In family offices, employees must be able to pull their weight. If they’re assisting with family office recruitment, finding the best person for the position is crucial. They should be able to do the work correctly and integrate well with the team. However, continuity is vital to ensure that the affairs of the family aren’t disrupted by multiple staff changes.
New employees must be skilled and relied upon to stay the course. However, finding a candidate can be a complex process. They must be a strong cultural fit; understanding the family’s dynamic and being able to keep all personal information confidential is critical.This guide will help to walk you through the family office recruitment process so that you’re better prepared in your own family office environment.. It looks at key attributes to consider, major pitfalls to avoid, and an overview of qualifying candidates. Whether you need to hire for a single or multi-family office, you’ll learn about how to recruit most effectively.
Key Attributes to Consider for a Single- or Multi-family Office Candidate
Whether you’re dealing with a multi-family office or a single-family office, below are the attributes to consider when hiring a family office employee:
1. Adaptability and Resilience
The person you choose must be able to work with the particular requirements of that family, which could change based on the principal’s decisions. In fact, they might contrast sharply on a weekly basis. You might be dealing with traditional wealth management and switch to succession planning immediately after.
Family offices generally offer various services, so it’s up to the candidate to prioritize tasks based on the family’s current needs.
2. Skillset Suitability
Skill requirements will likely differ between family offices, and some of them offer niche or specific services. Therefore, a candidate might be knowledgeable in investment management, but they’re dealing with family businesses that need assistance with tax planning or raising capital from private banks.
If their skills and knowledge don’t align with what the family needs, there will be a major disconnect
3. Autonomy
An individual must be proactive and resourceful when working within a small team. There may be no formal infrastructure unlike a larger corporation.
Family offices should be confident that the candidate is able to work independently and serve the families well. Whether that’s wealth management, taxes, or something else, they shouldn’t need ongoing direction from a colleague or manager.
4. Flexibility
Sometimes, family members may require the family office staff to travel on short notice. The family may also need its staff to be available outside of normal working hours. The ideal candidate must be willing to be flexible and do whatever it takes to satisfy the family’s needs.
5. Attitude
The candidate should be ready to pitch in at any opportunity. In fact, the family office staff must be comfortable knowing that each task they undertake may not be in the job description or within the usual professional undertones.
Some candidates feel that menial but still important jobs are beneath them. For example, they may have to check the family’s home before they get back from a trip. If the candidate is unwilling, this indicates that they don’t have a suitable attitude for their role at the firm.
Pitfalls to Avoid When Dealing with Family Offices and Recruitment
When performing executive search for an established single-family office, recruiting for a larger family office, or setting up a new one, it’s crucial to stay vigilant against these four pitfalls. You’ll want to take these into consideration so that you don’t end up with a poor hire!
1. Cultural Incompatibility
It’s crucial to have compatibility between the employee, the office they’ll be working at, and the family members. Since most family offices are small, this is extremely important. The applicant could have enough technical competence, but their personality doesn’t ensure a good cultural fit.
During the family office executive search phase, it’s important to note that this type of work isn’t for everyone. The “fit” within the team can be hard to evaluate during a standard interview, but psychometric testing can provide a solution.
2. Hiring the Best in the Market and Not On It
Family office recruitment shouldn’t just focus on individuals who have applied for that job. You also have to think about those who don’t seem to be actively searching for new roles.
The goal of the exercise should be securing the best candidate within the market. To do that, you can’t only focus on candidates who are on the market.
Overall, the best person for the role isn’t likely to be in a recruitment database. However, they are often motivated to check out a new position when approached by a specialist in family office recruitment.
3. Career Development Expectations
Family offices often operate using a flat management structure. Therefore, employees who want to advance rapidly might become dissatisfied with the options available. Choose an employee who understands that and is attracted to the job satisfaction that the family office offers.
4. Focusing Only on the Existing Contacts
There’s no inherent issue with hiring a personal contact. However, if you give these candidates undue priority when the management doesn’t know them, it could cause a problem. Don’t rely solely on personal contacts. It’s valid to bring them into consideration, but they must be compared to others and be presented to the families they’ll represent.
Evaluating Candidates – Family Office Executive Search
Evaluation is crucial for family office recruitment. Here are a few things you should consider for your family office executive search:
Psychometric Testing
Psychometric testing will reveal insight into the candidate’s personality and methodology. Family offices will learn about the candidate’s motivations.
Below, you will find some interview questions suitable for family offices and their candidates:
- Do you have any previous experience working with a family office in a flexible location?
- Can you give examples of when you had to fulfill specific requirements?
- Do you have a proven track record with helping family offices?
- Have you ever been involved with succession planning or wealth management for clients?
- Can you work independently and within a small team? Please provide examples.
- What does job satisfaction mean to you?
- What do you do when you have a problem in a family office that you’ve never encountered before?
Family Office Recruitment – Final Thoughts
Multi-family offices are primarily there to help clients gain a long-term view of their finances and wealth. The recruiter’s job is to support their families through executive leadership and an innovative approach. They find appropriate talent for the family.
For a free consultation on your family office hiring strategy, contact The Quest Organization at info@questorg.com or 212-971-0033!
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