A lot of companies have been struggling lately, and I expect we will see quite a few of them selling divisions, or even being acquired. As a consultant, you may find your clients figuring out how best to retain valuable talent. As a line manager, you may need to oversee an organization as it is downsized, merged, or phased out. As an employee, you will certainly be thinking about your long-term future with the company.
After you hear the news, you will start thinking about how to make the most of this situation. You will want to insure your clients’, employees’, or your own compensation for a period of time. It can be difficult to negotiate during such times, so seeking advice from an attorney, or career counselor will stand you in good stead.
Take a look at this article for some ideas to consider if you find yourself in this situation:
My Employer is Selling My Division....
Contact Jason Sanders
Tuesday, November 25, 2008
Monday, November 17, 2008
Hiring Opportunities during Difficult Times
What is your hiring strategy for 2009? If you are holding tight and waiting for the storm to pass, you may want to reconsider. No business stands still. Like sharks, we either move forward and live, or stop swimming and die.
You may be laying people off, or may even see your own job threatened. One suggestion: never, ever, ever, ever, ever ignore your hiring strategy. You may need to reassess your direction, or the types of people you hire. You may not be able to afford additional salaries right now, but there are good reasons why you should keep an eye on growth.
When you plan your next hire, you express your vision for your organization and for yourself. Considering where to go next, how to get there and what kind of help you need keeps you in growth mode. Planning for the future should keep you a step ahead of your competition. It will also give you the strength to make through a down time. Sacrificing for the future is invigorating, sacrificing for its own sake is enervating.
Your emotional connection to your business is critical to your success. Hiring and growth builds those bonds, but there are other good reasons to consider your next hires.
1. Cheap Labor. If you have liquidity right now, you can probably find some bargain stock in undervalued companies. Similarly, if you have the budget, you will find some great deals in the labor market in the coming months. If you have a stable platform, you may be able to make a strong hire. Strategic hiring may increase your top line sales, or cut costs and increase you bottom line. I have already seen an increasing flow of resumes from talented people looking for new positions. Many have expressed the flexibility to consider reasonable offers, instead of pushing for increased compensation. Don’t be too cheap though. You gain loyalty for having hired someone out of a tight spot. This will vanish though, if you take advantage of a new employees urgent need.
2. Upgrades. When times are good, it can be difficult to recruit top talent. The best people are too busy to interview, and may see no advantage in leaving their company to join yours. If your company is stable, you may have something to offer that cannot be matched by more aggressive, riskier firms. I have seen many great employees forsake entrepreneurial ventures for reliable work, given the right economic situation.
As much as you may hate to admit it, your company may not have a stellar reputation among potential candidates. They may view your firm as bureaucratic, less prestigious or lacking growth opportunities. Now is your opportunity to change that perception! If you take advantage of the opportunity to hire star-quality professionals, they will foster new ideas. They will also attract the best people and create an upward spiral of increased capability and quality.
3. Morale. New hires usually come in with an enthusiastic attitude. They challenge existing employees and usually have a passion that may have gone stale in your team. This is particularly true during a recession. People’s fear and uncertainty may take precedence over their dedication and interest in their work.
Perhaps more importantly, hiring energizes the line manager. New team members will challenge and stimulate your thinking. You will also have the opportunity to mentor someone new and foster their success. Managers must motivate their people, and hiring will have that effect if used in the right way.
4. Succession and promotion. If you are planning for future growth, you will need to replace yourself. Someone has to fill your shoes, before you can take a new, more senior role. You may need to make a strong case with your bosses before they promote you in a down market. Successful strategic hiring will show your management that you can operate effectively during difficult times. Even if you cannot bring new people aboard, a slowdown may provide you with a little more time to mentor people, creating the opportunity to move ahead when the time is right.
If this article leaves you frustrated that you cannot do more about your hiring strategy, check back next week.
Contact Jason Sanders
You may be laying people off, or may even see your own job threatened. One suggestion: never, ever, ever, ever, ever ignore your hiring strategy. You may need to reassess your direction, or the types of people you hire. You may not be able to afford additional salaries right now, but there are good reasons why you should keep an eye on growth.
When you plan your next hire, you express your vision for your organization and for yourself. Considering where to go next, how to get there and what kind of help you need keeps you in growth mode. Planning for the future should keep you a step ahead of your competition. It will also give you the strength to make through a down time. Sacrificing for the future is invigorating, sacrificing for its own sake is enervating.
Your emotional connection to your business is critical to your success. Hiring and growth builds those bonds, but there are other good reasons to consider your next hires.
1. Cheap Labor. If you have liquidity right now, you can probably find some bargain stock in undervalued companies. Similarly, if you have the budget, you will find some great deals in the labor market in the coming months. If you have a stable platform, you may be able to make a strong hire. Strategic hiring may increase your top line sales, or cut costs and increase you bottom line. I have already seen an increasing flow of resumes from talented people looking for new positions. Many have expressed the flexibility to consider reasonable offers, instead of pushing for increased compensation. Don’t be too cheap though. You gain loyalty for having hired someone out of a tight spot. This will vanish though, if you take advantage of a new employees urgent need.
2. Upgrades. When times are good, it can be difficult to recruit top talent. The best people are too busy to interview, and may see no advantage in leaving their company to join yours. If your company is stable, you may have something to offer that cannot be matched by more aggressive, riskier firms. I have seen many great employees forsake entrepreneurial ventures for reliable work, given the right economic situation.
As much as you may hate to admit it, your company may not have a stellar reputation among potential candidates. They may view your firm as bureaucratic, less prestigious or lacking growth opportunities. Now is your opportunity to change that perception! If you take advantage of the opportunity to hire star-quality professionals, they will foster new ideas. They will also attract the best people and create an upward spiral of increased capability and quality.
3. Morale. New hires usually come in with an enthusiastic attitude. They challenge existing employees and usually have a passion that may have gone stale in your team. This is particularly true during a recession. People’s fear and uncertainty may take precedence over their dedication and interest in their work.
Perhaps more importantly, hiring energizes the line manager. New team members will challenge and stimulate your thinking. You will also have the opportunity to mentor someone new and foster their success. Managers must motivate their people, and hiring will have that effect if used in the right way.
4. Succession and promotion. If you are planning for future growth, you will need to replace yourself. Someone has to fill your shoes, before you can take a new, more senior role. You may need to make a strong case with your bosses before they promote you in a down market. Successful strategic hiring will show your management that you can operate effectively during difficult times. Even if you cannot bring new people aboard, a slowdown may provide you with a little more time to mentor people, creating the opportunity to move ahead when the time is right.
If this article leaves you frustrated that you cannot do more about your hiring strategy, check back next week.
Contact Jason Sanders
Monday, November 10, 2008
Should I let a recruiter negotiate my salary?
”The more you get paid, the more I get paid, so I am incented to help you get the highest possible package.”
I have had the good fortune of facilitating the hire of many outstanding candidates. Almost any recruiter will tell you that we love extending offers and helping companies negotiate salaries. As a hiring manager or as a candidate, you may be able to get a lot of value from your recruiter throughout the search process. During a negotiation, however, you have an opportunity to make a hire, or secure a new position on better terms by using a recruiter.
Many professionals, who regularly negotiate complex business deals, become shy when it comes to settling on a good compensation package. Even if you are confident in your ability, what can you get out of using a recruiter to help you?
As you probably know, recruiters generally base their fee on a percentage of a candidate’s first year income. When asked about this personal interest, most recruiters will offer you some form of the statement, “My fee is based on your compensation. We are in this together!”
This is absolutely true, and you can use this fact to your benefit.
Using a recruiter allows you to get the best possible deal, while avoiding the need to confront your new potential employer or employee. You can be much more demanding with a recruiter, and if they are good at their job, they will be able to help you without create unnecessary tension. The recruiter will help you test the limits and better understand whether you are getting the best possible deal.
What a recruiter will probably not tell you is, “I am most interested in getting this deal to happen regardless of compensation package.”
Ultimately, recruiters get paid to make placements. They may create a lot more value than that simple transaction, and retained search professionals may receive their fee whether or not they fill a position. Nevertheless, a recruiter loses money or jeopardizes their reputation every time an offer fails to produce a hire.
Once you recognize the recruiter’s is more interested in placing you than in increasing your income, does that mean you should just deal with the company directly? Absolutely not! In fact, you can use this self-interest to your advantage and get a lot more out of the negotiation than you could if you went directly to your new potential employer.
Contact Jason Sanders
Monday, October 27, 2008
What Candidates Tell Me: Simple Hiring Errors and How to Correct Them, part two
You have invested a lot of time and money bringing the best candidates in to interview. Make a great impression by avoiding some common errors. *
Would you rather have them say, “They seem ready to make me an offer after only one interview day, but I am not sure I am ready to commit,” OR “They have offered to have me meet more people, but I don’t think I need to?”
TIP: Offer opportunities to speak with others. Hiring managers that exclude others from interviewing generally do so for two reasons: 1) Pressing business needs require a rapid decision. And to a lesser degree, 2) they want to maintain tight control over the hiring process. Making good hiring decisions and attracting senior candidates takes time. In order to wait for an outstanding candidate, you must have a strong interim business plan. This provides leverage and a greater sense of security. You will recruit better talent, and put yourself in a stronger negotiating position when you decide to make an offer.
Some managers have difficulty giving up control of their interview process. If you are conscious of this tendency, you have probably begun to address it already. Remember, if you are a competent leader, your people will represent you and your organization well. If you feel they create a poor impression, you have a bigger issue to solve before bringing new hires on board.
Would you rather have them say, “I think they are going to make me an offer, but I am not sure if I want the job.” OR “I am interviewing with a number of firms, but this is my first choice if they make the right offer?”
TIP: I believe that no offer should be made without a commitment to accept it. I realize this cannot be the case in every circumstance, but it should be the standard that we try to achieve. You should try to understand your candidate’s true interest level. You want to avoid extending an offer, sitting back and waiting for an acceptance, then getting rejected. Checking your candidate’s interest will help you close the deal, and, if not, will at least give you useful feedback that you can use in subsequent interviews.
Would you rather have them say, “She thought I was interviewing for a manager job, when I am a director already,” OR “They have not told me the level yet, but I am willing to make an investment in the company, if the compensation and responsibilities are appropriate?”
TIP: Get the level right, or don’t commit. Many candidates fall on the line between two levels. You may also find yourself interviewing someone without having fully prepared for a meeting. In either case, do not discuss the title, and keep an open mind. Presenting the wrong level will surely turn off good candidates.You should also discuss the appropriate title with your recruiter. Generally, we are good at discussing information and impressions about a prospective employer. When it comes to talking with a candidate that does not fit neatly, we need strong, clear guidance from clients to avoid miscommunication.
Part three of this article next week……
Contact Jason Sanders
Would you rather have them say, “They seem ready to make me an offer after only one interview day, but I am not sure I am ready to commit,” OR “They have offered to have me meet more people, but I don’t think I need to?”
TIP: Offer opportunities to speak with others. Hiring managers that exclude others from interviewing generally do so for two reasons: 1) Pressing business needs require a rapid decision. And to a lesser degree, 2) they want to maintain tight control over the hiring process. Making good hiring decisions and attracting senior candidates takes time. In order to wait for an outstanding candidate, you must have a strong interim business plan. This provides leverage and a greater sense of security. You will recruit better talent, and put yourself in a stronger negotiating position when you decide to make an offer.
Some managers have difficulty giving up control of their interview process. If you are conscious of this tendency, you have probably begun to address it already. Remember, if you are a competent leader, your people will represent you and your organization well. If you feel they create a poor impression, you have a bigger issue to solve before bringing new hires on board.
Would you rather have them say, “I think they are going to make me an offer, but I am not sure if I want the job.” OR “I am interviewing with a number of firms, but this is my first choice if they make the right offer?”
TIP: I believe that no offer should be made without a commitment to accept it. I realize this cannot be the case in every circumstance, but it should be the standard that we try to achieve. You should try to understand your candidate’s true interest level. You want to avoid extending an offer, sitting back and waiting for an acceptance, then getting rejected. Checking your candidate’s interest will help you close the deal, and, if not, will at least give you useful feedback that you can use in subsequent interviews.
Would you rather have them say, “She thought I was interviewing for a manager job, when I am a director already,” OR “They have not told me the level yet, but I am willing to make an investment in the company, if the compensation and responsibilities are appropriate?”
TIP: Get the level right, or don’t commit. Many candidates fall on the line between two levels. You may also find yourself interviewing someone without having fully prepared for a meeting. In either case, do not discuss the title, and keep an open mind. Presenting the wrong level will surely turn off good candidates.You should also discuss the appropriate title with your recruiter. Generally, we are good at discussing information and impressions about a prospective employer. When it comes to talking with a candidate that does not fit neatly, we need strong, clear guidance from clients to avoid miscommunication.
Part three of this article next week……
Contact Jason Sanders
*This article contains actual statements made during post-interview debriefings
Monday, October 20, 2008
Each time one of my candidates goes on an interview, I receive feedback about a client organization, their job opening, and the personal impression they create. I generally hear good things about my clients, but I am sometimes surprised to hear that they make a few very basic errors.
Most hiring managers think of interviewing as a chance to gather information about a new potential hire. They also recognize that they represent their organizations, and want to create a great impression with candidates. If you avoid some obvious pitfalls and follow some basic steps, you will maximize your potential to outdo your competition, and hire the best candidates.
When a recruiter debriefs people that you have interviewed, would you rather have them say, “They didn’t even have my resume and had to scramble to find a copy.” OR “The interviewer asked a lot of direct questions about my background?”
If you have read this far, you are unlikely to make the basic mistake of failing to prepare for an interview. If you simply take five minutes, or even three, you will put yourself in the right frame of mind. Make sure you have a resume, if you have received one. Take a look at it. It’s that simple.
Would you rather have them say, “He barely asked me any questions; he seemed to just want to talk about his organization,” OR “I feel like they have enough information to evaluate whether I am a cultural fit?”
TIP: Ask at least a few well-thought out questions. The biggest mistake candidates make is to over talk an interview. Make sure you do not make this mistake as an interviewer. Prepare some specific questions beforehand, or just have your boilerplate ready. When you interview politely, but incisively, you will leave your candidates with the impression that you are competent and thorough.
Would you rather have them say, “It sounded really great, but I need to check with my friends to see what their reputation is in the marketplace,” OR “They definitely told me about some challenges they are facing, and I think I can help?”
TIP: Provide realistic information, including drawbacks at your company. Certainly don’t dwell on the negative, but tell your candidates that you understand and are dealing with issues that your organization faces. Every company has warts. Painting too rosy a picture will diminish your credibility, and send your candidates away looking for answers. On the other hand, framed properly, obstacles may present interesting challenges for your best candidates to tackle.
Part two of this article next week……
Contact Jason Sanders
*This article contains actual statements made during post-interview debriefings
Monday, October 13, 2008
Passive Job Seeking?
Far too many people take a passive approach to job search, even when they are actively looking for a new position. Specifically, I mean job seekers may apply to specific positions, but many times do not do enough to create their own action.
The Ladders, a website devoted to job seekers, has a very useful article about creating your own position. The author offers some good ideas about how to think about a job search. You should avoid thinking about your search as an application process, and start thinking about it as a sales process.
The Ladders article stops short of discussing how you begin. Yes, change your perception, but then what. I believe you need to create a theme for your candidacy. You can find an excellent article about this step at Marketing Headhunter, Robert DeNiro on Interviewing.
Your next steps will be to set up your sales process, and execute. That, however is for a future post.
Contact Jason Sanders
The Ladders, a website devoted to job seekers, has a very useful article about creating your own position. The author offers some good ideas about how to think about a job search. You should avoid thinking about your search as an application process, and start thinking about it as a sales process.
The Ladders article stops short of discussing how you begin. Yes, change your perception, but then what. I believe you need to create a theme for your candidacy. You can find an excellent article about this step at Marketing Headhunter, Robert DeNiro on Interviewing.
Your next steps will be to set up your sales process, and execute. That, however is for a future post.
Contact Jason Sanders
Monday, October 6, 2008
Beyond the Best Interview Question Ever
I was asked whether a group of interviewers should all use “the best interview question,” if they were interviewing the same candidate on the same day.
I would recommend against such a course of action. This specific line of questioning is an excellent tool. Using it multiple times with the same candidate, however, will not get your all the information you want, and may create a poor impression with the candidate.
If you have the time and capability, I would suggest a coordinated approach to an interview day, directing each executive to pursue a different line of questioning. This will give you more information and create the impression that you have a team that communicates and executes effectively.
Some suggestions for topics:
1. A case study. This does not need to be formalized like you might expect of a recent MBA grad, but it may be theoretical. You could take one of your own client problems, for example, to test critical thinking in a real life setting.
2. Allow the candidate to ask you questions. The types of questions he asks will tell you about his values.
3. A casual conversation, or fit interview. A discussion of topics outside of work will give you information you can use to attract the candidate, and you will begin to get a feeling for how he interacts on a more personal level.
4. Standard career progression. This is very basic but I use it very often as an orienting interview. I simply start from a candidate's degree and work forward. I look for the person's career trajectory and extrapolate what his next step might be. I find this very useful as a recruiter, since it provides me a lot of information that my clients will ask about.
Contact Jason Sanders
I would recommend against such a course of action. This specific line of questioning is an excellent tool. Using it multiple times with the same candidate, however, will not get your all the information you want, and may create a poor impression with the candidate.
If you have the time and capability, I would suggest a coordinated approach to an interview day, directing each executive to pursue a different line of questioning. This will give you more information and create the impression that you have a team that communicates and executes effectively.
Some suggestions for topics:
1. A case study. This does not need to be formalized like you might expect of a recent MBA grad, but it may be theoretical. You could take one of your own client problems, for example, to test critical thinking in a real life setting.
2. Allow the candidate to ask you questions. The types of questions he asks will tell you about his values.
3. A casual conversation, or fit interview. A discussion of topics outside of work will give you information you can use to attract the candidate, and you will begin to get a feeling for how he interacts on a more personal level.
4. Standard career progression. This is very basic but I use it very often as an orienting interview. I simply start from a candidate's degree and work forward. I look for the person's career trajectory and extrapolate what his next step might be. I find this very useful as a recruiter, since it provides me a lot of information that my clients will ask about.
Contact Jason Sanders
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