Working with Executive Search Firms: 9 Facts You May Not Be Aware Of
Talent teams have been facing growing capacity challenges, especially for business-critical executive search needs in a market that is still competitive. As you consider whether to use an outside search partner for your leadership roles and what the tradeoffs will be, it's imperative to separate myths from facts. In this article, we'll explore 9 facts and unveil the facts behind each one, shedding light on the value executive search firms bring to the table.
Fact 1: Executive search forms can take 4+ months to fill a role
On average, most search firms take around 120 days (or 4 months to fill a role). Plenty’s average time to fill, however, is only 70 days. It's essential to understand that thorough searches take time, to ensure a precise fit for your organization. In addition, firms save your team a lot of internal time spent researching, engaging, and assessing candidates against the criteria.
Fact 2: Search firms often overload their recruiters with large req loads
Some executive recruiters manage an extensive load of up to 15 active roles simultaneously. It's essential to ask for the firm’s average req load per recruiter so you can tell how dedicated they are to your search. At Plenty, we cap our recruiters at 4-5 reqs each.
Fact 3: Most search teams lack startup operator experience
Not all search team members possess operator experience. It's crucial to inquire about the background and expertise of the individuals involved in your search to ensure alignment with your specific needs.
Fact 4: Many firms have large lists of ‘No-Poach’ companies they cannot recruit from
Many firms have a "no-poach" list, which can limit the candidate pool due to conflicts of interest. Understanding this list helps manage expectations and identify potential restrictions. Because Plenty takes on fewer clients, we have a very small “no-poach” list.
Fact 5: Search firms often delegate the search to junior team members
Some firms may delegate significant responsibilities to junior team members. It's essential to clarify the level of engagement from senior team members in your search.
Fact 6: Diversity is often lacking on the team and in results
Many search firms have little to no diversity representation in their leadership and have no data to show results on the diversity of candidates. We recommend probing your search firm on their own diversity internally and requesting metrics on diversity results. For example, for CTO searches alone, Plenty has placed 80% women of color.
Fact 7: Search firms lack quality control checks
Many search firms lack formal progress checks or quality review processes to ensure the search exceeds expectations. Clarifying this aspect ensures that you have visibility into the search's progress and outcomes.
Fact 8: The optimal exec candidate is very often passive
While job boards and LinkedIn have their merits, executive-level candidates are often passive and not actively job-seeking. Executive search firms tap into this talent pool, providing access to exceptional professionals.
Fact 9: You get what you pay for: nothing is more costly than a bad hire
While executive search firms come with a cost, the expense of a poor executive hire can be significantly higher, often exceeding 213% of their annual salary. Partnering with a search firm is an investment in securing top-tier leadership.
The Greek philosopher Heraclitus perhaps best set the stage for 2023 when he said: "change is the only constant in life." While there are many uncertainties ahead for the new year, talent leaders seem to agree that the path ahead will depend on strong partnerships. By setting high standards and diligently exploring the key questions discussed in this article, you can ensure that your chosen partner aligns seamlessly with your unique needs. We know that engaging a search partner is not a small expense but that the cost of a bad hire is far more expensive. This makes it all the more critical you have the best partner that is aligned with your needs in every way.
