Whenever a vacancy arises in your organization; the question is do you source via your own recruitment department (should you have one) or do you connect with an external agency?
Obviously that decision is depending on the level and required skillset of the candidate you’re looking for.
With an economy that seems to have recovered from the various crises we have been facing over the last 8 years, companies have started looking for new potential employees to grow their business.
New external candidates can bring a lot of positive changes with innovative ideas and creative skills and innovative ideas to drive your business growth.However, many of these external candidates are not visible or available on job boards, they are happy in their current job and aren’t looking for a career change. Contacting these individuals requires a great degree of sensitivity to convince them to take up new opportunities.
These hidden ‘individuals’ are often only found through having a wide network or a partner with a wide network.
Ask yourself the question; is your HR department or your recruitment department well equipped to find these people?
In some cases the best way to fill a position may be a promotion, or a lateral move from one function to another; however; there are still reasons why an organization might decide to look externally to fill a critical leadership role.
Here’s some food for thought:
Create diversity in your leadership team.
What I mean here is diversity in the widest sense, ethnics, race, gender etc., Make sure your employees and customers feel supported and represented within the senior ranks of the company. Insome situations this is a critically strategic component to decide for external recruitment
Competition is better
It’s frustrating to find out that your competitors have some great talented people that you are weary of hearing about from your customers and prospects.
Leadership maturity gap
Even with a strong succession planning program in place, the suitable internal candidate may not be ready for a role that needs filling at a certain moment. In those situations I would highly recommend that you identify and recruit an external candidate who is also able to lead with wisdom and competency. That way he/she can prepare the internal successor for a seamless future transition.
Geographical or market/technology expansion.
If your organization needs expertise that it does not have internally to support or expand in a certain country/region or market/technology, it will generally be beneficial to recruit externally by hiring managers who have already established an expertise in that specific region or that specific market that aligns with your business plan.
Take the talent
In many instances where companies want to grow they consider the acquisition of a business to meet that need. However; acquisitions are costly in terms of both time and money, and in some instances, the employees who made that business valuable leave as soon as possible after the acquisition. There is an alternative; cheaper and faster: take their talent!
Change your company culture.
Cultural alignment is the most critical component in an overall hiring strategy. Every company has a culture and that culture will be either set intentionally by the leadership team or unintentionally by the strong personalities randomly placed within the organization. Wise leadership develops a model for future cultural expectations and then intentionally works to recruit leaders who will become the champions of that model.
One remark here….too many times when a company is recruiting, the leadership team works to identify candidates who will be a strong cultural match. But what if the company has a culture that it does not want to grow? What if that culture is broken or unproductive?
Given that cultural alignment is one of the four critical components to a successful hire (along with skill set, aspirational alignment and trustworthiness), it’s important to say that alignment does not automatically mean culturally aligning where the company is presently, but more critically, where the company wants to go in the future...sometimes the same as the present but sometimes very different.
There is no better time than when hiring a senior executive and no better means than hiring a senior executive to begin shifting company culture.
There are benefits and pitfalls to both internal and external sourcing. The most important factor, of course, is selecting the best candidate for the job. When deciding to fill a vacant position most organizations will obviously consider both options in the selection process. The most important factor remains selecting the right fit.
So, when you have to decide to promote internally vs. hire externally? Consider –amongst the content of my blog- these factors David Brookmire summarized very well;