Exclusivity – Sounds Like a Good Idea
Some larger recruitment agencies strongly encourage exclusivity from their clients, spruking about how they’ll give superior service, package deals or priority. Busy CEOs run with it believing the sales blurb but what is the reality of this restrictive practice on your business?
In theory this is a strategic alliance between the client and the recruiter such that all job vacancies are filled by the one agency. Only this agency is given knowledge of, and authorisation to, search for applicants to fill this position.
Supposed Advantages
- A direct line to the agent’s expertise
- Specialist knowledge within a certain job field for example law or engineering
- Cheaper package deal pricing
- Ease of placing a vacancy with the one agency
The Reality
- Exclusivity is inflexible with agreements lasting one year or longer
- Inability to build relationships with other recruiters
- Reduced number of applicants for a certain position – only one source
- If the key recruiter leaves the agency a whole new relationship must be forged which can be time consuming and challenging
- If the objectives of the client are not met there is no cancelation of the contract
- Different company culture and management style can result in poor integration and productivity
- The HR person making this arrangement is not responsible for footing the bill. They may make this arrangement because they ‘like’ the person or it makes their job easier.
- Complacency by the agency. They’ve already been guaranteed their fee. There is no commission based structure in place to make them hungry to service you.
- If the agency fails to perform their obligations you are unable to replace them with another
Do companies need to review their exclusive arrangements with recruiting suppliers?
An exclusive arrangement might look good on paper now but locking your company into this type of deal may come at a cost. A better arrangement that you can’t avail yourself of might come along next month and you won’t be able to take advantage of it.
Superior People Recruitment offers a twelve month placement guarantee and we won’t demand exclusivity.
We offer a transparent fee structure, calculated on base salary only :
- Salary up to $49,000 – 10% of base salary up to a maximum fee of $3,995
- Salary $50,000 to $80,000 – 10% of base salary up to a maximum fee of $5,995
- Salary over $80,000 – 10% of base salary
For the definition of “salary” Superior People Recruitment uses the wages component only and does not include superannuation, commissions or other benefits in calculating fees.
We are revolutionising the recruitment model by breaking away from the traditional recruitment structure. Providing businesses with a serious alternative to incurring high costs by offering an affordable fee structure and a 12 month guaranteed replacement period. This is what differentiates us and most importantly, what makes our clients keep coming back for more.
Operating across all major cities in Australia, our portfolio covers a large range of sectors coupled with an experienced and outstanding team of consultants that provide an innovative and quality employment solution as well as being experienced headhunters in their own fields.
Superior People Recruitment recognises that the investment in your staff is imperative to the operation and success of your business. Therefore we only offer candidates deemed to possess the superior skill level, culture fit and quality of character essential for your organisation.
We stand by this promise by delivering a 12-month replacement guarantee period.
Superior People Recruitment achieves an industry leading retention rate of placements.
Superior People Recruitment also operates outside of business hours to provide you a comprehensive and uncomplicated consultation process when needed.