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Building a Proactive Sourcing Function to Fill Critical Positions Rob McIntosh US Sourcing Lead Deloitte LLP Sydney, April 2008
Ok Rob ~ What’s your credentials? ,[object Object],[object Object],[object Object],[object Object],[object Object],“ Rob is a visionary and strong leader in the Corporate Recruitment space. Reporting to him I have observed first hand his ability to deliver on strategic and tactical levels. He takes care of his team, and is well adept at removing obstacles and effecting influence with other business leaders”. Shally Steckerl Chief CyberSleuth & Founder JobMachine Inc “ Rob definitely pushes the envelop on sourcing ideas and strategies. He's willing to try new approaches to solve old problems. He's a great person to work with, especially if you want to get things done. Rob's a big-picture thinker, but knows what's needed to in trenches. This is a rare and special combo”. Lou Adler CEO, Adler Group
Agenda ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],“ Talent is the single negating factor  for us in  realizing our growth vision.” Jim Robbins CEO Cox Communications Interview with McKinsy in their book “ the war for talent” “ Make Hiring a Top Priority! You may have a technology or a product that gives you an edge, But your people determine whether you develop  The next winning Technology or product”. Steve Ballmer CEO Microsoft Corp Business 2.0 “ A world-class engineer with  five peers can out produce  200 regular engineers.” Cisco CEO John Chambers Business Week Three-quarters of senior human resources  managers said attracting and retaining talent  was their number one Priority. More than 62% are worried about company-wide talent shortages Corporate Executive Board Survey Among all the factors that could  influence the effectiveness of  organizations in the future, the  foremost driver is talent. Buckingham & Vosburgh In 2006, HR and recruiting  executives rank talent attraction  and pipeline building as their most critical priorities Corporate Executive Board Survey   Ninety-nine percent of the corporate officers participating in  our survey in 2000 said their managerial talent pool needs  to be much stronger three years from now. Only 20 percent agreed that they have enough talented leaders to pursue most of their companies’ business opportunities. War for Talent McKinsy Survey The Crucial Talent  Pipelining Issues! 400M G8  baby boomers retiring over  the next 5-10 years !
Ok so what, that is the USA?.....    Then what are Australians saying? “ Corporate recruiting is still relying very heavily on post and pray as well as using agencies” “ Everyone still thinks Sourcers want to grow up to be recruiters” “ Some statistics have agency use running at between 60% and 80%”   “ As a rule sourcing is very much based around finding resumes rather than contacts” “ Direct head hunting is certainly frowned upon outside of the industries that have become used to it  such as the advertising world” “ I have yet to meet a recruiter who has any understanding of Boolean syntax or smart web search” “ Within the next year recruiters will find it extremely hard to fill the majority of their roles through the standard methods” “ Here’s the sad reality, most recruiters won’t even mine the or own candidate database….never mind other sources” “ Most established companies have very large databases from years of posting ads and most recruiters rely on this as a first point of call.”
Why Build…What is the problem you are really trying to solve?  Are you scratching the right itch?. What is the focus?...Why are you doing this?   Increase size of talent pool Recruiters do not have time or skills More qualified and interested candidates Pipeline Talent ahead of demand Save $$$ Find more passive candidates Improve branding and perception of the company Gather CI and BI on the market and competitors Lower time to hire Increase diversity hires. Find more active candidates Fill hard to fill reqs Help with screening in/out more candidates Increase Quality of hire
What happens when you don’t clearly align the sourcing strategy to the business problem you are trying to solve Sisyphus  by  Titian , 1549
What is Sourcing? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],* Definition of Sourcing on Wikipedia.org
Lets look at the big picture first *Career CrossXroads 7 th  Annual Sources of Hire Survey  External Hire Data ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Traditional transactional model   Reactive Proactive Direct
Expanding the “Pie”  (Talent Pool) Majority of Talent  Pool is Semi-Passive  or Passive (Proactive) Majority of Reactive  Recruiting is  Active Candidates 85-90% 10-15% ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Most Recruiters play here!
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Where do I start? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Which Model/Approach will work  best for me?......... ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
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Execution, Deliverables and Results ~! ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Sourcing Start up Issue’s to be aware of ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
2. Creating comprehensive  Passive vs. Active Candidate Sourcing Channel Strategies
The Current Corporate Recruiting Model One Requisition Result One hire if the hiring  manager does not  change their mind ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Traditional Active Channel Transactional Volume Recruiting Question:  What happens to all the other candidates and applicants in this process??? Hundreds of req’s x
[object Object],Model becomes about Pipelining targeted talent now and ahead of demand Question:  What happens to all the candidates and applicants in this process??? Talent  Pool Talent Pool Talent Pool Talent Pool Profile ‘A’ Profile ‘B’ Profile ‘C’ Profile ‘D’ Outreach Outreach Outreach Outreach ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Pipeline Robustness
Cold (Suspect) Warm (Prospect) Hot (Candidate) Req (Applicant) Hot Warm Campus +  Experienced Candidates   Active Passive Leads/Names targeted but  need to be Qualified &  Sold Relationship  being developed  but timing not  quite right ,[object Object],[object Object],[object Object],[object Object],[object Object],Hire Alumni QIA – Finding the right  opportunity Proactive Pipelining by Profile ‘A’ “ The Perfect Pipe” YouTube Podcasts Facebook Blog’s Second Life Ongoing  Sustainable  relationships PHASE I Example PHASE II Example Career Gen X Gen Y Next Gen Twitter MySpace High School Programs Active Semi Passive Semi Active Fully  Passive
Lets look at what an organizational  structure might look like~!
Recruiting &  Active Qualifying   ( Reactive ) Passive Sourcing & Pre-Screening ( Proactive )   High Volume,  Low  Complexity  = Lower  Value Low Volume,  High Complexity  = High Value Active  Candidates Passive Candidates Selling & Screening  Candidate Relationship Development Proactive Relationship Development &  Pipelining ahead of demand Candidate Relationship Development & Passive  Sourcing Candidate/Lead Life Cycle Volume Recruiting ‘ Mainly Active’ Qualifying &  Processing QIA  (Qualified Interested & Available )
Deloitte Profile and Market Assessment Volume  of Candidates Low (1) High (5) Low (1) High (5) Complexity  of Profile/Req FAS (Forensic & Finance)   SVCS (Admin Assistants)   Regions (Tax - Transfer pricing   )   Consulting (SAP   )   SVCS (Call Center)
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Cold Calling & Headhunting Networking & Candidate Referrals Employee Referrals Agencies Talent Pools Job Boards Candidates against  Reqs + ATS Mining the Internet. 80% 20% Hiring Manger Active Candidate Sourcer Passive Candidate Sourcer Account Manager Recruiter (1) Focus on Critical business profiles. (2) Build and Acquire Research  (3) Target names online  (4) Candidate Referrals and  Networking (5) Ongoing relationship  Development (6) Manages the pipeline (1) Primary relationship owner with HM (2) Consults, Advises and gains  deeper understanding of the  business  (3) Moves candidates through the interview process  (4) Helps construct candidate EVPs, "selling" material and  communications (5) Constructs offers  (6) Brings in Sourer subject matter experts where needed (1) Post reqs to appropriate channels  (2) Reviews and screens candidates against all the active channels (3) Generically mines ATS for matching talent against profiles (4) Proactively mines the job boards against  profiles
Key Take-Away:  Passive Sourcing  and  Volume Hiring  can not exist harmoniously in the  same sentence~!
Putting it together     Talent Profiles   EVP’s (Elevator Pitches)   Sourcing Channel Strategy Document
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Talent Profile – “x” & EVP (Elevator Pitch)
 
 
Using Profile data for a Search
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Example EVP (Elevator Pitch)  for  Company ‘X’ ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Example EVP (Elevator Pitch)  for  Company ‘Y’ ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
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Creative and Impactful Sourcing Strategies =
*Seth Godin Purple Cow + Differentiation Targeted & Permission Based Competitive Advantage !!!
Creative and Impactful Sourcing Strategies ,[object Object],[object Object],[object Object],[object Object],Final Word to the Wise:   Am I better off tweaking and improving upon what is  already a known success vs. just dreaming up something new  because it is cool and different?
Google Ad Word Campaign
Find Rob’s Dog~!
Red 5 Studio’s Pitch ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Blog Site ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Google’ Recruiting Billboard Question
“ We did this video one night after work. We are a company called Connected Ventures, a group of friends who work for: Vimeo, CollegeHumor, Busted Tees, and Defunker.” ... and, we're hiring:  connectedventures.com/jobs.shtml   Total  1,430,589  2,738  878
Quick Break   (4 min 37 Seconds…)  ,[object Object],[object Object],[object Object],[object Object]
3. Getting the right people for operational excellence
Today's Full Lifecycle Recruiter What are the current issues here? I Too many Reqs Too many Candidates to review Too much Adminsitriva = Too much to deal with~! ,[object Object],[object Object],[object Object],Job Boards Ad’s Candidates/Applicants Name Identification Targeted Company  Headhunting &  Cold Calling Online Research and  name identification Social Networking tools and groups Networking First Outreach & Selling Screening & Qualifying Recruiter Hire Candidate Development CRM / ATS Data Entry Schedules Interviews Constructs Offer
[object Object],[object Object],What are our  options? ,[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],Sourcing has become specialized…Do you need all or a combination?  Candidates/Applicants Name Identification Targeted Company  Headhunting &  Cold Calling Online Research and  name identification Social Networking tools and groups Networking Primary Researcher   Secondary Researcher First Outreach & Selling Screening & Qualifying Sourcer Recruiter QIA Handoff Hire Candidate Developer CRM / ATS
What to Outsource? Candidates/Applicants Name Identification Targeted Company  Headhunting &  Cold Calling Online Research and  name identification Social Networking tools and groups Networking Primary Researcher   Secondary Researcher First Outreach & Selling Screening & Qualifying Sourcer Recruiter QIA Handoff Hire Candidate Developer CRM / ATS Possible to Outsource  but only  Active Channel  candidates   Least impact to  Outsource Never  Outsource Potential to Outsource Active Channel  candidates, but avoid  Passive Channel Some companies have  outsourced with success
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[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
4. Measuring and showing the  value of the Sourcing/Recruitment Functions
Do you have the right technology to measure Success? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
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How to measure it effectively and show value at all levels? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Hires by themselves as a measure is dangerous…. Can you hold Sourcers accountable that do not own the offer process, req or hiring manager relationship???? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object]
Sourcer Productivity Dashboard
Pipeline % Probability to Close
Example: Throughput Analysis - ‘Cradle to Grave Metrics’ Example: Comparative Analysis  Passive vs. Active Candidate Throughput  (Cradle to Grave Metrics) Question “ What are the things we need to be doing to increase the passive candidate initial response %?”  “ What are we doing  to help with efficiencies around active candidate screening to determine quality earlier on in the process?”
Example: Target Company Throughput Questions “ Does the talent pool of the target companies support business demand for the next 3 years?”  “ At current pace we will exhaust target companies talent pools?” “ Do we need to expand targets or revisit profile requirements?” Example: Negative Disposition Trends Questions “ Can we improve our EVP to move the 60% rejection reason’s down?”  “ Can we look at more flexible travel arrangements for this profile?” “ What additional relationship development programs can we put in place to keep connected to the interested but timing not quite right group?” Target Company Total Candidates in database Total Hires % We reject Candidates % Candidates reject us % of hires to applications  A 337 21 67% 9% (16:1) B 222 13 57% 8% (17:1) C 135 13 70% 8% (17:1) D 533 16 71% 10% (33:1) E 351 8 74% 7% (47:1) F 64 1 80% 1% (64:1)
Example: Comparative Source Analysis  Agency Hires and Job Board Hire Overlap Question “ Opportunity to get more effective with your Sourcing Channel Strategy and coverage to ensure nothing is left on the table?” Example: Comparative Source Analysis  Job Board vs. Job Board Overlap Question “ How can we do a better job of reducing overlap with Postings, Resume Mining and Branding to get a more effective ROI?”
5. Successfully  Communicating Plans
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Communication, Evangelization and Integration.   ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Integration - Do whatever you can do to stop the  “ Us vs. Them” Environment from happening!
Make the marketing and  communication  different  and memorable ! “ Congratulations on your  first hire from  the Sourcing Team” I'm a  Sourcing  Hire
Brainstorming   Problem Solving  Q&A

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Building a proactive sourcing function to fill Critical Positions

  • 1. Building a Proactive Sourcing Function to Fill Critical Positions Rob McIntosh US Sourcing Lead Deloitte LLP Sydney, April 2008
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  • 5. Ok so what, that is the USA?..... Then what are Australians saying? “ Corporate recruiting is still relying very heavily on post and pray as well as using agencies” “ Everyone still thinks Sourcers want to grow up to be recruiters” “ Some statistics have agency use running at between 60% and 80%” “ As a rule sourcing is very much based around finding resumes rather than contacts” “ Direct head hunting is certainly frowned upon outside of the industries that have become used to it such as the advertising world” “ I have yet to meet a recruiter who has any understanding of Boolean syntax or smart web search” “ Within the next year recruiters will find it extremely hard to fill the majority of their roles through the standard methods” “ Here’s the sad reality, most recruiters won’t even mine the or own candidate database….never mind other sources” “ Most established companies have very large databases from years of posting ads and most recruiters rely on this as a first point of call.”
  • 6. Why Build…What is the problem you are really trying to solve? Are you scratching the right itch?. What is the focus?...Why are you doing this? Increase size of talent pool Recruiters do not have time or skills More qualified and interested candidates Pipeline Talent ahead of demand Save $$$ Find more passive candidates Improve branding and perception of the company Gather CI and BI on the market and competitors Lower time to hire Increase diversity hires. Find more active candidates Fill hard to fill reqs Help with screening in/out more candidates Increase Quality of hire
  • 7. What happens when you don’t clearly align the sourcing strategy to the business problem you are trying to solve Sisyphus by Titian , 1549
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  • 20. 2. Creating comprehensive Passive vs. Active Candidate Sourcing Channel Strategies
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  • 24. Lets look at what an organizational structure might look like~!
  • 25. Recruiting & Active Qualifying ( Reactive ) Passive Sourcing & Pre-Screening ( Proactive ) High Volume, Low Complexity = Lower Value Low Volume, High Complexity = High Value Active Candidates Passive Candidates Selling & Screening Candidate Relationship Development Proactive Relationship Development & Pipelining ahead of demand Candidate Relationship Development & Passive Sourcing Candidate/Lead Life Cycle Volume Recruiting ‘ Mainly Active’ Qualifying & Processing QIA (Qualified Interested & Available )
  • 26. Deloitte Profile and Market Assessment Volume of Candidates Low (1) High (5) Low (1) High (5) Complexity of Profile/Req FAS (Forensic & Finance) SVCS (Admin Assistants) Regions (Tax - Transfer pricing ) Consulting (SAP ) SVCS (Call Center)
  • 27.
  • 28. Cold Calling & Headhunting Networking & Candidate Referrals Employee Referrals Agencies Talent Pools Job Boards Candidates against Reqs + ATS Mining the Internet. 80% 20% Hiring Manger Active Candidate Sourcer Passive Candidate Sourcer Account Manager Recruiter (1) Focus on Critical business profiles. (2) Build and Acquire Research (3) Target names online (4) Candidate Referrals and Networking (5) Ongoing relationship Development (6) Manages the pipeline (1) Primary relationship owner with HM (2) Consults, Advises and gains deeper understanding of the business (3) Moves candidates through the interview process (4) Helps construct candidate EVPs, "selling" material and communications (5) Constructs offers (6) Brings in Sourer subject matter experts where needed (1) Post reqs to appropriate channels (2) Reviews and screens candidates against all the active channels (3) Generically mines ATS for matching talent against profiles (4) Proactively mines the job boards against profiles
  • 29. Key Take-Away: Passive Sourcing and Volume Hiring can not exist harmoniously in the same sentence~!
  • 30. Putting it together Talent Profiles EVP’s (Elevator Pitches) Sourcing Channel Strategy Document
  • 31.
  • 32. Talent Profile – “x” & EVP (Elevator Pitch)
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  • 34.  
  • 35. Using Profile data for a Search
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  • 42.  
  • 43. Creative and Impactful Sourcing Strategies =
  • 44. *Seth Godin Purple Cow + Differentiation Targeted & Permission Based Competitive Advantage !!!
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  • 46. Google Ad Word Campaign
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  • 49.
  • 51. “ We did this video one night after work. We are a company called Connected Ventures, a group of friends who work for: Vimeo, CollegeHumor, Busted Tees, and Defunker.” ... and, we're hiring: connectedventures.com/jobs.shtml Total 1,430,589 2,738 878
  • 52.
  • 53. 3. Getting the right people for operational excellence
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  • 55.
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  • 57. What to Outsource? Candidates/Applicants Name Identification Targeted Company Headhunting & Cold Calling Online Research and name identification Social Networking tools and groups Networking Primary Researcher Secondary Researcher First Outreach & Selling Screening & Qualifying Sourcer Recruiter QIA Handoff Hire Candidate Developer CRM / ATS Possible to Outsource but only Active Channel candidates Least impact to Outsource Never Outsource Potential to Outsource Active Channel candidates, but avoid Passive Channel Some companies have outsourced with success
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  • 67. 4. Measuring and showing the value of the Sourcing/Recruitment Functions
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  • 74.
  • 77. Example: Throughput Analysis - ‘Cradle to Grave Metrics’ Example: Comparative Analysis Passive vs. Active Candidate Throughput (Cradle to Grave Metrics) Question “ What are the things we need to be doing to increase the passive candidate initial response %?” “ What are we doing to help with efficiencies around active candidate screening to determine quality earlier on in the process?”
  • 78. Example: Target Company Throughput Questions “ Does the talent pool of the target companies support business demand for the next 3 years?” “ At current pace we will exhaust target companies talent pools?” “ Do we need to expand targets or revisit profile requirements?” Example: Negative Disposition Trends Questions “ Can we improve our EVP to move the 60% rejection reason’s down?” “ Can we look at more flexible travel arrangements for this profile?” “ What additional relationship development programs can we put in place to keep connected to the interested but timing not quite right group?” Target Company Total Candidates in database Total Hires % We reject Candidates % Candidates reject us % of hires to applications A 337 21 67% 9% (16:1) B 222 13 57% 8% (17:1) C 135 13 70% 8% (17:1) D 533 16 71% 10% (33:1) E 351 8 74% 7% (47:1) F 64 1 80% 1% (64:1)
  • 79. Example: Comparative Source Analysis Agency Hires and Job Board Hire Overlap Question “ Opportunity to get more effective with your Sourcing Channel Strategy and coverage to ensure nothing is left on the table?” Example: Comparative Source Analysis Job Board vs. Job Board Overlap Question “ How can we do a better job of reducing overlap with Postings, Resume Mining and Branding to get a more effective ROI?”
  • 80. 5. Successfully Communicating Plans
  • 81.
  • 82.
  • 83.
  • 84. Make the marketing and communication different and memorable ! “ Congratulations on your first hire from the Sourcing Team” I'm a Sourcing Hire
  • 85. Brainstorming Problem Solving Q&A

Editor's Notes

  1. What happens if you do not begin with the end in mind
  2. *See Appendix for Roles and Responsibilities