In recruitment and human resources, there are several commonly used terms that often lead to confusion and misunderstandings. Here, we aim to clarify some of these terms.
Executive search and consulting services fall under the umbrella of management consulting. These services encompass a range of advisory fields, including the facilitation of talent acquisition processes, the design and execution of assessment measures, employee development, compensation consulting, employer branding, support for organizational development, and addressing strategic and conceptual HR issues. However, the primary focus of most executive search firms is on the identification and selection of highly qualified executives and specialists. More information about our consulting services can be found here.
Headhunting refers to the search for professionals and executives through direct approach. Many recruitment consultants prefer not to refer to themselves as headhunters, as the term “hunting” implies a more aggressive pursuit. Instead, the profession involves a targeted, well-informed, and qualitative selection and engagement of the best candidates for a specific position.
When a consulting firm focuses exclusively on recruiting executives, this process is often referred to as “Executive Search,” and the consultants are known as “Executive Search Consultants.” Other terms used include Direct Search and Direct Approach.
Essentially, all these terms describe the same activity: the search for the best candidates through direct approach on behalf of companies, as carried out by the consultants at Cribb.
For their services, recruitment consultants, executive search consultants, and headhunters typically receive a fixed fee that is independent of the outcome. This fee is generally based on the annual target salary of the position to be filled. The fee is usually paid in three installments.In this one-third model, the consultant receives the first third immediately after the assignment is awarded. The second third is due when qualified candidates have been presented to the client and the final third when the search has been completed.
None of the aforementioned terms are related to personnel placement. Personnel placement agents first build a pool of candidates and then search within this pool for suitable candidates to match the specific needs of companies. Personnel placement services are typically offered on a contingency fee basis, meaning they are compensated only upon successful placement.