| SIC Codes: | |
| NAICS Codes: | 561312 |
The US executive search services industry includes about 7,500 establishments with combined annual revenue of over $7 billion. Top companies include Korn/Ferry International, Heidrick & Struggles, and the executive search arm of Robert Half Management Resources. The industry is fragmented; the 50 largest firms account for 40 percent of revenues.
Job growth drives demand for the executive search industry. The profitability of individual companies depends on good marketing, development of a loyal client base, and effectiveness at identifying and recruiting qualified candidates. Large firms, especially those with an international footprint, can take advantage of multinational corporations’ need to find qualified executives all over the world. Small companies can compete successfully by specializing in recruiting for an industry or a job function.
Executive search firms provide a variety of functions: they locate candidates for executive positions, maintain a large database of executives' resumes, match suitable candidates to clients, and conduct prescreening interviews and background checks on behalf of employers. Executives recruited by such firms generally fill permanent, top-level management positions, in contrast to workers recruited by personnel staffing agencies, which fulfill temporary assignments for clients.