Types of Recruitment

Client Driven Resourcing

With the proliferation of internet job boards and cheap internet advertising many clients use this as a first approach to recruitment.  In addition, we see clients with large recruitment needs building their own in-house teams of recruitment specialists who use the latest technology to track and locate suitable candidates.

Using company or commercially available job boards, together with in-house databases and candidate tracking, is an extremely effective tool for volume resourcing at middle to junior levels.  It has the benefit of immediacy and the cost of candidate acquisition is very low.

In times of candidate oversupply this is generally the most cost effective way of generating candidates.

Recruitment Companies

The shape of these organisations has changed with technology. It is now easy to set up a credible recruitment company with a simple database and cheap-to-access candidate generation media.  As a result there is a plethora of choice of recruitment firms. The majority of firms in this space operate at middle management and below, that is earnings up to about £100k.

To be successful in this area, firms need to be competent at managing a fast moving and volume business.  Fees for this kind of work vary between 20 and 30% of first year earnings.

There are two forms of contract with recruitment companies, with several variants on the same theme.  The first is fully contingent and the second is commissioned or retained.  Contingent work means that the client pays nothing unless a suitable person, introduced by the recruitment company, is hired.  Retained means the client pays all, or more usually part of the fee, irrespective of whether or not a person is hired.  For more thoughts on how these contracts work see here.

Search Companies

In essence Search or Head Hunting means ….

  • researching and finding highly successful people with the skills and experience for the client vacancy,
  • approaching and persuading them to change jobs.

The key difference between Search and other forms of recruitment is that candidates/targets are not generally looking for a job and therefore are unlikely to appear on any database or apply to any job advert.  There is no secret in how the targets/candidates are found; it is good old fashioned research, massively helped by the internet, together with accessing good contacts and existing networks. Ask your search company how they conduct their research and then check out from this link ADD’s research access,

Once a target/candidate has been identified they have to be approached with a compelling proposition. This is a critical part of the process and needs to be handled with great professionalism and skill.  The selling and assessment process follows before, finally, a candidate is presented to the client.

Fees are usually based on a retainer, typically a percentage of first year earnings of the candidate appointed -most frequently 1/3 of first year earnings.  In most cases the total fee will be payable in three equal stages. At ADD we prefer a different approach

This type of candidate acquisition is best used for highly targeted recruitment of hard to find specialists and is most appropriate for senior hires perhaps where a degree of discretion is required.