The executive search firm Andreessen Horowitz has a broad, front-to-back recruiting process that includes both active sourcing and recruiting for potential candidates. Finding effective staffing solutions through the process helps them build a portfolio of companies worldwide, sometimes leading to partnership or investment opportunities.
The firm has outlined their process, which highlights what they look for when evaluating potential candidates and giving offers, including active sourcing.
This article gives an overview of the recruitment process and how the company utilizes active sourcing to fill vacancies in their company and across other companies.
Active sourcing focuses on local hires that can be found within a certain region, heightening the recruiting process through leveraging connections within the area for potential candidates. This lowers dependence on recruiters for finding new candidates and enables more open opportunities for individual employees to find employment through both internal and external networks of contacts. Andreessen Horowitz has seen great success from this approach in filling positions as well as increasing productivity among lower teams at their company.
A new perspective to recruitment
Recruiters who take the passive approach of waiting for applications to pour in are likely to be disappointed. Potential candidates are taking the passive approach as well. It is a bit like two single adults cautiously eyeing each other across the dance floor.
Head-hunters must now behave more like marketing professionals and find ways to effectively reach out to candidates. This revolutionary approach to recruiting and hiring is known as Active Sourcing.
Why active sourcing?
The job is no longer the same. Gone are the days when there was a surplus of top talent. No longer do CVs sit untouched for weeks in the hiring manager’s inbox. Several factors have contributed to the shortage of qualified labor and the following shift to proactive recruitment.
A sizable portion of the workforce retired in recent years, and millennials tend to postpone career decisions. Many take a gap year before starting university, take longer to graduate from university, or pursue graduate degrees.
The inadequacy in talent is especially concerning in information technology. Technology evolves so quickly that the workers who are needed right now in IT are still being educated and trained. The skills gap is growing wider by the day.
A LinkedIn study states that 70% percent of desirable candidates are passive candidates, that is those who aren’t actively job searching. That means that job posting reaches out to just 30% of the workforce at best. Moreover, 52% of candidates who see and apply for jobs are underqualified.
Nevertheless, among all these disappointing facts, the positive one stands out: 87% of active and passive candidates are open to new job opportunities. It should encourage TAs to implement the Active Sourcing strategies and push talent sourcing in a different direction.
The benefits of active sourcing
There are many benefits for active sourcing for companies, like: