Category Archives: Hiring

There’s No Free Staffing Option

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I’ve gotten a chance to work both sides of the fence for an extended period of time in the Talent Acquisition/Recruiting/Staffing game. For ten years I ran corporate talent acquisition shops for some very large organizations.  One organization spent over $3M annually on staffing agency fees! Obviously, prior to me getting there!

I’ve spent almost fifeteen years on the agency side, sandwiched in between my corporate experience. What I’ve learned along the way is that there isn’t a “free” option when it comes to hiring great talent.

Frequently, I get asked from clients for discounts to my fees on the agency side.  I get that. When I was on the corporate side, I would never take an agency’s first offer.  Here’s the main problem with all of this:

Corporate talent acquisition pros don’t want any of it. They don’t your 20% direct fee, they don’t want your retained plan, they don’t want your RPO plan. What they want is Free. A free option.

Therein lies everything you need to know about staffing agencies and corporate talent acquisition.  One side wants free. One side needs to get paid.

The reality is, even staffing on your own on the corporate side isn’t free.  Corporate talent acquisition done right, has a ton of costs. Recruitment tools, automation, branding, job boards, applicant tracking, college strategy, recruiter training and hiring, etc. None of that is free.

All of this, though, should be screaming to the agency folks that something isn’t right.  What corporate talent acquisition pros are saying is “we don’t like the options we are getting from agencies”.  This should be of serious concern, because there are companies trying to design other options for corporate talent acquisition pros.  Options where they’ll feel like they are getting the value they want.

These options aren’t free, either, but they are less than all of the traditional options that 99% of staffing agencies are offering.

When I was on the corporate TA side of the desk, here was my decision matrix to when I would use a staffing agency. This matrix made me feel good about my decision to use an agency:

1. Does my team have the capacity to do this search? If Yes, why would I pay to have this done. If No, the cost if justifiable.

2. Does the agency offer me a recruitment expertise and/or pipeline I don’t have on my team?  See #1 for Yes and No options.

3. Is it financially feasible for me to add more capacity to my team, as compared to an agency option? This one took some more work. If I had a need for an agency to fill, let’s say, three positions and it was going to cost me $100K, well, obviously I could hire a pretty good recruiter for $100K. But, would I need that Recruiter in year 2, 3, etc.? Adding headcount isn’t a one time cost for an organization.

Ultimately, for me on the corporate side, it was almost always a capacity issue.  I had the expertise, but we had bubbles of work I needed extra support with.  Too often, I see corporate TA leaders upset over agency spend and it’s based on the fact they don’t have good recruiters on their team, yet there unwilling to change this fact. I’ll pay for additional short term capacity. I won’t pay for expertise I should have on my team everyday. That becomes my issue!

Corporate TA leaders become frustrated over agency spend because ultimately it’s a reflection on the team they have created.

 

I’m Uninviting You

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I’m not terminating anyone ever again.

I can’t terminate anyone, because I don’t hire anyone.  I do invite people to join me.  Join me on this journey, on this path. It’s going to be a great trip.  I invite them to be  apart of my family.  Not my ‘work’ family, but my actual family.  I spend more time with my co-workers than I do with my wife and children (in terms of waking hours).  So, when I invite someone to join us, it is not something I take lightly.

That’s why, from now on, I’m not terminating anyone.  From now on, I’m just uninviting them to continue being a part part of what we have going on.  Just like a party.  You were invited to attend, but you end up drinking too much and making a fool out of yourself, so now you’re uninvited. You can’t attend the next party.  I don’t know about you, but when I throw a party, I never (and I mean never) invite someone I can’t stand.  Sometimes couple have issues with this, where one spouse wants to invite his or her friend, but their spouse is a complete tool and it causes issues.  Not in my family, we only invite those people we want to be around, life is too short.

Here’s the deal.  When you invited someone into your family, you usually end up falling in love with them.  It’s that way in business. It’s the main reason we have such a hard time firing on bad performers.  We fall in love with those people we hire.  “Oh, Mary, she’s such a nice person!”  But, Mary, can’t tie her shoes and chew gum at the same time.  So, we give Mary chances, too many chances, and pretty soon Mary is part of the family.  It’s hard terminating part of the family.

I would rather just not invite Mary to attend work any longer.  “Hey, Mary, we love you, but look, we aren’t going to invite you to work.  We’ll still see you at 5pm over at the bar for drinks.”  Sounds so much easier, right!?  It happens all the time.  I use to get invited to stuff, but somewhere down the road the group stopped inviting me.  I might have been a little upset over it, but it didn’t last and I’m still friends with everyone.  Termination is so permanent, it’s like death.  Being uninvited sends the same message, but there’s a part of being uninvited that says “you know what, maybe it was you, maybe it was us, but let’s just face it, together it doesn’t work.”

You’re Uninvited.

Ask Sackett: Mid Career Change

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One of the coolest things that happened when I started writing blog posts eight years ago, is people reach out to you and ask you questions.  Random people you don’t know off the internet asking me for my ‘expert’ advice.  It’s scary, comical and flattering all at the same time!

This week a question came in about how would I go about making a mid-career change from one profession to another.  In this case, the person was wanting to move out of a teaching profession and into an information technology profession.  This individual is about ten years into their teaching career. Went back to school, while working, and got another bachelor’s degree in IT.

How do I get a position in IT? That was the actual question, but as you can imagine, that question is fraught with complexity!

Here is the biggest problem most people face when making a mid-career job change, they can’t stop working at their current job to get experience working in their new field.

So many people fall into this trap!  You want to change careers, but you’re working and making a decent living, paying the bills, living life.  You go back to school in the evening, taking on more debt to get the education. Still busting your butt during the week in the job you no longer love, waiting to start your new career.

That’s when you first begin hearing things like, “well, you’ll need some experience to work here”, or “we don’t have entry level positions for someone at ‘your level'”.  “At my level?” What does that mean?  It means, organizations aren’t comfortable hiring a 32 year old for a position they usually hire 21 year olds in. Plus, you aren’t comfortable making an entry level wage at this point in your life.

This is why people stay in miserable jobs.  Once you get far enough down a career path, you are really left with few choices.

So, what was my advice?

– Find a ‘free’ internship. Work your regular full time job, then find some hours in your week to work for free in your new field. You have to get some kind of experience in your new field, especially if you’re a mid-career professional.

– Start adjusting your lifestyle to be an entry level professional.  Remember when you were first starting out in that apartment and crappy car? Not going out and drinking cheap beer?  Welcome back. More than likely you will have to make this adjustment. It’s worth it, if you’ll be happy. Embrace it. Less is more.

– Use your current professional connections to begin connecting with hiring managers in the career you want, not the career you have.  You have to start networking like you’re an entry level graduating from college, looking for you first job. But, you have the network that can help you, that no new college grad has!

– Lastly, give your current employer, if possible, a shot at moving you into the position you want.  Many times employers will work with you to gradually move you into the role you want, by giving you some experiences working in the position you want, and gradually transition you out of your current position and into the new one.

4 Reasons You’ll Leave Your Job on Your Terms

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There’s a million ways to lose your job.  Layoffs, company closes, smacking an employee on the butt, you name it and someone has lost their job over it!

The reality is, though, most people leave their jobs on their own terms and it has nothing to do with more money or a higher level job.

If fact there are four main ways people leave their jobs:

#1 – Crappy Boss.  Almost anyone who has left my company has left because they didn’t like me, or I didn’t like them. Well, to be honest, I probably didn’t like the way they were performing.  If they were performing well, I don’t really care if I like them personally. I’ll take the performance over me liking them!  So, for some I’m a crappy boss, for others I’m not.  The key to great leadership is having only a few believe you’re crappy!

#2 – Bad Job Fit. We hired you and thought you would be awesome. Yay! But, we all messed up with thinking you would fit.  You’re not the right fit. You know it. Doesn’t ‘feel’ right, so you you leave to something that feels better. In so many of our jobs that we hire for, fit is the most important part of success. Fit and showing up every day. Shocking how we can’t figure this out!

#3 – Commute.  Length of commute is subjective.  My friends in Detroit live 10 miles from work and drive an hour on good days to their jobs. They seem completely happy with this commute.  I drive 12 miles and it takes me twenty minutes and if I get slowed down and it takes me 22 minutes, I’m ready to shoot people!  People take a job and think the commute is no big deal, but it is a very big deal for so many people.  If the length of commute comes up in negotiation, run away from that candidate.

#4 – Cultural Fit.  I hate conservative, very political environments.  There’s something about kissing ass all day that makes me not a pleasant person to be around.  You need to know who you are and what kinds of culture you like.  Some of my best friends love ultra-professional conservative cultures and do exceptional working in those cultures.  Everyone has a preference. Find yours.  So many people get this wrong and stay in a culture they hate.

These four reasons make up about 99% of why people decide to leave a company.  People always want you to believe they left for money or a promotion, but all of that can usually be had at their current employer with a little patience and some conversations.

 

You Can’t Copy Culture

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I want our company to be just like Zappos!

No you don’t.

First, Zappos has a very strong culture, of which, most people couldn’t handle or wouldn’t like.  They hire very specific talent based on this cultural fit and desire to be in their certain culture, it’s not for everyone.  Now drink. Yep, that’s the new game sweeping the nation at HR and Recruiting conferences.  If a speaker says “Zappos” or “Google” you need to take a drink.  We might be HR nerds, but we party.

Second, you couldn’t replicate their culture even if you hired every single one of their employees and moved them into your offices.  You can’t copy culture. You can’t grow it again.  Culture is very specific to an organization, the leadership, the employee mix and time.

It’s not something you can just cut and paste into another organization. Believe me. It’s been tried about a million times and failed a million and one.

Remember when it was cool to hire folks from Disney because you wanted some of that Disney customer service culture in your organization? Yeah, how did that work out? You’re also not Disney. Or Southwest. Or some fun tech startup that plays ping pong and wears expensive hoodies.

You are you.  Stop trying to copy some other organizations culture and just do you.

Your culture is fine.  The people who are cancer to your culture are not. Get rid of them.  Communicate. Have an idea about where you’ve been and where you’re going and tell your employees.  Get them involved. Find out what tweaks their curiosity. Hire people who want to work for you.  No, not people who want a job. People who, specifically, want to work for your company.

I had a brilliant man once mentor me during a big merger between our companies.  I was young in my HR career and the company I worked for didn’t have a positive culture.  I wanted to change that. He told me that was useless.  He said we could change every single employee one by one, and would still be the same a year from now.

He said, “Culture always wins.” Good or bad, positive or negative. The culture you have will win. It will beat you.

Don’t fight the culture you have. Work with it, make it work for you.  Culture evolves, it doesn’t change quickly.  That’s your biggest problem. Too many leaders think they have the power to change culture overnight, but they don’t.

Leaders are like salt to culture. Salt exaggerates the taste of the food it is added to.  Leaders can add to the culture you have. They can make good culture even better, and they can bad culture even worse. What they can’t do is make bad culture, good.  Or, good culture, bad. An organization with a strong positive culture will beat a bad leader trying to betray it.

Don’t be discouraged.

You can keep fighting the good fight, just don’t get too down on yourself when you don’t see results right away, and don’t copy another culture!

The Most Important Question You’ll Ever Ask a Hiring Manager

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How are those hiring manager “intake” meetings going?

You know, those meetings you have with a hiring manager every single time they have an opening.  You sit down with your hiring manager, face to face, and ask them a page full of questions.  Why is this position open? What would make a candidate most successful in this role?  What color of skin would you like this candidate to have? Boobs or no boobs? Whoops! Scratch those last ones, we would never ask those…

The reality is Talent Pros really only have one question they need to ask hiring managers. That question is this:

“Do you trust that I can find the talent you need?”

Ultimately, this is all that really matters for your success.  If they trust you, they’ll give you all the information you need to be successful.  If they don’t trust you can find the talent they need, they tend to hold stuff back.

Yes, I know that doesn’t make sense, but that’s real world talent acquisition stuff! Welcome to corporate America, a lot of stuff doesn’t make sense!

Most hiring manager have no faith you’ll find them great talent.  They have this belief because so many bad Talent Pros before you failed them.  So many before you didn’t really go out and find the best talent, they just delivered whatever warm body came into the ATS.

I just come out and ask the question.  The first answer you’ll get from 99% of hiring manager is a weird, “Well, sure, I do.” If you really dig into this answer, you’ll get the true answer which 90% of the time is, “Hell no! Why would I?  Your department has really never gotten this right!”

Thank you! That’s what I really needed.  I needed to get that out in the open, so now we can really build trust, and make great things happen.  They’re mostly right. Talent Acquisition fails many of our hiring managers for a number of reasons. Right now, your hiring manager doesn’t need to hear those reasons, they need to hear why this time will be different.

Then, you have to live up to ‘different’! You have to be better.  You have to get it right. Getting it right earns trust.

Once they trust you, great things will happen. Earn that trust.

The New “Radio” Job Ads

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Have you listened to an actual radio station lately?

I’m guessing you probably haven’t. You see radio, as a media consumption, is down to 12% of your total consumption, from 19% in 2009.  One big change during that same period, is that a large number are switching to from 25% in 2009 to 55% today. Also, listening off various Apps on your smartphones, in your car, have increased to 35% today. In 2009, it was under 5%!

We are changing the way we consume music and talk programs.  Radio used to be a solid medium to advertise jobs. Especially, those jobs in the service sector, skilled trades, etc.  The advantage of job advertising on the radio was that the radio station had great data on their demographic of listeners. Age, location, gender, income, etc.  This meant you could select fairly accurately who was listening to your job message.

Today, over 140 Million people are listening to Pandora and Spotify.

No longer when entering an office building do you hear the local ‘easy listening’ station, with about 20 minutes of commercials per hour.  Now, you usually hear some version of internet radio, and usually that means Pandora or Spotify.

So, what does this mean for HR and Talent pros who still want to advertise their jobs on radio?

I think there is a huge opportunity, depending on your hiring demographic, to test using Apps like Pandora and Spotify to market your job openings.

Think about the advantages you could get using internet radio for job postings:

– They have similar demographics as traditional radio, plus you can get more targeted by location. Pandora and Spotify take user information to target local advertising, for unpaid subscribers.  Let’s say you have a major competitor in Lincoln Park, IL.  You want to advertise in just that market, and those users who self-identified to be in that market.

– The advertising model is based on impressions, so you can say I have a $100 per day budget, and only want it to run for 5 days. The ads will stop once he limit is hit. If it’s not hit, let’s say your advertising in a small market, the money comes back to you.  So, this type of advertising is fairly inexpensive, as compared to traditional radio and other formats.

– The audience is going to skew millennial and younger.  For those looking to hire in that demo, it’s not a guarantee, but the numbers don’t lie.

Truth be told I haven’t done this, but I would love to hear from someone who has tried this medium for job advertising.  What I know is that there is a huge audience, and almost no employers are advertising in this space.  That means one of two things: 1. It’s ripe for some great, cheap hiring; 2. It’s a total bust.  I don’t think it’s a total bust.  I think it’s just something people haven’t thought of, yet.

Let me know if you try it, and what your results are!

Working for Free – Contingent Search Model Changing

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A funny thing happens when the economy is good. Corporate Talent Acquisition pros believe that agency contingent recruiters should work their job openings like its the most important priority the recruiter has ever had.  There are a couple reasons for this:

1. This opening is the most important priority for the Corporate TA pro, so it should be yours.

2. When the economy was bad, you treated the Corporate TA pro like they were your number one priority.

Then the economy gets good, and the agency folks have choices and now as a Corporate TA pro you find out who your real agency recruiting friends are!  Those who will actually come through for you, when you call on them and tell them you have something urgent.

My Corporate TA friends are the ones who pay me.

Don’t take that wrong.  You see this is the game we all play.  You want me to work your opening, but you ‘really’ don’t want to pay me if you don’t have to.  I get it. You get it. It’s the world of contingency recruitment.  I spend most of my time just trying to truly determine who will pay me for the work I do.  Because most of the work I do is for free.

So, now that the economy is good, way too many Corporate TA pro have unreasonable expectations of their agency counterparts. If I’m working for free, mostly, I’m going to be more picky about who I work for free for.  If you have me work five openings, and you then fill all five on your own, I’m probably not working your ‘urgent’ number six. If you have me work three, and I fill one, I’m helping you out. It’s simple economics.

Something new is being added to the game. This happens when times are good for agency recruiters.  There are two types of recruiting on the agency side:

1. Contingent – see above. Basically, I work for free until I find you someone you want to hire, then you pay me.

2. Retained – You pay me my big fee up front, and I work until I find you the person you want to hire.

Traditionally, retained is really only used for executive search, but when talent is hard to come by, you’ll also see it used in the professional ranks.

Recently, I’ve been seeing a new hybrid model of search show up, called Retained Contingent.  Retained contingent is a mix of both models. It’s still a contingent search, but you’re paying me about 10-20% of the fee up front for me to prioritize your search to the top of the workload.

Let’s say you’re searching for an Engineering Manager for $100K, and signed a 25% fee agreement. The total fee upon placement is $25K. In the Retained Contingent model you would pay me $5K to start the search up front, then $20K upon placement guarantee. If I don’t find the person, after a contracted amount of time, the $5K is for my work, no other fee is owed.

This is a win-win for both the Corporate TA pro and the agency, but only if the Corporate TA pro is sure they want to pay for the search.  If that’s the case, I want the benefit of retained focus and prioritization, without the risk of paying the full fee up front and having the firm not come through with a successful hire.

I don’t want to take you cash and then fail. You’ll make sure everyone knows I failed.  But, I also have limited resources and want to focus those resources on the best clients. We both have skin in the game.  That creates a partnership. That creates success.

Just wait. You’ll see a lot more of this over the next five to ten years.  Corporate TA pros are getting smarter, and so are the agency pros.  In the end, both sides want value for their work.

3 Ways to Turn Down a Job Offer

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The NBA free agent signings took place at midnight EST last night.  The signing period lasts 9 days, where players can negotiate, but not sign, deals until last night at midnight.  One big free agent signing this year is DeAndre Jordan, who was with the LA Clippers last season, and had a verbal, handshake, agreement to join the Dallas Mavericks.

That was until DeAndre decided to change his mind and re-sign with the Clippers, but not tell the Mavericks he was going to do this!  Basically, doing what we see in HR all the time, accepting our offer, only to see the candidate turn around and accept the counteroffer.  The problem with DeAndre was that he never let Dallas know he was going to do this, so they weren’t able to go after another player to replace him!

Not only did he not tell Dallas, he actually tweeted out a picture from his house with a chair blocking the door, to give the implication that his Clipper teammates weren’t allowing anyone to come to his house until after midnight and contract was signed!  Way to keep it classy LA…

So, how should a candidate turn down an offer when they decide to go in another direction?  Here are three ways that are all better than was DeAndre did:

1. Pick up the phone! If you are adult enough to make the decision to accept another offer, be adult enough to pick up the freaking phone and let the other party know that is what your intent is.  You get bonus adult points if you also give them a reason or two of why the other offer was better for you to accept! Do this the moment you have made the decision to accept the other position. Timing is critical for this, as the other organization might have a backup candidate and they don’t want to miss out on this person.

2. Send an email.  Less favorable, and it’s definitely conflict avoidant, but at least you did something to let the organization know.  The plus factor on the email is you have time to craft your message, as some people are not good over the phone in real-time interactions.  Again, give the organization some sort of ‘real’ reason on why their offer wasn’t as good as the offer you accepted.  This will be appreciated, as companies need to know how to get better.  NEVER – give the “it’s me, not you” as a reason. That’s lame!

3. Text message.  I put this one in for the kids. They like texting, but the reality is, this looks unprofessional, and you’ll get know adult points for doing this.  The one way I can see texting being used to turn down an offer is if it is used in conjunction with another form of communication. A quick “just wanted to let you know I will not be accepting your offer. Sorry. I’ll call soon with an explanation”, will work, but make sure you call!

I’m not sure why anyone ever feels it’s okay to accept a job offer, then just decide to not do it, but never communicate back with the organization. This happens more than you think, but I’m always surprised by this mentality of who would think this is acceptable.

In my career I’ve probably had at least a half a dozen people accept jobs, sign an offer letter, then on start day, be a no-show. I find out later they decided to accept a counteroffer, but never communicated anything back to my organization.  This is across multiple industries, multiple companies. I would love to see an industry study of why people think this is an appropriate behavior!

The morale to the story? Don’t be a DeAndre!

The Jealous Girlfriend Interview Technique!

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About a year ago Forbes had an article, Top Executive Recruiters Agree There Are Only 3 True Job Interview Questions, that shared the “wisdom” of a handful of Executive  Recruiters on the only things that you should really have to ask a candidate.  There 3 questions where:

  1. Can you do the job?
  2. Will you love the job?
  3. Can we tolerate working with you?

Simple enough.  Straight to the point, and you can assume for the $75,000 you’re paying, this is probably the extent of their screening as well!

In my Recruiting/HR career it’s probably the single most often asked question I get:

“What are your best interview questions?”

Then, you get to hear their questions. About how Google has some really great ones. Even, how I heard once about a company that asked people if they were an animal which animal would they be? Or, if you only pick one vegetable to eat the rest of your life, would it be carrots?  It goes on, and on. Until you want to vomit!

The actual interview questions have very little impact in the success of the interview.

If you are interviewing anyone with some decent smarts, they are going to be able to ace your questions with little effort.  What is important in interviewing is what you allow the candidate to get away with.  I find that most recruiters and hiring managers to be way (I mean WAY!) to easy when it comes to questioning candidates.  See if this example sounds familiar:

Interviewer: “John, looks like you left your last next to last company in May, but didn’t start your current position until July. Can you explain that gap?”

John: “Sure, you know I was doing a great job and I didn’t see myself moving up in that company, so I wanted to go find somewhere I could move up the ladder.”

Bam! At this point, most interviewers move on to the next questions.  When clearly, John deflected, and someone needs to rip into some Gestapo interrogation tactics and find out what’s really going on.  But they don’t, it would be a conflict, he might think we are rude, and well, we’ll move on…

Follow-up questions to original answers during an interview is a skill in itself.  The only interview questions you ever need are the questions a Jealous Girlfriend asks when you come home on a Saturday morning around 3am.  Shoot, just hire Jealous Girlfriends as your interviewers! They’ll get to the bottom of a candidates background!

The hardest interview I ever had was with a woman that was eventually my boss, who was a former U.S. Army interrogator. It was exhausting! It was painful! It was Awesome! I actually lost my voice (after the 7th hour – True Story!).

She was the ultimate Jealous Girlfriend, in fact, I think she trains Jealous Girlfriends in her spare time.  There wasn’t an answer I could give her that she was satisfied with. She just kept at it, until I would slip and say something I really didn’t mean to. Once she smelled the blood, it was over.

The result? She hired the best talent (excluding me) in the entire organization by far!  Bad hired did not make it past here interviewing technique.

So, don’t worry about having the “best” interview questions. Really any will do. Just don’t accept the first answer you get!