2011 started with a bang and much promise that we were finally through the GFC and on the road to recovery, but like the rest of the economy the recruitment industry seems to be in a two-speed mode – there are recruiters you talk to who are experiencing results seen pre-GFC and there are others who describe business as “patchy” – with one good month followed by a bad one. Working as we do off the back of the recruitment industry, I consider we are actually a very good monitor for the industry as a whole. Most companies I know reported a good first quarter for the new financial year, followed by a dreadful October. Reasons for this were varied; however, the economic news out of the US in addition to European woes with Greek and Italian debt worries and unstable governments has undoubtedly had an effect. The relatively unstable government in Australia plus the recent Qantas industrial problems has also negatively impacted the economy. None of these issues are going to be fixed overnight so I believe we need to accept the situation and get used to the fact that this is how it’s going to be from here on in. We are unlikely to return to the boom days pre-GFC and business will continue to be susceptible to what is going on around the world and locally. How you react to this and how you will fare largely depends on what state your business is in. You need to have the right people working with you, be debt free, have kept your costs down, have good processes and procedures in place and have worked on getting your brand predominant in your particular market. You need to have a loyal client base, access to candidates in your area, be well connected in social media and have all the right technology in place if you want to be in a position to experience success. Managing your cash flow is essential. We saw an interest rate drop on Melbourne Cup day, which was a pleasant surprise for some. And we could even see another one early next year. It’s important to remember that when times are good it is wise to put some money away – the rainy day may be just around the corner. May I wish all recruitment extra readers a very happy Christmas and a great 2012.

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Pop, bang, fizz – Reports Rosemary Scott