In all areas of business, the pressure to produce profits is high — and so are the hiring stakes. When times are tough, a bad hire costs more than just wasted training hours. Tighter budgets mean every hire has to be perfect in order to make it a cost-effective, business-forward decision.
Some companies may decide to pause hiring in a down economy, but if you need talent with certain skills, that’s not the answer. The better recession hiring strategy is to work with a proven recruitment partner. Though this may feel like an added cost, it’s actually a decision that could protect and boost your bottom line.
The Hidden Costs of Getting It Wrong
As long as you’ve got someone to fill the role, you’ve succeeded, right? Wrong. Research shows that unenthusiastic, ill-matched employees can cost companies up to $850,000 in their first year. This figure is made up of:
- Wasted salary — paying for results that never materialize
- Low productivity
- Culture disruption and potential conflict
- Reduced morale among established employees which could increase turnover
The cost of bad executive hires is even greater. If you need a new chief financial officer (CFO), for example, the last thing you need is one who is only there for the paycheck. You want motivated individuals who thrive in your environment, and find your company values and culture truly resonate with them.
Executive recruiters source candidates who make sense in the holistic context of your organization. They’re not just there for a quick fix. It’s about finding candidates who’ll be with you for the long haul, through tough times and good.
Why a Recruiter Makes Financial Sense in a Down Market
Clearly, there are huge benefits to finding the right candidates for your leadership vacancies. But should you be investing in a new partner during an economic downturn? Here are just some reasons why successful businesses turn to recruitment experts, even when budgets are tight.
Access to Top Talent (Even Those Not Actively Looking)
Top talent partners stay in touch with pools of candidates, even when they’re not actively looking for roles. MRINetwork recruiters, for example, can match you with talent you won’t find on job boards.
Building those relationships matters. In tough markets, the best candidate won’t jump ship without incredible incentive — beyond what’s in your benefits packages. Working with a trusted partner can help encourage talented leaders to apply for something new.
Faster Time-to-Fill, Less Downtime
It takes 44-54 days to fill non-executive roles and even longer for leadership vacancies. Every day you can cut off that average saves you money. Recruiters who specialize by industry and role can shorten the search curve, reducing that time-to-fill.
Fit Over Flash: Long-Term Value from Every Hire
The right recruitment partners dig deeper into leadership style, experience in relevant niches, and that all-important cultural alignment. Investing in the right hire now can steer your business through financial volatility toward growth and stability.
MRINetwork: Trusted Since 1965
Figuring out and showcasing a positive recruiter ROI for businesses is a critical part of gaining acceptance for what can seem like an added expense during tough financial times. If you can work with expert executive recruiters to cut your hiring costs down from the average of $4,700 per individual, you can significantly boost that metric.
Here at MRINetwork, we’ve got over 50 years’ experience in executive search across most major industries. We’re not interested in just filling vacancies. Instead, we want to build your leadership bench with dedicated, qualified, and enthusiastic business innovators.
Tight Times Call for Smarter Hires
When the economy is up, hiring is easy. But hiring in a down economy is essential. That’s why working with an executive search firm benefits your organization in so many ways. You’ll cut costs but, importantly, boost the potential ROI of your new hires. With the right executive recruiters, you’ll also create a leadership team who’s fully invested in your firm’s values, goals, and direction.
MRINetwork helps you make every hire count — today and into the future. Let’s talk about how we can help you build your team, even during uncertain times.
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