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The Fordyce Letter

Straight Talk for the Recruiting Profession


Articles tagged 'business ownership'

How-To

If You’re Still Doing What You’ve Always Done, It’s Time For An Operational Audit



Forest-foto76-free

Can’t see the forest for the trees.

This old cliche refers to a circumstance where an individual is so close or involved in a situation that they are incapable of maintaining their perspective or view of the big picture. This cliche applies to many owners and managers within the staffing industry.

Our rebounding economy is creating an environment in which many staffing firms are enjoying increased growth in sales and profits. However, much of that growth is due to external factors versus internal competencies. Although this may appear to be acceptable with our expanding economy, it could spell disaster when the economy slows and demand for services decreases.

For Managers

Attention Owners: Want a Vacation? Get a System



2 minute recruiting new

What’s the owner’s freedom formula?

It’s very simple: Systems = Freedom.

If you as the owner of your firm go on a four week vacation, what happens to your business? What happens to the quality and quantity of activity? Some leaders have defined the strength of a small business as being directly proportionate to how much of it can continue to operate in the owner’s absence. Whether you own a large firm or a micro business, having simple and effective systems in place will make it much easier for you to step away from your office without waking up at 3 a.m.in a cold sweat.

What Is A System?

A system is a documented way of performing a task that solves a problem

Ask Barb

The 3 Question Weekly Team Checkup



Ask Barb

Dear Barb

We are only filling 30% of our direct orders and 40% of the contracts we’re writing.

We specialize in IT, and I know it’s next to impossible to find the talent our clients are demanding. My team is saying they can’t work harder or do more, but I hesitate to hire and add to my overhead which will reduce my profits. When is it best to hire? Do you think I should wait or hire now?

Marcia H., Ft. Lauderdale, FL

Dear Marcia:

If you hire right, your new hire should be a revenue generator within a

Ask Barb

Make Your Team Accountable So the Business Grows



Ask Barb

Hi Barb:

I have a very tenured team who love working for me. I don’t believe in micro-managing, but I feel we could be achieving so much more as a company. How do I go from no rules or standards to implementing accountability without losing everyone?

I sent them to a conference in Las Vegas and they didn’t attend the sessions and had no problem telling me. My last two hires quit because they felt like outsiders to my four tenured recruiters. I now realize my business will not grow or prosper unless I make changes, but I don’t know where to begin. What would you do if you found yourself in my position?

John R., Dallas, TX

Dear John:

There is no value in beating yourself up for mistakes you’ve made as a

Ask Barb

Are You Building Value? Here’s What to Consider



Ask Barb

Hi Barb:

I’ve been in business for 12 years and often wonder if I’m building a business that would be considered a sound investment. What areas are most important to review?

Andrew B. San Jose, CA

Dear Andrew:

There are many things to review to determine if you are creating value in your business. Some of those would include the following 11 areas:

For Managers, The Business of Recruiting

Here’s How to Turn Performance Reviews From a Negative to a Positive



Performance review - free

Performance reviews. Are there any two other words in the English language that cause more anxiety and resentment on the part of employees, and more fear and loathing on the part of managers?

I admit it; I hate performance reviews mostly because they tend to take place only when there are performance issues. That casts the manager as the bad guy who’s delivering bad news.

One of the biggest traps we fall into in the recruiting industry is that the immediate always takes precedence. We react quickly, because it is in our nature, and a part of our business; a hot new job order, a great new lead. Gotta close the deal now, now, now! But that can lead to now, now, POW, if we manage reviews the same way. If we are to be effective managers and owners, we must revisit the entire concept of performance reviews, understand their value, and recast these otherwise unpleasant formalities as an opportunity for growth and improvement.

Jeff's On Call!, Legal, The Business of Recruiting

How To Fund An Employee Buyout Of Your Search Firm



Placements and the law logo

The best recruiter incentive is ownership. It’s also the most dangerous. You’re trading a commitment by an employee for your livelihood — your life.

Speaking of life, let’s talk about life insurance. Not enough owners do.

William Lareau wrote in his classic Conduct Expected: The Unwritten Rules for a Successful Business Career:

All of us tend to think that we have control over what happens to us because we generally pay attention only to what we do and what happens as a result. We tend to assume a direct cause-and-effect relationship without considering all the

For Managers, How-To, The Business of Recruiting

Here’s How to Plan Your ‘Grand Vision’ For 2015



Target Plan

Year-end is a great time. We get to reflect over what we have accomplished and what we have yet to do. We get to celebrate what we did right and we get to write off our failures as part of the past. And we get to redirect our efforts in a new campaign. It’s a cleansing of sort and if done properly will provide energy and direction going into the New Year.

When I look at year end planning, I believe it begins with the overall Vision Statement. This Vision Statement should describe the “grand, overall” destination of where you want to be. I learned from the great Mike Gionta, that a good Vision Statement is a one-page statement that tells a story as if it had already happened. Basically, write a one page statement as if you were 5, 10, 20 years in the future describing what your life has accomplished. Revisit this statement annually and modify it as you deem appropriate.

With the Vision Statement in place there are certain “Big Bucket” plans that will need to be addressed. They all must work together to support the Vision Statement and the execution of these plans will allow your Vision to become reality. The Big Bucket items that I believe fit our industry are:

Business, Jeff's On Call!

What You Need to Know About Selling Your Placement Business Through A Broker



Placements and the law logo

Some days it seems that everyone in the placement business is looking for ways to leave it. When you’re one of them, you’ll need to know about that mysterious person called a “business broker.” He or she can really help.

Here are the eight questions we’re most asked about business brokers, and the answers we give:

1. What is a business broker?

The obvious answer is that it’s someone who introduces a prospective buyer of a business to a seller, and arranges a sale of the business for a fee. However, the real answers are:

For Managers, Motivation

With A Performance Contract They Fire Themselves



Results-free

Results-freeFor managers, there is one thing worse than hiring the wrong person and that is to keep that individual employed with their agency long after the collective experience dictates they should be terminated. Yet, in almost every case, managers will admit they have difficulty with making termination decisions.

From my many years of experience in working with managers in hundreds of staffing firms on both a national and international basis, I have concluded that the primary reasons for this apparent lack of decisive action include one or more of the following: