Microsoft has finally concluded their search for the successor of chairman Steve Ballmer. The choice has fallen on Satya Nadella, a long-time employee of the US software giant. Having worked there since 1992, Nadella was responsible for the Cloud & Enterprise branch for the most recent years.

Nadella’s appointment does not come unexpected, but is seen as a somewhat safe choice for following up on the more flamboyant Ballmer who was criticized for the poor results the past few years and, more notably, his failure to catch on with the mobile market. He announced to step back in August of 2013.

Since his announcement, many suggestions were made as to who would fill his shoes. Among these were candidates as Alan Mulally, CEO at the Ford Motor Company, and Stephen Elop of NOKIA, recently acquired by Microsoft. The eventual choice for Nadella originates in his successful career within the company, with leading positions at the Bing search engine and the advertisement branch. He was also responsible for launching the Azure cloud services.

Satya Nadella is only Microsoft’s third Chief Executive Officer in 39 years, following founder Bill Gates (currently President of the Board) and Steve Ballmer.

Although a € 100k+ position, Lintberg.com was not involved in the recruitment process for the Chief Executive Officer position at Microsoft.

AllHeadhunters.com, the most complete listing of headhunters and executive search firms worldwide, has created a top 15 of companies within the retained executive search industry. The lack of up-to-date overviews and many requests from visitors of the AllHeadhunters.com network, sparked the initiative in forming this ranking.

The top 15 is based on global revenue and is headed by Korn/Ferry. With a 2011 revenue of €568 million, this globally renowned headhunter with activities in 40 countries, tops the list. Egon Zehnder (€490 million, active in 39 countries) and Heidrick& Struggles (€403 million revenue, offices in 35 countries) complete the top three.

The complete top 15 is made up of the following organizations:

1. Korn/Ferry
2. Egon Zehnder
3. Heidrick & Struggles
4. Russell Reynolds
5. IIC Partners
6. Boyden Global Executive Search
7. Spencer Stuart
8. Odgers Berndtson
9. DHR International
10. CT Partners
11. Stanton Chase International
12. Signium International
13. Hunting Heads
14. SVS Group
15. Steinbach & Partner

The above list was based on sources within the headhunter industry and research. Not all requests for response were honored; in these cases other available sources were used. For the largest listing of headhunters with global activities visit www.allheadhunters.com.

Trying to gather some competitive data on salaries for a particular job function? Here are six strategies you can use to gather important salary information. Knowing your market value before you start interviewing will help you craft a sound negotiation strategy later on if you are selected for the position.

1. Speak to industry contacts. They may be able to shed light on salary ranges for positions in various industries and at various professional levels.
2. Review job postings. Many job boards list salary ranges; this information can help you decipher the going market value for similar jobs.
3. Contact recruiters and professional associations in your field to benchmark positions. Recruiters will know what the market will bear based on recent placements. Professional associations may have survey data to help you better understand your market value.
4. Refer to salary sites
5. Be aware that every job has unique factors such as geography and industry that influence salary level. If you are an IT professional in financial services and you are seeking an IT position in a not-for-profit, chances are the salary range will be lower. If you were working as an analyst in Columbus, Ohio, and you are now seeking a similar position in Boston, Mass., chances are salaries will be higher.
6. Try to determine the flexibility of the employer you are dealing with. Is it a large company with strict salary ranges or a smaller company that determines salaries on a case-by-case basis? Knowing this ahead of time can help you figure out how much wiggle room you will have during the negotiation phase.

Source: Careersolvers

September 17, 2010 – International companies are expecting to post many more executives abroad in the next five years. According to a report, Up or Out: Next Moves for the Modern Expatriate, from the Economist Intelligence Unit, sponsored by Regus, four out of 10 (39%) of companies plan to increase their expatriate staff over the next five years, according to the survey of 418 senior executives with responsibility for overseas offices.

For (almost) CFO’s: an interesting article on what companies should look at when trying to recruit you..

With no control over a turbulent global economy, organizations are focused on executing an effective business strategy to enable them to survive and strive in what most economic commentators agree is the most challenging and complex business environment in the post-war period. Developing this strategy is one thing, delivering it is another and demands an individual to partner the CEO in driving the business towards its goals: step up the CFO.

The role of a chief financial officer has changed dramatically in recent years. Once perceived as the chief bean-counter within the organisation, some 75 percent of today’s CFOs are now assuming a greater role in management strategy, according to a recent CFO Survey conducted by Deloitte Consulting. Having redefined their traditional role CFOs have become firmly positioned as the most important person in the organization after the CEO prompted by- and in reaction to- the Enron debacle and accelerated by the recent recession.

So, when your organization is on the lookout for a new CFO, how do you find the right person to serve as your CFO? Here are a few tips to help you:

1. Does your business really need a CFO and do you understand what their role will be?

Not all businesses need a CFO and there is no hard or fast rule, but there are certain signs that your organization requires one: when the business’s top-line revenue breaks through the £5 million mark; when you need a formal audit; when the company is contemplating going public or engaging in mergers or acquisitions; or when staffing levels exceed 30 employees and the business looks to maximize and monetize all financial opportunities, as was the case when Twitter recruited Ali Rowghani as CFO earlier this year.

Once you have decided that your business needs a CFO you need to understand exactly what their role will be. More than just a glorified bookkeeper, a CFOs role is one of strategic planner who will advise the board and other key stakeholders on how to drive growth, protect the company’s bottom line, streamline operations to increase efficiencies, reduce costs without hurting the organization’s ability to grow profitably, and unearth new opportunities. On top of all that, your new CFO is expected to play a leading role in restoring corporate trust and business integrity – especially in the wake of the Enron scandal – through compliance with new regulations such as the Sarbanes-Oxley Act of 2002 and IAS.

2. What qualifications and experience should you look for?

“Selecting a winning CFO is one of the most important aspects of a CEO’s job,” says Amy Errett, a partner at venture capital firm Maveron in the US with experience in recruiting several CFOs in her various businesses. “A great CFO must be a strategic thinker, strong manager, have a strong business sense and have excellent finance skills.” The key skills you might seek in your next CFO, include:

• Leadership – are they experienced at leading teams and managing people from a range of different disciplines, such as merchandising, manufacturing or sales?
• Experience within a specific industry – do they have an in-depth working knowledge of your industry and understand the challenges faced? How many years of experience do they have in a similar role overseeing the financial health of the company?
• Relevant qualifications – the finance sector in both the UK and North America is simply huge and there has been a push for a global standard of accounting in recent years. An MBA and/or an accounting qualification combined with certified status are pretty much the norm.
• Communication and presentation skills – do they have strong negotiation and persuasive skills which can be used to drive forward their ideas, instil confidence and encourage buy-in from the board of directors or outside investors? Can they present complex information in a way that can be understood by stakeholders, potential investors and Jo Public?

3. What candidate attraction strategy works best?

The route you take will depend on two things: cost and urgency. If you need to fill the position sooner rather than later and the business can afford to absorb the cost associated with using an external agency, it makes sense to utilize the services of a head-hunting consultancy with expertise and a proven track record in making senior executive placements for their clients.

“The top 10 percent of any organization tends to be so well looked after by their current employer that they are not responding to adverts, registering with recruiters or putting their CVs on job boards,” says Anna Davidson, senior executive headhunter and associate director of the UK’s only Headhunter Training Academy. “Using a headhunter will give you access to the best people in the industry and really make them sit up and listen to an opportunity.” They will proactively target individuals who meet your selection criteria, approach them on your behalf, screen them to verify their suitability and provide you with a shortlist of the ‘best’ talent around.

But don’t put all your eggs in one basket. Consider advertising in trade publications and websites, job boards and other specialist media. And maximise the opportunities to reach out to potential candidates via online social networks, such as LinkedIn, Twitter and Facebook. According to the Jobvite Social Recruiting Survey 2010, 73 percent of employers currently use online social networks or social media sites to support their recruiting efforts.

4. Interviewing candidates

This is a buyer’s market and you are in the fortunate position of being able to cherry-pick the person you feel best meets your organisation’s needs. But as Davidson reminds us, “good CFO’s are always in demand.” So it’s down to you to ask the right questions that will help you identify the best candidate. Can they do the job? What have been their major achievements during their career to date and what could they bring to your organization? How well will they fit in with your corporate culture?
Give candidates a real-life financial problem to evaluate. Challenge them to provide solutions and opinions on their recommendations as to the most effective course of action while looking out for the candidate who thinks logically, strategically and considers the bigger picture.

5. Trust your gut

OK, so you’ve interviewed some great candidates and all references and background searches have checked out, but what does your gut instinct tell you about your new choice of CFO? In his book, Blink, Malcolm Gladwell said that “decisions made very quickly can be every bit as good as decisions made cautiously and deliberately”. So no matter how great your chosen candidate’s references may be is this person someone with whom you can establish a strong working relationship and rapport with – the key ingredients to a successful working partnership? As Errett say, “You are inviting someone into your family, your sandbox, and having to integrate them well is very important.”

The image of a CFO as simply being the most senior finance person within the organisation is an antiquated one. Today their role has grown in stature and influence as a strategic thinker rather than financial controller or number cruncher. And although the CEO retains the role of leader the CFO must be positioned as a senior player and representative of the future direction for the company. The more the CEO establishes their resolute support for the CFO, the greater the chance for success and collaboration with the rest of the organisation. After all, you can’t whistle a symphony; it takes an orchestra to play it.

Source: Execdigital

An interesting article on how a visionair like  Zuckerberg shows restrained and keeps focusing on user value  irrespective of a money driven environment and with that rises the stakes again and again.

C.O’ Brien: As incredible as it seems that Facebook has crossed the threshold of 500 million users in just six years, I find myself even more amazed at how the company reached this remarkable milestone.

This struck me recently as I was reading “The Facebook Effect,” the account of the company’s rise by technology reporter David Kirkpatrick. In pulling the various threads of Facebook’s story together, some known and some previously unknown, the book crystallized for me some important lessons from what has become one of the most remarkable business stories ever seen in Silicon Valley.

Facebook has joined the pantheon of the most important valley companies: Google, Apple, Oracle, Hewlett-Packard, Intel and Cisco. 

Systems. Though it is far smaller than any of these in terms of revenue, its impact on society arguably rivals any of them.

And in large part that is due to the unshakable vision and leadership of its founder and CEO, Mark Zuckerberg. Sure, he has made any number of missteps along the way, as you would expect from someone who is still only 26. But let’s appreciate the things he’s done right — often bucking the conventional wisdom and the advice of more experienced elders.

First among these was the decision by Zuckerberg to insist that Facebook focus on the user experience first and ignore the business side in the short run. In Kirkpatrick’s book, advertisers of all sorts were approaching Facebook’s sales teams early on,

offering to pay large sums for various ad schemes. But Zuckerberg turned many of them down — to the dismay of his sales team — because they would disrupt the look and feel of the Facebook experience.

Facebook’s apparent lack of a business model has been the butt of some easy jokes (until Twitter came along), but Zuckerberg was smart. The company is fine-tuning its advertising strategy, but in the meantime it has become such an unstoppable force on the Web that it can afford to take its time turning on the revenue spigot.

And the extraordinary treasure trove of personal information we’re volunteering to Facebook is inevitably going to turn into a gusher of advertising revenue that may one day be the envy of Google, which can only guess at who we are and what we want.

Another example of how Zuckerberg’s instincts have served the company well comes from the way the service itself has evolved. Many changes have been met with outrage from users and criticism from the press.

Rather than panic and try to placate critics, Zuckerberg has been able to look past the hue and cry in a way that shows he sometimes understands his users’ behavior better than they do.

The best example of this may have been the controversy over the introduction of the news feed in September 2006. When Facebook first launched, each user had a profile page. But if you wanted to see if someone had made changes or uploaded a new photo, you had to keep going back to that friend’s page to check for new content.

Zuckerberg conceived of the news feed to solve this. Now you would just have one stream of updates on all of your friends’ activity.

When this launched, users went ballistic. They decried the massive privacy invasion (even though no new information was being shared). People even started groups on Facebook to protest the news feed that quickly gained thousands of members.

But Zuckerberg recognized the viral nature of these protest groups was in fact made possible by the news feed they were protesting. And while he made some modest changes to the settings, he resisted pressure to switch it off.

Today, the news feed is an essential part of the Facebook experience and in large measure the reason for the site’s fantastic growth and the large chunks of time many of us spend there.

While Zuckerberg does have a strong sense of where this is all taking us, he does at time get ahead of his users. And he still needs to learn how to better manage the introduction of big changes so that they don’t cause massive user revolts. But even when he deserves criticism, no one can accuse him of being greedy.

Anyone who insists he’s doing any of this for the money is just flat-out wrong. When the site was just 2 years old, Yahoo offered to buy it for $1 billion. The site still had less than 12 million users and was far behind MySpace in the social networking world. Zuckerberg was being offered more than $1 billion for the company at a time when it was far from certain that it would be king of social networks. Zuckerberg, then just 22, still had control of the majority of the company and turned the offer down over the protests of some of his venture capitalists and executives.

Could you have turned down $1 billion when you were 22? When your company was a distant No. 2? No, you couldn’t have. But Zuckerberg did and still resists an IPO that would most likely make him a multibillionaire.

As we look ahead now and wonder if the company can reach 1 billion users, I would be more surprised if it didn’t. No one is going to come along and dislodge Facebook anytime soon. And for that, credit goes to Zuckerberg for the vision he showed in laying a rock-solid foundation on which to build a company poised to serve as the central nervous system of the Web for years to come.

Source: MercuriNews

I’m quite sceptical of people preaching all the wonderful benefits of social media. If you are at a ‘senior’ level you have to be very selective and careful in using these channels. However I’m also convinced that if you disregard it completely you will miss out on opportunities and information in general. Here some experiences of a novice user:

After finishing an intensive six-week course on using social media in December, one of the goals that I have set for 2010 is to actively use it as a job-search tool. This year is supposed to be the year for social media, the year that Twitter finally takes off, so it is very important for me to fully utilize various tools to my advantage.

One of the most important things that I have been doing is Googling my name on a daily basis to make sure that I am not somehow associated to anything inappropriate. I have also created a Google profile so that I can easily be found by potential employers.

I have been adjusting my LinkedIn profile to makes sure it is optimal and effective. I had initially created a very detailed profile, but decided to pare it down and put an emphasis on my core competencies and transferable skills. I want to make sure that my profile triggers more conversations with potential hiring managers, leading to interviews. Of course, a detailed resume is attached to my profile so that I can easily make it available to hiring managers if they request to see it. I have uploaded a profile picture and requested recommendations from former managers to make sure my profile is 100% complete.

I have also joined a number of Linkedin groups associated with finance, prior employers, and school alumni. I follow discussions, ask questions and make comments. This is a very effective way of putting myself out there and being seen. Membership in groups such as those for former Bear Stearns employees also give me access to jobs that are posted in the group forums. I have seen a number of jobs posted by both companies and headhunters, which I have applied for and am waiting to hear back from the hiring managers.

Another tool that I have just started to actively use is Twitter. Although I established a Twitter account over two years ago, I did not actively use it until recently. I have come to the realization that Twitter can be a powerful job searching tool. There are lot of smart and helpful career advisors, bloggers and recruiters that I have discovered and now follow. The wealth of knowledge that these experts distribute with only 140 characters is amazing. And most are more than willing to give advice, whether I ask for it or not. Then there are recruiters that Tweet out job openings, again a great way to find jobs.

There are many other social media tools that I have yet to use. I have learned that I need to balance my time between traditional and non-traditional methods. I continue to make traditional networking a priority, and actively set up meetings and attend events where I have the opportunity to network.

One of the questions that they asked at the end of my social media boot camp was: How will you use what you have learned about social networking in your next job? It is clear that not only will social networking help me during my current job search, but it will give me an edge at my next job, regardless of where I end up. Social networking is coming in with a force to financial services, health care, media, and other industries, and we all need to adapt.

Source: The Wall Street Journal, Henry Chalian

Henry Chalian was a relationship manager at J.P. Morgan before his job was eliminated in May 2009 after seven years with the company. Mr. Chalian, 41, received a masters degree from the London School of Economics in 1995 and is currently completing a certificate of business excellence at Columbia Business School. He lives in Brooklyn, New York

Finding a new chief executive or chairman has become a transactional process. The mechanics are well established but the search touches only a fraction of the available talent pool.

Unfortunately, today’s headhunters are professional interviewers who do not understand how chief executives work in practice. Top chief executives focus on winning by hiring strong leaders with the right personal qualities. In contrast, their headhunters rely too much on narrow job briefs. There are more fundamental, structural problems within the industry. Headhunting firms are staffed by highly experienced and dedicated professionals, but their incentivisation, approaches and leadership are out of date.

Individual search consultants earn low base salaries, with bonuses driven by the number of searches they sell and execute. This means that they are heavily incentivised to get as many searches done as quickly as possible. Ideally, a client would want a search across as many geographies and industries as possible. In contrast, consultants cut their own pay if they share the work widely with other partners.

With a pressure to transact searches, and client relationships in the hands of individuals and not firms, knowledge growth is slow, built case by case. What they should do is proactively identify the best leaders and emerging leaders wherever they are in the world. Search consultants typically charge a third of the successful candidate’s estimated first-year package, irrespective of whether the chief executive search is successful. It is not surprising that clients hate this.

The search industry must move towards much lower retainers, a success fee for completed searches and far more significant upside if they place a highly successful boss.

We need firms that understand the different types of chief and how they work. A winning firm is a proactive talent scout constantly building a base of the best global leaders.

It transacts fantastically still, but now shares richly in success and is not paid for failure.

We need to move from a passion for clients and fees to a passion for clients and global leaders and a firm belief that fees follow good work. Imagine, a headhunting firm that clients love and employees are proud to be part of and whose candidates create the next generation of global companies. What a prospect.

Extraction of an article by S. Tappin, The Times.

How recruiters select headhunters, tells you a lot about how headhunters and recruiters from larger companies select candidates.  De following a list of questions recruiters are suggested to use to select a headhunter. Bear in mind that the list is made by a headhunter from Signium international.

1. What is your firm’s industry focuses – who are some of your current clients?

This determining factor allows a hiring organization to assess a firm’s market and functional knowledge relevant to their specific situation and need. One must have confidence that the consultant knows where to look for the top talent, and how to engage and recruit them. This confidence will support a cohesive and functional client/consultant relationship throughout the course of the project.

2. Who will be doing the work; how is your firm structured?

Given the consultative nature of search, it is critical to determine how involved and engaged the lead consultant will be during the course of the project. Will the consultant who sells or ‘pitches’ the assignment do the majority of the work? Is the research and candidate development conducted in-house, or outsourced to a third party? Does the firm have the appropriate project management and communication tools to ensure timely and accurate feedback? Who, exactly, will be accountable for your specific project?

3. How many searches does the consultant handle simultaneously?

Here is a good question to ask as a follow up to the previous discussion. A consultant handling over six or seven projects at one time is average. You need to be comfortable that your project is going to receive the time and attention needed to be a success.

4. What percentages of searches are successfully completed? Is there a guarantee should the placement fail?

The industry average for completing projects is between 65% and 70%. This is partially a result of cases when specifications and/or business conditions change, organizations restructure, or the skill set you seek does not exist. While there are many variables that can affect this number, a reliable number should be in the 75% – 90% range. The key here is to be wary of the consultant who tells you that they have a 100% completion rate. This is not realistic!

Most firms offer at least a one year replacement guarantee, and will replace a candidate who does not work out for expenses only.

5. What are the timing and key milestones of the process?

In most cases, executive level searches take between 90 and 150 days to complete. Most professional and competent firms/consultants will be able to provide you a well defined and detailed outline of their process and timeline. Typically, you should expect a detailed progress review, including a list of pre screened and qualified candidate backgrounds between weeks four and six, and begin to see candidates face to face between weeks six and eight.

Note: Often times searches are lengthened because of candidate availability and scheduling conflicts, especially for those candidates currently employed.

6. What are the firms current “off limits,” i.e., where is a firm blocked from recruiting candidates based on existing client relationships?

This is a critical question to ask either large firms with specialty practice groups, or smaller firms focused on specific functions or market sectors. Firms typically cannot recruit from an existing client for one to two years after an assignment. If a large number of target companies (those where the majority of potential candidates are currently employed) are blocked, your ability to access a strong candidate pool could be severely limited.

You must also ensure that there is agreement with your chosen firm as to the length of time they may not recruit from your organization. Be careful not to let the fox into the hen house.

7. How is candidate quality assured?

The lead consultant needs to have a clear understanding of the performance metrics and evaluation tools that will be used by you and your organization to judge candidates. It is important to have confidence in their abilities to understand both your organization’s culture and the scope and requirements of the position to be filled. The search consultant must function as your agent in the market to both engage and recruit the best available talent. They must have the ability to recruit the best candidate for the job, not the best candidate looking for a job.

8. How and when are references conducted?

This has continually been a key issue and one that is fraught with pitfalls. Consultants must be able to reach beyond just career history and focus references on discussing competency, character and potential. References should be sequenced into the process. We recommend that at least two are done before you decide on a final candidate. This will go a long way in eliminating the possibility of costly and potentially embarrassing problems later in the process! Final references should be checked with a combination of supervisors, peers, and subordinates, and with individuals other than those provided by the candidate. Keep in mind that while you may want to do ‘backdoor’ references yourself, in order to protect a candidate’s privacy, all references should be coordinated through your search consultant.

9. What is the firm’s role in candidate negotiations and closing?

This is a crucial step in the recruitment process, one in which a professional search consultant should be both comfortable and experienced. He/she must be able to effectively negotiate and communicate with both parties to achieve successful outcomes.

10. What are fees and expenses?

Retained firms typically bill between 30% and 33% of a candidate’s first years total cash compensation, paid in three equal installments over the first three months of a search. Most firms bill you for all expenses directly attributable to conducting the search, and some firm’s bill for non-itemized, or communication expenses. Upon request, firms may agree to a flat fee, or a discount based on volume of work. In some cases, firms will tie the timing of their invoices to their successfully attaining specific stage gates during the search process, including linking a portion of the professional fee to the completion of the assignment.

11. Is your firm accredited, are you a member of an Industry Association?

There are several key industry associations for retained Executive Search Firms, the most visible and important being the AESC (Association of Executive Search Consultants). AESC members comprise an elite group of top tiered retained Executive Search Firms. All members agree to abide by the Associations Code of Ethics and Professional Practice Guidelines, and meet strict membership criteria. Membership in the AESC is the only form of quality accreditation that exists for retained executive search consulting. The other key organization is the IACPR (International Association for Corporate & Professional Recruitment) whose mission is to provide the senior-level recruitment community with opportunities to network, share best practices and build cutting-edge expertise within a collaborative environment, and whose members are comprised of both corporate recruiters and executive search consultants