Going beyond resumes: strategic considerations for selecting tech talent providers

Introduction 

Technology talent remains in high demand despite economic uncertainty and layoffs. The demand for their services is outstripping supply due to a shortage of skilled tech workers, and with tech wages 16% higher than the US average , tech companies can expect higher annual costs.

If 2021 was a year of high hiring, 2022 was a period of correction and right-sizing, and 2023 involved further belt-tightening, then 2024 will be the year when companies establish their new foundation for future growth. As a result, businesses may need to offer more competitive salaries and benefits to recruit and retain talented individuals.

Regardless of the sector a company operates in, even public companies are now, in some way, involved in technology. Consequently, an increasing number of highly skilled technical candidates are interested in joining non-tech companies to oversee their automation, digital transformation, and AI initiatives.

But traditional methods such as relying on CVs alone are no longer enough to identify and attract the best candidates. CVs offer limited information about a candidate's skills and experience. They do not provide insights into a candidate's mindset, soft skills, cultural fit or potential for growth and development, and this also can lead to discriminatory practices and exclusion of qualified candidates.

These are some of the reasons why technology and non-tech companies often seek external help to find the best talent for their recruitment needs. A reliable provider can assist companies in finding and hiring suitable candidates while delivering consistent services that meet their requirements.

However, evaluating potential providers can be challenging. This article outlines key factors to consider when assessing candidates, helping you determine whether a technology provider is the best option or if you should explore other alternatives.

The changing landscape of tech talent acquisition

Recruiting skilled professionals can be challenging. Traditional methods of reviewing resumes and conducting interviews may not accurately determine a candidate's suitability. Additionally, with global competition, the rise of AI, and an increase in remote work, finding individuals with the necessary skills and cultural fit has become even more difficult.

The modern workforce is diverse, dynamic, and technologically adept as never before, so the process of hiring is evolving beyond simply posting a job opening, reviewing resumes, conducting a few interviews, and making a hire.

Consequently, business leaders must recognise the need for a more strategic mindset when selecting tech talent, considering the increasing complexity of tech roles and the need for innovative and adaptable professionals.

By recognizing and embracing these changes, organizations can ensure they have the right talent in place to drive their businesses forward in this ever-changing digital era.

Understanding the role of tech talent providers

Nowadays, employers in the tech industry seek individuals with specific technical skills, which often come with higher salaries. This presents a significant challenge for non-tech employers when recruiting tech workers. Tech companies pay wages that are approximately 16% higher than the national average, resulting in a 30% premium over non-tech employers. Additionally, the tech industry has a higher number of employees earning over $150,000 per year compared to other industries.

Partnering with an external provider that specializes in tech talent acquisition can be an effective approach to navigating lesser-known and underdeveloped markets, which could offer additional talent pools to employers seeking to expand their geographical reach, uncover opportunities, and increase cost efficiency.

Unlike traditional recruitment methods, organisations that specialise in tech talent acquisition employ bespoke strategies to identify, attract and engage with talent. By leveraging their extensive networks, expertise and tools, these providers offer a holistic approach to tech talent acquisition that goes beyond resume screening.

Strategic considerations in selecting tech talent

Tech talent providers are essential in the current job market as they connect companies with skilled professionals to drive innovation and growth. They specialize in sourcing, screening, and matching candidates with specific technical expertise to meet the unique needs of organizations. Additionally, they offer the opportunity to expand the search to emerging markets, for example in Canada, Latin America, and the US Midwest and South.

But when looking for a talent provider, it is tricky to determine how well they will perform because most things become apparent during cooperation. You need to ensure that you find the candidate you are looking for and that your business is taken care of.

The headcount of the company is perhaps a less obvious factor to think about when selecting staffing partner, but still an important one. Sometimes a large talent solution provider has inflexible, corporate procedures, things get lost. They have many clients and are simply unable to accommodate all of them on the same level.

Working with a small or medium provider with proven experience gives you the necessary attention and commitment. People are informed and in the loop. They know your name and can immediately identify your project.

But before committing, ask about their experience working with other clients to confirm their ability to handle your request. Additionally, ensure they possess the necessary experience, processes, and ownership mindset to guarantee alignment.

To prevent or minimize potential friction, consider these two main aspects before beginning your collaboration.

How can I select the right tech talent provider for my company's needs?

When selecting a tech talent provider, organizations should consider various strategic factors to ensure they can effectively meet their technical hiring needs and drive their business forward.

Here are some key strategic considerations to keep in mind:

• Identifying relevant KPIs
  When evaluating tech talent providers, it is essential to establish key performance indicators (KPIs) that align with your specific organizational goals. These KPIs can range from metrics measuring technical expertise and delivery timelines to factors like client satisfaction and employee retention rates.
• Quality vs. Quantity
  Companies should prioritize the quality of talent offered by tech talent providers , rather than focusing solely on the number of candidates. This approach ensures that companies are not only filling positions but also finding the best match for their specific needs.
• Niche specialization
  

  Tech talent providers with niche expertise bring added value to the recruitment process. Companies should seek providers who understand their industry and can identify candidates with the specialized skills required for success.

  Imagine a tech company that has recently implemented an ERP system to manage their business processes, but they are facing challenges in integrating the ERP system with other tools they use. The tech talent provider leverages its extensive pool of qualified candidates in ERP integration. They carefully screen and assess candidates for their technical skills, cultural fit, experience in integrating ERPs with various tools and systems, and familiarity with the best practices and standards in ERP integrations.

  Similarly, when embarking on a project to migrate to a new framework, organisations often face the challenge of limited internal knowledge and expertise in the new technology. The in-house team might lack comprehensive familiarity with this new technology, which poses a risk of potential setbacks and delays. To ensure a smooth migration process, the company can embrace IT Staff Augmentation to bring in skilled experts who can guide and accelerate the team's learning curve.

• Scalability and flexibility
  Assess the provider's ability to scale their services based on your organization's changing needs. Ensure they can accommodate variations in hiring volume or specific project-based requirements. Flexibility is crucial, especially in fast-paced industries where demands may vary quickly.
• Cultural fit
  Consider the tech talent provider's approach to understanding your organization's culture and values. A provider that prioritizes cultural fit can help ensure candidates not only have the necessary technical skills but also align with your company's mission and work well within your team dynamics.
• Integration and Collaboration
  Consider their ability to collaborate effectively with your HR and hiring teams. Open communication channels and a partnership mentality can contribute to a more efficient and successful hiring process.

By considering these strategic factors, you can make informed decisions when selecting a tech talent provider that aligns with your specific technical hiring needs and supports your long-term business goals.

Partner with tech talent providers: is it the best option?

While technology talent providers can be effective, it is imperative to evaluate whether they are the optimal choice for your organisation's unique needs. Exploring alternative approaches can provide a balanced perspective and help make an informed decision.

Here are some factors to consider:

• In-house hiring: Assess your organisation's internal capabilities and resources for tech talent acquisition. Evaluate whether your in-house team has the necessary expertise and bandwidth to effectively manage the recruitment process.
• Networking and referrals: Tap into your professional network and encourage employee referrals. Often, trusted recommendations can provide access to highly skilled professionals. Actively fostering relationships and maintaining a strong employer brand can attract tech talent organically.
• Hybrid approach: Combining different hiring strategies can provide a well-rounded talent acquisition strategy. This could entail utilizing a tech talent provider for certain roles or skillsets while leveraging in-house hiring or remote talent for others. Tailoring your approach based on the specific requirements of each position can optimize results. They will not replace your recruitment team. Instead, think of a talent provider as that reliable backup.

When evaluating these options, it is important to consider them within the context of the objectives, resources, and timeframe of your organisation. Specifically, you should conduct a cost-benefit analysis, assess the availability of talent in your industry, and determine the urgency of filling positions.

The key is to remain flexible and open to different hiring methods. It is not a one-size-fits-all solution, and what works for one organization may not work for another.

Spotting red flags: signs of underperforming talent providers
Remember, spotting red flags when working with talent providers is crucial. Lack of transparency, poor communication, presenting unsuitable candidates, high turnover rates, and limited industry expertise are all signs of underperforming providers. Identifying these red flags early can help you avoid unproductive partnerships and find a talent provider that delivers exceptional results.

Key takeaways

Understanding how to approach the selection of a talent provider, what to consider when evaluating their performance, and how to set expectations when starting the collaboration can help mitigate risks.

This way, you do not have to trade quality for speed.

Select tech talent providers and shape your partnerships consciously to move your business forward.

1. Look for a technology industry expert with experience in tech recruitment.
2. Confirm that your business is their priority, and they are committed to delivering outstanding customer experience to you.
3. Search for a talent provider who will be accompanying you throughout the whole candidate journey.
4. Choose a company that sees their role as your strategic partner rather than just a candidate provider.
5. Examine the tech talent provider's track record in delivering on key performance indicators (KPIs). This will help you assess their ability to attract and retain top talent effectively.

If you found this article about selecting tech talent providers helpful, you may also be interested in our guide on how to evaluate their performance. Download it now.