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We are pleased to send you this, the first of our proposed Quarterly newsletters, and to announce the upgrade of our web site. In addition to what we believe you will see as the significantly improved presentation, the new site:
The web site is a work in progress and additional facilities and information will be added over the next few months. The site address is www.rmaonline.com.au and your feedback is welcome.
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Supporting Australian-owned businessAustralia has a very proud history of home-grown business innovation, adaptation and sheer resilience, particularly from our SMEs (small to medium enterprise). It is important to recognise that, by a process of rationalisation and consolidation, foreign-owned, multinational recruiters now dominate the Australian recruitment industry.
Approximately 70% of industry revenue (estimated at $10 billion) is generated and controlled by such companies including:
· Hudson/TMP (USA) · Hays Group (UK) · Adecco (Switzerland) · Robert Walters (UK) · Michael Page (UK) · Robert Half (South Africa) · Select Group (UK) · Jonathan Wren (UK) · Manpower (USA) · Drake (Canada) · Kelly Services (USA)
Australian-owned, independent recruitment companies are taking them on.
Major companies have endeavoured to support Australian operators and Government Departments have been given a directive and charter to support Australian SMEs, but there has generally been little alternative to the multinationals.
Australian business and Government Departments now have a clear and viable choice – they may continue using foreign-owned recruitment suppliers and send profits overseas, or they can choose to use Australian-owned, independent recruitment companies for a better recruitment outcome.
CareersMultiList is an alliance of 120 Australian-owned, independent recruitment companies with combined revenue for the group exceeding $350m per annum. As a member of CareersMultiList, RMA combines the best of industry knowledge and level of personal service with the resources and facilities of the largest recruitment organisation in the country.
National and regional coverage includes Sydney, Melbourne, Brisbane, ACT, Hobart, Adelaide, Perth, Darwin, NSW regional and Queensland regional.
The average industry experience of the Principals of the Companies exceeds 15 years, and the period of time running their businesses averages 10 years.
RMA is pleased to be a member of the alliance and the opportunity this represents as the next step in our business development plan.
Clients must be creative in skills shortage |
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Our views on Multinational and Large Recruitment companies RMA recognises that multinational and large general recruitment companies have a role to play and some of them are good at what they do. But we also recognise that no other recruitment company is better at IT than we are.
We have numerous examples of organisations seeking assistance with roles that are not understood by their recruitment suppliers, despite the fact that those suppliers have IT teams within their structure. We recently went head to head with such a company. As it happens, they are also the company we consider to be the most professional and capable of the group mentioned in the previous article. Our client was seeking experienced professionals at the Project Management and Senior Analyst level. RMA filled 9 out of the 10 positions.
We would like to make it very clear that RMA is not concerned about competition….in fact competition keeps us on our toes…. We know what we are capable of and have plans to expand offshore ourselves. We simply believe that Australian-based companies should be more adventurous when making recruitment decisions and gain the benefits of a local and knowledgeable long-term partner. There are many small to medium-sized companies in Australia that just need an opportunity to show what they are capable of.
In our view, a major part of the problem revolves around the commercial reality that the decision on IT Recruitment is very often a non-IT decision. In many instances these decisions are delegated to Human Resources and Procurement professionals who, quite understandably, make the best decision as they see it. A “one-stop-shop” for all levels of recruitment is certainly not unreasonable. There may also be an element of the old IT management adage that “nobody was ever fired for buying IBM”. Selecting a large, high profile recruitment company is a safe decision - so many recruitment companies who have worked well with their clients, often over long periods, are “locked out”.
We applaud and appreciate our own clients and those other Australian-based companies who recognise the importance of IT Recruitment to their business in today’s and tomorrow’s world. We just wish more Australian companies were as smart as them.
Four fundamentals of employee retention
Retaining good talent is far cheaper than recruiting and training new staff, especially in a tight labour market, says international HR consultant Kevin Wheeler.
Wheeler is on the HR faculty for the University of San Francisco, and is the former head of staffing and employee development for giant US finance house Charles Schwab. He recently outlined four key requirements in building employee loyalty, particularly in light of a candidate-short market:
Have a performance management system that works Wheeler says many performance management systems are a bureaucratic waste of time, whereas they should be simple, and based on strategic performance objectives. Employees must have the opportunity to move within the company based on their skills, interests and performance. Wheeler says many performance management systems "lead to fear and self doubt" and provide little meaningful information to the organisation or the individual.
Keep employees informed "Silence is the greatest enemy of retention," says Wheeler. Employers must inform staff on the financial and business status of the organisation. Similarly, it is critical for employers to encourage ongoing feedback from employees. Wheeler says these days employees no longer demand employment guarantees, but they do demand to be kept informed.
Continue to educate employees "Education and development are the cheapest retention tools in your arsenal," says Wheeler. Education and training can be external (staff virtually never leave while undergoing employer sponsored external training) or internal development through formal and informal networks. The majority of turnover simply results from employees looking for a bigger challenge or the opportunity to use new skills.
Help every employee build a social network One of the strongest attachments employees have to their organisation is to fellow employees. Organisations need to encourage social networks, special interest groups and knowledge sharing. "Knowledge is a powerful retention tool," he says.
Courtesy of www.shortlistonline.com.au and CareersMultiList
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“The looming IT skills shortage will force clients and their Human Resources teams to be creative about how they source candidates and to think laterally about skills sets required for certain jobs”, says national HR manager for the Lincoln Sentry Group, Suzanne Kallenbach.
Kallenbach says that in the current tight employment market, the traditional "standard recruitment exercises" were no longer working.
She said employers could no longer rely on a single channel for their candidate sourcing but needed a mix of outsourced suppliers, in-house recruitment, internal referral, corporate website, applicant tracking systems and a wide range of different advertising approaches to find good people.
Kallenbach believes that in sectors where skills are really tight, employers might have to re-think the qualifications, experience and backgrounds they had previously looked for in candidates to fill certain positions.
Courtesy of www.shortlistonline.com.au and CareersMultiList
Congratulations to Simon Elliott of RMA
As an active member of the Information Technology Contracting & Recruitment Association, RMA is encouraging each of our Recruitment staff to gain accreditation as an ITCRA Certified Recruitment Consultant. Simon Elliott of RMA was the first recruitment consultant in Victoria to be awarded this qualification. Congratulations Simon and good luck to those currently undertaking the course!
Clients demanding new skills from recruiters
Major employers are now demanding a far more sophisticated and strategic approach from their recruitment consultants and account managers, according to industry training specialists, Carman and White.
They say that clients are increasingly unwilling to pay high fees for an old-style, transactional, "CV pushing" approach.
Part of the problem has been that the recruitment industry did not possess an adequate number of staff of the calibre required to work with senior HR operatives to develop fruitful partnering relationships.
This was one of the reasons recruitment companies were facing competition from alternative solutions such as managed supplier models and applicant tracking systems.
Recruitment companies should continually monitor and assess - from a candidate and client's viewpoint - the level of experience and service provided to them.
Courtesy of www.shortlistonline.com.au and CareersMultiList
Poor-performing employees cost Australian business $5.9 billion
Poor-performing employees are costing Australian business $5.9 billion a year, according to a recent survey by research company Future Foundation. The survey was aimed at quantifying the cost of recruiting the wrong people.
Results showed that 15% of employees left their jobs before they became competent and that employers spent 12% of their time redoing or correcting mistakes by other team members. Managers believed the top 25% of performers were 2.7 times more competent than the bottom 25% of employees.
The survey also found one in seven disheartened employees quit their job before they were competent, and also suggested that it took an average of seven months for an employee to become competent in their role. It suggests that the time taken to manage poor performers costs Australian business the equivalent of $1,118 per full-time employee.
It is widely recognised that certain specific assessment techniques can be used to help reduce the number of poor performers in the workplace. For instance psychometric testing at the recruitment stage can clearly identify issues around motivation, culture fit and capability. Profiling, benchmarking and career development programs can then be used in a pro-active way for continual performance improvement.
Courtesy of www.shortlistonline.com.au and CareersMultiList
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For advice in any of these areas please contact your RMA Recruitment Consultant
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