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MRR-LEADING-TALENT-ACQUISITION-FIRM.pdf

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   1 STRATEGY MAP FOR AAA’s   ‘CLIENT FIRST’ VISION  MANAGEMENT RESEARCH REPORT PREPARED BY PRADEEP SAHAY MM  –  2010 ASIAN INSTITUTE OF MANAGEMENT  –  MANILA, PHILIPPINES     2 Table of Contents  1 INTRODUCTION ..................................................................................................................................... 5 1.1 Background ................................................................................................................................... 5 1.2 Rationale of this Study .................................................................................................................. 6 1.3 Objectives...................................................................................................................................... 6 1.4 Scope and Limitations ................................................................................................................. 7 1.5 Methodology ................................................................................................................................. 7 2 MACROENVIRONMENT ANALYSIS- TALENT ACQUISITION ................................................................... 8 2.1 The Changing Recruiting Landscape ............................................................................................. 8 2.2 Global Recruitment Market  –  An Overview ................................................................................ 10 2.3 Macro-Economic Indicators - India Perspective ...................................................................... 11 2.3.1 Political & Economic Indicators ....................................................................................... 11 2.3.2 Social & Technology Indicators- The Millennials ............................................................... 13 2.3.3 India Employment Outlook ............................................................................................... 15 3 INDUSTRY ANALYSIS ............................................................................................................................ 16 3.1 Industry Structure and Characteristics ..................................................................................... 16 3.1.1 Executive Search firms: The ‘Expertise’ or the ‘Brain Surgeon’ Practice.  .......................... 16 3.1.2 Executive Search & Selection firm: ‘Experience’ or the ‘Grey Hair’ Practice  ...................... 17 3.1.3 Staffing & E- Recruitment Firms: The ‘Efficiency’ or the ‘Procedure’ Practice  ................... 17 3.2 Industry Size ................................................................................................................................ 19 3.3 Potential Growth and Forecast ................................................................................................... 20 3.3.1 Future Employment Trends ................................................................................................ 21 3.4 Customers- Target Market ...................................................................................................... 23 3.4.1 The Talent Concept ............................................................................................................. 24 3.4.2 “Talent War” - Collaborative and Creative approaches for Talent Solutions .................... 27 3.5 Competition Assessment ............................................................................................................ 28 3.5.1 Outlook- Indian Executive Search Industry ......................................................................... 28 3.5.2 Key Competition Strategy ................................................................................................... 29 4 MARKET ANALYSIS .............................................................................................................................. 32 4.1 Primary Target Segment ........................................................................................................... 32   3 4.2 Sourcing and Recruiting: Trends, Challenges and Insights ......................................................... 32 4.2.1 Key Survey Findings ......................................................................................................... 33 4.2.2 Key Market Insights ........................................................................................................... 43 4.3 Potential Demand and Supply .................................................................................................... 45 4.3.1 Talent on a Conveyor Belt - Managing the supply chain .................................................... 47 5 CONCLUSIONS ON EXTERNAL ANALYSIS ......................................................................................... 53 5.1 Key Success Factors ..................................................................................................................... 53 5.2 Logic of the Industry .................................................................................................................. 55 5.3 Opportunities .............................................................................................................................. 56 5.3.1 High Growth Industry Verticals in India .............................................................................. 58 5.4 Threats ........................................................................................................................................ 60 6.0 COMPANY ANALYSIS ............................................................................ 63 6.1 Introduction.................................................................................................................................... 63 6.2 Background ..................................................................................................................................... 64 6.3 Organizational Overview ............................................................................................................... 65 6.3.1 Organization Structure ........................................................................................................... 66 6.3.2 Client Matters ............................................................................................................................ 71 CLIENT- RELATED INFORMATION ................................................................................................................ 73 6 TEAM INFORMATION .......................................................................................................................... 73 6.3.3 People Matters ......................................................................................................................... 75 6.3.4 Strategic Alliances of AAA ........................................................................................................ 81 6.3.5 Technology: AAA Human Resource Management System (HRMS) ....................................... 82 6.4 AAA- An Organization Critique ........................................................................................................ 83 6.4.1 “Brand, Strategy, Structure & Technology”: Key Challenges  ................................................... 83 6.5 AAA- Financial Highlights ................................................................................................................ 89 7.0 STRATEGY FRAMEWORK ...................................................................... 95 7.1 Introduction.................................................................................................................................... 95 7.2 AAA  –  Strengths and Weaknesses ................................................................................................... 96 7.2.1 Strengths .................................................................................................................................. 96 7.2.2 Weakness ................................................................................................................................. 99 7.3 SWOT Analysis ............................................................................................................................ 101 7.3.1 Why Perform a S.W.O.T analysis? .......................................................................................... 101   4 7.4 STRATEGY IMPLEMENTATION PLAN ......................................................... 104 7.4.1 Introduction ........................................................................................................................... 104 7.4.2 Overall Corporate Strategy  –  AAA ....................................................................................... 105 7.4.3 Building the AAA Human Capital edge ................................................................................... 106 7.4.4 Ensuring a ready talent supply: The Right People, Right Now ............................................... 108 7.5 AAA Financials  –  Future Outlook.................................................................................................... 114 7.6 Potential Problem Analysis ........................................................................................................... 120 7.6.1 Contingency Plan............................................................................................................... 122 7.7 Key Strategic Insight- AAA as a Talent Factory......................................................................... 123 8.0 RECOMMENDATION AND CONCLUSION .............................................................. 125 8.1 Recommendation ...................................................................................................................... 125 8.2 Conclusion ................................................................................................................................. 128
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