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  1. 1. aising the profile of In-House Recruitment
  2. 2. Page 2 Introduction Page 3 Is resourcing the poor relation to HR? Page 4 Talent attraction – is it a key priority at board level? Page 5 Should recruitment leaders be more political? Page 6 The metrics of resourcing – how do we define effectiveness? Page 7 Conclusions Page 8 About Reconverse Contents
  3. 3. Raising the profile of In-House Recruitment 2 Introduction Meeting together twice a month are the Heads of Resourcing for some of the UK’s biggest brands and organisations. Bringing together these recruitment leaders are Reconverse, a specialist event organiser for the in-house recruitment and resourcing market, who facilitate tailored supplier meetings for the in-house recruitment industry and also host round table discussions in which recruiters can learn and share knowledge. The latest Reconverse round table discussion broached the topic ‘Raising the profile of in-house recruitment’. With companies of varying sizes represented; from global multinationals to household UK brands; there was a myriad of opinions and corporate cultures present but all were in agreement that the perception of in-house recruitment – even if rated highly in your own company – can always be raised both internally and externally. There were several key topics which came up as part of the round table discussion which this paper has documented the opinions and comments of those present. Is resourcing the poor relation to HR? In the vast majority of companies, in-house recruitment will report to and sit under, the HR function – should it report to here or elsewhere? Does the fact that it is often associated with HR hinder its profile within an organisation? Talent attraction – is it a key priority at board level? Many organisations will eschew that finding the right people is one of their key priorities but is it key to the board? Is the CEO integral in driving talent attraction and if not, how do we change this? Should recruitment leader be more political? In order to raise the profile of in- house recruitment at board level, do our recruitment leaders need to have more influence or the ear of someone in influence? The metrics of resourcing – how do we define effectiveness? A key topic for any department is their own value within an organisation but how do we define value within resourcing? How can this be practically done? “It’s not the case of resourcing not being valued but it could be valued more.” A special thank you to Colin Minto and the Direct Employers Association for chairing this latest round table discussion www.directemployers.eu
  4. 4. Raising the profile of In-House Recruitment 3 Is resourcing the poor relation to HR? In the vast majority of organisation, in-house recruitment will be part of; and report to; the HR department. This would seem the logical department for recruitment to sit as it is a personnel and staffing function. However, the discussion from the delegates present was not convinced that the HR department of today is the best reporting stream for in-house recruitment. “HR can sometimes be a blocking process when it comes to recruitment – they are often a reactive solution to resourcing rather than having a proactive approach” Many of the delegates felt that HR had a reactive approach to the recruitment process and that recruitment was seen as more of a process – have a vacancy, fill it response. It was discussed that resourcing would fit better within a department such as Marketing as talent attraction should surely be about building the company’s brand and forming a strategy for talent attraction? Also, the front-end branding attraction in resourcing and possibly the metrics and analysis would ‘sit’ better within a marketing platform but the candidate engagement aspect was more suited to an HR division. So where should resourcing sit within a company? As a generalisation, most in-house recruitment teams will report to HR and the discussion centred around is this right for resourcing? Certainly the HR Department has reinvented itself over the last few decades. By becoming more professional within its practices and processes, HR has transformed from Personnel to Human Resources. But is a department which deal with everything from employment issues, disciplinary matters and a host of staff inductions and appraisals the best place to sit in- house resourcing whose function is to attract tomorrow’s talent? Would the Marketing department help create a more proactive approach to your talent strategy enabling you to build a company brand which will help recruit all of the best candidates in the market? Should Resourcing & Recruitment report to any function? Should it be a stand-alone department not reporting into HR, Procurement, Finance etc.? “If you go back a few decades, IT used to report to Finance – can you imagine not having a dedicated IT Department today? It’s so important to any company that it is a stand-alone department – why is talent attraction and recruitment not seen in the same way?”
  5. 5. Raising the profile of In-House Recruitment 4 Talent attraction – is it a key priority at board level? How many CEO’s will include HR or ‘people’ in their top 5 priority agendas for the board? The delegates discussed how if ‘people’ are a key priority at board level, how do we ensure that this is focussed on talent attraction strategy and if it’s not a board priority, how do we make it so? Within the delegates present, only a third felt that talent was a priority with their board. Those who felt that the CEO recognised that talent attraction was a key priority saw that a clear strategy was required though to make sure that the message that resourcing is a fundamental part of the company was filtered down from the board through the organisation. Is Recruitment an integral part of your company’s strategy? “Recruitment is at the heart of every business – IT, Finance, Sales etc. A good hire can make a remarkable difference to a company and equally, a bad hire can have a detrimental effect.” In the Financial Services industry, the in-house recruitment team are actually sitting on the board and working together to create the company strategy as they recognise that recruiting the best people makes a huge impact on their company performance and that a good team are their best asset. With the current skills shortages in the UK and Europe across many market sectors, recruitment is going to become ever more apparent within organisations in the drive to attract the best candidates. Therefore, for all companies, having a clear and defined recruitment and resourcing strategy as part of your HR mandate is essential in attracting the right staff for your business. “You need to understand and articulate where the company wants to go and therefore what skills and competencies are needed to get there, what you need to resource and what you need to develop. By identifying any skills or gaps that you need; you either build or buy talent strategy. By doing this you gain credibility by articulating a more strategic approach to resourcing.”
  6. 6. Raising the profile of In-House Recruitment 5 Should recruitment leaders be more political? Following on from the discussion surrounding getting recruitment as a priority at board level, the delegates discussed how Recruitment Leaders should be influencing and creating the recruitment agenda. Surely for recruitment to become an integral priority of an organisation then a recruitment leader must be represented on the board? Not so was the thoughts of the delegates, whilst this would be an ideal premise for all in-house recruitment teams, having a recruitment leader on the board is not a necessity – but having a leader who can influence and force the resourcing agenda of your business is. What is the calibre of a recruitment leader? In comparison to other heads of departments and divisions, does the Head of Recruitment need to be any different in their approach? Certainly for those organisations who don’t have a defined talent attraction strategy, it was felt that the recruitment leader needed to be able to court influence and be able to present and demonstrate the value in which a cohesive recruitment strategy would bring to the company. Many of the delegates had differing opinions on how difficult or easy it was to present to the CEO or Board Members, depending on the organisation and the people within it, some leaders are more accessible than others. It was felt that individually, recruitment leaders should identify those board members which are more open and able to influence the resourcing agenda but this must be followed up with achievable and demonstrable targets and strategy. “You have to have outcomes rather than ouput – influence the strategy rather than simplistic results.”
  7. 7. Raising the profile of In-House Recruitment 6 The metrics of resourcing – how do we define effectiveness? How do we show the value of in-house resourcing? Can we demonstrate how valuable people resourcing is to an organisation? Investment in resourcing is often squeezed and many of the delegates present were experiencing less budget but being asked to do the same as before, if not more, with it. It was felt that by being able to demonstrate the value of in-house resourcing to the business, there was a better case for not reducing budgets or even increasing them if recruitment could prove its worth to the company. In a recent survey, only 30% of recruiters used analytics to record the effectiveness of their resourcing. When looking at other company departments such as Sales, Marketing or Finance, analytical reports into their performance and effectiveness are an integral part of their reporting structure and assist in budget negotiations. What metrics could we use to show value? In recruitment, the age old metric used is cost-per-hire but does this give a full picture of the value which in-house resourcing provides? The delegates discussed how their resourcing strategy is moving towards showing the quality of hire but this is much harder to produce a metric in which to record against. With online advertising, it is very easy to track a simple cost-per- hire metric but this doesn’t include any downtime of staff used in this process. The issue with measuring metrics within resourcing come from the margins of error and variables associated with the recruitment process which can block any tangible measurements. “If you can present return on investment on your resourcing initiatives you can help negotiate maintaining budget spend as you can demonstrate value to the business.” It was felt that whilst emphasis should be shown on good quality hires, an important metric to in- house recruitment teams would be the ability to demonstrate how a bad hire can be of a cost to a business. This brings credibility to the in-house resourcing team and provides a commercial awareness when recruiting talent. “Sales Managers don’t care about cost per hire or time per hire statistics, they are more concerned about the quality which a good recruitment team bring in which will convert into sales.” It was felt that as each organisation is uniquely different in its approach and recruitment demands, starting with some analysis of the recruitment process will organically bring further metrics and measures which can only be trackable over a period of months.
  8. 8. Raising the profile of In-House Recruitment 7 Conclusions After an honest and insightful discussion from all the delegates about how they see the profile of in-house recruitment not just in their own organisation but externally, several conclusions were reached which are relevant to any size business within the UK. One size does not fit all The discussion about where resourcing ‘sits’ or reports to within an organisation is a healthy one but not conclusive. Each organisation is unique and has its own individuality in operations. Wherever your in- house recruitment team ‘sit’ – in HR, Marketing or on its own – it has to be the right fit for YOUR organisation. Know your customer – both the hiring manager and the candidate In order to raise the profile of in-house recruitment, you need a clear understanding of what your business is trying to achieve. By understanding this, you can articulate your resourcing strategy to senior management teams and also present the company’s vision to potential candidates. Find a friend Trying to influence the CEO is a valid strategy in raising the profile of talent attraction and resourcing within your company but sometimes you can’t befriend yourself with the CEO – especially if the organisation is exceptionally large. Therefore, be clever and align yourself with someone who does have influence. Analysis won’t appear overnight To help raise the profile and value of in-house recruitment being able to demonstrate the value of good talent attraction and candidate hire is a sure- fire way of getting recognised. However, metrics within resourcing are tricky so start small such as online response and begin tracking over several months other metrics such as quality of hire, time to present and even how much a bad hire can cost the business.
  9. 9. Raising the profile of In-House Recruitment 8 About econverse Thank You Reconverse is a specialist event organiser specifically for the in-house recruitment and resourcing market. Offering unique meeting events for in-house recruitment teams with dedicated suppliers together with focussed round table discussions tabling a series of relevant topics, Reconverse offer in-house recruiters to learn, share and network with other like-minded professionals. If you would like to take part in future Reconverse round table discussions, please visit their events page at www.reconverse.com/upcoming-events Contact us: events@reconverse.com 01227 282 728 www.reconverse.com A big thank you to The Direct Employers Association and Alan Whitford, for supporting this event, and to Colin Minto for chairing the round table discussion. The DEA is the only UK Trade Body specifically created for employers who are seeking to champion the end to end resourcing agenda and educate and influence all stakeholders in the resourcing process. For more information, visit the website below or you can ring Alan direct on the number below: www.directemployers.eu 07971 864 620 8

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