The Modules
Module 1 - Introduction & Core Concepts
Growing your recruitment business is like constructing a building. "The loftier the building, the deeper must the foundation be laid." Module 1 lays the foundation which we will build upon in subsequent Modules.
Don't be tempted to skip over this section because you'll miss key concepts which Romney refers to throughout the rest of the course!
In Module 1, you'll learn:
- 4 Core Concepts that are central to Romney's business philosophy and that he has applied successfully to every business in which he's been involved
- Terminology: 6 words/phrases to STOP saying immediately -- and what to say instead -- in order for clients to perceive you as a True Consultant, not just a salesperson
- 8 Definitions which are critical to understand if you want to increase the value of your business
- The Dangers of growth - and how to offset the risks
- How much is YOUR business worth? The P/E Ratio ("multiple") applied to a Sample P&L Account
Module 2 - Transitioning from Sales Management to Business Management
If you want to build an extraordinary business - one that creates significant wealth for the owners - then increasing your sales is not enough. You must also increase the VALUE of the business. For most owners, that will require a new set of skills.
Many recruitment business owners started out as top billers who were promoted into management. They may have progressed from there to Director level, or left to start their own firms. However, in spite of being good Sales Managers, very few have ever received formal "business training."
In this session, you'll learn:
- The difference between Sales Management and Business Management
- 8 Factors that dictate the VALUE of your business
- 5 Keys to boosting Net Profits
- 10 Ways to measure sustainability and quality of Earnings (NB "Earnings" is the word investors use for "Profit")
- The important of being able to show Earnings Growth
- 7 Signs of staff stability & loyalty
- 6 Indicators that you have good Management Controls
- How an Acquirer will evaluate potential ROI
Module 3 - How to Scale Your Business with Strategic Planning
What are your long term ambitions for the business? Are you clear as to how you'll achieve them? You may (or may not) have a business plan. If so, that's certainly a good start. But a "business plan" is not the same thing as a "strategic plan." And if are serious about scaling your business, you will absolutely need a Strategic Plan.
At Select Appointments, Abacus, Judd Farris and other recruitment companies where Romney has been instrumental in significantly increasing shareholder value, a detailed Strategic Plan was, in every case, an essential ingredient in their success.
In this module, you'll learn:
- Business Planning vs. Strategic Planning; why you need a Strategic Plan
- Identifying your unique business DNA
- The Ashridge Model and Corporate Vision Exercise
- The Top 7 Growth Drivers - in order of importance
- 8 Factors that enhance your business value -- and 8 factors that reduce it
- Sample 3-5 Year Strategic Plan Template
Module 4 - How to Differentiate Your Service From the Competition, Permanent
Why should clients do business with you, instead of your competitors? In this session, you’ll discover how to really differentiate your business in the eyes of your customers, so as to gain market share and increase your margins.
Part 1
Romney reveals the powerful "differentiators" that he implemented at both Select Personnel plc and Abacus Recruitment, which gave them a huge advantage against the competition and lead their meteoric growth. He has since enabled many other businesses to successfully introduce and implement them. You can copy Romney's differentiators and apply them to your business, if you wish. More importantly, you'll be able to develop your own unique set of Differentiators.
In this session, you'll learn:
- What have you got that's REALLY different? Does your "USP" (Unique Selling Proposition) pass Romney's Acid Test?
- Romney's Differentiators: The UFG, the Partnership Programme, "Magic Wand" and more
- How to use the Differentiators to increase your Average Fee Value, reduce debtor days and improve cash-flow
- Sample Terms of Business and Invoice incorporating the Differentiators
- The Placement Analysis spreadsheet that helps you STOP discounting and improve margins
Part 2
Differentiation is such an important strategy that Romney wanted to give you an in-depth understanding of how to apply it to your business. So instead of leaving anything out, we decided to split the video into two parts.
In Part 2, Romney shares 6 more powerful Differentiators that he's implemented successfully in several different recruitment companies. Again, you are welcome to copy these proven Differentiators, or use them as inspiration for creating your own.
In this session, you'll learn:
- 6 More Proven Differentiators
- Counter-Measures for Counter Offers - how to improve your offer/acceptance ratio and make more placements
- Creative Pricing - break the mould (without decreasing your fees)
- Service Level Agreements for both clients and candidates
- How to present your Differentiators - and sell the benefits to your customers
Module 5 - How to Differentiate Your Service From the Competition, Temp/Contract
In this Module, Romney shares differentiators for Temporary, Contract and Interim. Permanent recruiters should also watch this Module - especially the final section on presenting your differentiators.
Romney shares his "Golf Club" analogy; you may have a full set of golf clubs (differentiators) in your bag, but you don't get them all out at once. You have to know when to use each club, and then practice your swing.
(NB If you don't have a temp/contract or interim side to your business, then you could be missing a trick. Not only do temps provide a recurring revenue stream, but they significantly enhance the value of your business. That's because acquirers will pay a higher multiple for temp/contract businesses.)
In this session, you'll learn:
- 10 Proven Differentiators, including: Loyalty Bonus, Headstart, and more
- Quality Control Systems for Temp and Perm -- some really good ideas here!
- How to roll out your Differentiators internally and externally
- The Dangers of growth - and how to offset the "DEB your Diffs" - Sample Differentiator scripts to sell the benefits to clients
Module 6 - Using Management Information to Improve the Value of Your Business
You can't manage what you don't measure! If you want to increase your sales, profits and business value then you need data. For example, how can you make a plan to improve cash-flow if you don't know your Average Debtor Days?
Likewise, how can you increase your Average Invoice Value if you don't also know your Average Placement Salary and Average Fee Percentage? Do you know the average salary cost per fee-earner as a % of Gross Profit? Do you even know why that would be important?
Remember if you're serious about growing a world-class business, then you should "pretend" you're running a publicly quoted company. As the CEO or Managing Director, you need to have a firm handle on your numbers. That's where Management Information Systems come into play.
In this session, you'll learn:
- The Driving Wheel Concept for Building VALUE
- The right way to set targets -- and motivate staff to achieve them!
- Operational Measurements; getting meaningful data to support management decisions
- Setting KPI's and motivation through Visibility
- Financial Measurement: analysis and interpretation of Financial and Management accounts
Module 7 - How to Improve Your Profitability by at Least 50%
Why focus on profit? As a business owner, your motivations to increase profits might include: earning bigger quarterly dividends, providing greater financial security for your family, enjoying a really good lifestyle, and ultimately having more freedom. But profit is important for all sorts of reasons.
Profit generates CASH. As we all know, cash is king! Cash can be used to fund further growth, which in turn should lead to greater profits, which generates even more cash. Finally, the value of your business is predicated on profitability. The higher the profits, the more your business is worth.
In this session, you'll learn:
- How some easily achievable 1% changes will increase your profits by at least 50%
- How to uplift permanent placement fees by resisting price pressure; putting processes, systems & training in place to reduce discounting
- Temporaries pricing; How to increase your margins
- 10 Ideas for Boosting Revenues
- 10 Ideas for Slashing Costs
Module 8 - Structured Staff Selection to Hire and Retain Good People
The success of your business rests largely on hiring the right people. It stands to reason that if you hire average people, you'll have an average business. If you want an exceptional business, you must hire exceptional people.
However that's easier said than done. We surveyed hundreds of recruitment business owners, asking: "What is your single biggest business challenge?" The most common response: it's hard to find good people. (The irony is not lost on us either.) Clearly, the challenge of internal recruitment is a major constraint to growth -- one you must solve before you can scale your business.
In this session, you'll learn:
- 6 Elements of a really effective Selection Process
- Should you hire experienced recruiters or rookies? Here are the pros/cons...
- The 4 key sources of talent -- which of these could you add to your Internal Recruiting Plan?
- Presenting your opportunity - do you cover these 6 selling points?
- 10 Evaluation methods to help you avoid costly hiring mistakes
- How to build the 'ultimate' interview process -- 16 interview methodologies to identify top-producers
- 12 Great interview questions; 4 role play scenarios
- 7 Ways to make people to want to work for your company
- The 9 step offer management process to ensure your offers are accepted
Module 9 - How to Structure Commission Schemes that Work
"How should we structure our commission scheme?" is a question we're asked frequently. It's not surprising in a sales-driven business like recruitment that staff compensation is a contentious issue. Money is important to all of us, and is a subject that both you and your staff will have strong thoughts and feelings about.
If you pay too much commission, your profits may be less than you'd like. On the other hand, if you don't pay enough commission that will undoubtedly make it harder to attract, retain and motivate your staff. So what is the solution to this conundrum? While there's no such thing as the "perfect" commission scheme, Romney gives you the methodology for creating a commission scheme that works for YOUR business.
In Module 9, you'll learn:
- 25 points to consider when creating an effective commission scheme
- What the the pros/cons of these SAMPLE commission schemes?
- How to calculate the appropriate "threshold" or desk cost above which commission is payable
- How to incentivise consistency and iron out the peaks
- Why your commission scheme must be aligned with your Strategic Aims
Module 10 - How to Enhance Shareholder Value and Achieve a Successful Exit
Many entrepreneurs dream of selling their recruitment business for millions, but have no concrete plan for achieving it. In Module 10, we'll show you the exact formula for creating a winning Exit Strategy. Romney has traveled this road many times and can guide you every step of your journey, showing you the shortcuts and the pitfalls to avoid.
What if you have no intention of selling or floating your business. Is this module still relevant to you? Absolutely! Romney uses the analogy of selling your house. You may not have any immediate plans to sell your house but presumably you'd still be interested to know how much its worth and how to increase its value.
Besides, every business owner can benefit from building a self-managed business that operates profitably without your day-to-day involvement. If you don't want to sell the business, you can appoint a manager to run it for you. That gives you the freedom to continue earning dividends while pursuing other interests.
In this module, you'll learn:
- 9 Things you must consider when planning your Exit
- The pros/cons of possible Exit Strategies including: Trade Sale, MBO, Floatation
- 8 Factors that enhance the value of your business; 8 factors that decrease its value
- 7 Elements of Exit Strategy planning
- How to sell your business, including: the Grooming Process, Advisors, Marketing, Negotiating, Closing and Earn Outs