January 14th, 2020 | Industry News
APSCo (The Association of Professional Staffing Companies) says that the number of recruitment companies in the UK has increased by 500% since the turn of the millennium. It’s an astonishing figure – even given the short life of a reasonable percentage of recruitment start-ups – so why the massive growth?
1. There isn’t universal agreement on the figures… other analysts suggest lower numbers are more accurate. Recruiting software isn’t purely purchased by recruitment agencies, many enterprises, such as consulting firms, purchase web based recruitment software as they have elements of head-hunting or employee retention activity in their remit.
2. Recruitment has become a much more specialised business in the last twenty years. Recruitment management software allows sophisticated applicant tracking, automated communications with potential clients and deep investigation of CVs to help highly focused recruitment decisions to be made rapidly but with stringent analysis. This individuation of the recruitment sector has led to many more smaller agencies establishing themselves in niche areas of the job market.
3. Front-loading has become more normal in recruitment… the best recruitment CRM allows agencies to fulfil the new expectations that they will ensure good candidate fit for company culture, on-board candidates so that clients have an expert, unbiased eye on the induction process the helps ensure successful integration and even keep a focus on retention, giving the chosen candidate a sense of stability and value through the use of online recruitment software that keeps in touch with the successful applicant and delivers them a sense of security.
4. Start-ups need recruitment. With many more people starting small enterprises, SaaS recruitment agencies are vital to the success of the SME sector, as entrepreneurs often lack the time or experience to undertake effective recruitment for themselves. This means that recruiters are increasingly focusing on helping new businesses achieve rapid results through using recruitment software effectively to identify not just the current need, but to help a new business predict its future requirements and have recruitment processes take place at the right time to deliver business growth.
So 2020 is likely to accelerate the process of more agencies, working in more specialised ways, to predict, fulfil and manage recruitment activity in the best interests of their clients.
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