The Spectrum of Recruiting

The Spectrum of Recruiting

Most recruiting firms are somewhere in the middle of the recruiting spectrum. At the top of the spectrum is the recruiter who convinced Lou Grishner to leave American Express and take on the role of CEO for IBM. I was told that this recruiter received $250K and that the deal was consummated by cell phone in the recruiter’s living room.

These kinds of deals are:

• Low volume, high margin
• Very personal in nature, relationship building is a key to success
• Candidate personality traits are more important than skills match
• Candidates are unique and precious
• Candidates are met face to face every time.
• Lots of face time with both client and candidate
• Candidate is often put through psychological evaluations
• Significant research of the candidate’s background is conducted
• The job is “sold” to the candidate, sometimes requiring months of “selling” before candidate agrees to meet with the client
• The job description is carefully presented to the candidate
• The financial terms are presented to candidate very carefully, very controlled method

At the bottom of the spectrum are the very large global Staffing Companies (such as Manpower) placing minimum wage warehouse workers.

These kinds of deals are:

• High volume, low margin
• Impersonal, transactional – no "face time" required
• Candidate personality traits are not relevant
• Candidates are readily available, viewed as interchangable
• Candidates are often not met before sending to client
• Candidate evaluation is typically for drugs and criminal convictions
• Candidates are eager to accept the job (no selling required)
• Compensation is simple and presented as mater of fact. No negotiation required.

It would not be smart or cost effective to use the recruiting procedures required for the top end of the spectrum for jobs at the bottom end of the spectrum. But, the client naturally wants that level of service for the same price as the lower level. Welcome to the world of contingency recruiting. Unrealistic expectations all the way around.