Using a Headhunter

Headhunters, also known as recruiters or executive recruiters, work on behalf of a company to find qualified applicants for job positions. They typically have existing industry experience and a network of contacts, which gives them an advantage in their search. Headhunters either actively seek out applicants or entice candidates toward a specific position. They can advise professionals on the best ways to present themselves to potential employers and assist them in finding positions not typically advertised online or in classified advertisements.

100259628-100711.jpg

Recruiters may also sometimes help candidates improve their résumés and interview skills and help negotiate the salary of a new hire they discovered. They are typically used to fill executive and senior-level roles. A large part of a headhunter’s job is to cultivate relationships within industries, network, maintain candidate databases, and cold call or email prospective candidates.

Brief History

The concept of headhunting as a profession and industry tool coalesced after the end of World War II. Although recruitment did exist before the war, notably including the founding of the first executive recruiting firm, Thorndike Deland Associates, in 1926, it was a limited field. After the war, increasing industrialization and technological progress led to a large need to fill open positions in relevant fields. For many companies, earlier methods of hiring executives, often based on tenure, supposed loyalty, or paternalism, were increasingly seen as outdated or ineffective. Thus, the concept of seeking out professionals with certain skills and experience came about.

Recruitment firms often started as branches of management consulting businesses. As multinational corporations became more prominent in the 1950s and 60s, headhunting became more well-known. As the baby boomer generation began to retire in the 2000s, demand for recruitment services increased. Internet technology further transformed the industry, providing new ways for headhunters to match candidates to job openings. Platforms like LinkedIn have given recruiters and job applicants the ability to connect instantaneously from almost anywhere in the world. Technology such as Applicant Tracking Systems (ATS) and the use of data analytics have further streamlined the recruiting process.

Benefits

Applicants who work with a headhunter are likely to spend less time applying for jobs that are either beneath or above their qualifications and experience. With a headhunter, an applicant can get help targeting their search and utilize the headhunter’s network of contacts to find the job that best suits them. Sometimes an applicant may not even consider a career their experience would qualify them for until a headhunter steers them in that direction.

Headhunters also have leads to positions that are not advertised and a strong knowledge of whom the company wants to fill that position. Since headhunters typically represent lucrative companies, they also characteristically offer higher-paying jobs. Headhunters contracted by companies are usually paid a percentage of the first year’s salary of new employees, so it is an incentive for them to find applicants high-paying positions. They normally do not get paid until one of their candidates gets hired.

Using a headhunter also means that applicants can search for a job discreetly rather than post their résumé online for the public to see. Another benefit is that while some company recruiters and members of management may be reluctant to immediately negotiate salary or other details about the job, an applicant can have an open discussion with a headhunter about pertinent employment details. The Internet and social media have improved the level of transparency in the hiring process and made communication between recruiter and job candidate easier to facilitate. 

Disadvantages

Using a headhunter does come with some possible disadvantages. Since most headhunters work directly for a company, this can cause a conflict of interest if there is a position at a different company that a candidate might be more qualified for or interested in. Because of this, a headhunter may fail to inform a candidate about a potential employer since they do not have a working relationship with that specific company.

Headhunters are usually compensated with a finder’s fee, a percentage of an employee’s pay for a specified amount of time. This could mean that the employee will be paid less than someone who found a position without the assistance of a headhunter. It also means that since headhunters do not get paid until the applicant is hired, they may pressure an applicant into taking a job that does not serve their career goals. With the rise of the Internet and social media, headhunters can be overwhelmed with the amount of job candidates. Relying too heavily on technology and data can also dehumanize the hiring process. 

When to Use a Headhunter

Applicants should consider using a headhunter when they are having difficulty finding a position via traditional channels such as online job postings and newspaper advertisements. Headhunters can help applicants focus their job search to match their specific skills and career goals. This makes further sense for executive and senior-level positions that are not typically advertised. Those with career aspirations along an executive line will benefit from the connections and relationships possessed by a headhunter.

People should not use a headhunter if they are pursuing a lower-level position in a company. These positions can typically be obtained by applying through the company’s human resources department or hiring manager.

Best Strategies

Both companies and applicants should take the time to research a headhunter first and find one that has the proper industry connections and relationships to suit their needs. Applicants should always be honest with headhunters about their skills, qualifications, and any other relevant information. Being upfront will help a headhunter make the proper connections with relevant positions that are in need of an applicant’s specific talents and skills.

When selecting a headhunter, applicants should check references and inquire within professional networks for recommendations. A crucial thing to look for in a prospective headhunter is their success rate. Most will provide this information if asked. Online reviews are also a great method for researching the success of a headhunter. Allowing an unprofessional headhunter to market one’s résumé may do more harm than good, so care should be taken to work with proven professionals.

Bibliography

Christian, Jeffrey E. The Headhunter’s Edge. Random House, 2002.

Finlay, William, and James E. Coverdill. Headhunters: Matchmaking in the Labor Market. ILR, 2007.

Holderman, Joni. "The Impact of Applicant Tracking Systems on Job Search." Career Planning & Adult Development Journal, vol. 30, no. 2, summer 2014, pp. 154–63. EBSCOhost, search.ebscohost.com/login.aspx?direct=true&db=ent&AN=109144952&site=ehost-live. Accessed 7 Nov. 2024.

"How the Internet Shaped Recruiting." Recruiting.com, www.recruiting.com/blog/how-the-internet-shaped-recruiting. Accessed 7 Nov. 2024.

Leong, Kon. "A Data-Driven Approach to Identifying - and Retaining - Top Employees." Harvard Business Review, 14 May 2021, hbr.org/2021/05/a-data-driven-approach-to-identifying-and-retaining-top-employees. Accessed 7 Nov. 2024.

Ryan, Liz. "The Truth about Working with Headhunters." Forbes, 29 Sept. 2014, www.forbes.com/sites/lizryan/2014/09/29/the-truth-about-working-with-headhunters. Accessed 11 May 2015.

Ryan, Liz. "How to Tell Good Recruiters from Bad Ones." Forbes, 15 Feb. 2015, www.forbes.com/sites/lizryan/2015/02/15/how-to-tell-good-recruiters-from-bad-ones. Accessed 11 May 2015.

Starr, Jason. "How to be Spotted by Headhunters on LinkedIn - 5 Tips!" LinkedIn, www.linkedin.com/pulse/how-spotted-headhunters-linkedin-5-tips-jason-starr. Accessed 7 Nov. 2024.

Zimmerman, Eilene. "Recruiting a Recruiter for Your Next Job." The New York Times, 6 Apr. 2013, www.nytimes.com/2013/04/07/jobs/recruiting-a-recruiter-for-your-next-job.html. Accessed 11 May 2015.