HR Corner New realism in the employment market by Charles Mak Recruitment and retention are the key words this year for anyone involved in HR As the business environment continues to improve, recruitment companies and HR professionals are predicting an extremely busy 2005. Most employers indicate they are planning to hire and, after a lull in the last couple of years, there are also clear signs that the employment market will see a renewed focus on the recruitment of middle managers and top executives. Lachlan Sloan, chief operating officer of Wall Street Associates Limited, has already spotted the trend. "Currently, the job market seems fairly dynamic," he says. "Head offices in Hong Kong are starting to initiate recruitment activities and, if you look across the market, a lot of positive things are happening. Companies have slimmed down by means of restructuring, and that has meant top positions in the hierarchy being localised and gaps between senior and middle-level executives narrowing." He also points out that, with the China market maturing rapidly, Hong Kong and the Asia region generally can expect to see a range of new opportunities for experienced professionals and more moves taking place. "We have quite a number of clients planning to relocate executives from Hong Kong to mainland China," he confirms. "It's an exciting development and the companies are offering good remuneration packages as well." It is also taken as a vote of confidence in Hong Kong managers that they are being appointed to jobs with a high international profile in one of the world's fastest growing economies. New focus Mr Sloan's own role as an executive recruiter has to take account of these trends. "We are still advising companies on all their recruitment options," he says, "but our expertise is most needed when they are about to make structural changes." He noticed a particular change after the SARS outbreak, as companies realised that to spend time on developing more meticulous recruitment procedures was a sound investment. In Mr Sloan's view, "They are now much better prepared for recruitment and there is real attention to detail. They look for the right people, not just any available people." He nevertheless believes that, to make better use of a recruiter's services, companies should get the experts involved earlier. "It definitely adds value if the employer consults the recruiter at the time they start to work out their concepts and various opportunities. The earlier they involve us, the more we can help with information about the resources available in the market. It makes the recruitment process a lot smoother if expectations can be worked out jointly." This can often mean starting with a few words of advice about the need to be practical and set realistic criteria. It can still happen that clients will outline their ideal candidate and itemise a list of "must-have" qualities and qualifications?the combination of which is so rare as to be almost impossible to find. Also, they will underestimate the amount of time it may take to identify the right talent, especially if it is necessary to search internationally. "Therefore, our advice to any client is to assess things practically and allow some flexibility in the timeframe," Mr Sloan adds. "It may also be wise to set some 'next best' criteria so that you won't get too disappointed if the ideal candidate doesn't turn up." Expert guidance With greater attention being paid to the specifics of the recruitment process, employers must expect to handle more information about individual candidates. In doing this, Mr Sloan explains, the right recruitment consultant can provide invaluable guidance and act as a strategic partner. "A close relationship with your recruiter is a form of investment," he says. "They will promote your business effectively by searching for people who fit into your corporate culture and bring long-term value to the company." Since the economic downturn, it is noticeable that executives at all levels are both more career conscious and more objective. They no longer have illusions or unrealistic expectations about getting fast-track promotions, and recognise that a good package includes training and development programmes along with the usual financial rewards. Most employers now see things the same way. "Large corporations are researching mechanisms to retain their staff," notes Mr Sloan. "Multinationals are looking internally to develop talent, but they should also be open to recruiting people moving from different industries. We have seen a number of cases where executives move industry and bring a fresh approach to their new organisation. There have been some wonderful results, which just show that it never hurts to think outside the box." A major advantage of such cross-industry recruitment, continues Mr Sloan, is that a much wider network can be established. "That will subsequently lead to a more diversified outlook for the company and definitely bring about a more dynamic workforce," he says. Salient points The China market will continue to create new opportunities in 2005 Employers now focus much more on the recruitment process The involvement of a specialist adviser can be seen as an investment There is a new air of realism about career development Companies should be open to hiring people from different industries Taken from Career Times 25 March 2005, p. 16 Your comments are welcome at [email protected]