Headhunting vs. Recruiting: What's the difference?

If you are looking for ways to hire talent for your organization, you may be considering using headhunting or recruiting.

Many people think both words have the same meaning, but the two terms have distinct differences.

In this article, you can learn about the main differences between headhunting and recruiting and determine the best strategy for recruiting the best talent for your business.

Defining headhunting

Headhunting involves identifying the best talent for a senior or upper-level job role.

For example, many organizations use headhunting to source talent for executive positions such as executive director, chief executive or chief operating officer (COO). Some organizations refer to headhunting as performing an executive search.

Some organizations hire dedicated headhunters or agency teams to find talent suitable for these executive or senior job vacancies.

Experienced headhunters often focus on a specialist niche of technical or senior-level positions. They use sector-specific knowledge to identify and reach out to prospective candidates.

Often, headhunters will directly contact potential candidates currently employed in similar roles. These are passive candidates who are not actively looking for a new job prospect. Research on small to mid-sized businesses by LinkedIn identified that 70% of the global workforce is classed as passive talent - the remaining 30% are actively searching and applying for jobs.

A headhunter’s objective is to entice well-suited passive candidates to leave their current job role to join the recruiting organization.

Why is headhunting important?

When an organization uses traditional recruitment methods, it only has access to a limited talent pool - job seekers who have found the job advert and decided to apply.

On the other hand, a good headhunter will use creative methods to tap into the wider talent pool, identifying high-performing candidates with the right skills and experience and contacting them on behalf of the organization to find out if they would be interested in the new role.

With access to the wider talent pool, organizations stand a better chance of finding the best person for the vacant role. This is particularly relevant when an organization seeks to recruit executive staff or people with a bespoke skill set.

Defining recruiting

Recruiting refers to the process of matching job applicants to open job roles. Recruiters either work independently, as an employee of the recruiting organization, or on behalf of a recruitment agency.

They use various recruitment methods, including online job adverts, professional networking, social media and job fairs. Recruiters seek to actively attract, search for, identify, assess, interview and hire suitable applicants for specific job vacancies, as instructed by the recruiting organization.

Recruiting is a helpful strategy if your organization needs to hire people for entry-level or mid-level job roles.

Organizations can use both internal and external recruiting methods. Internal recruiting refers to sourcing applicants already working within the organization, whereas external recruiting involves sourcing applicants working elsewhere.

Why is recruiting important?

Recruiting allows organizations to invite applications from people actively searching for new job opportunities.

Recruiting plays a crucial role in organizational growth. It is about more than just hiring people to fill vacant positions - effective recruitment helps organizations hire the most suitable candidate for a job vacancy.

As well as checking out a candidate’s qualifications, skills and experience, recruiters must also consider whether they will be a good fit for the team and organizational context.

Hiring the right people also contributes to employee engagement and motivation, leading to better retention rates.

Recruiting also offers an opportunity to sell your brand. Your organization’s careers site and content are often the first things prospective applicants see in the hiring journey. Research on small to mid-sized businesses by LinkedIn identified that “72% of recruiting leaders worldwide agreed that employer brand has a significant impact on hiring”. So setting up a well-defined hiring strategy with clear links to your brand is crucial if you want to offer a positive first impression.

What are the key differences between headhunting and recruiting?

Candidates targeted by headhunters are not necessarily looking for new job opportunities. The headhunter might need to persuade them to consider the new job opportunity.

Headhunters will also pre-screen candidates to check their suitability, experience and skills before contacting them.

In recruitment, this assessment does not take place until the shortlisting or assessment stages.

Here is an overview of the key differences between headhunting and recruiting.

Approach and objective

Headhunting and recruiting are underpinned by the same objective - to assist organizations in finding the best talent for a job vacancy.

Headhunting describes an active approach to hiring - headhunters actively seek out the best candidate for a job role.

On the other hand, recruiters post a job advert and passively wait for suitable candidates to apply for it. That said, a passive approach to headhunting can be used if a headhunter keeps an active candidate database with details of people who have expressed an interest in being considered for executive roles.

A headhunter will carry out research to identify potentially suitable candidates for a job vacancy. Once a candidate has been identified, the headhunter will contact them directly to provide information on the vacant job role. The headhunter aims to convince them to apply for the job vacancy.

Costs

For the hiring organization, headhunting is often more expensive than recruiting.

Headhunters tend to specialize in sourcing candidates for a particular industry sector or senior job role, which usually takes longer and requires more effort than entry-level roles.

Recruiters usually post job adverts and online tools to source potential candidates. After shortlisting the applicants, they hold interviews and conduct assessments to identify the most suitable candidates. The recruiting process is shorter than headhunting, so it often works out cheaper.

Time

Recruitment timescales vary depending on the position being recruited for. However, in most cases, entry-level recruitment is faster than hiring an executive candidate.

Headhunting is often a more drawn-out process than recruiting. It can take longer to find suitable candidates for executive positions, and headhunters must allow time for the prospective job applicant to consider the opportunity being put forward.

People in senior roles also tend to have more extended notice periods, which can cause a delay in hiring and onboarding.

Types of roles

Recruiters and headhunters often hire for different types of job roles. For example, headhunters usually specialize in hiring people for specific kinds of executive job roles.

To be successful, they must gain a complete understanding of the experience and skills candidates must have to succeed in the vacant job role, using this information to connect prospective candidates with the hiring organization.

On the other hand, recruiters tend to hire people for entry-level or mid-level job vacancies.

Headhunting vs recruitment: What’s the best approach for your organization?

Remember, no two job roles are the same. You should always consider the individual requirements of a job vacancy before choosing a hiring route.

Your approach to hiring will depend on the job role you are recruiting for. Large organizations might use a mixture of hiring strategies, headhunters to recruit for specialist, niche or high-level roles and traditional recruitment for entry-level and middle-grade positions.

You will also need to consider whether you want to approach people actively looking for employment or people willing to move roles if the right opportunity comes along.

Next, you should consider hiring volume. If you want to employ a chief operating officer or chief executive, proactive headhunting is likely the most effective option. If you need to staff a new team, it may be best to use traditional reactive recruitment methods.

Using an experienced headhunter often means you will have access to their database of candidates. Choosing a specialist headhunter could help you to attract and recruit experienced staff that will be a good fit for the vacant job role.

Using a headhunter could help to save you time and money. They usually offer access to a wider candidate pool and can connect your organization to experienced staff who might not be actively looking for job opportunities. With this in mind, headhunting is usually more expensive than using a recruiter.

Looking for ways to streamline the recruitment process and improve the candidate experience in your organization? Neuroworx can help.

With our applicant sourcing solutions, it’s easy to set up tailored careers pages, add vacant positions and post them onto hundreds of job boards. Whether you’re looking for an applicant tracking system or pre-employment aptitude tests, contact us today to learn how we can help you to attract and retain the best candidates.