If every company has an internal recruitment team, how will consultancies play their role and how will they survive?

Well, I sometimes think that Now a days every small, large or medium size for that sake, companies, when we call them for recruitment services, they say.."We have our internal recruitment team and they source candidates for us, we don't want vendors".

As recruitment is one of the most important and sensitive part of Human resources. It is not each an every HR person will be great in doing it. And also its a fact that HR people are very busy people in the entire organisation. And again in there hectic schedule to add recruitment, makes them more crazy. Wherein other side a Recruitment consultant is only made for Recruitment job, and he knows that these is the job he will be doing every day and every hour, so he develops his own skills in it.

When each companies are developing their own internal recruitment team to work on the position, then where will be the number of recruitment companies will do. Will they change their own profile or will they get vanished?

Please Discuss.

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Permalink Reply by Amber on July 15, 2013 at 11:09am

Rahul, almost all of my clients have internal recruiters. It might replace outside recruiters on occasion, but we still are hired by them all the time.

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Permalink Reply by Tiffany Branch on July 15, 2013 at 11:33am

Every company doesn't have Generalist doing recruiting. When I started in HR in the mid-90's, I was a recruiter. All I did was source and recruit. I performed no other functions. In fact, our recruitment team could only use TPR if we had a very specialized / tough to fill role OR we were swamped and needed to get some req's off of our plate.

You shouldn't assume that all in-house recruiters aren't "skilled" recruiters. In addition, at one point, more companies than not had internal recruitment departments. When many TPR firms moved away from being "specialized" and tried to dominate in all areas, that is when companies started outsourcing more of the recruiting and not using in house staff. While in many aspects that model worked, it didn't work in others. I think some TPR firms got too big and didn't really offer that specialized / expertise service they were known for. You now see, in some orgs, the "Recruiting Dept" making a return.

In a smaller company, yes, they may have a Generalist handling recruitment. Again, don't underestimate their skill. I started as a Recruiter, who became a Generalist and was a Director of Recruitment. As a Generalist, my areas of expertise are Recruitment/ Talent Management. Other Generalist, there area of expertise many be Comp, Benefits, etc.

I think TPR firms should focus more on targeting specific industries / professions instead of trying to be a jack of all trades trying to fill each and every role for a client. Oh, and of course, the ability to provide / payroll consultant/contract professionals.

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Permalink Reply by Amy Ala Miller on July 15, 2013 at 11:41am

not every company has strong internal recruiters. Not every company can AFFORD strong internal recruiters. I would first want to know how you're framing the question. Are you asking about their biggest pain point when finding talent people? Or like so many agencies, just putting yourself out there as a recruiting firm? If I am a business owner with recruiters, and a recruiter tries to recruit for me, then it's way too easy to say "No thanks, I have recruiters".

On the other hand, if you're approaching the recruiters first, getting a sense of what works for them, what doesn't, and if (and where) they might need help, that's a different conversation. To Tiffany's point, if you are calling on companies that have internal recruiting staff you won't earn their business doing exactly what their internal staff is doing.

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Permalink Reply by Tiffany Branch on July 15, 2013 at 12:15pm

Sorry for my typos!

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Permalink Reply by Rahul Sonawane on July 16, 2013 at 1:04am

Amber, its not only u getting hired by them, Its a question of being exclusive for them, means the internal recruitment team will first see the candidates for any particular vacancy and then if they are unable to do then they will pass on to the recruitment company. And if all ur clients inspite of having an internal recruitment team still hires you, then thats great.

Amber said:

Rahul, almost all of my clients have internal recruiters. It might replace outside recruiters on occasion, but we still are hired by them all the time.

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Permalink Reply by Rahul Sonawane on July 16, 2013 at 1:10am

Amy, my discussion was all about the companies which have an internal recruitment team which only works on recruitment and calling candidates for positions. the work which an outside recruitment company should get that work is been done by their own set of people. So after couple of years each and every company will do these. Instead of paying some fees to a 3rd party, they will be more comfortable to pay a salary.

Amy Ala said:

not every company has strong internal recruiters. Not every company can AFFORD strong internal recruiters. I would first want to know how you're framing the question. Are you asking about their biggest pain point when finding talent people? Or like so many agencies, just putting yourself out there as a recruiting firm? If I am a business owner with recruiters, and a recruiter tries to recruit for me, then it's way too easy to say "No thanks, I have recruiters".

On the other hand, if you're approaching the recruiters first, getting a sense of what works for them, what doesn't, and if (and where) they might need help, that's a different conversation. To Tiffany's point, if you are calling on companies that have internal recruiting staff you won't earn their business doing exactly what their internal staff is doing.

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Permalink Reply by Rahul Sonawane on July 16, 2013 at 1:12am

Mansi, thanks, infact thats again a right thing which u had suggested but these portal companies will not do these coz they are also in the market of making money.

Mansi Sonawane said:

A good point to think onn. Further, usage of job portals for the other companies except recruiters should be banned because it is also a big hindrance in growth of a recruiting agencies. Thank You Rahul :)

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Permalink Reply by Rahul Sonawane on July 16, 2013 at 4:38am

May be you are right,,,but the fact will never change that whether its our county or whether in other country, recruiter is someone who gives you a better talent from the market and to do that he goes from number of searches and number of ways to find that talent "just for you"so why not respect a recruiter.

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Permalink Reply by Amber on July 16, 2013 at 10:53am

There might be some differences in which countries, but here in U.S. a lot of companies have had internal recruiting teams for quite a while and my point was that they still use outside recruiters. For many different reasons, as Tiffany and Amy mentioned. Yes, they might try and work the position first but that usually does not hinder my ability to fill it in any way. If a recruiter consistently can offer results, they will continue to get work.

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Permalink Reply by Rahul Sonawane on July 17, 2013 at 1:09am

You are right Amber, its depends on country to country....

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Permalink Reply by Brian K. Johnston on July 18, 2013 at 10:25am

If you can influence and persuade, you have a job in this industry, if you can not, you don't. The ones who have a track record of influence and persuasion have the option to do whatever they want in this industry... Inside/Outside, etc. Be well ALL..

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Permalink Reply by Matthew Harvey on July 18, 2013 at 11:01am

Most of our clients have internal recruitment teams and we enjoy working with them because they have often come from agency side and understand the challenges we face.

Whilst they are there to cut internal recruitment costs they will always need support for some roles so it's case identifying those needs and becoming as true a business partner as an external recruiter can hope to be.