Providing Real Solutions that Solve Talent Acquisition Challenges no matter your industry, or company size.

While the primary focus for many companies regarding talent acquisition revolves around where they will find an adequate amount of skilled talent within the time frame and budget they require; many of those same companies struggle to find ways to manage their yearly spend and the ever increasing costs that staff augmentation firms represent to their bottom line.  

Typical  recruitment guarantee programs, while beneficial, typically last 30, 60 or 90 days at best for permanent placements, and fall far short of the protection you could be receiving under Baron Douglas's Recruitment Plan - The Employee Insurance Program.

How our Guarantee and Pricing Model Compares to our Competitors.

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Placement Costs and Guarantees

The Placement Fees charged by recruitment firms can vary wildly depending their geographical location and the scarcity of the candidates within the markets they serve.  Typical permanent or direct placement services as they are sometimes called, usually range from 20-35% of the first year salary including bonuses and commissions.  These placements may or may not come with a guarantee that the referred candidate will remain in that role for a specific period of time.  Some firms require a partial payment at 15, 30 or 45 days; others require bulk payments in full at the conclusion of their guarantee period.  The industry standard for a permanent placement guarantee is typically 30 days; however, some firms do offer guarantees lasting as long as 60 or 90 days.  These longer guarantee periods are often accompanied by higher placement fees; as the recruitment firms deem longer guarantees to be risky in nature.    

Doug and Baron Douglas Consulting are an ideal fit for staffing needs. My clients have used him on several occassions with excellent results. He goes the extra mile and I’d highly recommend him.
— Tim Klimchock, CPA, CCIFP Shareholder Stambaugh Ness, P.C. / Partner at Stambaugh Ness Business Solutions, LLP

Under those conditions, if you were to hire a firm to recruit a candidate for a $60,000 a year job, at a placement fee of only 20%, with the firm offering one of the longest guarantees at 90 days, you would have paid the firm $12,000 in full by the end of 90 days.  If that candidate leaves at any time after 90 days you will have no protection or recourse to recover any of that placement fee.  Firms deem this practice acceptable because the belief is that too much outside of the recruitment firm's control can happen with the client company after a quarter of the year has passed.  Some firms may reorganize or experience a host of other changes that otherwise were unpredictable at the time of hire.  For all intensive purposes, the candidate may have been a perfect fit at the point of hire, but no longer provides value to the company.  To insulate themselves, these firms place shorter limits on their guarantees.  While this makes sense for a number of reasons, Baron Douglas believes in our product and in the people we place with your firm.  We are confident that our candidates will outperform that of our competitors and that even in difficult times, should they occur, that the strength of our candidates will ensure they are employed with your company long into the future.  

As a result, we believed there was a better plan where we could put our money where our mouth was; and so was born the Employee Insurance Plan to provide an extended level of protection to our clients, so that we could bear the risk of the guarantee instead of our clients.

How Baron Douglas is Different

Let's take a look at the same scenario as above, (A $60,000 placement at 20%) under Baron Douglas's Employee Insurance Program.  Under our plan, the placement fee would be $12,000, but instead of that amount being due in full at 30, 60 or 90 days, our fee would be broken into (12) twelve equal payments each due at the first of the month over the course of 12 months from the employee's official start date.  
 

BETTER CASH FLOW MANAGEMENT

With our program, for any placement with a wage over $20/hr your total fee (in this example $12,000), you would pay only $1,000 per month over the course of 12 months, instead of a lump sum payment due in 30, 60, or 90 days. For placements with a wage below $20/hr the payment term is equally spread out over (6) six months and a reduced referral fee is charged.
 

REASONABLE PLACEMENT FEES
 

  • Placement fees typically do not vary based on the salary of the candidate under most recruitment agency plans.  When you work with Baron Douglas, we charge a reduced rate of only 10% of the first year salary, for all candidates earning less than $20/hr.  For candidates earning $20/hr or more, Baron Douglas charges a fee of 20% of the first year salary.  Price discounts for project work, multiple placements, exclusive agreements and executive placements are negotiable.  
  • Baron Douglas bases its % placement fee on the hourly fee paid to the employee, but unlike other firms, we do not include in our calculations overtime pay, prevailing wages, bonuses, commissions  or shift differential pay. 

 

EXTENDED GUARANTEE PERIOD

  • Baron Douglas's guarantee ensures that if our placed candidate is terminated, or leaves FOR ANY REASON, you owe no further payments for that employee.  For comparison purposes, if a candidate and your company severed ties after 90 days, you would have paid $12,000 to our competitors.  you would then need to reengage an agency to find a replacement, and pay for an additional search.  Under Baron Douglas's program, you would have paid only $3,000 at that time and your additional fee of $9,000 would have been protected and retained by your company.  Your company would incur no additional costs or fees other than the $3,000 you had already paid for the time the worker was with your company.  This is NOT A CONTRACT placement.  We have structured our permanent placement services to provide you with the beneficial aspects that you would receive in a contract situation, with the benefits of a permanent placement service.

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seeming impossible, and being impossible are two different things.

Recruitment programs that achieve the desired result of hiring qualified candidates who meet the company's culture within the required time-frame and budget are not pie in the sky hopes and dreams.  They are ATTAINABLE & REALISTIC GOALS.  The challenge many firms face is that they are handcuffed by what they don't know, and that lack of understanding is what creates the barrier to hiring the talent they need.

Without question, there are some great resources available to companies who are looking to hire; but occasionally, those resources actually get in the way of making good hires.  Some of the areas that companies face challenges in include:

  • ATS - Applicant Tracking Systems which often screen out QUALIFIED candidates with poor user design, indecipherable questions or simply are too cumbersome for many job seekers to spend time completing.  Have you ever tried to fill out an application for a job in an ATS?  You will likely want to throw your computer out the widow within the first 30 seconds.  A good ATS can be a big benefit, but it needs to be developed with both UX (User Experience) & UI (User Interface) in mind.   (If this were Pro Sports, you wouldn't wait for all the Star Players on other teams to call you.  To attract the best talent, you need to PURSUE them, make them feel WANTED, and provide them with an OPPORTUNITY that they can't get anywhere else).  Baron Douglas knows how to implement a system that will allow you to attract and recruit that talent, in house, or through a well planned and executed outsourcing strategy.
  • Human Resources & Internal Recruiting Departments - If your company is recruiting for TECHNICAL, PROFESSIONAL or IT job openings, it can be a real challenge for your HR or Internal Recruiting staff to understand the technical aspects of the job and really understand what they are seeing on a technical resume.  Many times acronyms or terms like JIT, GD&T, Blackbelt, Embedded, TPS, CCEP and many others are unknown to your HR or internal recruiting staff.  If you feel like you have POSITIONS THAT STAY OPEN FOREVER, or that the candidates you are getting from your internal departments are not of the QUALITY you need, using a firm like Baron Douglas who understands the technical nature of these industries, and who has actual engineers, manufacturing managers and attorneys working as recruiters, ensures you don't miss out on finding those truly technical candidates.  Even better, our consulting team has a system and incredibly cool techniques that can help train your internal team to become tremendously skilled in recruiting for those very technical types of roles.  
  • Using a SURPLUS model to recruit when you really should be using a SCARCITY model.  This is typically one of the three most common mistakes we find most of our clients are making.  We have developed a system which allows for seamless integration into your current recruitment process to allow you to make the necessary changes to see IMMEDIATE and SIGNIFICANT RESULTS, GUARANTEED.
  • Lack of Market Knowledge regarding pay scales, workforce availability and community perception of your company.  As an example, many manufacturers have located their production facilities in areas that rely heavily on the local population to staff their operations.  Too often, not enough attention is paid to the turnover rates, the local talent available and the impact that the opinions of the current and past workforce has on that facility's ability to successfully recruit within the community.  Ignoring these factors can lead to a need to significantly increase pay rates to make up for negative perceptions of the local workforce, and a loss of production and additional costs if attrition is higher than desired.