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Why do leading companies tend to choose executive search and recruitment than doing by themself?


Posted by Iris Data Driven Agency

7 months ago

For many businesses, finding talented employees or senior management is a difficult challenge, sometimes they have to face riskily as they cannot find suitable candidates. If the recruitment for normal positions takes place in a few weeks, then the hiring process for senior personnel or executives can last for months, in some cases, up to a year. Because of the difficult characteristics of recruitment, many executive search firms in Vietnam were born and attracted big companies and large businesses. Let's find out why global companies tend to choose executive search and recruitment services instead of doing by themselves.

Advantages and disadvantages of executives search services

When outsourcing executive search and recruitment services, businesses will get a lot of benefits. Such as ensuring recruiting progress, cost-efficiency, etc. However, besides, this service also has many potential disadvantages that businesses need to consider carefully before deciding to use.

executive search and recruitment

Advantages that made business bound to choose the executive search services

Outsourcing headhunters or executive search and recruitment firms to replace executive positions is a well-known solution that many businesses tend to choose nowadays. Keeping core business activities and pushing supportive, transfer of high-risk activities to outside parties is some of the keys made businesses choose this solution. Let’s see some advantages that made big companies think about outsourcing recruitment services:

  • In-depth knowledge of the industry where they specialize in finding personnel for that segment. Typically, the scope of headhunter's activity is divided by industry, each headhunter will be in charge of certain sectors, which makes them have a wide vision and human resource skills.
  • Executives recruiters have enough in-depth and broad vision to advise recruitment strategy for businesses in the long-term which ensures efficiency in the process of cooperation between the enterprise and headhunter.
executive search and selection
  • Understand the development orientation, as well as the difficulties in terms of personnel they are facing to be able to bring the most benefits to the business. In particular, they need strong career counseling skills. Not only focus on business interests, but they must also care about the interests of candidates.
  • The executive search and selection firm has its candidate database and market knowledge in the field of business segments. So when there is a request from the customer, they will have to pre-formulate the candidates corresponding to that position to help the customer support process fastest and most quality.

Disadvantages of executives search services

Some executive search and recruitment groups get money when customers get their employees (contingency services) or receive an amount of fee before making successful high-level recruitment (retained search). You can negotiate with the executive search business about the warranty period to ensure the company is not getting any disadvantaged. Of course, both sides have their risks, but in essence, the headhunting companies usually have more risks. Businesses can lower their risk for any hiring outsourcing by knowing these disadvantages: 

  • Candidates don’t meet the quality: Many people who are not qualified enough for senior positions are on the way for advancement in new jobs. Typically, many senior employees want to find a job at a director or higher-level position. These people lack the skills and necessary standards characteristics to be a leader, which can lead to training and still not meeting the job well.
executive search and selection
  • Risk of a company process: Although large companies have strict regulations and the company hiring process. However, in some cases, the company recruitment process is not running in the right way or some hiring cases are based on emotion and relationship. This could lead to the loss of many talented employees, bringing in many weak employees to work.
  • Higher Fees: Outsourcing an executive search and selection firm can make businesses get a higher cost than recruiting by themselves. Contingency search fees are typically 20% of the salary for the position, while retained search fees run 30 to 35%. 


Matsushita Konosuke once said: "The most valuable asset of a business is its people." And this statement will always be true, especially for large companies and the senior human resources industry. Therefore, it should be very important to recruit properly, sufficiently, and effectively. For more specific advice on recruitment services, please get in touch with Navigos Search, executive search and selection leading firm Vietnam, by filling the form on the contact page or visit us on floor 20, Central Tower, 11 Doan Van Bo, Ward 12, District 4, Ho Chi Minh.