The Internet and Recruiting Agencies

After a year of big changes, big buyouts and a few big flops thanks to the Internet, it remains a vital part of today's business world. Many companies who have survived are learning to evolve as a "bricks and clicks" organization. But some recruiting professionals in the "brick" world of business are still wondering how "clicks" are going to impact their future-and whether it will be for better or worse this time around.

For recruiting agencies, the predications are a bit overwhelming. Online classified spending in corporate HR departments is expected to rise from 24% in 2000 to 35% in 2002, according to a 2001 Robinson-Humphrey survey. This could translate into less money for newspapers, staffing agencies and recruiting firms. But many industry experts say that the Internet will not be the downfall of the agency recruiter, instead it will be the tool that keeps them alive as the industry becomes more competitive, high-speed and efficient.

Recruiting agencies, according to the numbers, seem to be embracing the Internet as a new source of candidates and work orders. In the same Robinson-Humphrey survey noted above, recruiting agencies are expected to spend 63% of their recruitment budget on online advertising in 2002, up from 55% in 2000. Job boards and online career centers have major sources of revenue in agencies, who are often more likely to buy annual and multiple job postings, resume access and larger combination packages.

Why do recruiters depend so heavily on the Internet? Because it provides fast and efficient communication tools without the hassle and time of phone calls, faxes and mailings. Online tools also allow recruiters to communicate with clients and candidates much faster, and the ever-important time to placement has become shorter.

Another reason that the Internet won't be the end of the agency recruiter? Because it can't always provide the personal touch that companies depend on for finding the best candidates. Recruiters know their client companies, corporate divisions and management teams. When it's time to screen a candidate it often takes more than an online form to find the best professionals. Recruiters have established networks, strong connections in the industry and the ability to work hand-in-hand with hiring managers. Plus they often know online job boards better than anyone else out there. The Internet just provides a stronger technology to enhance those human abilities.

Online recruiting will continue to grow as a dominating force in hiring and staff development. It may even have a significant impact on print classifieds, but recruiting agencies-for the most part-will be able to ride the next Internet wave with no problem. Online recruiting will continue to improve the productivity and efficiency of good recruiters, and will simply be another tool in their arsenal of recruiting weapons.