It is important for a company to focus on attracting top-level talent to the firm. Finding the top-talent can sometimes be tough. It is sometimes worthwhile to engage the services of an executive search firm. Bad hire might be more expensive as you would be forced to redo the process and even pay for the termination of the contract for the unfit employee. Here are few tips that come in handy when dealing with an executive head hunter.
Understand the fee structure and types of head hunters
There are three main types of search firms
Contingency firms; these are transaction oriented search firms that you only pay if you hire the candidate they present to you. They work on a twenty to thirty percent compensation of value of the candidate’s first-year total salary. Their focus is mainly on middle and lower level positions
Retained firms; the search firm is only hired when there is a need for a candidate. They take over thirty percent of the value of the candidate’s first-year compensation whether he or she hired. Pay is usually done in stages; a third initially, a third during interviews and a third if a quality candidate is found. They are best suited for senior level management positions.
Container firms; they are a blend of the two above. You are to pay an upfront fee when initiating a search and about twenty-five percent of the value of the candidate first year compensation.
It is important to check if the head hunter has the right qualities for your business. Consider if the firm understands your business, its location or if it has some personal references that may help. It is important to seek a company that has experience in filing similar positions like the one you have in your industry.
It is also good for you to ask about their recruitment strategies, how wide their network and reach is, and if they understand the kind of person you seek to take up the position. There are head hunters that are specialized in hiring the chief executive, the chief financial officers and so forth. They are a good choice when hiring the particular position that they specialize in. Finally, pick a head hunter who you can connect with and the chemistry is right. It helps to be on the same page with the recruiter.