1. www.recruiter.co.uk January 2013
BUSINESS INTELLIGENCE FOR RECRUITMENT AND RESOURCING PROFESSIONALS
Oliver James
Associates
The financial services recruiter is SEE THE 2013
top of our FAST 50 chart, which lists RANKINGS INSIDE!
the fastest-growing privately owned
staffing companies in the UK
MATTHEW JEFFERY THE CHALLENGE INDUSTRY INSIGHTS
Will 2013 turn out to be the Vertex Solutions set up an Resourcing lessons of
Year of the Executioner? assessment day to find test London 2012 from Paul
See what our Blogger with development engineers for Modley, the former head
Bite has to say Imagination Technologies of recruitment at LOCOG
INCORPORATING Recruitment Matters
2. FAST 50 FIRMS BUFFER News
THE STORMS AND
EMERGE STRONGER
With the UK economy in the doldrums has continued to expand. From supplying
as austerity Britain began to bite in 2010 predominantly blue-collar temps, Turner said
and 2011, this year’s Recruiter FAST 50 the company had introduced complementary
reveals that recruiters bravely faced strands, including technical, professional
down the economic headwinds buffeting and engineering, a lot of which has been
the economy by deploying a variety of permanent. “That has been a big driver for
business strategies. The FAST 50, which us,” said Turner. The company also moved
presents the 50 fastest-growing private into other high growth areas, such as social
recruitment companies in the UK, is care and pre-school education, he added.
produced in association with mergers & For Gordon Adam, chief executive and
acquisitions advisers Boxington Corporate co-founder of IT and change management
Finance. Leading law firm Charles Russell is recruiter Head Resourcing, the top
supporting the 2013 FAST 50. performing FAST 50 recruiter in 2012,
which this year placed second, said it was
Given the economic backdrop, Tim Evans, a case of more of the same. “I think we had
managing director of Boxington, described new business opportunities, an example the formula pretty right,” he told Recruiter.
the performance of those ranked in being change management, are beginning to Adam continued: “The main thing is working
achieving an average growth rate of 39% as pay off, he told Recruiter. together, and making sure everything is
“exceptional”. Chief operating officer of multi-sector focused first on the customer and then on
Andrew Speers, managing director of oil recruiter Brightwork, Charles Turner, told the staff by listening to them and supporting
& gas recruiter Petroplan and FAST 50 new Recruiter that the company’s growth can in them. If you do that and continue to do that
entrant, told Recruiter that one of the keys large part be put down to its focus on its core you won’t go far wrong,” said Adam.
to the company’s success was its focus on market, the Scotch whisky industry, which COLIN COTTELL
providing a personal service to candidates.
CHART TOPPERS…
“It is a candidate-led industry, and we are
putting people into some pretty hostile
environments,” he explained. Among the The directors of the top-ranked staffing
locations Petroplan places candidates are Iraq, company in Recruiter’s 2013 FAST 50 — Oliver
James Associates — told Recruiter the
PHOTO: RICHARD HANSON
Algeria, Angola and Azerbaijan.
Clients also expect contractors to arrive in achievement is recognition for the efforts
the country and on site “well prepared and of staff in overcoming the challenges of
unencumbered” by problems such as visas or operating in the UK’s hard hit-financial
accommodation. He added that the level of services sector.
service had been boosted by a decision made “We feel quite humbled by this achievement.
more than two years ago to open offices It is a big deal for us, but it is more important
around the world. for the consultants in our business because it is a tough market, this gives everyone a real buzz,”
Jonathan Nicholson, managing director Oliver Castle, one of financial services recruiter Oliver James Associates’ three founding directors,
of banking & finance recruiter Astbury told Recruiter.
Marsden, another new entrant in 2013 “They can go to their peer group, their competitors, their family and friends and say ‘you know
though it appeared as far back what, we have been successful’’,” added Castle.
as the 2009 FAST 50 before As a completely new entrant to the Recruiter FAST 50, the 50 fastest-growing private
dropping out of the rankings recruitment businesses in the UK, compiled by Boxington Corporate Finance, Oliver
for three years, attributes “We feel James Associates more than doubled its revenue in 2011 to £36.4m, propelling it to
the company’s growth
to diversifying into
quite humbled the top of this year’s ranking.
Fellow director, James Rogers, who along with Castle and Nick Godson founded
international markets in by this Oliver James Associates in 2002, added: “The growth has been driven by the
their case by opening achievement. quality of the consultants we have. Three people [the three directors] can do very
offices in Asia. In
addition, efforts to
It’s a big deal little; 90 people can achieve a great deal.”
Oliver James Associates initially focused on supplying accountants to insurance
upskill consultants so for us” companies. However, since then it has branched out in other areas of financial
they can better develop services, and opened a number of offices overseas.
Castle says he hopes the achievement will have wider spin-off benefits.
“It is something we can talk about and hopefully it will attract people to the Oliver James
FOR MORE NEWS AND Associates brand,” he said.
Winner of Best Banking/Financial Recruitment Agency at last year’s Recruiter Awards for
COMMENTS GO ONLINE Excellence, headline sponsored by Eploy, Oliver James Associates was also ranked fifth in
Recruiter’s 2012 HOT 100 list of the UK’s most profitable recruiters, compiled by Agile Intelligence.
RECRUITER.CO.UK
WWW.RECRUITER.CO.UK RECRUITER JANUARY 2013 5
3. Profile Profile
Oliver James Associates
COLIN COTTELL MET THE DIRECTORS OF RECRUITER’S TOP-RANKED FAST 50 COMPANY
With financial services enjoying a torrid time in Despite its expansion into other areas of financial
recent years, you might not expect the top-ranked services, insurance remains the bedrock of the business, SECRET OF
company in this year’s Recruiter FAST 50 — the accounting for 80-85% of revenue, while revenue from SUCCESS
50 fastest-growing private staffing companies in overseas operations amounted to just over £1m in 2011.
the UK, produced in association with mergers & While growth has gathered pace, the directors are
acquisitions advisers Boxington Corporate Finance keen to explain that far from being frenetic it has always “I want to be known
— to be a specialist in this sector. been controlled, measured and planned. It is very much as a company where
a step-by-step approach, explains Castle. “We have people enjoy their
Yet remarkably, that is where Oliver James Associates always concentrated on having super successful teams work, not a hire-
(OJA) finds itself following a stellar performance in 2011, within a set discipline before trying to take on a new and-fire business.
which saw its revenue more then double to £36m. discipline,” he says. It is important they
Meeting OJA’s three founding directors — Oliver “We like to concentrate on one thing at a time, and stay with us so they
Castle, Nick Godson and James Rogers — in a not to get too greedy, really,” adds Rogers, explaining are developed into
fashionable Manchester restaurant before Christmas, it’s that having opened in Hong Kong in late 2011 the firm successful business
easy to wonder how it is that a company operating in will only move into a further new geographical area people in their own
this hard-hit sector, and especially one that didn’t even once that office is profitable. right”
appear in last year’s FAST 50, is now top of the pile. It has also been integral to the firm’s success, notes James Rogers
Within a few minutes it’s obvious that anyone looking Godson, that despite the downturn in financial services,
for a magic formula for rapid growth is likely to be it has continued to specialise in areas where skills CV
disappointed. If anything, the firm’s success is testament are in high demand and candidates in short supply.
to those old-fashioned virtues of patience, long-term “Everything that we recruit for is very awkward; if it OLIVER CASTLE
thinking and careful planning. Indeed, Castle notes: was easy everyone would be able to do it,” he adds with 2002 — present
“It’s an irony that we are in the FAST 50 and that we some relish. He says the firm’s consultants have taken Oliver James
have grown so rapidly because we are anything but advantage of this by focusing on candidate generation, Associates, director
gamblers….” targeting only the top 10-20% of candidates. and co-founder
As with many recruiters, OJA’s origins lie within the As the conversation continues, Castle points to the 1999-2002
founders’ conviction that they could do things better. “I depth of specialist knowledge in OJA’s core market of FSS, senior
felt that insurance was a marketplace where you had insurance with 81 consultants working in this sector consultant
some of the world’s largest firms but they constantly alone. By comparison, he says “a search firm might have 1998-1999
struggled to fill vacancies because no one was able to one or two”. David Chorley
provide them with quality candidates,” says Castle, who But perhaps what is most striking about OJA is its Associates,
previously worked as a senior consultant at accountancy focus on the long term. This is apparent, for example, consultant
recruiter FSS. Spotting the opportunity in the market, in the firm’s emphasis on building and sustaining long-
Castle jumped ship, joining up with Rogers and Godson term relationships with candidates and clients. “It is not NICK GODSON
to establish OJA in 2002. like we have reinvented the wheel,” explains Godson. 2002 — present
Originally focusing on supplying insurance firms Be that as it may, but as Godson himself points out OJA, director and
with “high quality accountancy candidates”, Godson it is those relationships built up over, in many cases, co-founder
says OJA was able to take advantage of competitors’ five or six years that are now bearing fruit, with many Previously worked
“relative neglect” of their insurance clients in putting consultants effectively managing the careers of financial at Deloitte as a
forward candidates with banking rather than insurance services professionals. Similarly, many candidates who chartered accountant
backgrounds. “It is a simple strategy and it worked,” says OJA placed earlier in their careers are now clients.
Castle. So much so indeed, that within two years the This emphasis is also apparent in the directors’ JAMES ROGERS
firm had begun to move into other areas of insurance, recognition that becoming a fully-fledged vertical 2002 — present
such as actuarial, risk and compliance. market specialist is not something that can be rushed, OJA, director and
In recent years the firm has expanded into banking, but can take one to two years. “It’s about not putting a co-founder
hedge funds and asset management, and expanded timescale on consultants that they have six months to 2001-02
internationally, establishing offices in Germany, bring in this amount of money. We realise the need CRM — e-Business,
Switzerland, Hong Kong and Ireland. In 2011 it head of contract
recorded revenues of £36.4m, more than double the 1997-2001
£17.6m in 2010. In the same period average headcount NICK GODSON’S PHILOSOPHY: Progressive
increased from 45 to 74, and it has since risen to 93. IT IS IMPORTANT TO REMAIN Recruitment,
This is set to grow further with the company senior consultant and
“probably looking to treble it UK headcount”, according PROFITABLE AND TO MAINTAIN manager
PHOTOGRAPHY: RICHARD HANSON
to Castle. THE SAME QUALITY, AND IF YOU The directors of Oliver James Associates, from left to right:
OJA’s clients are a veritable Who’s Who of financial
services including industry stalwarts, such as Swiss Re,
ACHIEVE THOSE TWO THINGS Oliver Castle, James Rogers and Nick Godson
Invesco, Aviva, HSBC and Goldman Sachs. SUCCESS WILL FOLLOW
28 RECRUITER JANUARY 2013 WWW.RECRUITER.CO.UK
4. Profile
to understand the market, our clients’ cultures and our is their career. “It is a very steady approach, not just
candidates, and that takes time.” putting a lot of bums on seats, or recruiting a lot of
Similarly, Castle says there is recognition that it will graduates and seeing who succeeds,” he adds.
take about 18 months from inception before they can “The important thing is that the directors don’t sit
expect to see a return from the Hong Kong office, while in glass houses,” says Castle. “We make ourselves very
in the saturated market of investment banking it will available so the consultants can learn directly from us
take “two to three years to break down the doors”. and from our experiences, and this also helps us gain
The approach also extends to whom the firm hires. their trust and loyalty,” adds Godson.
“We want to take on board those people who realise Rogers stresses the importance of recognising that
that you can’t be up and running and making money in each consultant is different, each with their individual
three to six months.” strengths and weaknesses. And he pinpoints how giving
If any further evidence of OJA’s long-term approach everyone in the company a voice has contributed to the
is needed it comes from the firm’s response to the firm’s success. “We speak to everyone in the business; it
downturn in financial services, which began in 2007. is not about us making decisions, it is about everybody
Far from cutting back, the firm has done “the polar KEY FACTS making decisions,” he says, citing how OJA’s move
opposite” says Castle, by moving into retail, and into Hong Kong was triggered by the desire of one
investment banking and asset management. “We have 2002 Oliver James consultant, Jonny Plews, to work in Asia.
always had a long-term vision, we are not interested in Associates founded Castle agrees that the downturn in financial services
short-term goals, but are looking to be in the market for 2011 Opens in Hong Kong has made things “remarkably tough”. “No doubt about
a considerable time,” he adds. it everybody has been a little less successful than we
The three directors have clearly been the driving FINANCIALS would have expected,” he says. However, he adds:
force behind the company, with Castle and Rogers being 2010 £17.6m turnover, “Thankfully we have very strong foundations based
next-door neighbours as children going back a long 45 staff, £1.51m profit on staff that have been there for many years. This has
way, also spending years working together building before tax created a huge amount of loyalty and trust, so we have
strong bonds of trust. But that said all three are keen to 2011 £36.4m turnover, been able to look at solutions rather than accept the
highlight that it is the company’s consultants and not 74 staff, £2.61m profit problems in the market, and try to up our performance.”
themselves that are integral to the firm’s success. before tax While loyalty, trust and working harder may not
For Godson, it all starts with selection. As he points 2012* £45m turnover be the trendiest business buzz words around, OJA’s
out “from the outset” OJA has insisted on bringing on * Projected achievement in topping this year’s FAST 50 despite
board only those that are “a cut above the rest of their tough conditions suggest that such old-fashioned virtues
peer group”, who have firmly decided that recruitment are still hard to beat.
30 RECRUITER JANUARY 2013 WWW.RECRUITER.CO.UK
5. Recruiter FAST 50 2013 Recruiter FAST 50 2013
Defying all CRISIS? WHAT CRISIS? THE ENTRANTS IN THIS YEAR’S
FAST 50 HAVE PROVED TO THE REST OF THE UK’S
expectations
INDUSTRIES THAT AMBITION, DRIVE AND LONG-TERM
THINKING ARE KEY FACTORS IN OUTPERFORMING THE
COMPILED BY
REST OF THE ECONOMY. COLIN COTTELL REPORTS
T
his year’s Recruiter FAST 50 RECRUITERS APPEARING IN AT LEAST THREE CONSECUTIVE YEARS OF THE FAST 50 Despite financial services going through FINANCE: 12% OF FAST 50 2013 MEMBERS
rankings are testament to the RANK 2011 RANKING COMPANY SECTOR a torrid time in recent years, the number FAST 50 2013 Rank Company
recruitment sector’s unrivalled 9 31 ID Medical Healthcare of financial services recruiters has risen 1 Oliver James Associates
ability to defy the underlying economic 16 12 Fircroft Engineering Services Oil & gas from two to six, or 12% of the total. 5 Astbury Marsden
conditions. While the UK and much 30 37 Henderson Scott IT, Finance And most impressively, it is niche 7 McGregor Boyall Associates
of the world economy at best bumped financial services recruiter, and new
32 45 Red Commerce IT (SAP) 19 Leathwaite
along the bottom, these UK recruiters entrant to boot, Oliver James Associates
showed they had what it takes not 33 30 Recruit 121 International IT (SAP) that sits proudly at the top of this year’s 28 Goodman Masson
only to grow, but more impressively 38 19 Whitehall Resources IT (SAP) rankings after more than doubling its 35 Sheffield Haworth
still to do so at a faster rate than those 40 6 Global Medics Healthcare revenue to £36.4m in 2011, from £17.6m Five out of the six recruiters (the exception being Goodman Masson) have an
companies in the Recruiter FAST 50 12 in 2010 (for more on Oliver James international footprint, with an office in either Hong Kong or Singapore or in both
months ago. Seven of this year’s FAST 50 show that strong growth need not be a flash in the plan, but Associates, see Profile, pp28-30).
can be sustained, by appearing in the FAST 50 rankings for at least three consecutive “What this means is that many more
years, of which one, IT (SAP) recruiter Red Commerce, managed five consecutive years.
While the traditional view is that the established players are finding themselves HEALTHCARE: 6% OF FAST 50 2013 MEMBERS
prosperity of the recruitment sector is Mark Kingston, senior executive at Boxington Corporate Finance, who helped compile better positioned to drive growth,” FAST 50 2013 Rank Company
linked to that of the wider economy and the FAST 50, says: “These businesses have clearly invested in systems, methodology says Evans, who contends by way of
and most importantly people to sustain very impressive growth over a three-year 4 Pathology Group
the economic cycle, these 50 recruiters explanation that both the client and
period of challenging recruitment markets … it’s a fantastic performance.” 9 ID Medical
successfully managed to challenge the candidate are seeking “the reassurance
validity of this relationship, growing their factor by going with more established 40 Global Medics
revenue by 39% on average, compared Boxington’s managing director, says better than most industry sectors, and players”. Representation of healthcare recruiters in the FAST 50 has fallen by half to three
with 26% last year. that given the economic backdrop, “the certainly above the economy, which has Evans continues: “People are playing compared with six in last year’s FAST 50
overriding theme for the FAST 50 is been broadly flat in the same period.” safe, I think, and some of the more
Outperforming the economy defying expectations”. Indeed, he adds: “Of the five FAST 50 established players have benefited from
Recruiter’s FAST 50, produced in He tells Recruiter: “What we see is an lists to date, this is one of the highest that.” INDUSTRIAL, LOGISTICS AND CONSTRUCTION: 16% OF FAST 50 2013 MEMBERS
association with mergers & acquisitions overall growth rate of 39%, which is up growth rates, and given the economic FAST 50 2013 Rank Company
advisers Boxington Corporate Finance, by about 50% on last year.” And reflecting backdrop could be the most exceptional.” Tougher to enter 3 Ship Shape Resources
ranks the fastest-growing private on the overall performance of this year’s The flip side, according to Evans, is that 10 Transline Resource Group
recruitment businesses in the UK (see FAST 50, Evans continues: “It is a reminder Sustaining growth it “appears to be harder for new entrants
13 Linear Recruitment
Methodology box, below). Tim Evans, that recruitment is a sector that performs This year’s FAST 50 also illustrates to make it into the FAST 50”. This is
the enduring strength of a number of surprising, he adds, pointing out that this 17 Templine
34 Assist Recruitment
METHODOLOGY established players to prosper even in the
most trying circumstances for the UK and
is different to previous years. However, he
suggests that it could be explained in part 36 OSR Recruitment
The Recruiter FAST 50 prepared by Boxington Corporate Finance lists the fastest-growing parts of the global economy. by the lower levels of capital available to 44 Extrastaff
private recruitment businesses in the UK according to compound annual sales growth rate as A total of seven recruiters have fund new enterprises. 45 The Best Connection
measured over each entrant’s most recent three-year financial reporting period. managed to sustain their growth While the number of new entrants
over three consecutive years or more, compared with a year ago has fallen Sustained growth is difficult to achieve in one of the more fragmented sub-sectors
CRITERIA FOR INCLUSION: The FAST 50 assesses temporary and/or permanent indicating that fast growth need not from 32 to 27, Evans notes that the of recruitment
recruitment companies which are registered in the UK as private, independent and unquoted necessarily be a one-off phenomenon (see same phenomenon of established players
companies. This category includes private companies that are co-owned by Private Equity. All box above). Pride of place must go to IT gaining ground may be at work. As he
companies considered for inclusion must achieve a level of annual sales of £5m or above in (SAP) recruiter Red Commerce, which points out many who have entered the ‘returner group’ are Pathology Group, larger ones have pushed forward,” he says
each of their last three financial years. appears in the list for the fifth consecutive table this year are not in fact “brand the top-ranked recruiter in the 2011 in summary.
year. “Combining growth and consistency new entrants at all”, but are also sizeable FAST 50, and oil & gas recruiter Fircroft It is notable that over a number of
EXCLUSIONS: Companies that have filed abbreviated accounts at Companies House — that is the Holy Grail,” adds Evans, who “established players” who dropped out of Engineering Services (ranked 30th two years both NES Global Talent and Air
without disclosing audited sales are excluded from the FAST 50 due to the absence of praises Red Commerce’s performance as the FAST 50 in 2011, having also been in years ago). Energi have proved attractive to private
independently validated sales. Unaudited management accounts are not accepted as proof “super exceptional”. the rankings in years previous to that. Evans suggests that there is also a equity, with both attracting new private
of sales. Companies that serve the recruitment sector through the provision of IT, payroll, Evans says that at 23, the number of Evans points to the financial services link between the size of companies in equity backers in late 2012.
administrative or other services also do not quality. recruiters remaining in the FAST 50 from sector as evidence for this, referring to the FAST 50 and their growth strategy,
the previous year “has probably never recruiters, “many of who we already with medium-sized firms and the larger Organic growth
DATA COLLECTION METHODS: Qualifying companies are automatically identified through been higher”. In 2012, the figure was 18, in know”, including Astbury Marsden, enterprises taking a different approach. Another noticeable change from previous
several research methods including the analysis of sector information from Companies House, 2011 it was 17 and in 2010 it was 20. Goodman Masson and Sheffield Haworth. While the former have been able to take years is that growth has been organic
financial databases, press coverage and other research. Entry submissions are not therefore Evans says that the most prominent “These are not the biggest businesses in marketshare by retrenching to “safer rather than by acquisition. Evans says this
required, although any firm which believes that it may not be automatically assessed in the illustration of the sector’s ability to defy the world,” says Evans, but “relative to domestic markets” the latter, notably is symptomatic of a weak M&A market.
2014 FAST 50 is invited to contact Boxington Corporate Finance. Please email fast50@ expectations is provided by the strong the FAST 50”, he adds, “they are the more NES Global Talent and Air Energi, have “This is probably a more representative
boxington.co.uk representation of financial services established and sizeable entrants”. focused on international expansion. “The table of pure growth as it is less distorted
recruiters. Among other recruiters to fall into this medium-sized firms have come back, the by the impact of acquisitions,” he says.
32 RECRUITER JANUARY 2013 WWW.RECRUITER.CO.UK WWW.RECRUITER.CO.UK RECRUITER JANUARY 2013 33
7. Recruiter FAST 50 2013
COMPILED BY
While there have been a number of
IT: 24% OF FAST 50 2013 MEMBERS
significant changes in this year’s FAST 50,
FAST 50 2013 Rank Company
some things have remained broadly in line
2 Head Resourcing with previous years. This is the certainly
8 Cornwallis Elt the case when considering the split
11 Cititec between niche and multi-sector recruiters,
18 E-Resourcing Evans contends.
20 Redrock Consulting As he explains: “Across the FAST
26 People Source
50 growth has been realised by sector
specialists to drive sales or by the multi-
32 Red Commerce
sector players, and as in most years,
33 Recruit 121 International we continue to see growth from both
38 Whitehall Resources approaches.”
42 IT Skillfinder Evans notes that niche players tend
48 Resource Solutions Group to have higher growth rates than those
49 Investigo companies that operate across a number of
sectors, but again he says this “is consistent
What stands out is the number of recruiters that provide staff with expertise in enterprise with most years”.
resource planning software (SAP, Oracle, Microsoft) — widely used in large organisations
Public sector drop
Another aspect of this year’s FAST 50
MULTI-SECTOR: 26% OF FAST 50 2013 MEMBERS that is unlikely to come as a surprise is
FAST 50 2013 Rank Company the negligible number of public sector
6 Brightwork recruiters (with the notable exception
12 Bright Purple Resourcing of healthcare recruiters). This does not
14 Fusion People necessarily mean that public sector
21 Encore Personnel recruiters are struggling, Evans suggests,
25 Timothy James Consulting but more likely that with consolidation
having taken place in the sector “the larger
27 Amoria Bond
players are not generating the 40% growth
30 Henderson Scott rates needed to get into the FAST 50”.
31 Tangent International Looking ahead to next year’s FAST
37 Carlton Resource Solutions 50, Evans says that unless the economy
39 Green Park Interim & Executive Search improves, he expects to see more of
43 Dutton International the same. “No one knows for certain
46 Bailey Employment Services what will happen, but while the world
continues the way it is, these trends will
50 First Recruitment Group
continue.”
There are true multi-sector recruiters, such as Bailey Employment Services, that covers If Evans is right, then another year of
a wide range of sectors and others, such as Amoria Bond, that focus on a small number recruiters defying expectations could be
on the cards.
OIL & GAS, TECHNICAL AND ENGINEERING: 14% OF FAST 50 2013 MEMBERS
FAST 50 2013 Rank Company About
15
16
Kin-Tec
Fircroft Engineering Services Boxington:
22 Petroplan Boxington is a sell-side M&A
23 Faststream house specialising in the
international Human Capital
29 NES Global Talent
& Recruitment sector and
41 Air Energi advising private and private
47 Kinetic equity owners of business with
Oil & gas, technical and engineering continues to be a strong sector for recruiters in operating profits of £2-20m.
this year’s FAST 50 list www.boxington.co.uk
36 RECRUITER JANUARY 2013 WWW.RECRUITER.CO.UK