"Should we look within our organization, or search outside, to fill our executive level position?"
Throughout the 17 years I have been involved in executive-level search I have had many discussions with CEOs, search committees and other senior-level management concerning this recurring question. Determining when to fill top jobs from inside the organization and when it is better to look outside the organization is rarely a clear-cut decision. Each situation has to be judged on its own merit.
Here are some of the more typical considerations:
- Innovation — organizations often look outside if they are looking for fresh ideas or intending to develop new strategies.
- Cost — keep in mind that it can be more expensive to bring someone in from outside the organization.
- Culture — there is no guarantee that the new hire will adapt to the company's culture.
And here are a few that might help you when the answer to the inside/outside dilemma isn't so obvious:
- When expanding, developing a new program or service, or anticipating significant organizational change, outside expertise could provide the jump start you need.
- Staff jobs, such as Marketing or Human Resources, typically have skill sets that transfer easily to different industries, expanding your talent pool.
- When inside managers have repeatedly failed to reach objectives, bringing in management from outside will often provide the right mix of vision and leadership.
- Finally, consider that an internal candidate may bring a more conservative agenda to the job. An outsider will often bring new ideas and a fresh perspective.
For some organizations, the hybrid approach works best — including candidates from both inside and outside. Even though you may have a strong internal candidate, weighing their skills against external candidates can enhance the process and results. No matter who you hire, they have the backing of a solid hiring process to get started in their new role.
Unfortunately, decisions such as these are rarely black or white. Contact me and let's talk. I'm happy to be a sounding board should you want to discuss your unique needs and circumstances.
Kate L. Kingsley
President