are hiring, what companies are losing talent, and why. Executive recruiters are able to represent candidates without you “poaching” from your network, allowing access to otherwise unobtainable talent. The list goes on and on.  

 

Ultimately, Why Should I Work with a Recruiter?  

As a 30-second elevator pitch, we could talk about how executive recruiters help you save time and money. However, the real value comes from what executive recruiters bring to overall business strategy. They can help inform you about your industry’s movements, what your competitors are doing when it comes to hiring, trends you should be aware of, and changes in the market you should prepare for. Successful recruiters provide companies with more than a warm body for an open job.  

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When considering whether or not to take a recruiter’s call, consider the value of a long-term partner. A good recruiter will help advise you no matter how long it’s been since a placement was made. Having access to these insights is just good business, even when you’re not actively hiring. Recruiters share their clients’ successes, and are passionate about making these matches. After all, recruiters change organizations – as well as people’s lives and careers! – for the better.  

When it comes to selecting a recruiter, make sure to engage with relationship-based recruiters that are invested in the future of your company. At Blue Signal, we’ve set out to disprove the bad industry reputation that has resulted from transactional recruiting methods. As your partner in the process, we hope to make a long-lasting connection that benefits your organization beyond filling a role.  

Recruiting Across Different Generations

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The Generational Divide: Recruiting Employees Across Different Generations

Today's workforce currently includes four generations: Baby Boomers, Generation X, Millennials, and Gen Z. With so many differing ideals and motivators, avoiding conflict and fostering cohesion between these age groups is essential. To create a robust and diverse workplace, examine your recruitment process, job advertising, employee benefits offerings, and internal culture to ensure that you’re attracting and retaining the best talent.

 

What Differentiates the Four Generations Found in the Workforce Today?

Generations are demographic groups arranged by birth years that are often defined and affected by significant cultural or historical events within their lifetimes. For example, the Greatest Generation (born in 1901 – 1924) lived through the Great Depression and World War II, whereas Baby Boomers (born in 1946 – 1964) had the 60s counterculture, civil rights movements, and the Vietnam War that set the tone within their lifetimes.

Technology and the internet are significant factors for the four most recent generations currently in the workforce. Boomers adopted technology as older adults, while Gen X (born in 1965 – 1980) was the first to have access to personal computers. Meanwhile, Millennials (born in 1981 – 1996) and Gen Z (born in 1997-2012) are "digital natives" who have had internet access for most, if not all, of their lives.

Differentiating the Four Generations

Recruiting Boomer, Gen X, Millennial, and Gen Z Talent

When setting up your digital recruitment strategy to attract diverse and talented employees, you'll want to reach your target audience where they are and keep job seekers' goals in mind while marketing the position to candidates. For generations across the board, you can feel free to forgo print media. Boomers might not be digital natives, but most have smartphones, and many are active social media users.

In addition to platforms like LinkedIn and third-party job boards, consider mobile and SMS advertising. Using various media tactics and communication channels such as social media goes a long way toward maximizing your recruiting potential across different generations.

 

Best Practices for Advertising Jobs & Benefits to Multigenerational Candidates

While there is no one-size-fits-all approach to enticing candidates with job descriptions and benefits, certain perks attract some age groups more than others. Appealing to job seekers by their generation can help you advertise your position and communicate to potential hires with exactly what your company has to offer.

Advertising Jobs to the Four Generations

Use the following list as a general guide to what each generation finds appealing in terms of work, company culture, and benefits:

Baby Boomers

Less concerned about company culture, most Boomers want to know about day-to-day duties and how their experience can contribute to the organization. They like to hear about the why behind decisions, and how the results of their actions will support company success. These job seekers are looking for stability, good healthcare benefits, and the potential for flexible hours as they get closer to retirement.

Generation X

Most Generation X candidates will be looking for growth opportunities as well as professional development and clear paths to promotion. Work-life balance will also be important as job seekers in this generation may be caring for aging parents or children. Healthcare and good retirement benefits have strong appeal for this group.

Millennials

Company culture and ethics are important to this age group. Most Millennials want to work for businesses they can believe in and trust. They thrive on social connection and want to work for companies with strong internal culture. Perks like working from home, free lunches, and gym memberships, in addition to affordable healthcare and flexible PTO, attract this generation.

Generation Z (Zoomers)

Much like Millennials, the ethics of your company will be important to Gen Z. They'll want the same perks as their Millennial counterparts and typically thrive in all-digital environments or work-from-home setups. Conversely, they will not pay much mind to company culture, as long as they are treated as equals amongst peers.

Hiring managers might not be able to offer benefits that appeal across all of these demographics. However, including the benefits and perks your company offers, providing insight into day-to-day work tasks, and adding an overview of your office culture in your recruitment efforts goes a long way toward attracting a diverse workforce.

 

Hiring the Right Candidate

When looking to add a diverse mix of people and generations to your company, the bottom line is that you want the best of the best in terms of talent. While tailoring your recruitment advertising to attract multigenerational candidates is essential, at the end of the day, you want the best person for the job. So regardless of a candidate's specific generation, look for the following traits and concepts when making a hire:

Preparation 

Regardless of a candidate's generation, job seekers should be informed and ready to talk about your company. Not only should they be able to give detailed answers about the business, its background, and its purpose, but good candidates will also have company-specific questions prepared for the interviewer.

Zeal

Look for job seekers who are genuinely interested in the position. Have they done any research into your industry? How are they keeping up with trends and technologies in this area? Employers can train skills, but you can't teach enthusiasm. Therefore, candidates who display eagerness and a drive to succeed in their field or career are ideal.

Suitability

Emphasizing company culture in an interview has two main benefits. First, noting the values and mission of your company will strongly appeal to Millennial and Gen Z candidates. Describing these dynamics and seeing how a candidate reacts can be very telling. Second, specific, detailed interview questions about how the candidate embodies or believes in these same values and mission of the business can help you determine which candidate is the best fit for your team. All the better if the candidate has questions of their own regarding culture, allowing you further insight into what their role would be in the team’s structure if brought on.

Initiative

Beyond training, potential employees need to be very self-motivated to fulfill their roles. Working from home and performing tasks with little supervision is the new normal, and employees will oftentimes have to figure things out for themselves. Asking interview questions about how candidates have taken initiative in the past or have thrived in a role with low supervision can help you make an informed hiring choice.

 

Best Practices to Support a Diverse Team

To support a multigenerational workforce, managers need to encourage a proactive office environment that promotes inclusion. By catering to different communication styles, offering two-way mentorships, emphasizing respect, and avoiding certain assumptions and stereotypes, companies can reduce conflicts due to different age groups in the workplace.

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Varied Communication Channels

One factor that differs among all four generations is their communication preferences. For example, Baby Boomers often favor calls or face-to-face meetings, while many Millennials and Zoomers might prefer text or video chats. To bridge the gap and create a collaborative workspace, offer a variety of in-person meetings, calls, chats, email, and social media so everyone can use their favorite communication methods or explore new options.

Reverse Mentoring

Setting up two-way mentorships among people in different age groups has several benefits. The concept centers on both parties sharing what they know with one another without a power struggle. By pairing an older worker with a younger employee, one might gain insights from the other's extensive experience while inspiring a more tech-savvy approach to problem-solving.

Respect

Respecting workers regardless of age should be the cornerstone of your workplace culture. Acknowledging that both Boomers and Millennials have a wealth of knowledge and talent to bring to the table can break stereotypes. Placing value evenly among Generation X and Zoomers can encourage collaboration. Treating all generations as equals will strengthen relationships among colleagues.

Avoid Assumptions

Assuming what people want, based either on your own generational view or preconceived notions about others, can throw off the balance of your workplace. Instead of guessing that a younger worker might want more vacation time as a benefit rather than working from home, simply ask them. As an overarching rule of thumb, by talking with employees and finding out about which incentives/benefits, processes, or communication styles they prefer, you are more likely to retain your staff and avoid leaning into stereotypes based on age.

Mix Things Up

Fight the urge to group younger employees together with the assumption that they'll work well together or get along better. By allowing your office to settle into a natural mix, with younger and older employees working side by side, you can encourage communication and collaboration. Let workers find what they have in common on their own and discover the strengths that each individual and group brings to the table.

 

Beyond the Generation Gap: Life & Career Stages

Some studies suggest that the four generations' values and preferences really aren't that different, despite popular opinion on the matter. In fact, the Society for Human Resource Management (SHRM) suggests that career and life stages play a more significant role in workplace relationships and management.

For example, apartment dwelling Zoomers and Gen Xers who are single with no kids may have more in common, along with similar goals and needs, than a Boomer or Millennial with a mortgage and a family. A person's life stage is another way to define someone beyond their generation.

Similarly, Boomers who are changing careers and Zoomers fresh out of college both have to figure out how to navigate modern hiring processes and online interviews successfully. These employees may also seek out promotions to advance their new careers and increase their salaries. While appealing to the wants and needs of each generation can help recruitment, similar life and career stages often transcend differences between age groups in the workplace.

 

Resources for Recruiting Generations Across the Spectrum

Whether you’re looking to hire Baby Boomers, Generation X, Millennials, Gen Z, or just need the best of the best, leverage a recruiter. Recruiting firms are experts at navigating the constantly changing landscape of the job market. It’s a recruiter’s duty to represent people based on skill, looking beyond gender, generation, race, ethnicity, etc. When looking to create a robust and diverse workplace, consider engaging with a firm like Blue Signal to truly strategize your recruitment process, job advertising, employer branding, and so much more to attract and retain the best talent – no matter their generation.

 

About our Contributor, Hazel Bennett: Hazel Bennett is a freelance writer and blogger. She has a degree in communications and lives in Northeastern Ohio. Hazel loves writing about numerous topics and showcasing her expertise with words.