The employment industry is booming.
No longer the stepchild of the mighty corporate human resource department, outsourcing employment needs has taken the front seat , even the driver’s side , and delivered welcome relief to today’s over-burdened executive in search of a quick off-ramp to hiring that next great employee.
The idea of using an agency to simply hire administrative staffers has also taken a back seat to company requests for full-service employment solution partnerships. Employment firms now offer a full gamut of services, including long-term contract help, managed services (often called “outsourcing”), human resources consulting, direct hire and temporary staffing.
Today’s industry stats, as reported by the American Staffing Association, show the employment business generated some $77 billion in revenue in 2000: $64 billion from temporary help services and $13 billion in permanent placement services.
What’s more, 90 percent of today’s companies use temporary help services. On average, the staffing industry’s daily employment for temporary help services grew at a rate of 10 percent per year from 1993 through 2000.
The reason for the industry’s growth? According to the ASA, it’s merely a reflection of a changing American work force in which more and more people are looking for the flexibility that temporary work provides. During these busy times, many companies are simply tapping into the flexible labor market just to keep the organization fully staffed.
The idea of hiring an employment partner can be a daunting one for today’s executive, but it is one of the most important decisions he/she must make to manage the company’s staffing plan. Personal participation in the selection process contributes to the long-term success of the partnership in which you are about to venture.
– Define Level Of Partnership
Before beginning a selection process, ask yourself a few key questions to determine the level of partnership you are willing to participate in:
o Do you have a clear idea of what you require from an employment partnership?
o Do you have an internal commitment in place to work with and guide the partnership?
o Is there a specific and defined staffing plan you would like your employment partner to work on?
o Is your company willing to commit to a long-term relationship to get the maximum benefit from this partnership?
The following tips offer insights for making the “big” decision. Ultimately, you must form a collective opinion about the employment firm and how it can best serve your organization as a staffing partner.
o Identify the firms in your geographic area that cater to your type of business.
o Measure the level of experience. Ask about the degree of knowledge and experience the core team has in the industry as well as your particular business niche.
Don’t make experience in your product category an absolute requirement to hire the firm. While experience in your arena has an obvious learning-curve advantage, your best bet is to place more weight on your overall impression of their approach in meeting your staffing needs.
Any good team can learn a new category quickly. Remember: There’s no substitute for a compatible partnership.
– Meet Staffing Firm’s Team
o Meet the people who will actually be doing the work. As an extension of your company, the staffing company team should fit into your overall business and workflow structure.
o Assess the variety of services. Whether your staffing needs call for a full-service staffing solution or simply assistance with hiring temporary help on a seasonal basis, it’s important to identify your immediate and long-term needs to help you determine the type of agency you should hire.
More and more, firms are offering a full complement of staffing solutions to their roster. Find out if your staffing plan fits in with the firm’s competency.
o Assess your internal roadblocks. Make sure your company’s management and internal HR teams are committed to a successful partnering with the employment firm. Assign responsibilities. Ask yourself: Are you willing to grant your employment partner access to your hiring managers as an extension of your HR department?
o Inquire about marketplace knowledge. Your future partner should have a solid grasp of the recruitment marketplace , whether it’s for local temp placement or assisting with national executive searches and then some.
Technology and Internet strategies are critical elements in the recruitment business of today and tomorrow. Make sure your staffing solutions partner is at the forefront of today’s recruiting technologies and plans to stay there.
While this “tips list” is by no means comprehensive, use these and your own to help clarify the values you seek in choosing the best staffing solutions firm to put your company’s employment practices squarely in the driver’s seat.
Sullivan is President and CEO of Alliance Employment Solutions.
