Using more agencies means a bigger pool of candidates...WRONG AGAIN!

Me: So what are you doing to recruit for this role besides speaking with me?

Client: We’ve contacted 4 other agencies and put up an ad on Seek. 

Me: (Losing interest very quickly). So what results have you had so far?

Client: Well, we’ve had a few candidates sent our way already. 

Me: (So, why are you still talking to me) Great, how was the quality?

Client: Well, not exactly what we’re looking for so hence why we reached out to you!

This is the bane of my professional existence. Having to replay this conversation over and over again. Let me show you what happens next. 

Me: (Calling candidate on my desk I’m struggling to place anywhere) Hi John, I’ve got a great opportunity with a great mid-tier firm XYZ Accountants, are you still available?

Candidate: Yes, I am. But I think I’ve already been put forward there by another agency and had calls from 2 other agencies regarding this role - they must be really desperate - what’s going on there, is everyone leaving or something?

Me: (My heart sinks with the familiar feeling) Ah fair enough, it’s just that some clients tend to use more than one agency to recruit so sometimes candidates get calls from different agencies regarding the same role. 

So let me decipher what’s happening here. As previously indicated in The Secret to Getting Better Quality Staff for Less Money, a client erroneously believes that using more agencies casts a wider net. Which should be true theoretically, however Public Practice is a very small market with only a few hundred possible candidates for your role in a major capital city at the level, location, salary and title you’re looking for - very few of those several hundred are open to moving. Those that are actively looking are most likely talking to quite a few agencies, so what happens is that because you have created a CV race for a number of agencies, we end up racing each other to the most available candidates in our database (usually those that we are struggling to place anywhere) - and sending them to you as quickly as we can (hence why you’re getting the same CV multiple times (average is usually 3 times). 

Then you have a conflict with all the agencies because each one is angry at the candidate for lying to them that they are exclusive (unknown to the candidate that the majority of agencies don’t ask for permission from the candidate but just send them for the role because they’re worried that by the time they get the candidate on the phone and get their permission, another agency will send them first and therefore claim ownership and get the fee). What’s even worse - because of the CV race the clients put us in - many agencies don’t even interview the candidates - they just take the CV from a Seek Ad Response or these days, Seek Talent Search and send the CV!!! WOW - right? Yep - welcome to our wonderful industry filled with moral decrepits (don’t worry, there are still a few shining stars around). 

What often ends up happening when multiple agencies are involved, is an agency like us who do the right thing - call the candidate and say can you send us an email proving that you only authorised us. The candidate will generally do that unless they’ve been out of work for so long they don’t really care about right or wrong and just want a job - we send the letter to the client, the clients gets frustrated and then decides to go with whoever sent it first, or their favourite agency or quite often dismisses the candidate all together in which case all 4 parties miss out on potential talent/fees (the 2 agencies, the client and the candidate on a job).

This happens because clients think using 5 agencies on a contingent basis is wise - and I get it, without knowing how it works on the inside, I would think the same. However, because you leave us no time or chance to do our job properly other than send out what we have immediately available - we send out candidates that are actively looking, meaning they have applied to our Seeks Ads or they’re open to opportunities on LinkedIn. As most agencies have access to the same tools, we end up with the same candidates and you get sent the same CV 3 times. Caveat - does the approach work - yes sometimes it will - quite often I still see the client 3 months later looking for their superstar - because all they have been sent are duds instead of studs!

My advice - as in the article before: The Secret to Getting Better Quality Staff for Less Money work with one agency on a retainer that has a solid network and have been doing this for a while, understand the industry inside out and are backed by a solid guarantee so they can do their job properly!

About Michael Edelstein:

I'm an experienced Recruiter, Business Coach, and a Qualified Accountant that understands the business of accounting firms because I come from an audit background myself and have been recruiting accountants for over 10 years.

I specialise in Senior Placements within Public Practice Accounting across Australia having placed people in every state and territory and have a proven track record in the identification and facilitation of firm mergers, practice group transitions, and/or lateral & vertical partner moves. I'm regularly asked to provide research, commentary, and strategic advice to my clients on the latest trends and movements within the accounting Public Practice market.

Are you struggling to find people? Can't scale your business? Give me a call on 0421 892 145 or email me at michael@recruitmentexpert.com.au because I'm sure I can help you.

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