Death of a Dinosaur – The Traditional Recruitment Firm

With the extent of innovation, financial pressures, socio-political considerations and global market dynamics all organisations now operate in an environment of continuous change. As a result, we constantly speak with organisations that have two options – change or perish. Some companies become so successful through their transformation that their crossroad became their defining moment. History will remember them as truly great organisations - companies that can not only survive, but thrive in the dynamic environment of today. The recruitment industry is one such industry that is dramatically affected by change and contains many organisations that are at a crossroad. So, given deliberatepractice is a specialised HR consultancy with a strong executive search & selection recruitment practice, a recent article/ insight on the impact that LinkedIn has had on the recruitment industry held much interest.So times have changed dramatically in the recruitment industry

Every member of our team has previously worked for a range of highly successful, traditional recruitment businesses. Reflecting on the value propositions/ differentiators that were drummed into all consultants; “Database size, position of advertisements in the front of newspapers across the country, a brand that attracts the best candidates, oh and did we mention database size”, the irony of LinkedIn’s development is further accentuated. Many years ago, these value propositions held some merit, they generally made for a successful pitch, but run these past a recruitment buyer now and you are likely to be laughed out the door!

So times have changed dramatically in the recruitment industry, and LinkedIn has been one of the main contributory drivers - it was the traditional recruitment companies who initially embraced the site and technology whilst LinkedIn was in its infancy, and it was their support that enabled LinkedIn to invest in developing its proposition to a point where many recruitment firms’ value propositions has been significantly eroded.

what is the value proposition and place for recruitment companies today?

In addition to LinkedIn, there are many other factors that have driven this shift, but in simple terms, organisations can now effectively operate very successful ‘recruitment businesses’ within their own organisation - and many companies can be significantly more effective than these traditional recruitment businesses. So that begs the question – what is the value proposition and place for recruitment companies today?

Successful recruiters today argue there are many, but these have changed. What do you consider to be key differentiators now – we would love to hear your thoughts. Please comment and share your insights.