The success or failure of most of the companies is primarily depended upon the performance of their executive bodies. To equip a company with most talented executive members, the company leaves no stone unturned in finding the most educated, highly talented and well experienced personnel to fill in the executive positions with people who can prove to be the actual cream of the crop.
It is a sort of war for talent being fought between rival companies with the help of mercenary executive search firms. Since the executive body plays critical role in a company, one should never underestimate the importance of hiring the most appropriate executive search firm to fill the most critical job positions.
Hiring a wrong search company is nothing but a recipe for disaster and could prove a deadly blow to the progress of your organization. Choose a wrong firm and you will be succumbed to either suffer unaffordable delays in filling a crucial position or be burdened with an individual who does not seem to justify his qualification and experience required for the position.
Here are some important tips you need to take into account if you really want to better gauge the appropriateness of your prospective executive search firms.
Learn How Executive Search Firms Work
First of all, you must educate yourself about how executive search firms work. This will help you determine which firm will best meet your requirements in a timely and professional manner.
Bear in mind that executive search firms are quite different from traditional contingency firms, which you may be familiar with. Contingency firms try to complete their assignments quickly by gathering a large pool of resumes and short listing the few most appropriate candidates. They are generally paid only when they fill your position. So hiring contingency firms is better when you are in search of candidates for entry-level or mid-level management job positions where job responsibilities are clearly defined.
On the other hand, executive search firms are retained by client companies and act as senior advisers. They receive a specific percentage of payment in advance for their services, irrespective of whether a hire is accomplished or not. Mostly these firms have a highly skilled staff able to handle high-level searches while employing discerning criteria. Hence this approach is suitable when you are looking for executive level management.
First Impression is the Last Impression
During your first point of interaction with a head or a representative of any such firm, you need to determine whether this person or his company will be suitable to do the search for your organization. Find out if they were more concerned about their needs rather than yours.
The first impression you get as a result of first interaction is a good sign of how they will contact the prospective potential candidates. At this point you should be able to judge if this is the type of company you want to represent your company. Hire it only if you feel as comfortable with them as you feel with your attorney or accountant.
Experience Matters a Lot
Make sure that the person leading the search company has relevant connections and experience. This is important because this business revolves around personal contacts from the beginning till end. If you are looking for some executive equipped with relevant industry experience, ask the search firm about their experience in conducting searches for the industry positions. However, if the relevant industry experience is not your requirement, ask them about their general experience of conducting searches for filling executive-level positions.
Ask about Exclusivity
Before contracting an agreement with any search company, ask the company about the list of companies that they cannot contact on your behalf. Usually, well-established firms have a separate clause in their contract that prohibits them from contacting any employees from client companies they have already worked for within a specific period of time. So knowing about this will enable you to guess how limited your candidate pool might be and how much chances are there that you will get a suitable candidate within a specified timeframe.
Don’t Overestimate the Smaller Firms
Generalization often proves wrong. Many companies mostly choose only the big search firms and do not like smaller firms, because they do not want to be accused of not choosing a good search firm. At least two things are clear: large firms usually charge larger costs; smaller firms are not always a bad choice.
Rationally, you should not overlook smaller companies, especially when your own company is comparatively smaller and your budget also does not allow you to spend a lot on hiring. Boutique search firms or individuals with a positive reputation for doing great work sometimes give much better results than larger firms because they enthusiastically strive to provide a higher level service to compensate for the lack of name brand recognition.
Beware of Bait and Switch
Large companies often work as a united network, which may not be a good sign for your company. The reason is that the person whom you came into contact with may pass the buck to someone else who is junior to him and even lacks appropriate experience. Therefore, do not hesitate to ask beforehand about this in your contract.
Determine Fees Upfront
Ask about what the whole search process will actually cost you. Fees generally vary but can be negotiable. You can ask questions such as, “How much should we expect to pay in the way of expenses? Will you decrease the pricing further down if we give you more assignments?” This will help you avoid any future surprises.
Cross-Check the References
To cross check the performance of the search firm, you can ask them for a list of references. Call the companies to find out if and to what extent they were satisfied with the work. You can also inquire form the search firm how they could do the job differently if they had already done the same job previously.
These points, individually as well as in combination, provide an insight into how to choose the right executive search firm. Just take some time, educate yourself with these points and you will not have to disappoint at any stage when hiring executive level employees for your company.
