A company is only as good as its people. The challenge, then, is to find good people before someone else does.
When recruiting is done with "more is more" logic (i.e., more resumes + more candidates + more interviews = better hires), companies fail. Focusing on the Law of Averages - which values quantity above quality - results in a culture that rewards mediocrity. And that's exactly what happens with contingency search. Don't let this happen to you!
That's why our services reflect a different mentality. We start from scratch with each new search. Our clients hire us exclusively to be a part of their team - not to be just another vendor - so we can all focus on the Art of Attraction rather than playing the odds.
Magnet's candidates are...
- Sought after for the integrity of their professional network and the respect they've earned from industry colleagues.
- Judged on how experienced and mentally prepared they are to handle the actual role, not how cute they look on paper.
- Hired if their personality type and ambition fits with your organization's culture and long-term performance metrics.
Contingency recruiters are after a fee, and the shortest path to that fee is sending you resumes as quickly as possible. Because they have hundreds of clients - and doing it the right way takes time - these recruiters never thoroughly penetrate the market. Instead, they grab the low-hanging fruit from job boards or tap their so-called "pipelines" (read: database of active candidates).
The smart alternative: retained search.
To understand why retained search is essential to modern recruiting, it's important to start by knowing exactly why contingency search (or "commission search") is bad for your health.
Your Corporate DNA Matters
In the contingency search model, the client pays an average recruiter to scavenge resumes from cluttered job boards and posture as though they're doing everything possible to find you raw talent. This approach - where the recruiter is a mercenary competing against other mercenaries - makes a mockery of the hiring process and sends the message that your company believes its people are easily replaceable cogs who are no more or less than the sum of their qualifications.
If you get lucky with contingency search, you'll end up hiring someone of average capability who doesn't quite gel with your Corporate DNA. If you're unlucky - and most contingency searches are - you'll wind up spending a disturbing amount of money hiring, training and, ultimately, replacing this person in less than one year. Such an employee - even at the executive level - will almost certainly under-perform because their style and abilities never fit your real needs in the first place.
So much for "looking good on paper"...
Fortunately for those of us who refuse to play this game, the executives, programmers and marketers worth employing don't think of themselves - or their professions - in such narrow terms. Ironically, that makes them easier to find. You just have to know where to look and how to approach them.
Contingency Recruiting vs. Magnet Retained SearchTM
The way recruiting is going lately, it seems companies are trying to lose by posting jobs all over the Internet and hiring mediocre recruiters to mine databases and send them candidates in a "ready, fire, aim" whack-a-mole fashion.
Contingency search is a terrible practice for hiring in the digital age unless the position is low-level, unrelated to technology, or you're willing to gamble with your product. At Magnet, we avoid these searches because they waste both our time and yours. We expect more from recruiters and, if hired, you can expect more from us.
In the meantime, we recommend you bookmark, download or print this table so you'll have food for thought the next time someone recommends filling a key position via contingency search:
| Contingency Search | MAGNET | |
Fee Structure |
Up to 33% of employee's first year salary Full payment within 30 days of placement encourages recruiters to chase fees without concern for individual clients |
Up to 33% of employee's first year salary 1/3rd of total fee is paid upfront as a retainer, thus encouraging the firm to give the client 100% of the recruiter's attention |
Timeframe |
Anyone's guess. It could be three weeks or three months. |
Final candidates delivered in 6 weeks or less |
Approach |
Typical methods include spamming and scraping job boards and flooding client with resumes. Contingency is not designed for complex next-generation practice areas like Web 2.0 development, where the search requires more than a passing phone call or cursory screen. Recruiter plays the numbers game and tries to respond with the most resumes before another firm beats them to it. Most contingency firms have a high turnover rate, thus recruiters are not well connected |
All services are customized to meet your exact project needs Holistic approach identifies your industry's top performers and rising stars, including "passive" candidates; those who are currently employed and not actively seeking new opportunities. Face-to-face meetings and video conferences poke holes in great resumes; to understand the candidate's true motivations and ambitions as well as their emotional intelligence, personality profile, communication skills, ethics, and social/team aptitude Leverage existing social and professional networks, including Magnet's own network of media and technology executive talent and top New York recruiting firms Extensive prescreening with face-to-face meetings or video conferencing to determine if candidate is the right fit. |
Experience |
Client forced to manage several recruiters at once Too many candidates for client to filter Client's inbox is flooded with resumes and briefs for numerous candidates. Candidates are exposed to many other contingency opportunities and are often problem employees or job-hoppers |
Clear outline of project scope prior to retaining the firm Clear timeframe: Client sees initial candidates within the first two weeks; process is complete within six weeks Satisfaction guaranteed: If one of our candidates quits within 90 days, we will start the process over again free of charge |
Exclusivity |
Not an exclusive contract arrangement with client No assurance that contingency recruiters aren't also working for your competitors Potential conflicts between firms, clients or candidates presented to multiple organizations |
Relationship is with client, not candidates. We won't recruit anyone from your company for other offers at any point in the future, including the candidates you've paid us to find. |
Confidentiality |
Your company's confidentiality may be at risk |
Client and candidate confidentiality is guaranteed |
Basically, the contingency search process is like herding cats. (We've done both, and recommend neither. Don't ask.)
Hiring a contingency firm results in a lowest-common-denominator transaction. Those engaged in this practice are typically aggressive bottom-feeders who maximize success by flooding hiring managers with resumes without giving them any focused attention. And why should they? At any given moment, there are thousands of contingency opportunities on the market for these people to hunt.
We could go on, but you probably get the idea.
Make Contact
Got questions? Of course you do. To schedule a free and private consultation with a Magnet recruiter (not a salesperson), drop us a note or call us at (800) 730-8990. We'll be in touch within 24 hours, guaranteed.
