Put your Che Guevara Beret away for now though…
You may have read recently that MyCareer have just announced that they’ll be switching to becoming a free site, and rightly so in my opinion. Fairfax general manager of employment, Paul Kitchin said it is because “recruitment is evolving”.
“traditional job boards are becoming less relevant in reaching quality candidates who are not actively searching for new opportunities”.
Meanwhile, ironically, SEEK has announced an increase in prices which has baffled and annoyed many of its clients as the service hasn’t changed.
This got me thinking: “What does the future hold for recruitment agencies?” My wife is also a recruiter as are many friends and family members. Luckily Greg Savage did a webinar putting his opinion forward. I took a lot from this as began thinking about the issues facing the recruitment industry. I came up with an answer:
“If you can’t add value – then you can’t charge money”
Granted, there are recruiters in the market who over rely on their “network” I spoke with one and asked the key to his success and why he charges more than his competitors to which he replied “I’ve just been around longer”. How’s that for inspirational and innovative?!
There are other recruiters who’ll rely on advertising as their sole means of candidate generation. How can you guarantee that the ideal candidate is always applying to job advertisements? It’s the “best candidate in the market or just on the market” argument.
The reality is that the USPs (if you can call them that) of these recruiters are being killed off by the internet and we are in an Age of Enlightenment for the recruitment Industry.
What do I mean by this? (cue the History degree) Immanuel Kant’s essay “What is enlightenment” 1784 describes it as:
In short companies are thinking for themselves – and some are choosing to do it themselves.
Recruitment has evolved. The process is more transparent – but it’s also less simple . Attracting, Identifying and Developing trust with the “Talent” requires a lot of time and skill. Mr Savage calls it “The Craft”
Companies have the tools (LinkedIn, seek, mycareer, twitter) to make a basic hire and can easily calculate costs involved in time and resources spent hiring.
Where recruiters can add value (and where they will not only survive but thrive) in my opinion is by offering a service beyond that – a service that a company wants and needs to outsource.
The “Age of Enlightenment” I talk about is where companies are analysisng and understanding certain recruitment processes and concluding that some of these processes are too expensive and/or don’t add value to an organisation. I believe we are currently in and coming out of this period now.
As was the case with Europe in the late 18th Century, I predict that we are about to enter the next era for recruitment. A period of change where recruiters modify the way they work or disappear.
I’ve written about the need for recruiters to innovate previously and now believe…We are about to enter The Age of Revolution for Recruitment…(without the violence).