In today’s competitive business environment, filling critical roles like those in the treasury department is essential for financial stability and growth. While DIY recruitment might seem cost-effective, it often comes with hidden expenses that can quickly negate any savings. Hiring a specialized treasury recruiter can not only save you time and money but also ensure you find the right candidate for the job.
Hidden Costs of In-House Recruitment
Managing treasury recruitment internally can be a time-consuming and resource-intensive endeavor. Identifying, sourcing, and screening qualified candidates takes up valuable time and effort that could be better spent on core business functions.
The Advantages of Outsourcing to Treasury Recruiters
Partnering with a specialized treasury recruiter offers several cost-effective benefits:
1. Reduced Time to Fill
Treasury recruiters have deep market and industry knowledge and access to a vast network of qualified professionals, enabling them to expedite the hiring process.
2. Higher Quality Hires
Treasury recruiters possess expertise in identifying and assessing candidates’ skills and experience, ensuring a better fit for your organization’s specific needs. This reduces the risk of misfits, further lowering costs associated with training and turnover.
3. Reduced Turnover
A good treasury hire can stay with the company for years, saving you thousands of € in recruitment and training expenses.
4. Enhanced Focus on Core Responsibilities
By outsourcing treasury recruitment, your internal team can focus on their core competencies, improving overall productivity and efficiency.
In Numbers: A Cost-Benefit Analysis of Hiring a Specialized Treasury Recruiter
Research reveals that the average cost of a vacant treasury position is €350 per day, accumulating to €22,000 in lost productivity over a 63-day vacancy period. For critical roles, this duration extends to 81 days (1), further increasing costs. Additionally, maintaining an in-house recruiter could lead to an estimated annual expense of €150,000 (think of salary, employer expenses, travel expenses, office expenses etc.).
Our internal analysis shows that, on average, it takes 62 days from initiating a search to the candidate’s start date. However, in practice, this duration can vary significantly.
Comparing costs, an average search via a recruitment agency costs between €10,000 and €15,000 (2). Assuming a specialized agency fills the vacancy 19 days faster, the breakeven point for cost-effectiveness compared to an in-house recruiter is around 17 heavy vacancies per year.
Allocating a fraction of the in-house recruiter’s cost to a Treasury vacancy search, the total cost is €40,850. In contrast, using a recruitment agency would amount to €36,700, resulting in a potential saving of €4,000. Beyond cost savings, the recruitment agency offers faster filling of vacancies, alleviating pressure on colleagues, and potentially securing higher-quality candidates due to their specialized network.
“We try it ourselves first”
The adage ‘we try it ourselves first’ is a common refrain among our clients. While the initiative to handle recruitment internally is understandable, the hidden costs become apparent when challenges arise. The decision to engage a specialist recruitment agency from the outset not only streamlines the process and saves both time and money, but also ensures a more effective strategy, sparing organisations from the unnecessary financial burden of the ‘try it first yourself‘ approach.”
Hiring the right treasury talent is crucial for financial management and growth. While DIY recruitment may seem attractive, the hidden costs and risks often outweigh the perceived savings. Outsourcing to a specialized treasury recruiter offers a more efficient, cost-effective, and reliable solution for filling these critical roles. This analysis suggests that, under certain conditions, utilizing a specialized recruitment agency for treasury positions can provide financial savings and strategic advantages in the hiring process.
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