More and more executives from large corporations are being lured to small companies. In terms of recruitment tactics, it’s clear that small companies can’t compete with bigger rivals on com- pensation alone. Other motivators, however, can help attract talent, including greater responsi- bility, a more collegial corporate culture, the absence of bureaucracy, and the chance to build a business and to cash in if it eventually goes public. Often, the clincher in terms of closing the deal is the passion that a small-business CEO shows for his or her business. Take Dan Nye, for instance, the CEO of LinkedIn, the online networking service for business professionals. He tries to appeal to the desire of many large-company executives to make more of a mark than they can at their current employers. He says, “You have 20 to 25 years left in your career. Are you going to be the person who didn’t take any risk and just lived a conservative, quiet life? But if you take this risk, even if it doesn’t work out, you’re going to feel great that you tried.”
As another example, consider what happened less than a year after Tom Tiller retired as chief executive officer of snowmobile maker Polaris Industries. He was approached by a solar start-up about its top job. As he was mulling over the offer, a large crate arrived at his Minnesota home. Inside was a black solar panel with a message etched on its surface: “With your leadership we can change the way the world is powered.” It was signed by the board and founding members of Abound Solar. “I was truly touched,” recalls Tiller. “It helped me explain to my family and friends why I even considered packing up and moving to Colorado to become a CEO again.”
1. Serious talent shortages exist in many places, but these are not the only reasons for the recruiting problems experienced by many small businesses. What are some others?
2. As a manager in such a small business, what sources might you use to find new workers?
3. What special advantages does a small business have over a large one? How can you incorporate these into the recruitment process?