Hiring the right people is critical for business success, but how you recruit them can make or break your talent strategy. With multiple recruiting models available—each with its own advantages and limitations—it’s important to choose the approach that best fits your company’s needs, hiring volume, talent pool, and budget.
Let’s break down the five major recruiting models:
What is Traditional Recruiting?
Traditional recruiting refers to the conventional methods organizations use to find and hire new employees. This approach typically involves posting job ads on job boards, social media platforms, and the company’s website. Additionally, traditional recruiting often relies on employee referral programs and recruitment agencies to source candidates. This method primarily targets active job seekers who are actively searching for new job opportunities. By leveraging these traditional channels, companies can reach a broad audience and attract a diverse pool of potential hires and job candidates themselves.
Why Choose Traditional Recruiting Models?
While traditional recruiting models have long been a staple in the hiring process, they can often fall short in today's competitive job market. This approach, which relies heavily on job postings, employee referral programs, social media, and recruitment agencies, primarily targets active job seekers past applicants. However, this can limit access to a wider candidate pool, especially passive candidates current employees who may possess in-demand skills but aren't actively looking for new opportunities.
How It Works:
- A recruiting agency sources candidates and charges a fee (typically 20-30% of the candidate’s salary) upon successful placement.
- No upfront costs, but you only get access to candidates after they’ve been screened by the agency.
- Traditional recruiting often utilizes an applicant tracking system (ATS) to streamline and automate the recruitment process, ensuring efficient candidate management and engagement.
Pros of Traditional Recruiting
- No upfront fees – You only pay if you hire, making it a lower-risk option.
- Large candidate pool – Recruiters tap into extensive networks to source talent quickly.
- Fast hiring process – Ideal for filling roles on tight deadlines.
Considerations of Traditional Recruiting
- High costs per hire – Placement fees (20-30% of salary) add up, especially for multiple hires.
- Speed over quality – Recruiters are incentivized to close deals fast, not ensure long-term fit.
- Limited employer control – You rely on an external recruiter’s process and priorities.
Best For: Companies that need occasional hiring support but don’t want to commit to long-term recruiting expenses.
Hourly Recruiting Process
What is Hourly Recruiting?
Hourly recruiting is a flexible recruiting model where companies pay recruiters based on the hours worked rather than a percentage of the candidate's salary. This approach allows businesses to have more control over the recruiting process and ensures that they only pay for the actual work done. By collaborating closely with hiring managers, hourly recruiting focuses on finding quality, qualified candidates, who align with the company's culture and business objectives. This model is ideal for organizations looking to balance cost-effectiveness with a strategic approach to acquiring talent.
Why Choose Hourly Recruiting?
Opting for the hourly recruiting model provides several advantages that align with strategic hiring practices. With an hourly model, you only pay for the time spent on your project, offering a pay-as-you-go structure that provides unparalleled flexibility. This approach allows you to pause or stop at any time, ensuring you maintain control over your own full recruitment process, costs, budget and project scope.
Flexibility: Easily adjust your budget and project scope as needed, accommodating changes in hiring demands without the pressure of long-term commitments.
Ownership: Retain all the valuable research and market insights we gather during the recruiting, job interviews, and application process, empowering your team with knowledge beyond just the candidates and job descriptions we present.
Peace of Mind: If a candidate placed by our team is terminated within the first 6 months for performance-based reasons, we will refill the position, ensuring confidence in your recruitment investments.
Our searches are typically capped at 18-25%, so you’ll either pay the hourly rate or a pre-set cap—whichever is lower! This model is perfect for businesses that want a transparent and cost-effective recruiting strategy, focusing on the quality of candidates rather than the quantity of candidate submissions.
How It Works:
- Instead of charging a percentage of salary, recruiters are paid an hourly rate for the time spent on sourcing, screening, and presenting candidates. The hiring manager plays a crucial role in the interview process and recruitment strategy, ensuring collaboration with recruiters to enhance the overall quality of hires and improve candidate experience.
- More transparent and flexible than traditional recruiting.
Pros of Hourly Recruiting
- Cost-effective hiring – Pay only for the time spent on recruiting, eliminating costly placement fees.
- Full control – Maintain oversight of the hiring process, from sourcing to selection.
- Quality-focused – Prioritizes long-term fit and business alignment over quick placements.
Considerations of Hourly Recruiting
- Requires internal collaboration – It is essential for businesses and hiring managers to remain actively involved in the hiring process.
- Potentially longer timelines – A thorough, quality-driven approach may take more time than contingency recruiting.
Best For: Businesses that want recruiting support without excessive fees or rushed placements. Ideal for companies looking to build teams strategically.
Fractional Recruiting Process
What is Fractional Recruiting?
Fractional recruiting is a strategic recruitment model that offers expert recruiting support on a part-time basis, tailored to your company's specific needs. This approach eliminates the need for full-time recruiter salaries or hefty agency fees, providing a flexible and cost-effective solution to your hiring challenges. With fractional recruiting, you can easily scale your recruiting efforts up or down, ensuring you have access to top-tier hiring expertise without the burden of unnecessary overhead.
Why Choose Fractional Recruiting?
- Scalability: Adjust recruiting support based on your hiring demand, whether you need to fill a few roles or maintain an ongoing talent pipeline.
- Cost Efficiency: Avoid expensive placement fees and the costs associated with full-time recruiter salaries. With fractional recruiting, you pay only for the time and support you need.
- Seamless Integration: Our recruiters work as an extension of your team, aligning with your company's culture and hiring goals to ensure a cohesive and effective recruiting process.
Fractional recruiting is ideal for small to mid-sized companies that require ongoing recruiting support but lack the budget for a full-time recruiter. It allows businesses to maintain a strategic hiring process that aligns job openings with their long-term goals and company culture.
How It Works:
- Companies hire an experienced recruiter part-time to support hiring needs without committing to a full-time salary.
- Flexible contracts allow businesses to scale recruiting efforts up or down.
- A well-defined recruiting process is crucial for evaluating and improving hiring strategies, ensuring every step from sourcing to onboarding is optimized.
Pros of Fractional Recruiting
- Flexible & cost-efficient – Pay only for the recruiting support you need, avoiding full-time salaries.
- Scalable hiring – Adjust recruiting efforts based on hiring demand, without long-term commitments.
- Embedded expertise – A dedicated recruiter integrates with your team to ensure cultural alignment and hiring consistency.
Considerations of Fractional Recruiting
- Not suited for urgent, high-volume hiring – Best for steady or fluctuating hiring needs rather than rapid-scale growth.
- Requires internal coordination – Some HR or recruiting involvement is needed for seamless execution.
Best For: Small to mid-sized companies that need ongoing recruiting support but don’t have the budget for a full-time recruiter.
Project-Based Recruiting Process
What is Project-Based Recruiting?
Project-based recruiting is a strategic recruitment model designed to address specific hiring initiatives within a defined timeframe and budget. With this approach, companies benefit from a dedicated recruiting team that focuses exclusively on their project, whether it's a product launch competitive market move, business expansion, or a large-scale hiring push. This model of workforce planning is characterized by its milestone-driven execution, ensuring that hiring deadlines are met efficiently and cost-effectively.
The key advantages of project-based recruiting include cost predictability and speed, as it eliminates the high costs associated with per-hire fees. By using hiring costs and aligning recruitment strategies with the company's specific goals, project-based recruiting ensures that top talent is acquired without the burden of ongoing recruiting expenses. This approach to recruitment metrics is ideal for businesses looking to achieve precise hiring objectives within a set budget and timeframe.
Why Choose Project-Based Recruiting?
Project-based recruiting provides a tailored approach to recruiting needs so your recruitment needs meet your specific hiring needs with precision and efficiency. When you choose this model, you benefit from:
Defined Scope & Budget: By adopting a structured, fixed-cost model, project-based recruiting eliminates the risk of runaway expenses, giving you the financial predictability you need.
Dedicated Recruiting Team: You gain access to a full-cycle recruiting team that is focused solely on your hiring project, whether it’s a product launch, business expansion, or a large-scale hiring push. This dedicated team ensures that your can implement recruiting strategies that are aligned with your specific goals.
Speed & Efficiency: Our milestone-driven execution guarantees that hires are made on time, meeting your deadlines without incurring the high costs associated with per-hire fees. This strategic approach ensures that you are hiring people who can execute your initiative efficiently and effectively.
Project-based recruiting is ideal for companies looking to achieve their hiring objectives within a set timeframe and budget, ensuring top talent acquisition without the burden of ongoing recruiting costs.
How It Works:
- Recruiting support for a specific initiative, such as a product launch, business expansion, or hiring push.
- Dedicated recruiting team works within a set timeframe and budget.
- Having structured recruitment strategies is essential to effectively identify and hire top talent.
Pros of Project-Based Recruiting
- Predictable costs – Fixed pricing eliminates surprise fees and budget uncertainty.
- Faster hiring process – Streamlined recruiting delivers results quicker than traditional methods.
- Scalable solution – Easily adjust hiring efforts based on project size and needs.
Considerations of Project-Based Recruiting
- Limited to short-term hiring needs – Best for specific projects, not ongoing recruitment.
- Requires upfront planning – Defining hiring goals and timelines is essential for success.
Best For: Companies that need to build out a team quickly for a short-term project or expansion.
Retained Search Process
What is Retained Search?
Retained search is a specialized recruitment model designed to secure top-tier executive and niche talent for an organization. This approach involves a close partnership between the company and the recruiter, ensuring that the search is conducted with a high degree of precision and dedication. Unlike other recruiting models, retained search requires an upfront fee, typically one-third of the total placement cost, which signifies a commitment to a thorough and strategic hiring process.
Why Choose Retained Search?
Retained search is ideal for companies looking to fill executive or highly specialized roles where quality and cultural alignment are paramount. This model offers several advantages:
- Dedicated Focus: Recruiters are exclusively engaged for your search, allowing them to devote their full attention to finding the best candidates.
- Quality-Driven Approach: The process emphasizes long-term fit and alignment with the company's culture, ensuring successful placements.
- Consultative Process: Recruiters work closely with the client to understand their unique needs and goals, providing expert guidance throughout the hiring process.
How It Works:
- The company pays an upfront fee to engage a recruiter exclusively for a search.
- Recruiters conduct an in-depth search and vetting process to find top-tier talent.
- The focus is on aligning hires with the company's culture and long-term success.
Pros of Retained Search
- Ideal for executive and specialized hires – Focused on securing top-tier leadership and niche talent.
- Quality-driven approach – Dedicated recruiters prioritize long-term fit over quick placements.
- Structured, consultative process – Thorough vetting ensures the best talent match for your business needs.
Considerations for Retained Search
- Higher upfront investment – Typically requires an initial fee, often 30-35% of the candidate’s salary.
- Longer hiring timeline – The in-depth search process takes more time but leads to better hires.
Best For: Companies hiring for executive or niche roles where quality is more important than speed.
Which Recruitment Strategy is Best for You?
At Qualigence, we believe that traditional recruiting methods often fall short of truly serving our clients' best interests. These conventional approaches, which emphasize speed and low upfront costs to recruit candidates, can inadvertently compromise the quality of hires and limit access for prospective employees to a wider candidate pool. Instead of relying on traditional recruiting, we recommend adopting more strategic models that emphasize transparency, control, and alignment with our clients' specific needs.
- Want transparency and control? → Hourly Recruiting
- Looking for flexible, ongoing support? → Fractional Recruiting
- Need to hire for a specific initiative? → Project-Based Recruiting
- Filling an executive or specialized role? → Retained Search
Choosing the right model depends on your hiring needs, budget, and long-term goals. At Qualigence, we are committed to offering recruiting strategies that align with our clients' unique objectives, ensuring that every hire contributes to their success. Let's discuss which model is right for you and how we can support your strategic hiring needs. Call us to discuss your options - (877) 817-6861
