Executive search firms tend to keep the quality outcomes they provide to their clients private. However, superior quality levels provide a significant competitive advantage if customers understand the data and if they see value in the benefits. The retained executive search industry and each respective firm needs to be asked to make the decision to be among the first or last firm to measure, report and leverage superior quality outcomes.
Every executive search firm has performance data readily available that defines their recruiting effectiveness. However, most firms do not divulge this information to anyone outside of their inner circle. After all, releasing detailed information that defines the firm's recruiting efficiency, twelve-month post-hire retention rates, and repeat client information could adversely impact a recruiting firm's image and sales momentum if the results are less than outstanding.
What's the solution? In a recent interview Mr. Yvon Chouinard, CEO of Patagonia, a $230 million privately-held leader of high-quality outdoor goods stated, "The answer for many problems is to improve the quality." Executive search firms can and should actively manage and report their quality levels. And, it should be done with a strong focus on client needs rather than on the recruiting firm's historical business model. Then, those who are able to demonstrate a track record of superior quality results will see accelerated new client growth and improved client retention rates. It's a simple formula. Improved quality benefits each search firm client and generates improved sales and profits to the search firm.
My commitment and passion towards measuring and providing high-quality retained search service is in part due to the obvious alignment created with healthcare clients. There is an increasing trend towards healthcare providers effectively monitoring, managing and reporting on a variety of metrics pertaining to key quality outcomes. It's happening in more and more segments of the Healthcare industry and it will continue to expand. As a result, clients should expect, and receive, the same level of accountability from their service providers of high-value executive talent as they require of themselves. It seems all too obvious to create true alignment as search firm success requires linking a client's business strategy to the executive search process and outcome.
Three measures clients and search firms can begin with: twelve-month candidate retention, timing from search initiation to client interviews and search firm revenues from current and previous clients. First, twelve-month candidate retention rates are significant as it is an appropriate time for the newly hired executive to learn and gain momentum and develop an understanding of the organization's culture, systems and operating strategy. Secondly, timing needed for the search firm to start a search until candidates are interviewing with the client demonstrates the search firm's knowledge of the industry and ability to identify and recruit global leadership for a specific search. This metric is also a good indication of a client's commitment towards the search process. Client firms consistently urge search firms to quickly produce respected individual candidates. These same client firms need to ensure their ability to drive internal hiring processes to successfully recruit and hire the successful candidate. Finally, the percentage of annual revenues search firms receive from long-standing clients, repeat business, tells clients, candidates and prospects the level of thoroughness in the search process and overall customer service levels provided. While no firm will be looked upon for a percentage less than 100%, a high percentage of repeat business, especially over multiple years, provides real insight to the search firm and the search firm's quality commitment.
Quality results do provide a competitive advantage and it is my commitment to remain one of the top performing executive search firm in terms of our ability to consistently deliver high-caliber retained executive search services to investors and operators throughout the Healthcare industry. I believe the retained search industry should become a leader among healthcare service providers to improve and deliver quality to our clients. This alignment will serve clients best for the long run.
Every executive search firm has performance data readily available that defines their recruiting effectiveness. However, most firms do not divulge this information to anyone outside of their inner circle. After all, releasing detailed information that defines the firm's recruiting efficiency, twelve-month post-hire retention rates, and repeat client information could adversely impact a recruiting firm's image and sales momentum if the results are less than outstanding.
What's the solution? In a recent interview Mr. Yvon Chouinard, CEO of Patagonia, a $230 million privately-held leader of high-quality outdoor goods stated, "The answer for many problems is to improve the quality." Executive search firms can and should actively manage and report their quality levels. And, it should be done with a strong focus on client needs rather than on the recruiting firm's historical business model. Then, those who are able to demonstrate a track record of superior quality results will see accelerated new client growth and improved client retention rates. It's a simple formula. Improved quality benefits each search firm client and generates improved sales and profits to the search firm.
My commitment and passion towards measuring and providing high-quality retained search service is in part due to the obvious alignment created with healthcare clients. There is an increasing trend towards healthcare providers effectively monitoring, managing and reporting on a variety of metrics pertaining to key quality outcomes. It's happening in more and more segments of the Healthcare industry and it will continue to expand. As a result, clients should expect, and receive, the same level of accountability from their service providers of high-value executive talent as they require of themselves. It seems all too obvious to create true alignment as search firm success requires linking a client's business strategy to the executive search process and outcome.
Three measures clients and search firms can begin with: twelve-month candidate retention, timing from search initiation to client interviews and search firm revenues from current and previous clients. First, twelve-month candidate retention rates are significant as it is an appropriate time for the newly hired executive to learn and gain momentum and develop an understanding of the organization's culture, systems and operating strategy. Secondly, timing needed for the search firm to start a search until candidates are interviewing with the client demonstrates the search firm's knowledge of the industry and ability to identify and recruit global leadership for a specific search. This metric is also a good indication of a client's commitment towards the search process. Client firms consistently urge search firms to quickly produce respected individual candidates. These same client firms need to ensure their ability to drive internal hiring processes to successfully recruit and hire the successful candidate. Finally, the percentage of annual revenues search firms receive from long-standing clients, repeat business, tells clients, candidates and prospects the level of thoroughness in the search process and overall customer service levels provided. While no firm will be looked upon for a percentage less than 100%, a high percentage of repeat business, especially over multiple years, provides real insight to the search firm and the search firm's quality commitment.
Quality results do provide a competitive advantage and it is my commitment to remain one of the top performing executive search firm in terms of our ability to consistently deliver high-caliber retained executive search services to investors and operators throughout the Healthcare industry. I believe the retained search industry should become a leader among healthcare service providers to improve and deliver quality to our clients. This alignment will serve clients best for the long run.
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