If your business is looking to outsource the search for a new CEO, COO, CFO, CCRO, CHRO or other C-Suite executives, it’s important to be aware of executive search firm’s advantages and disadvantages. Let’s take a closer look at the pros and cons of hiring an executive recruiter so you can make an informed decision as to what’s the right choice for your company.
Advantages of Utilizing an Executive Search Firm
Hiring a new C-suite executive is a business-critical decision that you need to get right to provide your business with the best leadership possible. For this reason, you need to carefully weigh the pros and cons of working with an executive recruitment service.
Advantages of Executive Search Firms
To accurately assess the pros of working with an executive search firm, it’s important to put your organization’s needs and objectives front and center. Time constraints, budget, and availability of talent are all key factors that come into play. Keep the following considerations in mind.
It’s Faster
An executive search service has the resources, contacts, and talent pool to offer you a selection of viable candidates within a short period of time. It’s their business to maintain a network of top talent, so they’re constantly looking for new active and passive talent. And once they’ve established a connection with a professional, they maintain that connection for the long term, so their talent pool is constantly growing. As a result, it takes them much less time to create a shortlist of candidates for you to consider.
It Doesn’t Take Away From Your Core Business
Searching for a new top-level executive in-house is difficult and time-consuming. It usually involves much more work than sourcing a non-executive employee. By outsourcing your executive search to a specialized service, you can get the best expertise for the job—and still have the time and resources to focus on your core business.
They Have an In-Depth Understanding of Your Requirements
A firm that specializes in C-suite recruitment has first-hand experience in the specific field and position you’re hiring for. In fact, many executive recruiters used to hold leadership positions in companies in your sector themselves.
So when you hire an executive search firm, they make an in-depth study of your sector, as well as your organizational culture, the job requirements, and the business’s objectives. They invest a lot of time and energy making sure that their search efforts target the right kind of talent with the skills and experience to help your organization advance to the next level.
They Have Access to a Large Pool of High-Quality Talent
An executive search service maintains connections with both active and passive talent. This means they’re able to consider and reach out to a larger number of candidates than your in-house resources ever could. And with a wider range of high-quality talent to choose from, it’s much more likely that you’ll find the exact right match for the position.
They Offer Data-Driven Search and Selection
Conscious and unconscious bias can threaten objectivity in the hiring process for any level of talent. This in turn leaves your organization open to legal repercussions. In addition, it shrinks the talent pool because many candidates are disqualified based on factors that are completely irrelevant to the job.
Most executive recruitment services employ data-driven search and interview methods that minimize the odds of bias influencing your search. As a result, you’ll have the opportunity to evaluate many more candidates than you would if bias were to limit the selection process.
An Executive Search Firm Offers a Guarantee
Finding top-level talent is difficult enough. If that talent doesn’t work out within, you have to start all over again. That’s why many reputable executive search firms offer a 6-12 month guarantee on the hire’s success. If the new hire leaves of their own volition, you can have the search firm perform another search at no additional charge.
Disadvantages of Executive Search Services
While there are many advantages to working with an executive recruiter, there are some disadvantages to take into consideration, as well.
Costs Are Relatively Higher
Executive search firms offer a highly specialized service. They spend a lot of time and resources keeping their talent network up to date. In addition, they dive deep into the specifics of your industry and organization, as well as the role, before starting any search. This enables them to work more efficiently and effectively. However, because there’s much more work involved than with a regular search, the fees can be relatively higher, as well.
Of course, when it comes to the costs of hiring an executive search service, it’s important to examine the ROI. Ask yourself how much it will cost your company to have to wait a long time to fill the position. Or worse, to fill it and find out that the candidate isn’t suited to the job. Executive recruiters eliminate much of the guesswork in this aspect because they perform so much preparation work. That way, when it’s time to start conducting the search, they can work with laser-guided precision.
It Can Take Longer to Get Started
One of the main advantages of working with an executive search firm is that they really study your organization before starting the search. However, this sometimes also means it takes them longer to ramp up their search efforts because they need time to understand the bigger picture.
It can be frustrating to have to wait for an executive recruiter to start searching while they study the parameters of the assignment. But just consider the return on investment in terms of the likelihood they’ll find top-notch candidates who fit into your organizational culture and meet all your requirements!
Key Takeaways: Executive Search Firm’s Advantages and Disadvantages
After reading this, you understand why working with an executive search firm is well worth the investment. Yes, you might have to pay more and wait longer for the search to begin. But the upside is that the search will ultimately be faster, you’ll have more access to high-quality candidates, and you’re not exposed to legal liability due to hiring bias.
On top of that, executive search firms that bring world-class talent on board for your company help ensure you can drive your business forward and advance your bottom line. So when it comes to deciding whether or not to hire an executive recruiter, it’s important to understand that this choice can deliver many positive outcomes in the long term.
