Written by: Tim Saumier, CEO
March is a crazy time for college basketball and my wife tells my kids that I may be difficult to communicate with given it is my favorite time of year and my favorite sport to follow.
The funny thing is its not only madness in basketball but is seems to be a crazy time for hiring right now as well. Whatever your political affiliation is, the new administration, along with many other things are driving confidence in to the markets as evidenced by the DOW crossing of 20,000 a month or so ago. I would argue that all of this is artificial but it does drive spending by consumers that drives sales by companies that drives purchasing by companies and hiring of people. It’s a cycle where capitalism is at its best.
One of the companies that the stock guru’s like to follow is Parker Hannifin Corporation based in Ohio. They make motion and control systems used in a broad set of aerospace & industrial businesses. They credit Parker’s work over the past few years in the areas of “cost containment” and putting themselves in a position to grow when the time is right. They controlled costs in the flatter season and even built a cash reserve that has allowed them to recently announce the acquisition of Clarcor (filtration manufacturer) which will drive a new revenue stream for PH. The original article can be found HERE.
Why do I share this information on Parker Hannifin and what does it have to do with Basketball? While Parker and for that matter other companies in the Industrial B2B space are seeing benefits of their hard work over the past few years, the real question is:
“Do they have the Talent to deal with the next few years as confidence (artificial or not) grows and more relevant people leave the workforce (primarily baby boomers)?”
Parker has 354 openings on their website and I’m sure this is just a fraction of what they really need. As a Industrial B2B recruiter, we had a record year last year and are on track to do it again this year.
The challenge is not finding the open orders but rather finding and convincing the talent to leave their organization for a new role.
If you are in a hiring capacity here are a four things to consider as we go further in to 2017:
- Cost – Talent is going to cost you more – the concept of internal equity needs to be tossed out the window. It is no longer relevant.
- Better Processes – You’re going to need to speed up the process on your side if you are the employer. The best talent has no interest in going to work for a slow moving and indecisive company.
- Focus on your existing team – You’re going to see turnover increase (mostly voluntary) as the full-court press is coming. People that have been passed over for promotions or given measly raises are now getting called about jobs that are a step up in title, responsibility and compensation (some 20+% increases).
- Better, not perfect – If you’re looking for the “perfect” individual with a stellar work history plan on not finding them. Stellar histories have faded in the past decade and it’s not the individual’s fault but rather the company in my opinion. We have a saying – “Don’t let perfection get in the way of getting better.”
I could go on and on but you get the point. The reality of it is it may look like good times ahead but it will be maddening to say the least in the next couple of years as companies jockey for the same Talent. It will also be fun to watch. As will be the Basketball – Enjoy.
This is just one man’s opinion. I would appreciate your feedback. You can find me on LinkedIn and at Twitter you can find me at @timsaumierTI. Also, you can learn more about TYGES at www.TYGES.com, on Twitter @TYGESInt, or here on our blog.
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We’re here to make good things happen to other people.