Business leader considering candidates and recruitment strategy for a critical leadership position

Leadership Recruiting Fundamentals

When Should You Use a Leadership Recruiting Firm?

By Mark Jones

Founder & Managing Director

Leadership Recruiting Fundamentals

A six-part guide to building stronger leadership teams

What Is Leadership Recruiting? 


Leadership Recruiting vs. Executive Search


Why Leadership Recruiting Is Different


When Should You Use a Leadership Recruiting Firm? (Current Guide


How Long Does Leadership Recruiting Take

○ How to Choose a Leadership Recruiting Firm?
Coming Soon

Complete this series to understand the fundamentals of leadership recruiting.

When Should You Use a Leadership Recruiting Firm?

Not every leadership opening requires a recruiting firm.

Some organizations have strong internal recruiting teams, established talent networks, and enough market visibility to fill certain leadership positions effectively on their own. In those situations, bringing in an outside firm may add little value.

But other searches are fundamentally different.

The position may have been open for months. The people applying aren’t the people you want to hire. The strongest candidates are working for competitors and aren’t looking at job postings. A previous hire may not have worked out. Or the position may be important enough that settling for the best available candidate simply isn’t an acceptable outcome.

Those are the situations in which a leadership recruiting firm can change the search.

The question isn’t simply whether you can recruit the position internally. It is whether your current recruiting process gives you access to the people you should be considering.

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At a Glance

ou should consider using a leadership recruiting firm when:

  • The position has a significant impact on the organization’s performance or direction.
  • Your strongest potential candidates are likely to be employed and not actively job searching.
  • The search has produced applicants but few candidates you would seriously consider hiring.
  • The position has remained open longer than expected.
  • You are recruiting for skills or experience your organization does not hire frequently.
  • Confidentiality is important.
  • A previous search or hire has failed.
  • Your internal recruiting team does not have the time or resources to conduct a targeted search.
  • The cost of making the wrong hire is substantially greater than the cost of conducting a more thorough search.

The common denominator is risk.

The more important the position and the more difficult the right person is to find, the less effective a conventional applicant-driven recruiting process becomes.

See What is Leadership Recruiting

When the People You Want Aren’t Applying

Most traditional hiring processes begin with a job opening. The company posts the position, promotes it through various channels, and waits to see who responds.

That works reasonably well when there is an adequate supply of qualified people actively looking for a new position.

Leadership recruiting often works in the opposite direction.

Many of the strongest candidates are already employed. They may be performing well, respected within their organizations, and reasonably satisfied with their current positions. They aren’t spending their evenings searching job boards.

That doesn’t mean they wouldn’t consider another opportunity.

A strong passive candidate may be willing to listen when approached about a position offering greater responsibility, a stronger leadership team, better long-term potential, an ownership opportunity, or simply a challenge that is more interesting than the one they have today.

But somebody has to find that person and start the conversation.

That is one of the fundamental differences between posting a position and conducting a leadership search.

When You’re Getting Applicants but Not Candidates

A large applicant pool can create the impression that a recruiting effort is working.

It may not be.

I’ve seen searches where an organization received dozens or even hundreds of applications but still didn’t have three people it genuinely wanted to interview.

Applicant volume and candidate quality are two very different things.

The problem becomes especially apparent in leadership hiring because resumes frequently look better than the underlying fit. Someone may have the right title but have worked in a much larger organization where responsibilities were distributed across several departments. Another candidate may have impressive tenure but little evidence of building teams, leading change, or operating in the environment the new position requires.

The issue isn’t whether qualified people exist.

It is whether the recruiting process is reaching them.

When weeks of advertising continue producing variations of the same candidates, posting the job on another website rarely solves the problem. The search needs to move from collecting applicants to identifying people.

See Our Leadership Recruiting Approach

When the Position Has Been Open Too Long

 

Every important position has a point at which the vacancy begins costing the organization more than the search itself.

Work gets redistributed. Decisions are delayed. Other leaders absorb responsibilities they weren’t hired to handle. Employees become frustrated. Sales opportunities can be missed. Strategic initiatives lose momentum.

Meanwhile, the organization can become accustomed to the vacancy.

That’s dangerous.

After a position has been open long enough, hiring teams sometimes begin changing the standard simply to get the search finished. Requirements that once seemed essential become negotiable. A candidate who would have been considered marginal three months earlier suddenly begins looking acceptable.

Search fatigue can quietly turn into compromise.

If a leadership position has remained open despite reasonable recruiting efforts, continuing the same process longer is unlikely to produce a different result. It is usually time to change how the market is being approached.

When the Hire Is Too Important to Get Wrong

Some hiring mistakes are inconvenient.

Leadership hiring mistakes can change organizations.

The wrong leader can lose good employees, damage customer relationships, weaken accountability, make poor strategic decisions, or spend months taking the organization in the wrong direction.

There is also a less visible cost: the opportunity lost while the wrong person occupies the position.

Then the organization has to start over.

That is why I look at the decision to use a leadership recruiting firm partly as a risk-management decision.

If a position has substantial influence over revenue, operations, employees, customers, strategy, or the future direction of the business, expanding the candidate pool beyond the people who happened to apply can be worth considerably more than the recruiting fee.

The objective isn’t to eliminate hiring risk. No recruiting process can do that.

The objective is to make the decision from the strongest candidate pool you can reasonably build.

When You’re Hiring Outside Your Normal Area of Expertise

Internal recruiting teams are often very good at filling the positions their organizations hire repeatedly.

The challenge comes when the company needs something different.

Perhaps the organization is hiring its first CFO, opening a new division, building a new function, entering another market, or recruiting a leader with specialized industry experience.

Suddenly, the usual candidate network may not be enough.

A good leadership search begins by understanding the market: which companies employ people with the right background, what titles those people actually hold, how responsibilities differ among organizations, and which candidates have progressed through experiences that prepare them for the new role.

This is where research and sourcing become particularly important.

The search shouldn’t be limited to people who already describe themselves exactly the way the job description does.

Some of the strongest candidates won’t.

When Your Internal Team Doesn’t Have the Capacity for a Complex Search

Using a leadership recruiting firm does not necessarily mean the internal recruiting team has failed.

Sometimes it means they have other jobs to do.

A targeted leadership search requires time.

Someone has to identify target companies, research potential candidates, review backgrounds, approach people individually, conduct conversations, follow up with candidates who don’t respond initially, evaluate interest and fit, and keep promising candidates engaged through what can become a lengthy interview process.

That is very different from managing inbound applicants.

An internal recruiter supporting dozens of openings may simply not have the capacity to devote that level of attention to one position.

There is another practical consideration: passive candidates don’t always move according to the company’s hiring timetable.

They need conversations. They ask questions. They compare the opportunity with what they would be giving up. They may have bonuses, equity, projects, or personal commitments affecting when they can move.

Good leadership recruiting requires someone to stay engaged throughout that process.

When Confidentiality Matters

Some leadership searches cannot be advertised publicly.

An incumbent may still be in the position. A planned organizational change may not yet have been announced. The company may be entering a new market, replacing a senior leader, or making a strategic move it does not want competitors to know about.

Those situations require a different recruiting approach.

Rather than broadcasting the opening, candidates can be identified and approached selectively.

Confidential searches also require judgment about what information is disclosed, when it is disclosed, and how candidates are moved through the process.

The search needs to create enough interest for a strong candidate to engage without compromising the organization.

When You’ve Already Made the Wrong Hire Once

A failed leadership hire should change the next search.

Unfortunately, organizations sometimes respond by simply reopening the same job description and starting the same recruiting process again.

That misses the lesson.

Before searching for another candidate, I want to understand why the previous hire didn’t work.

Was the problem technical capability? Leadership style? Pace? Culture? Expectations? The size of the organization? An inability to operate without the resources available at a previous employer?

Or did the organization hire someone who interviewed well but had never actually faced the challenges this position requires?

Those answers should influence both the candidate profile and the evaluation process.

Repeating the search without understanding the failure increases the chances of repeating the outcome.

When Hiring Manager Indecision Is Slowing the Search

Not every difficult search is a sourcing problem.

Sometimes the company is the bottleneck.

I’ve seen promising candidates lose interest because interview schedules stretched for weeks, decision makers disagreed about what they wanted, feedback was delayed, or the organization kept interviewing in hopes that an obviously superior candidate might eventually appear.

Strong candidates rarely remain available indefinitely.

Passive candidates in particular are vulnerable to losing interest because they never needed to make a move in the first place. Their current employer may also respond with a promotion, additional compensation, or a counteroffer once it becomes clear they could leave.

A leadership recruiting firm should do more than introduce candidates. It should help maintain momentum, communicate honestly with both sides, identify concerns before they become problems, and tell the client when the hiring process itself is putting the search at risk.

Sometimes the most valuable conversation I have during a search isn’t with a candidate. It’s with the hiring manager.

When You Need Access to the Market, Not Just a Resume Database

There is an important distinction between having access to candidate information and having access to candidates.

LinkedIn and other recruiting databases have made it possible to identify an enormous number of professionals.

That doesn’t mean those people will respond.

And it certainly doesn’t mean they will leave a good job.

The real work begins after someone has been identified.

Why might this opportunity be worth discussing? What would motivate the person to consider leaving? What concerns would prevent a move? Is the compensation competitive? Is the reporting relationship attractive? Does the candidate believe the organization can deliver what it is promising?

Leadership recruiting is ultimately a human process.

Technology can help identify people. It cannot create trust, evaluate motivation, manage expectations, or persuade an accomplished leader to seriously consider changing companies.

When You Probably Don’t Need a Leadership Recruiting Firm

There are also situations where I would not recommend using one.

If your internal recruiting team consistently reaches the right candidate population, the position attracts a healthy number of genuinely qualified applicants, the role is relatively easy to evaluate, and the consequences of leaving it open for a reasonable period are limited, an outside search may not provide enough additional value.

The same is true when the organization has already identified several strong candidates through its own network.

Using a recruiting firm simply because a position carries a senior title doesn’t make sense.

The better question is:

What will an outside recruiting firm allow us to do that we cannot do effectively ourselves?

If there isn’t a compelling answer, you probably don’t need one.

Recruiter's Perspective

One of the warning signs I watch for is when a hiring team starts saying, Maybe this is as good as we’re going to find.

Sometimes that’s a realistic assessment.

But sometimes it means the search has been limited to the people who were easiest to find.

Those are not the same thing.

The candidate you ultimately hire doesn’t have to be actively looking when the search begins. Some of the best leadership placements start with someone saying, “I’m not looking, but I’ll listen.”

That’s the opportunity a true search process is designed to create.

It also changes the hiring decision. Instead of choosing among the people who found your job posting, you can compare them with people you deliberately identified because their experience suggests they could succeed in the role.

For an important leadership position, that is a much stronger basis for making a decision.

Key Takeaways

  • Not every leadership opening requires an outside recruiting firm.
  • The strongest reason to use one is usually access to candidates your existing process isn’t reaching.
  • Passive candidates often represent an important part of the leadership talent market.
  • A large applicant pool does not necessarily mean you have a strong candidate pool.
  • Long vacancies can lead organizations to lower their standards simply to complete the search.
  • Failed searches should be diagnosed before they are restarted.
  • Internal recruiting teams may have the capability but not the capacity to conduct an intensive leadership search.
  • A recruiting firm should help manage the hiring process as well as source candidates.
  • The more consequential the hire, the more important it becomes to compare the available candidates with the broader market.

A Simple Test

If you’re deciding whether to engage a leadership recruiting firm, ask these five questions:

  1. Are we reaching the people we would most like to hire?
  2. Are the strongest candidates likely to apply on their own?
  3. What is this vacancy costing us while it remains unfilled?
  4. What happens if we hire the wrong person?
  5. Do we have the time and resources to conduct a targeted search ourselves?

If the answers expose a meaningful gap between the candidates you’re seeing and the candidates you need, the issue probably isn’t the job posting.

It’s the search strategy.

A leadership recruiting firm should expand the market you can reach, create conversations with people who weren’t planning to change jobs, and give you a stronger group of candidates from which to make an important decision.

That is when using one makes sense.

Next in the Leadership Recruiting Fundamentals Series

How the Leadership Recruiting Process Works

The next guide explains what happens after a leadership search begins—from defining the candidate profile and mapping the market to approaching passive candidates, evaluating fit, and managing the process through an accepted offer.

Continue Learning

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