Having been in the recruiting industry since the mid-'90s, I am also surprised by how varied clients' abilities to adapt to changes in the job market. Changes in the job market occur primarily for economic reasons. However, technology significantly impacts the job market as needs change due to automation, outsourcing, and shifts in demand for particular products or services.
For example, during the infamous Y2K period, I was recruiting COBOL programmers to re-write code from the two-digit date YY to the four-digit date YYYY. At the time, the thought was that once banking, government, and multi-national conglomerates whose systems relied on this program flipped over into the year 2000, the world would come to near disaster as programs would not be able to determine the date 00, is it the year 1900 or 2000, or the stone age? We were all hoping that bank machines would spit out wads of cash on January 1st, 2000, but sadly that did not happen.
Anyway, as the catastrophe was imminent, candidates with COBOL programming skills were in high demand for about 18 months in 1998 and 1999; however, on January 1st, 2000, we all breathed a sigh of relief that the world did not end as the re-programming was done, and consequently, the demand for COBOL programmers fell through the floor. What I remember most about this time was how competitive it was to secure top talent; companies offered huge hourly rates and perks and hired candidates on the spot to get them started as soon as possible.
Some companies are strategically designed to see change coming and, therefore, prepare for either a market with a shortage of candidates or a market with excess candidates. Both types of markets offer unique challenges, and while a candidate-rich environment favors the employer, there is almost always a need for those in specialized and leadership roles.
Many companies are slower to adjust to market conditions and miss out on opportunities to hire top talent. Fast-moving companies secure strong talent through streamlining processes, maintaining priority at the executive level on hiring, and generally seeing the right people as the backbone of their success. Here are some ways to rejig your processes to secure the best talent in a fast-moving market.
JOB POSTINGS VS. JOB DESCRIPTIONS
Many companies make the mistake of posting job descriptions on their websites and various social media platforms, such as LinkedIn, and expect great candidates to flock to their postings. A job posting should not be a dry description that states what you want from the candidate.
One-sidedness is not the best way to start a relationship. Focus almost exclusively on your expectations, adding one or two sentences at the end stating what you will provide the candidate, which typically reads a competitive salary and benefits package. Everyone says that! Your job posting is at the top of the funnel and should reflect your company culture, the advantage of the role to the qualified individual, and where the position might lead. Mostly, what's in it for them?
Your job posting should answer one crucial question;
Why would a high-performing candidate want to work for your company?
REFINING THE INTERVIEW PROCESS
Companies can get away with a drawn-out interview process in a market where there are an excessive amount of qualified candidates to choose from. Still, in a candidate-short market, which is what we are experiencing right now, this is an Achilleas heal for companies who have not taken the time to streamline their interview processes. High-performing candidates are sought after and tend to stay on the market for a short period. The best candidates receive offers quickly as fast-moving companies who have:
created accelerated interview processes to evaluate candidates
use efficient outside sources to find the best talent
run background checks
Even something seemingly as minor as the paperwork process can be a factor. Just this week, we had a client who had been dragging their feet on a strong candidate who was genuinely interested in their opportunity. After several internal delays due to red tape, the company was finally prepared to make an offer. Still, when we called the candidate, who had been waiting for a week, he told us he had accepted another offer just the day before. It was too late. Nobody likes to waste their time; companies need to ensure that the things they can control are done as quickly as possible.
OUTDATED COMPENSATION AND BENEFITS PACKAGES
Companies need to do their homework on competitive salaries for their roles. Just because candidates have accepted their salary doesn't mean that it is competitive. There could be a variety of factors why a candidate may accept a lower offer, but what companies don't think about is how vulnerable this leaves them to candidates not taking the offer and internal turnover.
I advise my clients to do their research or provide the data, if I can, on what a competitive rate might be for their role. And when I tell them the scale, I suggest adding more. Please don’t make it easy for their competitors to snatch up your best employees. The cost of continually rehiring, particularly for a specialized role, is much higher than paying your employees at or above the market rate.
Benefits are also creating a competitive advantage for many employers. Too many companies are removing benefits to save on costs. This is a big mistake. Even if the benefits package offered is more of an affordable plan, it's better than not having one at all. At the very least, we should be willing to provide candidates with a higher salary so they can afford to pay for their healthcare.
OVERALL: 3 Steps to Finding the Best Candidate
Companies need to track and continually improve the time from selection to hire to build their teams with top talent. For this to work, everyone must be on board, from the CEO to Hiring managers to your front-end recruiter. Everyone must know the three steps to finding the best candidates.
Recruiters who can identify top talent get very excited about bringing them into the organization, but as they experience pushback internally through drawn-out processes, lack of executive availability, and red tape in decision-making, they can become increasingly discouraged.
But that's not the worst part; long-term vacancies in roles put a strain on other staff, who become increasingly frustrated. When you miss out on hiring the top talent, you are left with less qualified candidates who will inevitably bring down the quality of your work overall.
