When things are going well, it is easy to forget business basics. For recruitment agencies, there are a few things that you need to remember: continuous development, active sales, and top-notch quality. The past few years have been extraordinary for some industries, including IT and business. As we all see now, the market was unstable to sustain such high volumes for long.
We all saw the recruitment market changing in 2023, and it still is.
There will be two main challenges recruitment agencies are facing this year.
Winners are those who can react to the market the best.
Some economies are growing, and others are not, and there is still a skill shortage for specific skills.
Businesses and candidates are more selective than before. Businesses are more hesitant to hire “just” a good candidate, and candidates are looking for more stability and predictability than before. The fact is that there is also some movement in the job market, increasing competition between recruitment agencies.
Recruiters must do more than just the same as before. We must qualify orders better and get into the candidates' real motivators. Our customer promise is to recruit stars for businesses that seek growth and thrive. Therefore, we must understand motives, performance, and how people perform their best. For us, it’s more like coaching, helping companies and candidates to find their best match.
The biggest challenge is doing nothing and using the same old tactics. Following others and participating in the price race is a slippery slope to recruiting oblivion. Don’t hide behind digital; meet your clients and candidates and seek true engagement. The market itself is not the danger, but what you do or don't do.
Ensure you have a proper method to verify top talent from the average. This might include testing, work assessments, or a deeper look into candidates' portfolio
Customers want to know what drives people forward. This doesn’t just adapt to “why the person is in between jobs” but also for future leadership.
Step up, be brave, and always keep your promise.
The march of tech
We all know that AI is a big thing that has and will impact our market. Do we know how to use the new tech or understand the real impact they will have? So, will AI replace recruiters someday? Don’t know or care? Why?
A better question is: Which parts of recruiters' jobs, AI or tech, can do better?
This allows recruiters to upskill and ensure their value in the future. If we look at just a short period, AI will replace much of what we recruiters do. AI won’t, however, be able to replace all that an agency recruiter does. It could, however, end many agency recruiters if they cannot excel in the parts of the process where AI(tech) cannot.
Your value as a recruiter is in your knowledge, networks, coaching, and problem-solving skills. Hence, embrace the technology so that you can automate as much as possible for you to add value where it counts.
There are plenty of good AI tools, such as ChatGPT, Toptal, and various ATS systems like TalentAdore and Teamtailor, but none of them replace trustworthiness in client relationships.
Sourcing tools are getting better. Make sure you know how to use them
Coaching is valuable; ensure you don’t force any candidates into the process. There might be a temptation if some roles are complex to fill, but our profession relies heavily on sound judgment. That cannot be outsourced to AI at this point.