Hosted by Chris Dyer, the CEO of PeopleG2 – TalentTalk Radio features engaging conversation with CEOs, thought leaders and HR executives. TalentTalk connects professionals who care about talent-related issues. Today’s guests are Marcie Glenn, CEO of Another Source; and Mike Michalowicz, Founder of Profit First Professionals. They both recognize the challenges of hiring from the available talent market. To hear the entire show, click here.
From the decades of experience of a career-long recruiter and a financial business advisor, today’s show maps out a successful formula for finding great talent, particularly in today’s stretched talent market.
Glenn is the CEO of Another Source, a family-owned recruitment outsourcing firm founded in 1991. She took over as CEO at Another Source in 2006, having started with the company upon graduating college and later taking opportunities with other companies before returning.
Glenn shares how she has always had ambitions to work at the highest level. “The top was the goal,” she recounts. Her ultimate motivation is to impact and improve a business. According to Glenn, the CEO position was earned due to her “internal motivation, drive and goals,” which she believes are critical to moving up in any company. She also offers, “Not every organization will recognize your goal to move up. You must find one that does.”
Another Source recruits for higher education. It excels in building talent pools of teachers as well as staff in operations, finance, accounting, human resources, and administrative roles. Glenn’s mother founded Another Source and formulated its mission and culture. She was also Glenn’s best mentor. “We’ve honed in what value means and how to apply that. Now it’s more about market presence,” says Glenn.
When compared to competitors such as job boards, Glenn comments, “Our model is different because it’s time based, for a specific time-period. An engagement is usually 30 days. We charge a flat rate and we guarantee the quality of the candidate pool.”
The Current Hiring Climate
Glenn says, “We’re all experiencing a unique talent market right now. During the recession, a lot of people who were employed sat still, and after they started to get a little confidence, they made a move. And now, when there are a lot of employers hiring, people aren’t ready to make another move.” The result? A lack of available talent within the talent market.
While she is seeing budgets expand and opportunities being created, there is a shortage of talented people within the talent market to take these positions. In fact, the biggest challenges facing most employers now are baby-boomers retiring. Glenn explains, “I’m hearing from the leaders in our core industries and they are looking at the impact of baby-boomers retiring, a shortage of workforce and a skills gap in technology; these are factors they haven’t really dealt with before.”
The values at Another Source are shared with its partners, customers and employees. “We live by the Golden Rule. We treat others as we want to be treated. We value accountability. Being able to make the tough decisions and push each other. We want to grow and make money, but we want to have fun.” Glenn and Another Source consider a work-life balance to be of utmost importance, and strive to ensure all their employees enjoy that balance.
What are you Reading?
How Can People Connect with You? Via www.anothersource.com or via LinkedIn.
Michalowicz is an author and the founder of Profit First Professionals. He has gained experience from growing companies and selling them, making money that he invested in other companies – in some cases losing money. The idea for Profit First was ignited when he realized profit was not an event. As Michalowicz says, “I’ve come to realize that profit is really a habit that we bake into our business and into our lives.” Profit First Professionals certifies accountants and bookkeepers internationally who can help not only do the books but also help to drive profit.
As an author, he is promoting his book, “Profit First.” During his first speech, he asked, “Who here has an accountant?” and everyone raised their hands. He then asked people to raise their hands if their accountant helps drive profitability in their business. No one raised their hand. Michalowicz was a bit surprised since he believes the role of accountants is to generate cash and increase profits. It was then, he says, that he decided to start a business that empowers accountants and bookkeepers do just that.
Fundamental Formula Flaw
Most business owners believe in the GAAP accounting method or “profit is a result of sales minus expenses.” Yet, they struggle to stay in business. Michalowicz believes this formula is “fundamentally flawed” and it doesn’t match the behavior of entrepreneurs. He says, “What happens is we sell more, but expenses climb at the same rate. Profitability only happens with big bursts of opportunity, when a big client comes in. Then, when there’s a slowdown…the expenses don’t get cut. Employees are still on board and you’re still paying them.”
According to Michalowicz, the formula for Profit First is this: Sales – Profit = Expenses. Michalowicz explains, “As the money comes in, the first thing you do is take that profit (a predetermined percentage) and hide it away from yourself. Take the remainder for expenses.” According to Michalowicz, this changes behavior because you must take a smaller amount of money to get things done. We become innovative. That’s how Profit First works.”
In hiring, Michalowicz says he took some time to figure out that hiring people who are just like him created a nice environment of like thinkers, but it was not pushing the business forward. Nowadays he says, “I seek out people with skill sets I envy and don’t have.” The talent market must be expanded to include individuals that can push the business forward in a new direction with new thinking.
When it comes to finding great people from the talent market, if you have no pool of talent to pull from, he suggests ways to find them:
- Post to Craigslist with instructions to respond with a unique subject line. He hides the clues, a few keywords, in the bottom of the ad. Replies that include the keywords are taken seriously while the ones that do not are discarded. He says only a handful of people will follow the directions, thus thinning out the pool.
- Ask people for a video response to the opening or a video cover letter. The candidates who do their research, properly pronounce names and show quality in the video will be the kind of candidate he seeks.
- Start a recruiting pool and add anyone you’re impressed with to it. You can meet someone great at any time — the waiter at a restaurant or someone who provided great customer service. Michalowicz recalls one professional he pursued for 15 years before finally convincing him to join his firm.
What are You Reading?
Michalowicz is reading “Contagious” by Jonah Berger, a book which examines how stories go viral.
How Can People Connect with You? Via www.mikemichalowicz.com or on LinkedIn.
Tune into the show next week, and remember, do what you love….and show the world how talented you can be, today.
Date: October 7, 2014