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Leaders from four of the largest staffing firms weigh in on technology, growth: Executive Forum

February 28, 2019

Executives from large staffing firms weighed in on the future of staffing, growth and technology during a panel Wednesday at the Executive Forum North America in Austin, Texas. Firms represented included Adecco, Artech LLC, ASGN Inc. and EmployBridge.

SIA president Barry Asin kicked off the discussion asking, “What is the near-term outlook for the staffing industry?”

“2018 was a very strong year for us,” said Ranjini Poddar, CEO and co-founder of Artech LLC, speaking from the perspective of an IT staffing firm. And 2019 has started stronger than any year she has seen in her 20 years in the staffing industry. “I’m very optimistic about the growth forecast for 2019.”

“In 2019, the sun is going to shine, and we need to capitalize on that,” said Joyce Russell, president of the Adecco Group US Foundation.

What is different about recruiting today?

Poddar said the recruiter has become highly specialized.

“The talent shortage is not just in skilled individuals,” said Tom Bickes, CEO of EmployBridge. Today, staffing firms must become visible to candidates. That means there must be a digital strategy; millennials today no longer make phone calls.

What about artificial intelligence and robotics?

“What will never leave the industry is the relationship,” Bickes said. However, AI will help recruiters and cut down on administrative work they now do. AI can also increase speed and help determine whether a candidate will be a good fit for a job.

Russell agreed, saying chatbots that Adecco uses are already helping recruiters, including working at night when recruiters are asleep. That’s not all; chatbots are getting a higher Net Promoter Score than the human recruiters, she said.

Asin also asked the executives how they fuel growth.

“We were pretty mindful about what we’re not,” Poddar said. Her firm focused on enterprise clients, not on smaller customers or retail business. “You have to evaluate the profitability of contracts too,” she said, adding that means saying “no” to unprofitable business.

“Focus is powerful,” Bickes said. “Decide what you’re going to be and be it.” He also cited culture as fueling growth and, similar to Poddar, that client selection is important. Some business isn’t worth having.

Russell added that firms should seek customers that are growing. “Hitch your wagon with the one that is growing.” Clients with known brand names can also help with recruiting as workers seek the cachet of that brand.

An audience member asked about customers becoming less stringent on background checks given the tight talent marked.

Bickes said background checks are based on client choice, although the legalization of marijuana in some states has caused challenges.

Asin also asked the executives how they see staffing changing by the year 2029?

Ted Hanson, president of ASGN Inc., said he sees firms offering more value-added services. But even with changes, Artech’s Poddar said staffing will be a people business.

Russell cited change driven by technology.

“I think we will have gone through a dramatic digitalization,” she said.