Sources of Hire (2008):  Why You Should Care About This Now 

Current Data, Trends, Opportuni2es and Challenges for 2009

Gerry Crispin, sphr & Mark Mehler Founders & Principals, CareerXroads

www. CareerXroads.com, mmc@careerxroads.com

732-821-6652

8th Annual Sources of Hire Study released Feb 2009 http://www.careerxroads.com/news/articles.asp

20-50 firms respond

each with 5000 to 100,000 North American employees

openings filled

We ask 200 staffing leaders for SOH data

by 1,000-3,000 Recruiters and Sourcers

During 4 weeks each January 2009

200

45

1,546,497

309,600

1,863

Widely dispersed [US and Canada]. No Industry dominates

Roughly 60/40 Exempt vs Non-exempt

10% of the workforce is “contingent”. Recruiting does not track it.

Surveyed Companies hired 22% fewer employees in 2008 than 2007

Surveyed Companies expect to hire 16% fewer employees in 2009

40% outsource some part of their staffing. No one outsources All of it.

Additional Respondent Demographics

23.9% maintain a Corporate sponsored Facebook page

56.5% block Facebook etc. for some or all of their employees

2007 2006 2005 2003 2004 2008

Internal External

39% 28% 34% 32% 38% 36%

Breakdown of External Sources of Hire (2008)

Job Boards

Year-to-Year Comparison of External Sources of Hire

28.2%

14.0%

11.7%

12.5%

9.4%

3.8%

4.6%

1.2%

2.3%

3.0%

3.3%

4.8%

0.8%

27.3%

20.1%

12.3%

10.1%

7.8%

3.6%

3.4%

3.3%

3.2%

3.1%

2.7%

2.4%

0.8%

27.1%

12.2

12.6

10.5%

7.4%

5.6%

4.6%

N/A

3.2

3.2

5.2%

N/A

4.2%

2007 2006 2005 Referrals

Corporate Web Pages

Job Boards

All Other

Direct Sourcing

College

Print

Search Engine Marketing

Career Fairs & Open Houses

Temp-to-hire

Agency (TPRs)

Rehires

Walk-ins

26.6%

20.7

12.3

7.0%

6.4%

3.8%

6.9%

2.0%

2.7%

2.3%

4.8%

5.2%

0.5%

2008

Question: How many Referrals does it take to make just 1 hire?

= 27.3% Referrals

1 - 4 referrals = 1 hire

31%

31% of survey respondents

Answer: On average…11.2

Job Boards = 12.3%

2007

2008

Monster (1)

CareerBuilder (2)

HotJobs (3)

Niche Sites (4)

Aggregator Sites (5) Linkedin (6) The Ladders (7)

28.9%

23.0%

9.9%

Acquisitions Community organizations Company reputation Direct email job alerts from ATS Direct mail campaigns Diversity organizations Don't know Electronic marquee on Headqtrs JMO Program Manager networks Migrated from legacy database Professional associations Radio Silver Medalists State Employment Agencies Television

All Other = 10.1%

Diversity

1 2 3 4 5 6 7 8 9

Relative Effectiveness of Diversity Sources

productive

How productive are each of the following sources for diversity hiring?

1 Employee Referrals 2 Company Affinity Groups 3 Major Job Boards 4 Social Networks 5 Agencies (3rd Party) 6 Dedicated Diversity Sourcers 7 Diversity Career Fairs 8 Niche (Diversity) Job Boards 9 Dedicated Diversity Recruiters

Rank

Lessons Learned

”Don’t Know” Doesn’t cut it.

Lessons Learned

How much of your “OTHER” category is “I don’t know”

Do not close a position unless the SOH for the selected individual is filled

”Don’t hire” Doesn’t cut it either.

Lessons Learned

Do you hire/oversee all classes/categories of F/T hiring?

Only half of Corporate Staffing Functions are responsible for every F/T hire.

”Don’t hire” Doesn’t cut it either.

Lessons Learned

Staffing leaders must be aware of their “universe” & its impact on their business.

How do you manage Contract/Contingent/Past-time hires?

Lessons Learned

“They” Can’t Read your Mind

Create simple drill-down menus i.e. “Career site” > alpha list of job boards

81.8%

Compare self-report with source IP Address

Add SOH questions during Interview phase

Request [survey] confirmation from new hires

Conduct focus groups during onboarding

Lessons Learned

Prove it. Confirm Self-report.

25%

36%

14%

5%

or, contract for reports from job distribution services 9%

Multiple Sources are more likely.

What are the patterns of Source(s) over time that influence decisions of Quality candidates to apply?

Lessons Learned

One [SOH] is not enough.

2009 Plans

Improve Direct Sourcing, Social Network Connections and SEM “We need to greatly increase our focus on Social Networking.” “Developing a dedicated internal sourcing function.” “More movement towards utilizing social networks.”

Reduce Agency, Job Board and Print “Looking at moving away from [Job Board] postings.” “Bringing Executive Search in-house.” “Agency hires will be severely scrutinized.” “No more print- highest cost, fewest hires.” “Restrict use of third party agencies.”

Increase Referrals “Develop a micro employee referral strategy.” “Researching [why] employee referral program is not expanding.” Track and Train “Educate our Recruiters on appropriate source coding.” “Track quality of hire to build quality of source .” “Analyze results more frequently.”

Improve Careers Pages “Creating landing pages.” “Starting next Careers Website redesign.”

Gerry Crispin, sphr & Mark Mehler Founders & Principals, CareerXroads

www. CareerXroads.com, mmc@careerxroads.com

732-821-6652

THINK

Good Hunting!

8th Annual Sources of Hire Study released Feb 2009 http://www.careerxroads.com/news/articles.asp