Introduction: The Economics of Search

The concept of headhunting may be introduced by a simple cost-benefit analysis of the reasons why a company should employ a search consultant in the first place. It suggests that — depending on the salary level of the appointment — headhunting generally costs marginally more than do-it-yourself recruiting, but it saves time and cuts risk in the long run. Thus we may see that on purely economic grounds, for specific needs, search has established a niche in the consultancy market; in later chapters we tackle the wider question of whether or not headhunting actually adds value, and can make a positive contribution to a company’s performance.