Beilby
 

Newsletters

Newcastle - July 

 


Do You Value Your Brand?

By David Gallagher

 

“There’s nothing new under the sun, it all been seen and done before”, this is a quote I remember vividly of my younger travelling days that is attributed to an anonymous tour guide in Pompeii.  For those of us that have been involved in recruitment for a while the current market place isn’t Mt Vesuvius erupting over the Italian village but none the less it is challenging and we have seen market reactions in past downturns that we see in today’s market.

Many organisations and those seeking career opportunities value the work of search and selection or recruitment companies, while others view us with less positivity. Notwithstanding organisation or individual views the thing that we must most value in any market is our brand and in todays market that is more important than ever. What I see a lot in the current market is employer brands being diminished.  

This occurs most when companies fail to fill a role from an internet ad themselves and then approach a number of recruitment companies to assist or ‘farm out ‘ a brief to multiple companies in the hope that this will better source candidates. In a recent week in Newcastle I observed the same role advertised by the hiring company and two recruitment firms on the same day on the same on a job board one ad after another. A few days later in the Saturday Newcastle Herald the role appeared as a press advertisement through a third recruitment company! I ask you all, if it were you would you apply for this senior management role advertised by four different organisations?   

I don’t want to appear to tell companies how they should recruit, if you have a plan stick to it, if you have the expertise to execute yourself then do it but make the right decision the first time. If you need to outsource choose the best recruitment partner, be assured they are the best in their market, in their processes and in their management of your brand.  

If you are a recruitment company challenge your clients, only do the roles you do best under your terms. Value yourself, take pride in what you do and be rewarded for your hard work.  It takes more courage and commitment to say NO for the right reasons than yes for he wrong reasons. 

Whether it is a multinational organisation or a sole trader recruiter take the responsibility to own the process and your brand. We all benefit and critically we will find the best talent suited for their best career opportunities.


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The True Cost of a Bad Hire



Recruitment is expensive, but only when it doesn't work.

So often as a recruiter I am asked to lower my fees, sharpen my pencil, reduce my margin and yet strangely, no client has ever asked me to reduce my level of commitment to the recruitment process or present an incomplete assignment. For the client, the value of recruitment is in the end result: the person at the end of the process that starts on day one and stays in the business adding value to the organisation.

For the recruiter, the value is in the commitment from the client that recognises that what the client is purchasing is a robust and measurable process by which, together, they come to the same result: a person with a particular skill set and experience level who will provide ROI for as long as they are employed.

But what about when recruitment doesn't work? When the person doesn't stay or worse, leaves and takes others with them. The cost of this scenario is so out of proportion to the cost of recruitment process that often, it is never calculated.

We can safely predict that the true cost of bad recruitment is at least 2.5 to 3 times a person’s salary per annum. 

Say you embark on a recruitment process and hire a $100,000 manager of a team and at most, you review CV's, interview and conduct a warm and fuzzy reference check and this person turns out to be a bad hire. Add the hiring cost, the money spent training and maintaining that person plus the disruption cost, add to that the severance or management cost and contemplate the mistakes, failures and missed business opportunities and you soon realise that we are probably being conservative in our suggestion that each year that this person is employed, they are costing you at least $300,000.

Bear in mind that the cost of that person's effect on the culture and retention of others, particularly subordinates, is even harder to quantify but it definitely exists.

So, how do you avoid the dreaded bad hire? 

It's simple really, self awareness and specialists. As a business you should be aware of your capabilities and limitations. If you don't have the best recruitment processes and the right people to assess the organisation's human capital need - outsource. And when you do go to an external provider JUST CHOOSE ONE!

Sure, meet a number of providers and ask them how they can assist you, but if the role you seek to fill is critical, just choose one and ensure they are specialists and experienced at what you need. Choosing more than one recruiter to complete an assignment is akin to asking three electricians to repair a light or three plumbers to repair a blocked drain. The ones who accept this work aren't always specialists and what you most often end up with, as the client, is the fastest result, not the best. 

Behaviour prediction assessment tools and testing an individual’s capacity in a work sample test are hands down the most accurate predictors of future job performance. If your recruiter doesn't recommend these tools as a standard part of their process, they are not specialists. 

Choose wisely and commit to open communication with your recruiter. Demand a high level of consultancy and advice and hold them accountable. Not doing so will surely not end well for anyone. 


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International Affiliates

CFR 13 

Beilby Recruitment is proud to be a member of CFR Global Executive Search, which provides professional executive search and selection recruitment services internationally.
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OPRA Psychology Group

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Delivering Robust Industrial and Organisational Psychological solutions.

Distributors of the GeneSys Suite of assessment products. 

 

CoreStaff

CoreStaff 

CoreStaff is one of Australia's fastest growing labour hire companies and has recently purchased a 75% share in Beilby Consulting.  This new partnership enables us to break the barriers between labour hire companies and the executive recruitment and HR sectors.

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