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John Sumser

Defining Excellence In Electronic Recruiting
Internet Recruiting Strategy

     The Change Is Upon Us
Introduction

• John Sumser

• IBN: interbiznet.com
  –   Industry Analysis
  –   Seminars / In-house Training
  –   Publications
  –   Free Newsletters
  –   Consulting/Strategy
1999 Electronic Recruiting Index

                        •   Annual Overview
                        •   Strategy
                            Posting Technique
  1999                  •
                            Trends
  ELECTRONIC            •
                            Opportunities
  RECRUITING            •
                            Surveys
  INDEX                 •
                        •   Rankings
 The Industry Matures   •   Targeting
                        •   2 Vols, 800 pages
Industry Outbriefing

•   One Day, Mid October, SF, Chi, NYC
•   Results and Implications
•   Posting Technique
•   Investment Strategy
•   Driving Trends
•   Site by Site Performance
•   Forecasts
•   Market Directions
Searching And Sourcing Techniques


•   One Day Immersion Seminar
•   Proactive Searching
•   Pool Development
•   Targeting
•   Tools and Techniques
•   Learning To Fish In Open Waters
Electronic Recruiting News


                                          •   Free, Daily
                                          •   Trends
                                          •   Tips
                                          •   Techniques
                                          •   Analysis
                                          •   Reviews
                                          •   Honest
http://www.interbiznet.com/hrstart.html
Recent Entrants

Are You Ready For The Change?
Futurestep
                         • Korn-Ferry / WSJ

                         • Redefines Playing Field

                         • Web Integration

                         • Low Success Probability

                         • Warning Shot

http://careers.wsj.com
AltaVista Careerzone

• Interim

• Auto Spidering

• Candidate Pool

• Ad Revenues

• Traffic Driver    http://204.123.9.98/
Manpower
                                • Supply Management

                                • Loyalty Builder

                                • Speed and Access

                                • JIT Recruiting
http://training.manpower.com/
                                • Labor Shortage
Matrix Resources
• Fastest Growing

• Web Integration

• Training

• Resource Vault

• Order Entry
                       http://www.matrixres.com
Knowledge Universe
                             • IT Contracting
                             • UK Personnel
                             • Child Care / Preschools
                             • Toys
                             • Publishing
                             • IT Proficiency Testing
                             • CEO Membership Organization
http://www.knowledgeu.com/   • Training Delivery
TMP Worldwide
•   Yellow Pages Roots
•   Monster Board
•   OCC
•   Med Search
•   Other Web Properties

• IPO War Chest

• Buying Search Firms

                           http://www.tmp.com
Tax Search, Inc.

                               • Calendar

                               • Interactive Salary Analysis

                               • Graduate Programs


http://www.taxsearchinc.com/   • Candidate Pool Development
What Does It Mean?
The Driver: Demographics

3.00%
2.50%
2.00%
1.50%
1.00%
0.50%
0.00%
        1975   1985    1995     2005   2015

                  Annual Growth Rate
Workforce Projections
           105

           100

           95
Millions




           90

           85

           80
                   1990   1995         2000   2005

                             Workers   Jobs
Pricing Trends

                                                                             l
                                                                          ode
                                                                         M
                                                               g
                                                           itin
                                                         ru
                                                       ec
Price




                                                      R
           Pr                                     e
                ice
                                               Pur                       in   g
                      of
                                                                 P   ric
                           Po                               ll
                                st
                                     in              e   ba
                                          gs    Ey




        Postings                      Time = Sophistication                       Candidates
The Basic Principle
The Basic Principle Explained

           Candidates




             Value
Pricing In 2002
                          DSS + Pure Recruiting + HR Systems Integration


                                                            Pure
                                                          Recruiting

                                              Qualified
                                             Responses

                                Guaranteed
Price




                                 Target
                       Targeted Eyeballs
                        Posting
                       Delivery
        Commodity
        Postings To
        Job Boards

                      Value
LifeCycle Recruiting
                            Workforce Planning
         Strategic Requirements Development, Implementation and Feedback




 Pre-Sourcing

                Sourcing
                              Recruiting

                                           Assimilation

                                                       Development

Marketing Functions                                                  Retention

   Branding    Attracting     Selling      Tailoring   Customizing   Maintaining
Electronic Recruiting Market
$30,000

$25,000

$20,000


$15,000

$10,000


 $5,000

    $0
            1997     1998   1999    2000     2001   2002   2003    2004     2005
          SiteDevelopment          Posting Fees            Marketing and Admin
          Subscriptions            Sourcing                Integration
          Pool Dev
Positioning and Strategy

  What Business Are You In?
Emerging Models
•   Candidate Acquisition Cost (Rising)
•   IS Recruiting An HR Function (Risky)
•   Demographic Desperation (In-house Training)
•   Networked Guilds (Technical)
•   Results Pad (Database Stuffing - Spider Push)
•   Agency As Recruiter (Watch TMP)
•   Agency As Classified Manager (Watch Hodes)
•   Professional Association As Mediator (IEEE)
•   Industry Targeting (IT, Marketing)
Facts

•   Candidate Acquisition Cost Increasing
•   Candidate Availability Declining
•   Generational Shortages Are Here
•   Passive Candidates Bombarded
•   Active Candidates Decreasing
•   Hours Per Placement Increasing
•   Margins Under Assault
•   Advantage Seems To Go To Large Players
Essentials

•   Training
•   Building an Online Presence
•   Practice and Experimentation
•   Results Measurement
•   Traffic Development
•   Value Delivery
•   Clarity of Purpose
•   A Plan
Meeting Expectations
          •   Thorny Problem
               – Expectations Wrong
               – Efforts Misplaced

          •   No Quantifiable Goals

          •   No Method For Achievement

          •   Frustration is Normal

          •   Rapidly Changing Targets

          •   Missing A Big Picture
Tools
   • Technology is a Tool

   • Think: Chisels

   • Looks like chaos

   • Use driven by Need

   • Always needs a Plan
Results
• Focus on results
  - they don’t look like Tools

• Tool requirements are
  results driven

• You innovate from
  need

• Not the other way
  round
The Best Thing You Can Do



Build A Web Page
Questions and Discussion




http://www.interbiznet.com/naps/strategy/
1999 Electronic Recruiting Index

                        •   Annual Overview
                        •   Strategy
                            Posting Technique
  1999                  •
                            Trends
  ELECTRONIC            •
                            Opportunities
  RECRUITING            •
                            Surveys
  INDEX                 •
                        •   Rankings
 The Industry Matures   •   Targeting
                        •   2 Vols, 800 pages
Industry Outbriefing

•   One Day, Mid October, SF, Chi, NYC
•   Results and Implications
•   Posting Technique
•   Investment Strategy
•   Driving Trends
•   Site by Site Performance
•   Forecasts
•   Market Directions
John Sumser

Defining Excellence In Electronic Recruiting

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1999 Electronic Recruiting Index Strategies and Trends

  • 1. John Sumser Defining Excellence In Electronic Recruiting
  • 2. Internet Recruiting Strategy The Change Is Upon Us
  • 3. Introduction • John Sumser • IBN: interbiznet.com – Industry Analysis – Seminars / In-house Training – Publications – Free Newsletters – Consulting/Strategy
  • 4. 1999 Electronic Recruiting Index • Annual Overview • Strategy Posting Technique 1999 • Trends ELECTRONIC • Opportunities RECRUITING • Surveys INDEX • • Rankings The Industry Matures • Targeting • 2 Vols, 800 pages
  • 5. Industry Outbriefing • One Day, Mid October, SF, Chi, NYC • Results and Implications • Posting Technique • Investment Strategy • Driving Trends • Site by Site Performance • Forecasts • Market Directions
  • 6. Searching And Sourcing Techniques • One Day Immersion Seminar • Proactive Searching • Pool Development • Targeting • Tools and Techniques • Learning To Fish In Open Waters
  • 7. Electronic Recruiting News • Free, Daily • Trends • Tips • Techniques • Analysis • Reviews • Honest http://www.interbiznet.com/hrstart.html
  • 8. Recent Entrants Are You Ready For The Change?
  • 9. Futurestep • Korn-Ferry / WSJ • Redefines Playing Field • Web Integration • Low Success Probability • Warning Shot http://careers.wsj.com
  • 10. AltaVista Careerzone • Interim • Auto Spidering • Candidate Pool • Ad Revenues • Traffic Driver http://204.123.9.98/
  • 11. Manpower • Supply Management • Loyalty Builder • Speed and Access • JIT Recruiting http://training.manpower.com/ • Labor Shortage
  • 12. Matrix Resources • Fastest Growing • Web Integration • Training • Resource Vault • Order Entry http://www.matrixres.com
  • 13. Knowledge Universe • IT Contracting • UK Personnel • Child Care / Preschools • Toys • Publishing • IT Proficiency Testing • CEO Membership Organization http://www.knowledgeu.com/ • Training Delivery
  • 14. TMP Worldwide • Yellow Pages Roots • Monster Board • OCC • Med Search • Other Web Properties • IPO War Chest • Buying Search Firms http://www.tmp.com
  • 15. Tax Search, Inc. • Calendar • Interactive Salary Analysis • Graduate Programs http://www.taxsearchinc.com/ • Candidate Pool Development
  • 16. What Does It Mean?
  • 17. The Driver: Demographics 3.00% 2.50% 2.00% 1.50% 1.00% 0.50% 0.00% 1975 1985 1995 2005 2015 Annual Growth Rate
  • 18. Workforce Projections 105 100 95 Millions 90 85 80 1990 1995 2000 2005 Workers Jobs
  • 19. Pricing Trends l ode M g itin ru ec Price R Pr e ice Pur in g of P ric Po ll st in e ba gs Ey Postings Time = Sophistication Candidates
  • 21. The Basic Principle Explained Candidates Value
  • 22. Pricing In 2002 DSS + Pure Recruiting + HR Systems Integration Pure Recruiting Qualified Responses Guaranteed Price Target Targeted Eyeballs Posting Delivery Commodity Postings To Job Boards Value
  • 23. LifeCycle Recruiting Workforce Planning Strategic Requirements Development, Implementation and Feedback Pre-Sourcing Sourcing Recruiting Assimilation Development Marketing Functions Retention Branding Attracting Selling Tailoring Customizing Maintaining
  • 24. Electronic Recruiting Market $30,000 $25,000 $20,000 $15,000 $10,000 $5,000 $0 1997 1998 1999 2000 2001 2002 2003 2004 2005 SiteDevelopment Posting Fees Marketing and Admin Subscriptions Sourcing Integration Pool Dev
  • 25. Positioning and Strategy What Business Are You In?
  • 26. Emerging Models • Candidate Acquisition Cost (Rising) • IS Recruiting An HR Function (Risky) • Demographic Desperation (In-house Training) • Networked Guilds (Technical) • Results Pad (Database Stuffing - Spider Push) • Agency As Recruiter (Watch TMP) • Agency As Classified Manager (Watch Hodes) • Professional Association As Mediator (IEEE) • Industry Targeting (IT, Marketing)
  • 27. Facts • Candidate Acquisition Cost Increasing • Candidate Availability Declining • Generational Shortages Are Here • Passive Candidates Bombarded • Active Candidates Decreasing • Hours Per Placement Increasing • Margins Under Assault • Advantage Seems To Go To Large Players
  • 28. Essentials • Training • Building an Online Presence • Practice and Experimentation • Results Measurement • Traffic Development • Value Delivery • Clarity of Purpose • A Plan
  • 29. Meeting Expectations • Thorny Problem – Expectations Wrong – Efforts Misplaced • No Quantifiable Goals • No Method For Achievement • Frustration is Normal • Rapidly Changing Targets • Missing A Big Picture
  • 30. Tools • Technology is a Tool • Think: Chisels • Looks like chaos • Use driven by Need • Always needs a Plan
  • 31. Results • Focus on results - they don’t look like Tools • Tool requirements are results driven • You innovate from need • Not the other way round
  • 32. The Best Thing You Can Do Build A Web Page
  • 34. 1999 Electronic Recruiting Index • Annual Overview • Strategy Posting Technique 1999 • Trends ELECTRONIC • Opportunities RECRUITING • Surveys INDEX • • Rankings The Industry Matures • Targeting • 2 Vols, 800 pages
  • 35. Industry Outbriefing • One Day, Mid October, SF, Chi, NYC • Results and Implications • Posting Technique • Investment Strategy • Driving Trends • Site by Site Performance • Forecasts • Market Directions
  • 36. John Sumser Defining Excellence In Electronic Recruiting