What is headhunting, and how does it work?

​​Headhunting is a discreet and efficient hiring strategy that companies use to find skilled workers, especially when there's a competitive talent pool. Singapore's job market is currently experiencing a healthy demand for competent professionals, with 158 vacancies per 100 unemployed persons. This suggests a potential rise in the need for headhunting services that are capable of identifying and securing the most suitable candidates for important roles. 

This article explains what headhunting is, how it changes across industries, and how it compares to traditional recruitment. It also discusses what the key headhunter strategies are and what to do if a headhunter approaches you. 

• What is headhunting? 
• What is the difference between headhunting and recruiting? 
• How does headhunting work? 
• Headhunting strategies for executive positions 
• What to do if you're headhunted 
• Conclusion 
• FAQs 

What is headhunting? 

Headhunting, or executive searching, helps companies identify potential candidates and hire new employees. Typically, businesses post an ad on job boards and wait for interested applicants to contact them. In contrast, headhunting uses a targeted and meticulous approach that allows employers to find and recruit top talent. This method is particularly useful for filling positions that require specialised skills or experience, such as executive or technical roles. 

How does headhunting vary across different industries? 

Different industries have their ways of finding the best talent. Here are some examples of what headhunting looks like in various sectors:

• Technology: In this industry, headhunters search for professionals with specific and up-to-date skills. This includes software architects, data scientists, and IT leaders who know the latest technologies and market trends.
• Finance: Headhunters for this sector look for people with experience, financial knowledge, and smart planning skills. When hiring for roles such as CFOs or investment bankers, a good headhunter must understand the complicated world of finance.
• Healthcare: Headhunters in the healthcare field search for top-notch medical professionals, hospital administrators, or researchers. So, they prioritise candidates with strong medical and leadership skills.
• Creative industries: In fields such as advertising, design, or entertainment, a good headhunter may look for creative professionals, such as art directors, designers, or producers. They want to find people who have the right expertise and a unique creative flair. 

What is the difference between headhunting and recruiting? 

Headhunting and recruiting are the two main approaches companies use when searching for new employees. Here's a comparison of the two:

• Objectives: Both recruiters and headhunters share the common goal of filling open positions with qualified candidates. Recruiters focus on filling a wider range of positions, from entry-level to senior roles, across various departments. Headhunters target specific, high-level positions, such as executive, senior management, or highly specialised roles.
• Methodology: Typically, recruiters use a reactive approach which includes posting on job boards and waiting for interested parties to approach them. Headhunters work more proactively, utilising their industry knowledge and extensive networks to identify top talent. 
• Priorities: With recruiters, the focus is on efficiency and cost-effectiveness, as they often aim to fill positions quickly and within budget. Headhunters prioritise fit and quality and will continue searching until they've found an ideal candidate, regardless of time or cost.
• Industry focus: Recruiters may have less specialised knowledge and instead tend to be familiar with a broader range of skills and industries. On the other hand, headhunters possess in-depth industry expertise, including a deep understanding of specific skills, compensation packages, and market trends. 

Understanding these distinctions is important for both employers and job seekers. Recruiting ensures a constant flow of skilled workers. But headhunting finds the best possible candidates for key roles. One isn't better than the other, and many large companies, particularly in competitive industries with diverse hiring needs, utilise both recruiters and headhunters. However, smaller companies or those with less specialised roles might rely primarily on internal recruitment or smaller agencies, with headhunting being a less frequent option. 

How does headhunting work? 

While the headhunting process may vary across companies, it typically involves steps to identify, engage with, and secure the best person for a role. Here are the key steps:

• Develop professional relationships with job seekers: Headhunters often build a rapport with potential job seekers before a role opens up. They spend time finding out the career goals, expertise, and motivations of these individuals so that when a position becomes available, they're able ​to approach and secure the ideal candidate quickly​.
• Reach out via social media and networking events: Attending many conferences and industry events enables headhunters to grow their network by connecting with both peers and potential job seekers. They also use online tools, job boards, and employment-focused social media platforms to find prospects that match their client's needs.
• Meet job seekers face-to-face: Headhunters prefer to meet potential candidates in person when discussing the details of an open position. Speaking face-to-face can make it easier to evaluate their suitability for the role and determine if they'd be a good fit for the company's culture.  

Who do headhunters work with? 

Headhunters work closely with key stakeholders within a company. These personnel understand the company’s overall needs and can give valuable insight to make the headhunting process more efficient. In smaller companies or for highly specialised roles, headhunters often work directly with the hiring manager or department head. Headhunters working for larger companies often collaborate with the Human Resources department, particularly with recruitment specialists or talent acquisition teams.  

A headhunter's job scope 

A headhunter does more than just identify potential job seekers. Their responsibilities include:

• Negotiating offers: In job offer discussions, headhunters play a valuable part by ensuring role clarity, addressing concerns, and going over compensation packages. They might also discuss additional non-monetary benefits like relocation assistance, signing bonuses, or flexible work arrangements.
• Facilitating smooth transitions: During the final stages of accepting and onboarding, a headhunter may help with preparing paperwork and official offer letters. They may also help orient the new employee by checking in with them and facilitating communication between the employee and employer.
• Ensuring long-term success: Success for the headhunter is when both the job seeker and client do well in the long run. With this in mind, headhunters maintain their relationships with both parties. They may also provide ongoing support and guidance to help the individual improve and contribute more effectively to the organisation. 

Headhunting strategies for executive positions 

Every headhunter has their preferred methods for finding the best candidate for a role, often relying upon a mix of creativity, discretion, and industry expertise. Here are some popular strategies:

• Using social media: Many headhunters operate on professional networking platforms. These platforms allow them to search out candidates according to the desired traits specified by the client. This can include certain skills, experience, and career trajectories. Social media is also a great way for headhunters to discover new talent and build a rapport with them.
• Poaching employed individuals: Poaching is the practice of recruiting employees who currently work for a company's competitor. To entice them, headhunters might offer targeted individuals higher salaries, bonuses, or other benefits. 
• Evaluating referrals: Lastly, a headhunter might turn to their professional network for help, especially if more traditional methods fail. If they're well-connected, someone in the industry might be able to recommend a high-performing candidate. From there, the headhunter spends time researching the referral's background and assessing their suitability for various job openings.  

Strategies for screening job seekers 

Here are the main approaches that headhunters use when screening potential hires: 

• In-depth interviews: An extensive interview can provide a headhunter with useful insight into an applicant's prior work experience, educational background, and skills. Many headhunters also use behavioural interview techniques to learn more about how candidates might respond in various work-related scenarios.
• Skill assessments: Skill assessments offer a standardised and objective measurement of prerequisite skills for a role and can cover technical skills, soft skills, cognitive abilities, or specific job-related knowledge. If there's a large pool of applicants, headhunters can also use skill assessments ​to identify candidates who meet the minimum required skill set quickly.
• Reference checks: By talking to past employers, colleagues, and other professional contacts, headhunters learn about a potential hire's past performance, strengths, and areas for improvement. References also provide insight into what an applicant's character is like and how they work in a team. This helps the headhunter to gauge whether they would be a good fit for the hiring organisation's culture.
• Background checks: Headhunters also conduct careful checks on a job seeker's background, including their education and job history. Doing so helps them verify the information that the individual gives and uncover any red flags that could pose risks to the company. 

Adapting hiring process strategies to various industries 

As headhunters navigate different industries, they tailor their approaches to meet specific needs and challenges. Here are some adjustments they might make when operating in the following sectors:

• Technology industry: Headhunters can use traditional skill assessments in this sector. But they may also organise or take part in hackathons or coding challenges. This allows them to test an individual's problem-solving skills in real-time.
• Finance sector: Headhunters may test candidates using real-world financial scenarios. The candidates' responses allow them to gauge their competency in making smart money decisions.
• Healthcare sector: For healthcare roles, a headhunter wants to know how an individual acts with patients. They may conduct interviews to evaluate essential soft skills, such as empathy and communication. They may also enquire about their commitment to patient care. 

By aligning their methods with industry and client needs. headhunters can do a more thorough and effective job of finding, screening, and securing ideal candidates for important roles. 

What to do if you're headhunted 

It's an exciting and important moment when a headhunter approaches you. Here are some steps to help you navigate this opportunity effectively: 

Review the role 

When you're approached by a headhunter, start by learning about the role they're offering. Understand the responsibilities and challenges it involves by:

• Finding out more details: Uncover the details of the role the headhunter is presenting to you. Ask about the responsibilities, expectations, and potential challenges of the position. This helps you learn if you can meet the demands of the role.
• Researching the company: Learn all you can about the company. Explore its mission, values, organisational culture, and recent achievements. This helps you determine if you'd be comfortable working with the company. 

Compile a list of questions 

Enquiring about a job offer can help you indicate your interest to a headhunter and allow you to demonstrate your professional experience. Here's how to find out more about the opportunity:

• Clarify expectations: Ask about the team structure, reporting lines, performance expectations, and any challenges the team is currently facing. Also, consider asking questions about the company's culture, such as their process for giving feedback.
• Learn about the company's growth plans: If you're keen on securing a long-term role, it's good to find out more about an employer's long-term goals and plans. Doing so can prompt the headhunter to discuss possibilities for professional development, such as employer-funded certifications or continuing education classes. 

Consider the offer 

Follow these steps when you're offered a job by a headhunter:

• Evaluate the compensation: First, ensure that the job offer matches industry standards and your expectations. Examine the base salary and benefits, bonuses, and any extra perks.
• Consider career progression: Determine if the role matches your long-term career goals. Ideally, the position should enable you to develop your skills and gain invaluable work experience.
• Think about work-life balance: Determine if the role would allow time for your commitments outside of work. This is key to long-term job satisfaction. Consider the expected working hours, flexibility, and travel requirements, if any. 

Be professional 

Maintaining professionalism is crucial for a positive outcome. Stay professional with these tips:

• Engage in transparent communication: Communicating openly with the headhunter reduces misunderstandings and helps both parties to obtain the best results. Let them know if you have concerns or need more information.
• Respond promptly: Reply to emails and calls from the headhunter as soon as you can. Timely communication shows your professionalism and interest in the opportunity.
• Respectfully withdraw (if applicable): If you decide to decline the offer, communicate your decision respectfully. Thank the headhunter for their time and interest. This keeps your relationship intact for future interactions. 

Conclusion 

Headhunting is a strategic tool that employers can employ when looking for top-notch professionals to fill important roles. If a headhunter reaches out to you, make the most of the opportunity by doing thorough research, asking smart questions, and carefully thinking about the job offer. Be ready for headhunter messages by building a solid online presence, going to industry events, and actively shaping your professional image. 

FAQs 

1. What types of positions are typically filled through headhunting?
   ⁠Headhunting is a common approach for filling senior-level and specialised positions across various industries. This includes executive roles like CEOs, CFOs, and VPs, which require extensive leadership experience and strategic vision. 
   ⁠Headhunting is also common for niche positions where finding professionals with specific expertise may be difficult. Some examples of this include highly skilled software engineers in the tech industry, investment bankers with specialised knowledge in finance, or medical specialists with rare qualifications in healthcare. 
2. Why do companies use headhunters?
   ⁠Companies use headhunters when they need to find highly specialised or strategically crucial talent. Leveraging deep industry knowledge and extensive networks, headhunters can attract passive candidates with the right skills and cultural fit. This often leads to faster hiring, better quality matches, and potentially lower long-term costs compared to traditional methods, justifying the investment for critical roles. 
3. How do headhunters approach potential candidates?
   ⁠Headhunters approach potential job seekers through various channels. Some channels include social media, networking events, and referrals. They focus on building relationships and understanding an individual's motivations. This helps them present compelling opportunities that align with the person's career goals.