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Product category: Services for the Subcontracting Industry
News Release from: Cranfield School of Management
Edited by the Manufacturingtalk Editorial Team on 28 October 2005

Small organisations expect fewer
problems

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Smaller organisations consistently expect fewer recruitment difficulties than larger operations, according to the latest findings from the Recruitment Confidence Index (RCI).

Smaller organisations consistently expect fewer recruitment difficulties than larger operations, according to the latest findings from the Recruitment Confidence Index (RCI) The RCI research reveals that while all organisations experience difficulties in recruiting good people, smaller enterprises seem to find it comparatively easy to persuade talented managers and professionals to join them

The latest RCI findings, produced by Cranfield School of Management and The Daily Telegraph, show that 69% of organisations with fewer than 200 employees anticipate difficulties recruiting managerial and professional employees over the next six months, compared to a massive 85% of companies with over 1,000 employees.

This experience has been consistent over the past six years, with an average of 70% of small organisations experiencing recruitment difficulties compared to 89% of large organisations.

Commenting on the findings, David Molian, Co-Director of Credo, Cranfield's Centre for Small Business Growth and Development, said: "Recruitment is still a major issue for smaller firms, but much more so for those who are ambitious to grow.

They consistently tell us that attracting, retaining and motivating talented managers is the key to accelerated growth - but it's also the biggest blocker on their firms' performance.

These numbers make interesting reading.

It could be that the increasing emphasis on work-life balance is starting to work in the favour of smaller firms.

Disillusioned corporate managers often find greater scope for their talents and more flexibility through downsizing their employer." Almost three quarters of organisations overall (73%) expect recruitment difficulties, particularly in areas such as sales (63% of organisations) and engineering (57%).

Steve Playford, Recruitment Group Head from The Daily Telegraph, said "Many of our clients have reported difficulties in finding quality salespeople which is one of the reasons why, as market leaders for sales jobs, we have introduced regular editorial features on the sales industry to generate more interest in the profession." The latest RCI findings also show that: " The need to recruit workers remains high in sales (24%) and finance (20%) and has risen sharply in personnel from 11% to 21% " Recruitment difficulties are highest at senior management level with 46% of organisations reporting problems, compared to only 26% at graduate level.

" Recruitment activity overall remains buoyant with 46% of respondents expecting activity to increase, compared to 24% expecting it to decrease.

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