What are the factors that drive short-term results while ensuring the long term success of your recruitment business?
If you have ambitions to grow your recruitment agency, you’ll enjoy my conversation with Kevin Burch the CEO and co-founder of Questpro Consultants. Since they opened in 1996, Questpro has grown to a team of 35 people providing four service offerings: temp, retained/contingency, executive search, and college graduate placement.
In this episode, Kevin shares three of the secrets that have contributed to sustainable growth for the long run:
- Fostering a culture of achievement and empathy
- Diversifying revenue streams
- The mindset of embracing technology and staying relevant
QuestPro, a staffing and recruiting firm based in Dallas, Texas specializing in the insurance and risk management industry nationwide.
Episode Outline and Highlights
- [03:02] Kevin shares his perspective on collaborating, sharing ideas, and being in a community with competitors.
- [08:20] How Kevin got into recruiting.
- [12:42] Staff retention – How QuestPro’s staff tenure is way above average.
- [21:28] Getting rid of toxic people to protect your business culture.
- [27:09] The role that caring and empathy play in your business.
- [34:37] How Questpro diversifies its revenue streams.
- [42:16] Giving back to the insurance industry with their QGrad Division
- [50:56] Embracing technology to evolve and stay at the forefront.
Protecting Your Business Culture From Toxic People
Over the last 25 years, Kevin has built a team of 35 people which is already an achievement on its own. But the thing that stood out to me is how he is able to retain these talents. He has 3 or 4 people with a tenure of 20 years, several more in the 10-15 range, and some between 5-10 years. Out of his 35 team members, only 11 are under the 2-year tenure. If there is a key factor contributing to this phenomenal achievement, it is Questpro’s working culture. Kevin shared how they celebrate little things and big things, initiate fun contests, and reward and recognize performers. These engagement activities in Questpro are actually initiatives from the top management. For Kevin, the culture that they have is a culture not only of achievement but also of caring and empathy.
Kevin also discussed the importance of protecting their culture by letting go of toxic members that can disrupt team dynamics. He shared their story where they had to let go of large producers for the greater good of the group. Despite being a small company at the time, he was willing to let go of a big revenue contributor for the well-being of others. You will hear how making this move led to their company hitting their best revenues the following year that they made that decision.
Diversify Your Revenue Streams
Kevin has a tremendous experience with permanent, retained, contingency, and contract staffing. He shared a very interesting mix in his business that includes 50-50 on temp and permanent (direct hire). They have four service offerings, namely:
Questpro – Contingency and Retained Search
QTemps – Temporary and Temp-to-Hire Contract Staffing as well as Payroll Services
QGrads – Internships, Entry-Level, and College Graduate Placement
QExecs – Executive Placement through Seasoned Contract Executives
As Kevin said, “The theory that if you are a temp company you surely can’t be a permanent staffing partner, or you can’t be a retained partner is not true.” They even offer a “Grad Division” which helps keep the industry they serve full of fresh talent.
For recruitment business owners, the idea of diversifying your revenue stream is critical for success. If you are currently doing only direct hire or perm placements, for example, consider adding recurring revenue streams such as temporary, contract, or interim.
Keep on Learning and Embracing Technology
Another takeaway from this episode is how Kevin and his team embrace technology. Being a recruiter for more than two decades, Kevin finds the last few years have been interesting and they have seen a big flip in how business is done. We discussed how they are staying at the forefront of their market, such as:
- Using videos when interacting with clients and candidates
- Best practices for using text messaging effectively in their search process
- Discussion of available tech tools and platforms that they use in their business
For Kevin, re-learning and embracing technology is an advantage that contributes to his longevity in the industry.
Related Podcast You Might Enjoy
- TRR#116 How Treating People Well Delivers 30% Annual Revenue Growth for 15 Years, with Simon La Fosse
- TRR#153 Meet The Recruiter Who Survived And Thrived Through Four Recessions, with Gail Audibert
- TRR #171 4 Essential Skills that All Recruitment Business Owners Need to Be Successful, with Chris DiNaso