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Recently Published Study Indicates Hiring to Pick Up to Pre-Recession Levels — Are you ready?

Wednesday, August 25th, 2010

Just over half of large, recently downsized U.S. companies plan to boost staffing and reach pre-recession levels by 2012, according to Accenture’s recent High Performance Workforce Study.  The survey included 674 senior executives worldwide from companies with revenue of more than $250 million.

Investment in hiring for the U.S. based companies is expected to increase from 24 percent today to 37 percent within the next 12 months.  The study also found that only 13 percent of executives said that they plan to reduce their employee base over the next 12 months. 

Yet as we all know, the planned growth won’t come easily. If a hiring ‘boom’ is imminent, highly skilled workers will come at a premium again as companies seek to grow.

The focus would soon shift from cost reduction to proactive staffing resource planning required to address spikes in hiring needs.   

Questions you might ask to decipher if you are in for a hiring boom:

  • Does your company have a strong balance sheet with cash to invest in a growth strategy?
  • Is your workforce already stretched thin?
  • Are you using contractors to supplement fulltime staff to get the work done today?
  • If there was a hiring “spike”, do you have the resources to get the job done?

If you answered YES to the first three questions and NO to the last, then it probably is time to start to develop a contingency plan in the event it DOES happen!

Be realistic but THINK POSITIVE about the future!  Most important, be prepared.

I hope you enjoy the last few weeks of the summer.

Interesting data from ‘Elite’ Recruiter Competency/Skills Assessment Study – some advice to share!

Wednesday, August 18th, 2010

We are proud to announce that we have had over 1500 recruiters participate in our ‘Elite’ Recruiter Competency/Skills Self-Assessment Study!   If you haven’t participated, we encourage you to do so! It is free! :)

It is interesting to see that outside of normal areas that recruiters always seem to rate themselves “low” (areas for improvement :) ):

  • Use social networking tools to source qualified, passive candidates (rating of 2.94 of 5)
  • Engage and recruit passively-looking top talent candidates (3.20 of 5) 

The next two lowest scores were related to managing the search process:

  • Sets Service Level Agreements with hiring managers: 3.22 of 5.00
  • Manage and control the staffing lifecycle efficiently: 3.39 of 5.00

We have written articles/posts on this subject that have received positive reviews I thought I would share: 

The Most Important Service Level Agreement

When are you available versus what do you think about this candidate?

Do you have credibility with your hiring managers?

We have also helped many organizations implement an “easy to use” one page Service Level Agreement document to be used when qualifying a new position (especially when it is a new hiring manager). If you would like a copy – please email us!

The scores above point to a skills gap with respect to a consultative approach to managing the search process. If you think this is an area where you need/want to “sharpen your ax”, I hope some of the information provided will be of value!

If you have any questions, please don’t hesitate to contact me!

Time, Tenure and Trust

Wednesday, August 4th, 2010

We have recently published our first annual Healthcare Recruitment Benchmark study. A core piece of the study was measuring/benchmarking key process efficiency metrics of the staffing supply chain.

Through this initiative, we found the average Route to Hire Efficiency Metric to be 6.7 to 1.

That is, it takes 6.7 candidates routed to the hiring manager to achieve 1 hire.  While this actually is pretty darn efficient compared to studies we have done in other industries, Best in Class organizations (representing the average of the top 25%) Route to Hire Efficiency was 2.48 to 1! 

Basically, the Elite, efficient organizations required half as many candidates (routed) to get 1 hire! 

Or course there are/were many things they did differently to develop a Lean, efficient staffing process, but something all systems had in common was this concept of Time, Tenure and Trust.

  1. Time – All Elite organizations spend a considerable amount of time on:
    • The intake session with the hiring manager. They made sure they clearly understood the need, how to market the opportunity; define clear service levels for service, etc.
    • The pre-screen process. Whether they used an automated assessment tool and/or some combination of phone interview, they spent enough time with the candidate to ensure they were someone that was worthy of consideration and should be interviewed by the hiring manager.
    • Discussing candidates with managers and proactively setting interviews.

While all these steps might seem obvious to some experienced recruiters, many recruiters/organizations still struggle to INVEST the time required in these three steps.  The usual results include routing too many candidates to managers that they in return reject to be interviewed/considered.   This is clearly evident in that the average Route to Hiring Manager efficiency was 43% while the Elite organizations efficiency was 80%!

  1. Tenure – Most Elite firms agreed that they had many ‘tenured’ recruiters on staff that had built rapport with their hiring managers, taken the time to understand the business unit they supported, etc.  All firms agreed that you can overcome short tenure by investing the time in the three steps above.
  2. Trust – Elite recruiters have the trust of the hiring managers and they respect them as staffing consultants. 
    • They interview the candidates the recruiters send rather than scrutinize!
    • They ask for their opinion when deciding on making an offer (or not).
    • They respect their input on compensation discussions.

While I don’t want to over simplify how the Elite organizations have become hyper efficient, I don’t want to lose the forest through the trees either!  Time invested up front can quickly turn a non-tenured recruiter into a staffing consultant that garners a ton of TRUST FROM their hiring managers. 

Some food for thought on a Wednesday!

PS – If you are a healthcare organization that wants more information on our Healthcare Recruitment Benchmark Study, please contact us!

Linked in — Networking Best Practices?!

Wednesday, July 21st, 2010

I had a great discussion with our team of recruiters regarding contacting potential candidates and/or networking using LinkedIn (LI). I thought I would share some ideas/tips I found very interesting!

The spirit of the conversation centered around the best ways to connect with folks you find within LinkedIn.

This led to the three most common ways to directly contact folks in LinkedIn and the “pro’s & con’s” of each method:

  1. Send Inmail – While Inmail is great, it is a paid for service and can become expensive. So if you want to use it, it will cost some extra $ during the year.
  2. Sending an Invitation to “link in” – LI only wants  you to send an invitation to someone that you have a relationship with (past/present) and/or through an introduction with someone in your network.  Of course while this can still work, it limits the number of people you could directly link in with outside of your network and without an intro.  In addition, most of the recruiters on our team found introductions to be less effective and . . . less timely.  While it might be a LI “no-no”, most of the recruiters said that they regularly send invitations as – “someone that they have done business with” – with great success and WITHOUT getting sent to the LinkedIn police :)
  3. Join a group and send a group member a message – Joining a group is great and will allow you to directly contact folks within that group.  Of course best practices say that if you join the group solely to post jobs you are recruiting for (asking for something) WITHOUT providing information of value (making a deposit if you will) . . . you might get banned from the group or at a minimum, find that folks tune you out.

The fourth method that many subscribed to is finding someone in LI and then looking them up on other sites (Jigsaw, White Pages, etc.) and contacting them directly (via phone/email).  The logic behind this tactic is two-fold:

  1. Many people don’t check LI all the time and/or don’t have LI emails sent to their personal email address so response time can be slow.
  2. So many recruiters are becoming LI recruiters that people are getting saturated with Inmail, Invitations and group messages. So to “separate” themselves from the other recruiters, they are going back to traditional means of connection.
  3. Linkedin can be very helpful; however, if the person you’re trying to find has left their company and you’re not able to find a home phone number.

Some other great points made during our conversation that I thought I would share:

  1. If someone is a power networker in LI (300+++) connections, you can almost guarantee they will respond. Those that have only a few connections probably don’t check as much and . . . they use traditional means to connect.
  2. LI provides such a wonderful amount of information to “personalize” your message so take advantage of it. Use the information on the potential candidate’s profile to make a connection, and quantify why connecting with you will benefit them and others in their network. If you send the canned LI message or a watered down version – - don’t expect great response rates or worse – - some unhappy peeps!

LinkedIn did not exist 5 years ago. It quickly has become an excellent recruitment tool.  But as things change, you need to constantly be watching how others are using this tool and make sure you’re contributing to the conversation.

Time to Fill – Are You Managing A Key Metric You Are Measured On?

Wednesday, July 14th, 2010

We are excited that we had over 50 participants in our inaugural Healthcare Recruitment Benchmark Study .  We had the pleasure of presenting our initial findings at the National Association of Healthcare Recruiters Annual Image Conference in Las Vegas last week.  The conference, as always, was Five Star!  And we were overwhelmed (and humbled) with the interest in our Lean, JIT recruitment principles and our actual study.

One metrics that surprised us (especially in our flat economy) was the percentage of positions that had been open over 60 days. 

While the overall average Time to Fill (TTF) was trending around 46 days (which is good compared to years past and benchmark data from sources like Saratoga.org), 38% of the participants current open positions were trending over 60 days.

Further analysis provided some conclusions:

  1. Recruitment teams are pretty good at filling what we call Business as Usual Req’s (BAUs) with internal or active candidates that apply to postings, especially since most are rewarded (and measured) on how many positions they fill.  While we didn’t track this particular data element/segment in the study, our qualitative analysis indicates that the average TTF for these positions is 20-30 days.  
  2. Most organizations continue to struggle with filling difficult/critical to fill positions (CTF).  These positions are still trending at 60, 90 days + TTF.

So while on the surface, most organizations feel pretty good about their overall TTF metric, under the surface managers are still concerned about their recruitment teams’ ability to fill CTF positions. Even more important, the inability to fill these positions JIT is often costing organizations millions of dollars (Cost of Vacancy).   

We believe the three primary reasons that 38% of the positions are trending over 60 days are as follows:

  1. Not managing/monitoring your over sixty days report:  It is very easy for a recruiter carrying 25, 30, 50 req’s to forget what their top priorities are, which positions have been open over 60 days, etc.  It you do not stay on top of your openings (and if managers aren’t pounding down your door, positions can creep past this milestone very fast.
  2. Recruiters either don’t have the time to source for quality candidates or . . . are NOT carving out time.
  3. Recruiters don’t have the skills/competencies (or both) to find high quality talent for their CTF positions.

Some solutions to reducing the percentage of positions trending over 60 days old:

  1. On a weekly basis, have a team meeting to specifically discuss positions trending over 60 days.  Position on hold? Close it.  Candidates to disposition and get over to manager? Do it. One of our clients has recently implemented a Monday morning “huddle” to specifically discuss positions trending over 60 days.  By making it a priority, they have cut these down from 25% to 13%!  
  2. The “time” issue is a little more problematic.  It takes relatively no time to “source/pre-qualify” an active, internal or referral candidate.  Literally, this process is a few minutes. On the other hand, it might take hours to source and pre-qualify one passive/top talent candidate.  Most organizations do not factor this when developing recruitment resource plans!  They don’t dissect which positions are BAU’s, which are CTF and . . . how much sourcing time needs to be dedicated to filling these positions.  With our staffing optimization model, we take that into consideration when identifying the number of resources needed to manage the corresponding hiring needs.  You should investigate this when developing your resource plans.  
  3. The 3rd reason is probably the easiest to fix.  Assuming the recruiter has the competencies of an ‘Elite’ recruiter , they probably can be taught the skills to source top talent.  At the very least, you could assign sourcing activities to those in your organization that enjoy and are good at sourcing or outsource part of the sourcing activities, such as name generation to allow your recruiters more time to cultivate relationships (and ultimately recruit) passive candidates.

If your organization measures you on TTF, I would ensure that you are deploying best practices to manage it!

Any questions, please contact me!

LinkedIn + Persistence + Phone + Respect = Success – Don’t stop until they say, “NO!” – A TRUE STORY

Friday, June 18th, 2010

My colleague (Kristine) recently received an executive level, ‘niche skill-set’ search opportunity from one of her clients/hiring managers.  As many savvy recruiters do these days, she developed a targeted sourcing strategy and:

  • Identified all competitor companies and companies that employed people with the skill set she was looking for.
  • Then defined all the different titles that this person would/could be called within these target companies.
  • She then started to seek potential candidates and individuals she could network with in this market (the client didn’t want to relo if possible) via LinkedIn. 

Armed with this intel (and a compelling Value Proposition Statement/Attention Grabber) about this opportunity, she made contact (via Inmail or directly via business/personal email) with all the potential applicants/networking professionals. 

While this is a very common practice among thousands of recruiters, her subsequent actions are often not.

  1. She sent two to three electronic messages out to each and every candidate.  While her response rate was good, she didn’t receive feedback from many and most importantly . . . she did not connect with the A+ talent her client demanded and deserves.
  2. She didn’t give up. While most recruiters would give up on these “prospects” in search of others, she identified phone contact information (this is part of her normal process) for all candidates that had not yet responded to her Inmails/emails and started an out bound telemarketing campaign. 

Covering all bases and having resilience:

She caught one individual around 7:30 am (knowing she was a manager, she called before meetings started – - usually around 8).  Her brief discussion that morning led to a subsequent discussion that led to . . . . an interview, offer and hire for a critical to fill position with interface with the COO, CMO and CEO of a Fortune 500 company!

One day after the candidate (now new hire) accepted the offer, she sent the most wonderful email to Kristine.

“Kristine, I can’t thank you enough for being persistent and making contact with me.  Honestly, while I was intrigued by your emails, I probably wouldn’t have called you back simply because I get so busy during the day with work, life events, etc..  Your persistence has allowed me to find an unbelievable opportunity for me and my family.  I am grateful for your efforts!”

WOW! 

Morale of Story:

  • Don’t assume that no response means they don’t want to talk, won’t help you network, etc.  Remember they are as busy as you! (Are there calls or emails that you have NOT responded to because they are not urgent or of top priority?)
  • Emails, texting, social media tools, etc are awesome and a quick way to reach out to a targeted group of people quickly.  But don’t fall into the trap of ONLY communicating via this method!  A targeted sourcing strategy including emails, texts, and PHONE CALLS is the key to successfully recruiting passive candidates.
  • Your compelling message, your tonality when calling, and the time you actually call are . . . all key ingredients to successfully engaging top talent.
  • Don’t stop until they say – “No, not interested and . . . can’t help with networking” (objection handling on this topic is for another day!)

While I am sure all of you have heard this before and/or follow a similar strategy as a matter of practice . . . I thought this was a wonderful story to share to ensure you are practicing it NOW!

In this age of electronic communication, I think it is easy for even the savviest recruiters to fall into the trap of “email & pray” on occasion! :)

‘Elite’ Recruiter Assessment Results!

Wednesday, June 2nd, 2010

Thanks to all those folks that participated in our ‘Elite’ Recruiter self assessment!  We have just reached the 1500 participants mark! 

For those of you who have not participated, please do so.

For those that have participated, you can check out the results to date.

After reviewing the results, one skill/attribute score that caught my eye was:  

  • Acts as a trusted advisor to a candidate and articulates the career opportunity with your organization when negotiating salary offers.
    • To date, folks have rated themselves a 2.97 (out of 5). 

Over the years, I have written many blog posts on this topic including:

Don’t forget the reason we talked in the first place

What every recruiter can learn from spaghetti sauce

I know you were not looking, but you listened

52 reasons why someone should join your organization

So as you connect with candidates this week, I want you to reflect and make sure you are able to identify 2-4 non-monetary “motives” for which a candidate would leave their current position. 

If you haven’t had this conversation with them, there is a high probability that if/when you make an offer they will do one of the following:

  1. Take a competing offer from a firm that does know their motives and can articulate how their company can meet them.
  2. Stay where they are. Since it is easier to stay put than venture to new, unknown challenges.
  3. Walk away simply because you don’t have enough “ammo” to “close the deal”.
  4. Lure you into negotiating ‘monetary’ motives like salary, bonuses, vacation, etc.  All the things you DON’T want to negotiate!

Remember, once you decide you like a candidate, it’s your job to help them understand how this move will benefit their career long term based on what they’ve told you about their career goals and aspirations. Not only do candidates have to sell themselves on the idea that your job could be a good move for their career; they also have to “sell” it to family and friends. The more you can do to help the candidate see how this position fits in with their career aspirations, the easier it becomes for the candidate to do the same.

Some food for thought after a long memorial day weekend!

I hope you have a perfect day!   

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In a recent post, “You know you are an Elite Recruiter if . . . .”, we shared some attributes we believe Elite recruiters possess.  We thought we would share other folks thoughts on this topic! If you have others – - please share

  • Your clients take you with them from company to company when they advance their own careers!Patti Yaritz
  • You know that you are an elite recruiter if former candidates/new hires seek out your advice unsolicited and without your follow-up. Some of the most rewarding pat-on-the-back compliments I have ever received have come from new hires contacting me after I have left a company. – Thomas Bolt
  • You are included on emails from the SVP of HR to members of the internal recruiting team with comments like…”Team, let’s make this happen”. – Sandra McCartt   
  • An elite recruiter is willing to share his/her knowledge with junior recruiters and is willing to mentor them to success. – Chuck Clevenger
  • An Elite recruiter gives back to the community by volunteering to freely help people in their job searches. An elite recruiter is known for his/her pro bono work.  – Chuck Clevenger
  • An elite recruiter has the ability to advise and influence HR and Hiring Managers in regards to job specifications and compensation based on their knowledge of the local/national marketplace and talent pool – Dan Helpka
  • Candidates you once turned down, turn up 1 & 2 years later, successfully compete for jobs they now can do having gained the knowledge, skills and experience you advised them to get. – Gerry Crispin
  • More students are graduating from local high schools inspired by your efforts and more of them are looking to aspire to a college degree. – Gerry Crispin
  • More college students are inspired to major in areas that will drive company performance, innovation and collaborative culture. – Gerry Crispin
  • Company alumns send you leads of high performing prospects who they believe will benefit your firm and grow in the bargain. – Gerry Crispin
  • You are a local pro-bono pay-it-forward support of time and advice to One-Stop employment centers, community organizations offering employment counseling and resource limited health care organizations is lifting the brand image of your entire community and increasingly attracting candidates who previously wouldn’t relocate. – Gerry Crispin
  • You are dedicated to assuring that their quality referrals and hires include diversity. You don’t have to be told by hiring management, “We want to see some diverse candidates in the mix.” You bring it and wow even those hiring teams who didn’t expect, didn’t want it, and didn’t ask for it. – Valentino Martinez
  • You help build an elite TEAM! – Julie Rehbein
  • The C-level in your company gives you a call when it wants to add “impact level” talent and believes you can find it. – Mat Apodaca

Leveraging the Power of Your Network

Thursday, May 20th, 2010

David released some of the initial results of our elite recruiter study a couple of weeks back . 

One of the areas that was ranked as an area for improvement was Leveraging Networks.  It just came up again the other day during an intriguing conversation with a client and I thought it was a topic that warrants further discussion.

We discussed that while 70% of people still find jobs through networking (according to Bureau of Labor), people spend less than 20% of their time “networking” to find a job. And if this is true, how much of a recruiter’s time should be spent developing relationships and networking to find quality candidates?

The point was well taken.   

To level set the discussion – The definition from our competency/skill model is as follows:

Leveraging Networks: Draws upon a wide range of professional and/or business relationships for help and support in achieving individual and organizational goals.

After I thought more about this topic, it’s not surprising that recruiters rank themselves low here.  Let’s face it.  It takes work to maintain an internal and external network that can assist you in performing your work more effectively.  This alone takes more time than most of us have in a day. 

So if you think this is an area for improvement for you, following are a few techniques to consider:

  • The Lost Art of Investigative Questioning – Of course you need to have a robust network to leverage it.  Most struggle to develop a network of professionals they can leverage for sourcing talent, etc. Using specific, probing questions with your Centers of Influence can exponentially improve your ability to build a strong network.
  • How Many Friends do you have  – If you don’t invest time in maintaining the relationships and helping out your “friends” in your network, don’t expect them to be responsive to your request!  Invest time in identifying how many true “friends” you have within your network and building upon this list over time.
  • Growing your friends network  – Check out this post to discuss some simple tactics to grow your friends network!  Some things to consider:
    • Prioritize the relationships – Focus your networking and energy on those that can help you with both your current and long-term problems.  For work-related problems, this might be a peer or someone who is a level above you.  For industry-related issues, this might be a peer at another company.  Whoever it is, block time to spend with that person consistently, and stay connected! 
    • Don’t waste your time on the wrong people - Stop spending energy on a relationship that’s not giving something back to you.  Don’t keep helping others out if you realize they really aren’t helping you.

While all these tactics will help you create and grow a powerful network, probably the single biggest deterrent from you having a robust, interactive network of friends is having the DISCIPLINE to carve out the time to develop it!

Building your network needs to become part of your daily/weekly routine.  I personally have developed the good habit of blocking off 30 minutes a day (I plan it into my Perfect Day Routine  to develop my network and hit all of my news, websites, and blogs for industry information.

I know.  This is easier said than done.  And by no means can I say I do this 5 days a week/52 weeks a year!

Some behavior modification tips/techniques to help you build this “good habit”:

  • Post a note on your screen – - Am I building my Friends Network today?
  • Have a list of your “friends” network. Set a goal each quarter to grow this list.  Make this goal “public” and post it in your office (i.e., – I will have 350 friends in my network by June 30, 2010. Review every month for growth. ).
  • Try to carve out 30 minutes of time when you are least likely to be interrupted.  First thing in morning before you leave your house for work? End of day? Lunch? Friday afternoon? 
  • Hold a contest with your fellow recruiters. Who can develop the most amount of new friends in the next 90 days?

With the instant access we have to millions of people, we often forget to develop lasting relationships that will and can benefit us in so many ways.  INVEST in your network and it will provide dividends along the way.

Benefits of Technology Going Down

Friday, May 7th, 2010

So as I tried to get online this morning, I quickly realized our network was down.  And because we moved to the snazzy VOIP, that meant our phone system was down too :) .   While my first reaction was OMG . . . I quickly diverted my attention to miscellaneous projects that I have had on my Perfect Week/Day plan.

Without the constant interruptions of voice mail/email, I have been laser focused and have knocked off many “to-do’s” that I have “started and stopped” many times because of pesky CIE’s (calls, interruptions and emails for those that haven’t been through our Perfect Week/Perfect Day training program).

While I strive to get into “work flow zones” when doing project related work, I have to admit it is a very tough to discipline myself to halt email and put the phone on silent when attacking these projects. 

Like you, I have people I am waiting to hear from!

But lacking that ability to be “connected” this morning quickly demonstrated how powerful and productive you can be when laser focused with no (or fewer) interruptions!

So on this Friday afternoon, if you have some projects that need “quiet, focused time”, halt your email, put your phone on silent and get into a “workflow zone”.

The results will be priceless!

Have a perfect day and a great weekend!

You know You are an Elite Recruiter if…..

Wednesday, March 10th, 2010

For those that attended the ERE webinar – Going from Good to ‘Elite’  – - I hope I inspired you to take action J!

For those that missed it we discussed the competencies/skills of Elite Recruiters.  I have also started work on another fun project related to this subject… 

Shamelessly stealing from Jeff Foxworthy – - “You know you are a redneck if . . . “comedy routine, I am trying to develop a LONG list of “You know you are an Elite Recruiter if . . . “.

This fun exercise has also been inspiring me to reflect on what it is to be an Elite Recruiter and what I need to do to be one!  Performing at an elite level doing anything is very difficult.  Recruiting is no different. 

Documenting these attributes in a fun way helps keep this passion burning and top of mind.

So OK – - You know you are an ‘Elite Recruiter’ if . . .

  1. You get referrals from candidates you turn down for a position. 
  2. Your hiring managers ask you who they “should hire” . . . And listen to your advice.
  3. Candidates seek your input on preparing for the interview with the hiring manager, making a decision on an offer, etc. 
  4. You keep track of all the people you have hired and have kept up an ongoing relationship with 90% of them. 
  5. You track your performance (quality, efficiency, responsiveness/ delivery) on a quarterly basis. 
  6. You quantify the ROI of your services to your key stakeholders.
  7. You have clearly written quarterly Performance Improvement goals.  
  8. You spend time each week helping those less fortunate find employment, craft a better resume, prepare for an interview, etc.
  9. You invest at least 15 minutes to ½ hour developing a written – hour by hour – daily plan of action that you deploy before each day.
  10. You have received gifts from candidates/hiring managers for “changing their life” for the better.

PLEASE – WE ARE LOOKING FOR MORE ADDITIONS TO THIS LIST!  Can you please email us at info@leanhumancapital.com with your ideas!  

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‘Elite’ Recruiter Benchmark study!

Our goal is to get 2500 recruiters to participate in our free self-assessment benchmark study!  To provide more granularity, we have decided to categorize ‘recruiters’ as outlined below.

To participate, just find the link that best describes you and . . . sign in!  It will take you about 15 minutes to complete.

NOTE: This is for your OWN self-improvement!  With that said, for us to have fair and accurate benchmarks, please take this seriously and respond with honestly. 

We will publish the results at a later date to use as a benchmark!

Competency/Skills of an Elite Recruiter – Healthcare

Competency/Skills of an Elite Recruiter – Financial Services

Competency/Skills of an Elite Recruiter – Retail

Competency/Skills of an Elite Recruiter – Technology

Competency/Skills of an Elite Recruiter – Third Party

Competency/Skills of an Elite Recruiter – Manufacturing/Engineering

Competency/Skills of an Elite Recruiter – Other