Houston expert: How to get the most out of your recruiting partner

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Recruiting can be difficult — but finding the right partner can make the process a lot smoother. Photo via Getty Images

I’ve been in the retained recruiting industry for nearly two decades, with a four-year stint in the middle as an internal director of talent at a management consulting firm, so my knowledge is primarily based on the point of view of an outsourced recruiter. What’s more, my professional advice is relevant to most companies, but not all.

At Sudduth Search, our clients are generally investor-backed companies in the lower and middle market. Most are startups— both early-stage and large but all are growing rapidly—and we mainly search for director to C-level executives. And just like not all companies are the same, not all recruiters are either. I don’t believe there is a “plug and play” one size fits all recruiter; you need to find one that works for you and your culture. That being said, there are indeed ways to ensure you ARE getting the most out of the recruiter with whom you engage.

Ok, now that we’ve got the boring stuff out of the way, let’s get into some real talk. How should you choose a firm and launch your search?

Get on the same page

First and foremost, make sure the recruiter you choose is the right cultural fit (a.k.a. emotionally intelligent and not a jerk). Will the recruiter represent your company and ethos well? If you’re put off by the recruiter’s sales tactics, or the recruiter regularly isn’t prepared, they’ll likely treat your search the same way. If YOU wouldn’t hang out with your recruiter outside of work, chances are your best candidates won’t want to talk with them either.

Expertise is key

Can the recruiter explain the process they follow, step-by-step? Recruiting isn’t luck. The best results come from following a proven process, being diligent, and detail-oriented. If your recruiter is “winging it,” and pushing candidates they already know, that’s not what you need. Heck, you could do that yourself and save a lot on fees. Have them walk you through their specific strategy so you know they aren’t just hoping to find the resume you’ll like.

Know your niche

Let’s also touch on recruiters with a specialty focus, something I get asked about more often than anything. Here’s what some of my prospective clients say: “We want someone who specializes in purple unicorns from the rainbow ranch industry.” For comparison sake, when you hire a lawyer, do you limit your search to ONLY those who work with purple unicorns from said industry? No, because we all know there could be a conflict of interest with competitors. Plus, if an attorney knows the law and how to apply it, it shouldn’t matter if they have a narrow focus. Similarly, if a recruiter specializes in exactly what your company does, or what the related position is for, their focus will be very narrow, making it difficult not to trip over past (or current) clients during the process. And it’s always possible your recruiter will be looking to poach from your team when they’re done with you. If a recruiter knows how to recruit for a multitude of positions within various industries, their methodology is probably what makes them successful; they’re not just spinning a rolodex, hoping it lands on the right candidate (and yes, I know I just aged myself).

Once you’ve chosen your recruiting firm, let’s talk about how to maximize their value:

  • Your recruiter should provide you more than just fodder and a resume for the recommended candidates. An important part of the process needs to include the recruiter giving you a thorough overview, analysis and opinion of the candidate. Answers to questions such as: What is their motivation for changing jobs? Why are they interested in your position? Why have they had a short tenure? How much revenue do they manage? You need to understand the candidate’s motivation for entertaining a new position and any gaps between jobs or questionable moves should be addressed. My hope is that my clients can forgo the boring interview questions and get straight to the meat of whether they like the person, and believe that particular candidate will be successful in the role and an asset to the team.
  • Your recruiter should scour the market without just focusing on people looking for a job, but also passive candidates. Most of our searches have a minimum of 50 candidates, and some have 300+. As a client, you should have the ability to see all of the candidates being considered. You’re paying for the search; you need to know that the recruiter has completed their due diligence and pursued as many leads as possible.
  • Passive candidates take longer to decide if they’re interested in your open position. Give them time to go through that thought process of deciding if they are interested. If you rush the recruiter, and the candidate feels pressured, you’re probably going to miss out on some stellar talent.
  • Your recruiter should be talking to the candidate all along the way, to keep them engaged and better ascertain whether the candidate is still interested and will accept an offer if given one. Nowadays, the market is a bit crazy, so you’ll never know whether the candidate is being recruited elsewhere. However, if the recruiter is doing their job, they should have a good idea whether the candidate will make it to the finish line and accept your offer.
  • Weekly calls: I know, I know, you don’t need another meeting on your calendar. But trust me, this is the best way to execute a successful, efficient search. The recruiter should provide weekly updates, including challenges, feedback and progress with particular candidates that look favorable. You, as the client, should be open and communicative with your concerns, questions or otherwise.
  • The recruiter should help you through the offer negotiation process to ensure there are no surprises. The last thing you want is to make an offer and then find out the candidate is entertaining three other offers. Ok, even with 20 years of experience, I sometimes get surprised. But I do everything possible to prevent that from happening. You should know exactly why the candidate wants or is willing to make a job change, from the first time you talk to them. While salary expectations can vary, you should never get to the point of offer and be shocked by the amount it will take to secure their commitment.
  • So what if you are a start up, does all of this advice apply? Absolutely, because with fewer people, early leadership hires are even more critical to your ability to succeed and raise capital.Startups and early-stage companies need to think creatively when making offers. If someone is prepared to take a risk on you, they deserve to at least make the same money they did before.Or maybe you can you offer them success-based compensation, like equity or tracking stock? If the person you are hiring is not motivated by success-based compensation, then they are probably not cut out to be at a scaling company. It takes someone who is self-driven, who can see the end result and figure out how to get there. They must be willing to put their own “skin in the game” in order to see the whole company succeed. They are the type that thrives on being challenged. If they don’t, then let them go as they will likely bolt if the going gets tough and you are better off knowing that ahead of time.

I think that covers most of it. I’m probably going to make a lot of recruiters mad because I just made their jobs harder. But I believe it’s a recruiter’s responsibility to bring as much value to their clients and the recruiting process as possible, and to ultimately attract the best talent possible. And if you do need a purple unicorn from a rainbow ranch, please call Sudduth Search, we’ll find you one.

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Jen Sudduth is the founder and managing partner of Houston-based executive hiring firm Sudduth Search LLC.

Employers across industries need to step up their game when it comes to retention and recruitment. Photo via Getty Images

Houston expert: How to thrive as an employer amid The Great Resignation

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With Baby Boomers and older generations exiting the workforce in droves and COVID-19 variants still straining hospitals and doctors’ offices, the health-care industry is experiencing its own “Great Resignation” at a time when health-care occupations are projected to add more jobs than any other occupational group.

The U.S. Bureau of Labor Statistics’ Occupational Outlook Handbook reports that “Employment in health-care occupations is projected to grow 16 percent from 2020 to 2030, much faster than the average for all occupations, adding about 2.6 million new jobs … mainly due to an aging population, leading to greater demand for health-care services.”

This greater demand might run into a supply issue if employers don’t act swiftly to find creative ways to retain and recruit their staffs. Today’s workforce knows its value and is no longer so easily enticed or satisfied with basic benefits packages. It’s an employee market and employers across all industries are having to step up and bring their A-game when it comes to retention and recruitment.

What you can do to up your ‘A-game’ in 2022

COVID has taught employers that they must change to survive. Spend the time now to develop a strategic plan that will allow you to adapt and improve throughout the year. Be sure to give yourself a cushion in your budget that will allow you to meet new employee demands as they arise and to be generous with relocation and sign-on incentives when you compete for top talent. You can later list these incentives in your job advertisements and highlight any other benefits that might capture interest and bring talent into your organization.

Start your recruitment and retention efforts with a survey of your staff. Find out what they really need and want from you, then try to find ways to meet their demands. Some simple ways for you to take care of your employees right now include:

Bring employees meals to their floor.

Hospitals are becoming filled up once again with sick patients and most are understaffed as employees are contracting COVID from patients. Treat your staff to healthy food—not cookies and cakes—allow them to really stop and take 15 minutes to breathe and fuel their body. This can be done twice or three times a week for each shift. Talk to them about food options or restrictions so that everyone feels like they can participate.

Bring in a counselor on a monthly basis that employees may access during their shift.

Providing this accessible, valuable resource will give your staff the opportunity to address their mental health and wellness and can help you reduce burnout among your ranks.

Allow at least one meeting a week to be focused solely on your employees.

Often the shift start-up meetings are rushed due to the day’s demands. Spend at least one of these meetings a week asking your team things like, “Where do you feel you impacted someone this week?” or ask everyone to share a personal achievement that has helped them personally keep going. This will help you build unity with your team and develop a more positive, empathetic relationship.

Provide bonus incentives to take on extra shifts.

There’s a lot of work to be done and often too few people to do it, so make it worth their while by offering a bonus for taking on more work than normal. You can also provide an option for them to earn overtime on a rotation so they can plan accordingly and still have opportunities for rest and a life balance.

Help relieve the stress of being in a high-risk environment by offering additional paid sick leave for a COVID-related absence.

The paid leave should be for the employee to quarantine at home and convalesce or care for an immediate family member who has the disease, and it should not take away from their accrued unused time off. Consult your HR advisor or attorney to find out whether paid sick leave is legally required in your jurisdiction.

Say “thank you.”

It may sound overly simple but just having the executive leadership go in and say thank you, shake hands, or even show up to a shift meeting can show the staff that their leadership cares about their hard work and recognizes the excellent care they are providing to their clients and patients. People in health care or associated service industries just want to know that they are making a difference, so share positive feedback from patients when you can. It matters.

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Denise Macik is the manager of strategic HR advisory services for G&A Partners, a leading professional employer organization that has been helping entrepreneurs grow their businesses for more than 25 years.

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Rice Alliance names Houston healthtech exec as first head of platform

new hire

The Rice Alliance for Technology and Entrepreneurship has named its first head of platform.

Houston entrepreneur Laura Neder stepped into the newly created role last month, according to an email from Rice Alliance. Neder will focus on building and growing Houston’s Venture Advantage Platform.

The emerging platform, which is being promoted by Rice Alliance and the Ion, aims to connect founders with the "people, capital and expertise they need to scale."

"I’ve spent a lot of time thinking about what it takes to make an innovation ecosystem more navigable, more connected, and more useful for founders," Neder said in a LinkedIn post. "I’m grateful for the opportunity to do that work at Rice Alliance, alongside a team with a long history of supporting entrepreneurship and innovation."

"Houston has the talent, institutions, and industry base to create real advantage for founders," she added. "I’m looking forward to listening, learning, and building stronger pathways across the ecosystem."

Neder most recently served as CEO of Houston-based Careset, where she helped bring the Medicare data startup to commercialization. Prior to that, Neder served as COO of Houston-based telemedicine startup 2nd.MD, which was acquired for $460 million by Accolade in 2021.

"Laura brings a rare combination of founder empathy, operational experience and ecosystem leadership," Rice Alliance shared.

Neder and Rice Alliance also shared that the organization is hiring developers to design the new Venture Advantage Platform. Learn more here.

Elon Musk's SpaceX files initial paperwork to sell shares to the public

Incoming IPO

Elon Musk's space exploration company has filed preliminary paperwork to sell shares to the public, according to two sources familiar with the filing, a blockbuster offering that would likely rank as the biggest ever and could make its founder the world's first trillionaire.

A SpaceX IPO promises to be one of the biggest Wall Street events of the year, with several investment banks lining up to help raise tens of billions to fund Musk's ambitions to set up a base on the moon, put datacenters the size of several football fields in orbit and possibly one day send a man to Mars.

The sources spoke on condition of anonymity because they were not authorized to talk publicly about the confidential registration with the Securities and Exchange Commission.

SpaceX did not respond immediately to a request for comment.

Exactly how much SpaceX plans to raise has not been disclosed but the figure is reportedly as much as $75 billion. At that level, the offering would easily eclipse the $29 billion that Saudi Aramco raised in its IPO in 2019.

The offering, coming possibly in June, could value all the shares of SpaceX at $1.5 trillion, nearly double what the company was valued in December when some minority owners sold their stakes, according to research firm Pitchbook, before an acquisition that increased its size.

Musk owns 42% of the SpaceX now, according to Pitchbook, though that figure will change with the IPO when new owners are issued shares. In any case, he is likely to pierce the trillion dollar mark because he is already close. Forbes magazine estimates Musk's net worth at roughly $823 billion.

In addition to making reusable rockets to hurl astronauts and hardware into orbit, SpaceX owns Starlink, the world’s largest satellite communications company. The company also recently brought under its roof two other Musk businesses, social media platform X, formerly Twitter, and artificial intelligence business, xAI, in a controversial transaction because both the seller and the buyer were controlled by him.

SpaceX has become the biggest commercial launch company in its industry, responsible for sending payloads into orbit for customers across the globe, but has also benefited from big taxpayer spending. That has raised conflicts of interest issues given that Musk was the biggest donor to President Donald Trump's campaign and is still a big backer.

In the past five years, SpaceX won $6 billion in contracts from NASA, the Defense Department and other U.S. government agencies, according to USAspending.gov.

Among current SpaceX owners is Donald Trump Jr, the president's oldest son. He owns a shares through 1789 Capital. That venture capital firm made him a partner shortly after his father won the presidency for a second time and has been buying up federal contractors seeking to win taxpayer money ever since.

The White House and Trump himself have repeatedly denied there are any conflicts of interest between his role as president and his family's businesses.

8+ can't-miss Houston business and innovation events in April

where to be

Editor’s note: Houston's weeklong innovation festival kicks off April, followed by Rice University's globally recognized pitch competition returning for its 26th year. Plus, find coworking pop-ups, industry meetups, pitch battles and even a crawfish boil on the calendar. Here’s what not to miss and how to register. Please note: this article might be updated to add more events.

March 30-April 4 — H-Town Roundup

Celebrate innovation, entrepreneurship and collaboration at Houston Exponential's sixth-annual H-Town Roundup. During the free event series, previously known as Houston Tech Rodeo, attendees can expect insightful talks, workshops and networking events at venues across the city.

This event began March 30. Register here.

April 2 — Industrious Coworking Day

Enjoy a complimentary day of cowering at Industrious and network with professionals at the Ion. Breakfast, snacks, wifi and workspace tours are included. Following the cowering day, Industrious will host happy hour at Second Draught from 4-6 p.m.

This event is Thursday, April 2, from 8:30 a.m.-5 p.m. at the Ion. Register here.

April 2 — Technology Summit for Women

The fourth annual Women in Tech Cummil will feature speakers across three core tracks: Transformation + Digital strategy, Cyber + Risk + Resilience, and AI in Practice. Pearl Chu, director of technical domains and university relations at SLB, will give the opening remarks. Other panelists come from CenterPoint Energy, BP, Technip Energies and other leading companies.

This event is Thursday, April 2, from 2-5 p.m. at the Ion. Register here.

April 8 — Veterans Business Battle

Hear pitches from veterans and entrepreneurs as they compete for more than $10 million in investments at Rice Businesses' 12th annual Veterans Business Battle. This year, the two-day event will also feature a Small Business Expo, which invites Houston-based, veteran-owned businesses to participate in education, networking and the opportunity to showcase their business. Moonshots Capital and Mercury Fund will also host a fireside chat.

This event begins Wednesday, April 8, at 11 a.m. at the Ion. Click here to register.

April 9-11 — Rice Business Plan Competition

The Rice Alliance for Technology and Entrepreneurship will host the 26th annual Rice Business Plan Competition this month. Forty-two student-led teams from around the world, including one team from Rice, will present their plans before more than 300 angel, venture capital, and corporate investors to compete for more than $1 million in prizes.

This event begins Thursday, April 9. Find more information here.

April 10 — BioHouston Chili Cookoff

Connect with Houston's life sciences community at BioHouston's 21st annual chili cookout. This event is geared toward startup founders, researchers and industry veterans alike.

This event is Friday, April 10, from noon-4 p.m. at Bayou City Event Center. Register here.

April 14 — Mercury Fund Day at the Ion: Agentic Commerce

Don’t miss the latest installment of Mercury Fund Day at the Ion, previously known as Software Day. The recurring monthly event features office hours (by application), a keynote and networking opportunities. This month's topic focuses on agentic commerce.

This event is Tuesday, April 14, from 3:30-7 p.m. at the Ion. Register here.

April 19 – UH Energy Industry Crawfish Boil

Head to the UH Cullen College of Engineering Green Space for the 35th annual UH Energy Industry Crawfish Boil. The event will include a student showcase, STEM activities, a kids zone, live music, networking and, of course, crawfish. Proceeds from the event will support the multidisciplinary capstone fund that aims to increase professional readiness for Cullen College engineering and technology students.

This event is Sunday, April 19, from 1-5 p.m. at the Cullen College of Engineering Green Space. Find more information here.

April 24 — Rice Business Healthcare Conference

Leading experts, innovators and the next generation of healthcare leaders will converge at the Rice Business Healthcare Conference. Hosted by the Rice Business Healthcare Association, the conference will explore AI's potential impact on the sector.

This event is Friday, April 24, from 8 a.m.-2 p.m. at McNair Hall on Rice University's campus. Find more information here.

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