Do or Die! - how to change your recruitment business
“ The future of profitable agency recruiting is where cutting edge technology meets skilled human
I love this sentence by Greg Savage. It sums up perfectly my view on how recruitment will
evolve. Technology will take over more and more admin tasks (everything that is repeated
twice or more) and this will give recruiters more time to focus on the human to human
interaction - with both candidates and clients.
In evolution some species thrive, others don’t adapt and become extinct. The difference
between us and animals is our cognitive abilities - we can speed up and direct change. This
makes it more surprising how slow and/or unwilling some recruiters are to embrace
change. Especially as it isn’t optional - it is do or die. Recruitment agencies that don’t
change will soon be out of business.
By change I don’t mean cutting spend by using fewer job boards or abandoning less
profitable sections and by definition becoming more niche. Running away from
competition and holding on to the existing business model will still lead to extinction, it
only slows it down. Agencies have to ask themselves: How much more can they cut before
they cut off their lifeblood? How much more can they recede to more profitable niches
before the niche becomes a micro-niche and then a non-existent space? This approach isn’t
a viable option. Cost cutting doesn’t create real sustainable value, it only gives a short-term
reprieve.Instead, a re-think is required and answers to the following questions need to be found:
- Would people miss you if your business were to disappear tomorrow?
- What do you offer to the market that automation can’t? How can you strengthen this?
- What is your distinct expertise? Is it really distinct? How can you measure it? How can you improve it?
I would start with the premise that much of recruitment will be automated and done
directly by the end customer (why should recruitment be different to other industries?).
Work with this question in mind to find and define your current position.
Don’t wait; the old days won’t come back and change is happening and will be relentless.
Get yourself in position and with the necessary equipment to ride the wave and then it
Surf’s up! :)
Martin Bramall, Managing Director
0800 311 2750