Tuesday, March 9, 2010

Where Have All The Recruitment Consultants Gone?

OK so I'm pleased that almost all firms are back on a recruitment drive and the vacancy market (from a rec-to-rec perspective) is buoyant. What I'm not so pleased about is the apparent lack of good quality people out there! Whilst demand seems fairly high for management posts I think we are really only now seeing quite how many people at the grass roots level have in fact left the business - in most cases probably never to return.

A very long in the tooth rec-to-rec professional of my acquaintance recently told me they haven't seen such a skills gap in 20 years.

This leaves firms with a dilemma. Do you simply cope with what you currently have till the right person comes along, putting pressure on existing teams and managers? Do you lower your standards and accept that the creme you want isn't out there so second best is OK? Or thirdly do you change your policy, take in raw trainees and accept the time lag in performance and development, not to mention the cost and attrition that this brings?

Not an easy one. I suspect the answer is a little bit of all three, depending on where you sit in the marketplace. More on this to follow.

6 comments:

  1. Hi Duncan, I am enjoying your blog, and totally agree with 99% of what you say its really refreshing to hear a good perspective of the industry for once!

    So where have all the good recruiters gone?

    I moved away from Bristol, the mecca in my opinion of recruitment, yet seems to struggle with a recruiting good quality recruitment consultants. And not just Bristol, the country has this problem.

    There is, I feel about 3-4 reason why there is such a skill shortage.

    • Bad training - Staff retention
    • Poor Management
    • Current market - clients are getting very wise to recruitment.
    • Unrealistic targets and poor commission.

    The recession has made a lot of recruitment consultants go from top billers to nothing over a space of months. I think its brought a lot down to earth and made them feel "mortal". So some are scared to leave there 4-5 clients that are bringing in just enough money to justify staying at there current job, and thinking "hay that grass, isn't greener over there... its the same"

    Also, Recruitment consultants, Account Managers and other billing staff are getting sick and tired of the utter BS that management is producing these days. Managers forget that RC's are the bread winners in their business, they create the money for that spread sheet they stare at all day. They don't need pressure from managers as the market has its own pressures and pit falls.

    Most RC's work well with out constant micro management via KPI's and "reviews" (which are almost pointless). The inflexibility of most managers is staggering... they create problems rather than solve. A damn good RC can recognise their market and place themselves at the right place at the right time. What I call "Logical recruitment", not this spin of, call after call after call after call after call after call... OH I have landed a job! - but I can't fill it cause I have no candidates - because I spent all my time doing really bad BD. But my KPI's says I got to do 50 BD calls this morning, then find candidates and advertise jobs, and place 6 people by the end of the week, If I don't I will be "managed out" or sacked what us "mortals" call it.

    A small number of consultants in the country can achieve the KPIs companies are spouting about, the one in ten principle. RC's are the future of your company, and need to be treated like the MD not the WC.

    So moving to the Midlands has shown me its not a local problem in recruitment, but a national crisis. MD's and Managers are living in a land that KPIs produce results, and treating consultants like second class citizens.

    A good consultant can produce good results in say 6-12 months, then break even. Its a bit like that saying that all people setting up business are told - about 50% of business fail in the first year. so half of your new consultants will fail and the other half will break even. That one in ten will produce something near to what your expectations are.

    What's the future for recruitment? If business are going to go down the Trainee consultant route to fill the gap, they need to be wise, and afford to make big changes in there business. See the most successful businesses is the one that forward thinks, that has long serving staff and can trust them. This will always equal to a good client base that will always be profitable. If you have a team of consultants doing 50BD calls a day and have a staff turn over of 90% or near that.. your that agency that is always struggling for staff.

    I am back working for a company I worked for 3 years ago, I am glad I am back as they are forward thinking, they don't pressure me on KPI's. They have given me a target and regular reviews, were I can Air my opinions. And left to manage my business. My area manager said to me the other day that she can trust me to get on with it. That was the best confidence boast I have ever had - and its produced some of the best results in my career to date.

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  2. Thanks Mark, excellent comments, and I'm glad you're enjoying the blog, feel like a regular slot?

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  3. Mark

    Blasphemy !!!!

    Any more postings like this and hundreds of line managers & Directors will be out of jobs.

    Still, the upside (because there always is one) is that Duncan will have a plethora of candidates to fill all of those management and director posts !

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  4. That is if there were any management and director posts at the moment - which there don't seem to be many.

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  5. Hi Anonymous, I am saying it as I see it.

    That's a good point about Management positions in recruitment. Is there not many around for the reason they promote within? or are agencies starting realise that most management level personnel is not needed in a business?

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  6. http://wave-recruitment.blogspot.com/2009/10/profit-at-all-costs.html

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