Executive Job Search
For senior-level and managerial positions in giant multinational or robust regional companies, the process of searching and screening applicants takes a different route from the public job market postings. This recruitment process is known as executive search or in colloquial terms, headhunting. An executive job search is usually done by an outside organization which specializes in seeking out qualified individuals and usually has a broad range of contacts as well as insider knowledge of a particular market sector.
There are two types of executive job search: retained executive search and contingency search. Retained executive search organizations are paid a retainer fee by the employer, either 25 to 33 percent of compensation or a flat quote, whether or not a job placement was successfully made. They usually seek placements for top and middle positions such as presidents, vice-presidents, directors, and managers.
Retained executive job search firms also tend to recruit individuals who are not on the job market but are employed in another company, often a competitor of the firm’s client company. These organizations depend on recommendations and referrals of their contacts. They also conduct research of executives in a particular sector to find individuals who fit the job description. An executive job search consultant usually handles three to five clients at a given time and can present three to 10 qualified individuals to the employer within four to eight weeks.
Contingency firms on the other hand are paid by the client company only after a job placement has been made. While retained executive job search firms are exclusively contracted by the employer for their services, contingency search firms often compete with other similar organizations for job placements in a company. These firms often recruit people who are actively seeking jobs and are usually focused on lower level positions. Contingency search organizations who specialize in the field of Information Technology for instance, hunt for web developers, database administrators, and network engineers rather than CEOs or VPs. Contingency firms usually turn in qualified candidates within one to two weeks.