As agencies worldwide report record growth in H1 2022, investment in technology in the second half of the year is a huge opportunity for recruitment business owners.
After the peaks and troughs of the pandemic and post-pandemic recovery, H2 2022 will be vitally important for many agencies in establishing their position in a resettled market, shaping their fortunes for a long time to come.
To gain and consolidate market share in a rapidly-shifting economic landscape requires beating the competition and finding every way to get ahead.
For the most ambitious agencies, technology will play a central role in defining their advantage – but game-changing tech needs to be implemented NOW in order to beat the competition.
Riding the wave – a post-pandemic growth explosion
Global job vacancies soared to record highs across major international markets in the wake of the global COVID-19 pandemic, with the recruitment sector experiencing an unprecedented surge of demand.
A staggering 11 million vacancies exist in the US market alone, with companies embracing new hybrid and flexible working models to scale up teams faster than ever before.
But – with global VC funding already slowing down in the wake of a post-covid boom – the recent market frenzy will return to ‘normal’ at some point.
That means two things for recruitment agencies:
- That there is an exceptionally rare opportunity to capitalise on high levels of hiring, with companies in every sector battling for talent.
- That businesses need to act now to make sure that they are out in front of their competitors when the market does eventually stabilise.
Slowness to react to these unique conditions could leave businesses out in the cold when hiring settles back to pre-surge levels, without the client relationships or financial resources to compete.
It could also mean a sub-par close to the year, and disappointing Q3 / Q4 results.
The great tech divide
Another element shaping 2022 and beyond is technology.
It’s been said many times over that technology will ‘replace’ recruiters.
First LinkedIn was announced as the destroyer of the human search and staffing sector, then AI and automation platforms were to be the next innovation that would leave recruiters redundant…
In fact, as technology has advanced, it’s become progressively clearer that a human-technology partnership is the most effective way to deliver an outstanding recruitment experience, both for clients and for candidates.
Technology accelerates the pieces humans do either slowly, badly or inconsistently, while humans focus on relationship-building with the right high-quality candidates and hiring managers.
The results in more valuable conversations, introductions and placements.
But, as technology becomes more and more prevalent across the industry, a gap is emerging.
- On one side are recruiters who put faith in their human skills, using technology as little more than a way to track and log their activity (if that).
- On the other are recruiters who use tech to enhance their output – just as brilliant, expert and hard-working as their competitors, but using intelligent tools to massively increase their productivity and speed.
Top recruiters and best-performing agencies pulling ahead in the second half of this year won’t be choosing between hard work or technology – they’ll be using both.
Being ready at the start line
As powerful as it is, however, great tech doesn’t just drop into a business overnight.
As we move into the final two quarters of the year, businesses just getting started with purchasing new tech in the fall will have missed the starting gun.
Their competitors will be pulling out of sight, operating with levels of speed and accuracy that analogue methods simply can’t match.
New tools take time to configure and to roll out.
It takes time to train teams, and to optimise performance.
Strategic technology implementations are serious projects, often requiring engagement from multiple different levels of an organisation, and demanding both pre-implementation lead time and post-implementation support to maximis ROI.
Even the most intuitive, high-impact tools take time to become fully adopted as teams adjust to new working patterns, and – though quick wins are always possible – long-term impact can only be demonstrated to leadership teams with consistent use.
Business owners excited about capturing the full power of the latest technology can’t afford to delay, and have no time to lose in defining and preparing their optimal tech stacks ensure a strong close to 2022.
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