Alistair Cox
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DeeDee Doke interviews the chief executive of Hays
Alistair Cox bristles with an intensity that is almost tangible. Even in a business suit, this is clearly an athlete, a man of action, for whom either sitting still or turning off his thought process is surely an unnatural act. Likewise, the concept of distraction would seem to have no place in his universe, where there is no wasted movement, and precision is the order of the day.
Perhaps the laser beam-like focus the Hays chief executive exudes comes from his days as an engineer, first working in the military aircraft division at the then-British Aerospace and then for oil & gas giant Schlumberger. But under a massive transformation programme underway at Hays, Cox is now engineering a very different kind of beast.
When Cox joined Hays in 2007, two issues were apparent. First, the technology deployed in the business wasn’t delivering the benefits that Cox thought it should, including helping the company “to access markets in new and different ways. The technology was a bit of an inhibitor to that. So we needed to better articulate what was the role of our technology in our business and design what the technology landscape should be and do something about it”, says Cox, the technology expert emerging at this point in the conversation.
Then there was the enticing bit, the potential of a glittering prize in filling a sizeable gap - a gap in the role of recruitment world leader. “There was a glaring opportunity, frankly, to develop a brand that was seen as the leading light in the industry because nobody else had done it,” he says.
Cox’s philosophy on recruitment I think it is a pretty noble thing to be doing, to be honest
Today, the Hays mission is clear: “Our mission is to build the undisputed leader in the world of professional and qualified and technical recruitment, quite simple,” Cox told Recruiter in a conversation at Hays’ nondescript head office in London’s Euston area. “I think we are probably up there, or towards the front, but there is no undisputed leader today and our challenge is to put ourselves in that position, with the reputation and global coverage to match.”
The recession hit, but Cox decided that neither investment in technology nor revitalisation of the brand could wait. “They were so fundamental to the position of the business for the next five to 10 years,” he explains.
Adding greater depth to the entry level training and development programme was also a priority. “Training our people to sell effectively and develop worthwhile services in a recessionary environment was absolutely paramount because if you are under 35, you have never worked in a recession, not a proper recession,” he says. “So you wouldn’t expect them to know what to do in a difficult marketplace because they have never experienced it.”
As a result of such considerations, he says, “we invested a lot of money in training them” into creative thinking, recessionary style. What were the services which could be provided to clients who might not be recruiting at the moment? What could be done to build client relationships and continue to do business with them, through bad times as well as good?
“So we did spend quite a lot of money on that, to again get on the front foot and build marketshare,” Cox says.
Secret of my success You’ve got to start with having a very clear view of the team you want around you because you can’t do everything yourself, so you have to get the right people — otherwise, frankly, you’re not going to get anywhere. You can’t compromise on that
Even without the recession, Cox viewed the creation of greater depth in the firm’s training programme as vital. Expertise is Hays’ core product, yet expertise is not a word that is often associated with recruitment outside the industry itself. But as Cox sees it, his company’s ability to assert specialist and geographic expertise will set Hays apart in becoming the world’s premier professional recruitment company.
“I’m a strong believer that regardless of what you’re buying, whether you’re buying a TV or a car or a holiday or recruiting somebody, you want to buy from an expert. So by positioning ourselves as ‘we are the experts in what you need, by geography, by discipline’, that is at the very
core of how we run the business,” Cox says.
Under the Hays transformation, Cox and company are investing heavily in staff training and development to build new recruits’ ‘expertise factor’ in their individual industry sectors. “Most of the new recruits we have are either from university or on their second job. So it is understandable they are not going to be an expert in what they are going to be doing on day one,” Cox says.
“Maybe in the past we may have unleashed them onto the marketplace quite early,” he concedes. “So how do we get people to a level of expertise as quickly as we can? We are fundamentally changing the way we develop our people over their first six months in the company. There is a certain level of capability that they must demonstrate and be accredited for in a formal way before we will allow you out into the marketplace to talk expert to expert.”
What we haven’t necessarily got in our DNA is an ability to think through strategically where our market is going, how is our market going to evolve
Cox has obviously been listening to clients, who contend that in-depth sector and market knowledge, from necessary qualifications and salary levels to insight into clients’ competitors, is what they really, really want. “Unless you can have a conversation at that level, then I’m not convinced you are adding value to the client. Why would the client use you exclusively unless you can add that sort of insight to help them frame the issue, and then go out and deliver a good result against it?”
Beginning with induction, the bespoke training programmes include online work and external visits with senior consultants. The self-examination Hays has done in connection with its training, and linking the training to the desired business result and its branding has led to the realisation of some home truths. “What this has done is brought out what we must do, as opposed to, well, we’ve sort of known it deep in our hearts but have never been able to articulate it properly,” he says.
“If you think about it, it is very energising internally to say, ‘Look, the challenge for each of you on the front line is: what are you the expert in? If you are not the expert in something which is very fundamental to your marketplace, then actually you are not being the ambassador for Hays that we want you to be’,” Cox says.
“The aspiration for each and every person is, you’ve got to become the local guru of what you do. That will allow us to grow marketshare.”
Some might suggest that the choice of Cox himself to lead a leading recruitment company was surprising, given his professional background. However, from the international nature of his career (about half of his business life has been spent outside the UK) to his tenures in consultancy, engineering, research, and technology, each have given him critical insight into the opportunities and challenges in building the new Hays. Nimbleness, he believes, is part of the company’s existing identity. But other characteristics must still be bedded down.
“What we haven’t necessarily got in our DNA,” he says of Hays, “is an ability to think through strategically where is our market going, how is our market going to evolve, what disruptive technologies might come along that could knock us off course, where are the opportunities for leveraging? That’s a skillset we have traditionally not invested in, so I think we need to do a lot more of that.”
Unsurprisingly, the CEO side of Cox suggests something of the fine-tuned athlete player-coach who continually ups their own game, adjusts smoothly to different terrain and weather conditions, and challenges his team to do the same.
His approach is not just about the here and now - it’s about the future, where the Hays of days to come “adapt[s] to the world changing,
as opposed to just doing the same thing in the same way forever more”.
Curriculum Vitae
Education: Graduated in aerospace engineering, University of Salford; Master’s in Business Administration, Graduate School of Business, Stanford University, US.
Career
Military aircraft division, British Aerospace
Various roles at oil field services provider Schlumberger
Consultant, McKinsey & Co
Group strategy director, Blue Circle Industries
Regional director-Asia, Blue Circle Industries
Regional president- Asia, Lafarge
CEO, Xansa
CEO, Hays
Company Profile
1969 Specialist recruitment business was founded as the Career Care Group (CCG), 1969, by former CEO Denis Waxman
1986 CCG acquired by commercial and logistics firm Hays plc
2004 Hays transformed into pure-play specialist recruitment business
2007 Waxman steps down and is succeeded by Cox
2009 4,000 consultants, 340 offices in 28 countries, 17 specialisms
2009 milestones — Launched presence in India and Russia
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Readers' comments (13)
Natalie Guyan | Wed, 9 Dec 2009 4:29 pm
Is this really the best way to move forward? It doesn't appear much different from the archaic world that Hays has always worked in. Yes compliance and legal training is crucially important but so is the way we conduct ourselves and take on the needs of our clients, ensuring that the training is adhered to. In the current climate our client’s need us to listen now, more than ever and that means time and money should be spent on delivering quality over quantity.
Each industry that we collectively recruit for have unique needs and should be treated with that respectively. We should be looking at the strengthening of client relationships and building partnering agreements, understanding the skills and workforce they need to help our clients move forward, progress and come through the tough economical times.
I think it would be more groundbreaking on Mr Cox's behalf to lead from the front, not just looking at the tools he provides the Hays workforce but looking at the workforce that's employed. By his own admittance in his article the majority of new employees are under 35, mostly straight out of University and have never experienced working in a recession or even working at all. Regardless, would it not be more beneficial for larger corporate agencies to look at better qualified staff from the sector in which they are to recruit, whom can relate to the designated client base?
Instead of speculatively sending endless unsuitable CV’s to clients, concentrating on how many telephone calls have been made and setting up interviews regardless of suitability, would it not be wiser to spend a little more time ascertaining the right candidate, not proactively poaching staff members from a company you are building a relationship with and sending an unemployed individual part way across the country to go for an interview you know he is not right for? Would it not be more beneficial to determine the KPI's by success rate and autonomous working relationship amongst internal geographical departments? These are just a few of the complaints that I have heard in direct relation to Hays and are without prejudice. If you want to be our industry's leader, then lead by the example that we deserve.
As a recruiter I don't believe in just putting a square peg in a square hole, but at looking at the bigger picture. After all it's why we are paid the fee that we receive. For years I have heard from clients about what they like and dislike about recruitment agencies - our industry as a whole has a poor reputation. I would love to relish working not only for the company in which I am an integral team player and the ethics that we uphold but for the industry that we collectively represent.
But don't just take my word for it, ask your clients.
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Bob | Fri, 11 Dec 2009 4:09 pm
Natalie - I am guessing you don't work for the world's leading specialist recruiting firm then?
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Kinners | Fri, 11 Dec 2009 5:09 pm
Natalie,
Whilst your comments made interesting reading I cannot help but feel they were aimed more at self-promotion than an actual critique of the body of the article.
You mention the archaic ways in which Hays operate and even go as far to say how Hays could improve upon themselves in the eyes of their clients. However, you fail to miss completely Mr Cox's reference to increasing his staff's expertise in both vertical and horizontal markets. Understanding and listening to the clients’ requirements would, you would hope, be part and parcel of the new ‘expertise’ being instilled across the board.
I struggle to understand your argument that Mr Cox should be ‘leading from the front’ in recruiting a more ‘qualified’ staff base. Firstly, (and I apologise in advance for repeating myself) I refer you back to the comments made about training up the current staff. Secondly, I am sure you are as aware as most that there are strict regulations and legal ramifications in place with the sole purpose of phasing out the mindset that those with more ‘experience’ are necessarily more ‘qualified’ to do a job, or vice versa.
Perhaps your response should have considered some of the steps that Hays as an organisation are making in order to move forwards, rather than relying on an antiquated view of larger recruitment organisations. I am not saying that the KPI’s you refer to are not present in such companies, however, as a previous employee of a similar organisation, I would be surprised to discover that staff are incentivised on them.
As far as I am aware, Hays pay staff on revenue billed, which, as you previously pointed out, is achieved through understanding their clients’ requirements and providing a high standard of service.
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Bonnie | Tue, 15 Dec 2009 3:48 pm
Natalie - having viewed your LinkedIn profile, I see you only have 16 connections and no recommendations. Interesting.
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Jim | Tue, 15 Dec 2009 5:58 pm
Nat
I am surprised at the broadscale sweeping statements you make, given a background in recruitment which covers only the construction and building services sector and is geographically limited to the 'Midlands'.
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Natalie | Wed, 16 Dec 2009 1:15 pm
Perhaps my response mis-reads a little. I agree that all employees in any sector should be judged on individual merit and not employed purely on an experience level basis. By "qualified" I refer to the necessary skills required via experience or qualification. ie. "qualified by experience" or "qualified by education".
What frustrated me after reviewing the article was the focus was still about how Hays can be the "biggest" and "biggest" doesn't always mean "best".
Training is critical in any organisation, and I am not attacking individuals, merely pointing out (from my experience) that the "Hays corporate model" is mirrored by large and small agencies alike and as such Hays are in a position whereby they can change the way the industry recruits in more than one area/direction.
As an influential corporation I would be more impressed to read an article that is truly groundbreaking rather than a press release to respond to the recent "cartel" findings.
I doubt very much that my candidates or clients will be reading my response so I'm unsure of the self-promotion comments. I genuinely respect our profession and am fed up with the corporate “BS”. I am just getting to grips with LinkedIn; excellent facility.
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Martin McDonald | Thu, 17 Dec 2009 10:41 am
It would appear that Natalie has rattled some cages at Hays Towers. I'm sure there will be Brownie points aplenty for those who have come on to take out the woman as opposed to playing the ball. Only 16 LinkedIn contacts? Oh, she only works in the "Midlands" you say? How cutting.
She is of course quite correct and it's sad to see that so many people remain in utter denial about why recruitment agencies have such a poor reputation. It's sad that the recruitment agency sector is in real danger of learning nothing from the last couple of years.
Senior management at "industry leaders" such as Hays need to face up to the fact that their business model is hated by clients.
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Josh Peacock | Fri, 18 Dec 2009 2:03 pm
The arguments outlined above are highly subjective at best, in my opinion. Furthermore to suggest that Hays or any other corporate recruiter has a responsibility to "set an example" to the rest of the recruitment industry is to misunderstand their purpose and aim.
Hays is an "industry leader" based on their considerable financial success. Therefore to say that they have a business model that is hated by their clients is almost a contradiction in terms.
Hays and other corporate PLC recruiters are easy targets for criticism due to the marketshare they enjoy. Whilst I agree that standards of professionalism need addressing within our industry I see this as the responsibility of individual consultants and individual organisations.
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Daniel | Mon, 21 Dec 2009 10:59 am
I thought the article was interesting, although I doubt that Hays will become the biggest or the best. I think moving forward the days of large agencies are numbered. RPO and direct recruiters are gaining a bigger proportion of the recruitment sector and I think this will grow. When a company realises that they can have a team of people to find all their staff, the days of using an agency will be dead.....simple as...Hays will need to change and you will see massive redundancies at companies like Hays, Impellam, Adecco etc....
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Evan | Mon, 4 Jan 2010 2:20 pm
"When a company realises that they can have a team of people to find all their staff, the days of using an agency will be dead.....simple as..."
Do you mean like the way it used to be before employers realised that it was way cheaper to use a recruiter on a contingency basis, as and when they were needed, as opposed to paying out salaries for ineffective 'in-house' consultants all year round?
Recruitment agencies, both big and small, have been around for decades, through good and bad times. I don't think the major players are going to be disappearing anytime soon.
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