Reassessing recruitment

Kay Kennedy, President of IACPR offers her advice on how recruitment professionals can learn from the economic downturn and how they should be approaching the recovery.

“It’s easy to get bogged down in day-to-day problems and immediate solutions – but developing great leaders and implementing strong talent practices are still essential to organizational success”
-Kay Kennedy

In what ways has the economic downturn affected the professional recruitment industry and what lessons have recruitment professionals learned from this experience?
Kay Kennedy. Corporate recruitment professionals have learned that a sound performance measurement process is critical, whatever the economy. Yes, a strong, tested system is essential when looking at promotions and raises - but it is even more valuable when a corporation is considering lay offs. Good performance measurement - applied consistently by knowledgeable managers - can help support better and fairer decision-making.

Retained search professionals have had it forcefully brought home that you can't neglect marketing efforts when times are good, no matter how busy you are, and that you need to have a diverse client base so that you're not overly dependent on any one client for work. Many firms have also been using the slower business environment to take a hard look at their quality control processes and operations -a chance to improve how they go to market and execute.

The past year or so has been very difficult for recruitment professionals everywhere as many companies have been forced to downsize. In what ways have recruitment professionals been able to help ease this transition?
KK. For corporate recruitment professionals, the challenge has been how to help downsized executives move forward when company budgets are very constrained, so that formal outplacement services or termination packages are kept to the minimum. In many cases, companies have turned to long-term retained search partners and asked them to help these executives make the next move. From candidates, corporations and search firms, I am hearing about close collaboration - and a real sense that right now we all need to help each other.

When downsizing occurs, the remaining employees are often expected to maintain levels of productivity with fewer resources. How important is it in this situation to ensure employee engagement?
KK. There is research that shows that productivity in a severely downsized department suffers more from morale than lack of resources, even three months after the downsizing. It does a company no good to tell half-truths or ignore the pressing issues. The message to those leaving, to those remaining, to shareholders and vendors, and to the community at large must be sincere, based on the truth, forward-looking and repeated often. What can be expected in the next weeks and months? What is the company doing to support past, current and future employees? How will the company be moving on? Sugar coating is not the answer - and simply feeds damaging rumors.

During the economic downturn, many employers chose to scale back their graduate recruitment plans in order to create short-term cost savings. What impact will this have on those companies as we emerge from recession?
KK. Whether it's bringing in new talent or supporting those executives already in place, companies can't lose sight of the long term. It's easy to get bogged down in day-to-day problems and immediate solutions - but developing great leaders and implementing strong talent practices are still essential to organizational success, in up times or down. Firms that don't have a strategic vision for how they will be building exceptional leadership, today and down the road, will seriously lag behind their competitors.

Recent research by PricewaterhouseCoopers has revealed that many once-powerful employer brands may be unable to attract top talent in the next decade due to the eroded bonds of trust that the economic downturn created between them and their employees. Do you think this is the case?
KK. I don't think companies will feel the impact immediately - too many people are still out of work. But as disgruntled employees leave and strong talent at the executive level is more at a premium, an eroded employment brand will be an issue. Those companies that have treated their employees with dignity and respect - whether it's helping ease a transition or making sure those who stay are fully engaged and their concerns heard - won't feel the heat. Those corporations that have been less than candid in their dealings with employees at all levels need to act now to "right the wrongs." But you don't become a "most admired" company with a few quick fixes - there needs to be a consistent commitment to your employees.

What considerations should a downsized organization engage in before re-staffing in response to improved economic conditions?
KK. Many companies are hiring on a temporary basis - part-time employees or hourly consultants - before making a commitment to full-time positions. This helps ease the current burden of what can be overwhelming workloads - and also allows corporations to see how an executive might fit long-term with a corporation's goals. I am hearing of more and more of these "interim" employees moving into full-time positions.

How has the development and evolution of web 2.0 and social media affected the professional recruitment arena?
KK. LinkedIn, Twitter, YouTube, Facebook and all the rest have tens of millions of participants. And, as companies and employees are populating the new social media in droves, search firms and corporations alike are turning to these same platforms to help identify and provide background on potential candidates. However, firms need to have best practices in place for engaging with these media and institute formulized policies that could hold up to legal scrutiny, whether you are using the media to promote your firm or to source candidates.

We face major shifts in demographics over the next few years and estimates suggest that within a decade or so there will be up to four different generations in the workforce. How will recruitment professionals have to adapt their practices in order to best communicate with these different groups?
KK. I think most firms are already reaching out to younger candidates in new ways - like through social media - to identify potential candidates and market new positions. But nothing can replace in-depth interviewing skills, strong assessment techniques and thorough background checks - these are the foundation of any successful search.