Answer me this: Why would you engage a contingent search firm when you can use a retained firm that guarantees a hire?

The first answer you get is the cost associated with retained search. As many people know, you only pay a contingent search firm if you hire someone and you always pay a retained firm, regardless of the outcome.
When you hire a retained firm, you can expect to pay 33 1/3% of first year total compensation – base, bonus, sign on and anything else that makes up that very big number plus expenses. With contingent search, you can expect to pay 20% to 25% and again, only if someone is hired.

Secondly, retained search is more often associated with C-suite level searches. Contingent search is applied to many levels; from individual contributor to executive level roles. Contingent search has broad application and combined with the pricing, broader appeal.

So how would you like an alternative that combines the quality associated with retained search while paying less than most contingent search firms charge? The “hourly retained” model pioneered by FitzDrake Search over 7 years ago offers a hybrid solution that calls into the question the ongoing value of contingent search. According to Managing Partner, Bill Fitzgerald, “the “hourly retained” search model has proven to deliver great candidates, more quickly and at a price point unbeatable in the marketplace. Thinking about one client as an example, we’ve driven down the time it takes us to deliver outstanding manager level to C-suite candidates to 2.4 weeks. In addition, the cost resembles an average placement fee of 9%. We’ve actually saved this one client close to $800,000 over the last 3 years.

Michael Drake, the other Managing Partner at FitzDrake Search, goes on to say that “hiring a contingent search firm sends a message to the marketplace about the value you place on talent. The message is this: We have an important position to fill and we’ve engaged a search firm that only gets paid if they make a placement. How long do you think they can really search and still make money? The candidates you see are the ones they can find quickly, not necessarily the best candidates.

And, even if you were happy with that outcome, why would you want to pay so much? And, from the candidate’s perspective, is that really the kind of company you want to work for? Many will tell you no.”

So, if you are a CEO looking to build the best team in your industry, ask yourself if you really do have the best people you can possibly hire. If you look closely at your hiring practices, you may find that the answer is no. If that’s the case, there is a great alternative to consider.

More information at http://fitzdrakesearch.com/ 703-729-6110