Executive Search - Simply Put!

Introduction

In the Marstan Guide Introduction to Business Management we said that the way in which organisations recruit can have a profound impact on their level of success.

In the Marstan Guide HR Management - Simply Put! we said that recruitment is an essential HR function which helps to secure the best people to do the job at the right market rate.

In the Marstan Guide Methods of Recruitment - Simply Put! we said that Executive search, often known as “headhunting”, is an appropriate and powerful method of hiring for unique or key vacancies – particularly senior level executives.

What is Executive Search?

Executive search is a means of identifying potential candidates independent of advertising, utilising research to find highly specific skills against a given brief.

Why use Executive Search?

As we said in Methods of Recruitment - Simply Put!, direct advertising and agency recruitment are viable methods of recruitment, but to some degree there is an element of chance about them. For example:

• The advertisement has to be placed in the right publication.
• Suitable applicants have to have read that particular edition of the publication.
• An agency has to have the right people on their database.
• The most suitable candidates have to be looking for a job just as you are looking to fill a vacancy.

These methods are fine when the standard required is “average”, but there are some posts where it is not enough to have a “qualified person”. Instead you need the “most qualified person”. For such roles, the impact on the whole organisation can be profound and is the difference between success and mediocrity.

How does Executive Search work?

Retained executive search consultants work under an exclusive contract with the client organisation. Their priority is to identify the best candidate for a particular job and to make the very best client/candidate match. The majority of individuals identified in a search are not actively seeking a new job, but are identified through a process of research as the most viable candidates. In addition, a retained search consultant will never present a candidate to more than one client at a time, and will not accept fees from individuals for the purpose of helping them find a job.

Managed appropriately, a retained executive search exercise should allow organisations to gain access to the very best, not just the best available or most obvious candidates. The process itself should provide an open, auditable and controllable solution, where a client is able to access and verify information that can often provide valuable market insight and add value to the core service.

Executive Search in practice

A well managed project should be run in a professional and logical manner, ensuring continuity and consistency of results. As a broad guideline, you should expect an assignment to follow a path similar to the one outlined below.

1. Definition

   Working closely with the client, a search firm should quantify and qualify the skills needed to do the job and the reasons why these are important. Consultants should give advice on availability and remuneration of potential candidates and provide a clear indication of whether the opportunity presented is sufficient to attract the quality of candidate needed.

2. Confirmation

   A full and detailed assignment specification should be presented and agreed ahead of any research, clearly outlining the company, the role and the parameters of the search.

3. Research

   Either conducted in-house (which provides a greater degree of control and involvement) or outsourced to a third party, the research should be thorough, detailed and well communicated. On occasion, the research will be limited to direct competition, although consultants are often able to advise on less obvious areas, where the required people and skills may be “hidden”.

4. Approach

   This part of the process is critical. Potential candidates should be approached directly, professionally and in complete confidence; detailed information should not be given over the phone. Quite simply, an appointment should be made to meet at a convenient time and place to discuss an opportunity.

5. Interview

   It is imperative to establish the absolute suitability of the candidate by thorough screening. Candidates should be interviewed prior to any client information being divulged; if they are suitable then it is the role of the consultant to present the opportunity in an accurate but exciting way.

6. Shortlist

   On completion of interviews, a shortlist of the strongest candidates is presented to the client. Typically, this will include detailed resumes with a full debriefing of the initial interview. Advice on salary, benefits and other factors are also passed to the client in order that they are fully prepared for their interviews.

7. Client Selection

   At this point, the search company should act as intermediaries, obtaining feedback after interviews from both parties, enabling the client to ask additional questions to gauge commitment.

8. Securing the Candidate

   After an offer has been made, consultants should work closely with both parties to avoid any problems concerning notice period, contract and counter offer etc. This ensures that the first selected candidate starts with a client and systematic communication following the appointment will ensure that recruitment objectives have been exceeded.

How to choose your recruitment partner carefully

Executive Search or “headhunting” is not new; it has been around in one shape or another since the Second World War. It is, however, greatly misunderstood; recruitment agencies have become “search and selection consultants” and terminology has further confused the picture. In truth, the vast majority of companies who purport to be headhunters are little more than database driven job agencies.

Furthermore, the “old school” approach of the headhunter’s book of contacts is highly inappropriate for the high selection standards needed in today’s difficult trading conditions. A properly conducted search should be meticulous in the extreme, where each assignment is started afresh, with every relevant organisation examined and every possible candidate investigated.

You should take the time and effort to ensure that you fully understand how the search will be conducted and by whom. Make sure that you are aware of the terms and conditions associated with the project and look for any guarantees – reputable companies will often provide a free of charge replacement to protect against any unforeseen incompatibilities and should certainly provide an off-limits policy to all clients. Look for hidden costs (some search organisations charge against candidates’ full remuneration package, others against basic salary alone) and make sure you are always comparing like for like.

Summary

When used intelligently and appropriately, retained executive search is a very effective means of securing key individuals who can potentially add a huge amount of value to your organisation. Be aware of how and where it might benefit you and headhunting could become a valuable weapon in your strategic arsenal.