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Our Weekly Blog where nothing is off limits

26th Feb 2014
Our Weekly Blog where nothing is off limits

Welcome back to our weekly blog – last week we touched on government procurement activity, the sad news that Linde-HTD will be closing their doors in Merthyr and a surge in procurement optimism. This week I will discuss the challenge faced by contingency recruiters and some positive news in the O&G industry.


Starting with the challenge faced by contingency recruiters, “who & what I hear you ask”, well most recruiters operating in the UK do so on a contingency basis which essentially means if they don’t place the candidate within your business then they don’t get paid. This might be beneficial to a business (the end client) in creating competition and driving down cost but it also means they have to respond quickly and don’t have the same time as they would in a retained search or exclusive vacancy. Does this effect quality? Please let us know from your experience.

The ultimate challenge they face is often the fierce competition for a limited number of vacancies and in my experience the best experience with recruiters is specialist who know the market / product / candidate pool intimately – they are often smaller and niche and far more endangered than the big 4 or 5 – as Procurement / Supply Chain people are we in danger of pushing smaller suppliers out of business – the short answer is yes so please support the SME.  

A better model (in my very humble opinion) especially when recruiting within limited talent pools such as procurement would be a retained / exclusive model – essentially you can guarantee a recruiters full focus and manage the result whilst building a very good relationship with a supplier that could become a key advocate and positive mouth piece for your business.

Building a strong relationship with a good recruiter can be really beneficial.

Oil & Gas – The Wood review (a report commissioned by the government on maximising productivity from the continental shelf) apparently found that the economy could benefit from a potential £200 billion boost over the next 20 years. Production has apparently fallen by 40 per cent in the last three years, and the efficiency with which oil and gas is produced has fallen to 60 per cent, costing the economy £6 billion.

The review set out a number of recommendations including introducing a regulator to “significantly enhance the level of co-ordination and collaboration”. This regulator “should help foster an attractive business environment able to attract the best operators and supply chain” and “The success and reputation of the regulator will be determined by the calibre of people it attracts and retains,” the report explained. The global oil and gas industry has very resilient despite difficult trading conditions in the last few years although the North Sea sector has faced some challenges – so how do we ensure that top talent is attracted?

Having worked and recruited in the industry it is often very difficult for a new business to gain any traction when trying to supply the industry without massive investment, there has been some success stories but more fail than succeed. My suggestion in order to attract top Supply Chain talent would be to take it from other industries and use the transferable Supply Chain skills and train what is industry specific – hire attitude and train skills!  

Thanks for reading, if you would like to comment, banter or discuss and of the above feel free to give me a call. See you next week.

Redimo – a local business with global reach 


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