Recruitment companies globally can be broken down in to a series of specific groups and sub groups according to the service or combination of services that they provide, though most of which can and will be termed ‘Agencies’ as a general rule. Even internal recruitment is effectively an agency. It is worth noting though that the terms Recruitment and Agency, are often viewed as derogatory by both the employers and jobseekers that may or may not use them, though the boldest in the industry willfully wear these terms like a badge of honour.
For the purposes of palatability though, and distinction in marketing themselves, many recruitment organisations large and small have voluntarily redefined themselves as Staffing Companies, Resource Providers, Human Resource Consultancies, Human Capital Management, Recruitment Process Outsourcing Consultancies, Vendor Management Firms and any combination of these that does not include the words Recruitment or Agency. Recruitment is a bad word, and recruiters are often viewed in the same light as lawyers and used car salespeople.
Regardless of what recruiters choose to call themselves to open and maintain the lines of communication to existing and potential new customers, the reality is that excellent recruitment, whether internal or external, and regardless of how it is done or who does it, is an absolute necessity for any market leading company to maintain its competitive edge. You won’t grow if you don’t recruit the best people.
Despite some historical bad experiences with recruitment, the Recruitment Industry continues to grow globally, and by default provides the single most valuable service that most employers need; access to the best people available on the market, people that will help companies to deliver their products and services and allow the company to maintain market position and growth.
It is with a high degree of certainty that the vast majority of bad recruitment experiences can be blamed on inadequate delivery processes at all points in the recruitment process and hence, in many cases, inadequate software products. If your company has had a bad experience with the recruitment industry, you should ask yourself if it is your own fault. Do you have the right processes in place? Are you blaming recruiters for your own failure to set up adequate processes?
Recruitment people face two sets of customers, one of whom is their ‘product’, the other is the buyer; the employer or hiring manager. There are few if any other similar or identical industry scenario’s that have this unique situation of having people in both directions as the ‘Customer’ and ‘Product’, and who are both ultimately trying to sell themselves in the best possible light. Both have a commodity to sell to each other through the recruitment introducer, whether an agency or internal. The product in the case of recruitment has a brain and a mouth, they are not afraid to use them, and tomorrow they could be the buyer.
Yet recruitment agencies themselves face the very same challenges that are faced by their clients, and many are as guilty of having poor systems in place. Excellent recruitment requires comprehensive, end-to-end recruitment solutions that allow even junior personnel to deliver good staff to hiring managers. This, while maintaining best practice procedures and automating as much of the recruitment process as possible, and providing management transparency, are essential to business success for both employers and agencies alike.
Yet these solutions are few and far between, as is evidenced by the fact that many companies continue to have bad experiences with recruitment. The 85/15 rule of systems and people, may apply more to recruitment than any other area; If you match good people to bad systems, in 85% of cases the system will win, and the reverse is also true.
With the abundance of Recruitment Management Systems available on the market today, the amount of bad experiences is disproportionately high, and may be an indicator that there are a lot of bad recruitment systems out there, not necessarily bad recruitment people.
Stay tuned next week for part two of the Global Recruitment Industry Overview