Written by

Frank Aneke

Which Option to Choose?

Brief Overview: In the past four weeks, we embarked on examination of the pros and cons of recruiting talents with advertising on job boards versus contracting a recruitment firm. We reviewed the pros and cons of advertising on job boards and equally evaluated the pros and cons of contracting a recruitment firm. Having appraised both sides, we are going delve into the concluding part of the 5-part series which is “Which Option to Choose?  Read along.

Key Factors to Consider Before You Choose?

What is the financial implication of each option? To arrive at a reasonable conclusion, there are three areas to consider to understand the financial impacts of using a job board or a recruitment firm:

1. initial cost,
2. long-term expenses, and
3. return on investment (ROI).

Moving forward, let us elaborate further on the three key factors to consider before you opt for job board advertising or contracting a recruitment firm.

a) Initial Cost:

With job boards:

1. Some platforms allow free job postings, but then charge per month, per resume download, and/or per application. Others offer plans with multiple postings on multiple sites with ample user seats for a full team that could be more expensive in comparison to contracting a recruitment firm.
2. It is important to do your homework and to select a plan based on the number of openings you have, your timeline to fill the openings, and the size of your team involved in the hiring process.

With recruitment firms:

1. Recruitment firms can also vary in price, but generally offer one of three pricing models: retainer, contingency, or per hour. Retainer and contingency fee models have typically been the most common.
2. The difference is that with a retainer a portion of this fee is paid at the start of the search process and the balance when a hire is made. With a contingency model, all fees are paid when the hire is made and therefore the most common pricing structure.
3. Both models are based on a percentage of a new hire’s first-year salary.

b) Long-term expenses:

1. Basically, it is easy to understand that the longer you use a job board or recruitment firm, the more expenses you will incur. So, the essential part to consider is the value you are getting from each option
2. The value of each option should be determined in the level of service provided, the quality of applicants you receive, and the length of time it takes to make each hire.

c) Job board and recruitment firm return on investment

Job boards:

1. Return on investment needs to be measured against your reach and brand recognition in your desired geographic area, the quality of candidates applying, and the time invested by your team.

Recruitment firms:

1. The return on investment is significant because they are talent acquisition experts, brand ambassadors, and talent development consultants. The right recruiting firm will be an extension of your team that fully understands your value proposition and the mission of your company.

Choosing Between Job Boards & Recruitment Firm:

There is no definite preference for either of the options. Your decision depends squarely on how each option could adequately support the overall goal, budget, and strategy for your hiring needs. If you prefer a recruiting firm, take time to learn their core area of specialisation and what they can offer your business. Are they interested in your business culture and type of candidate you need for the role? Do they view your business as another commission pay-master or are you actually on the same page as them? These are critical questions you need answers before signing a contract.

The same determining criteria (goals, budget, and strategy) applies to using a job board.  It is important you have the capacity to write a captivating job description that will appeal to the ideal candidate pool you are looking for. Then manage your expectations and understand that you are only attracting active candidates because the right person for the job may be at your competitor and simply isn’t looking. This concludes the 5-part series. Thanks for reading my blog.

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In the next edition, we will start a new topic: “How to Establish a Signature On boarding Program” Watch This Space!!!