The real estate market has dropped in the past few years, and part of this could be from the aging workforce. Succession planning isn’t easy, though the National Institutes of Health offers a step-by-step guide to make it a little easier. However, you may want to consider working with real estate recruiting firms to get the job done well.
Overall, it’s important to understand the challenges you might face as the workforce ages. Whether you are a company vice president or deal with asset or property management, finding qualified professionals isn’t easy without the help of real estate executive search.
Most real estate conglomerates spend years building a vast network of people to help with multi-family housing and all the rest. Without clients, you can’t do your job, but it goes further. Without the right real estate professionals, the entire company falls.
The Challenges the Real Estate Industry Sees with an Aging Workforce
Succession planning is a crucial component to your organization’s strategy, especially in today’s environment. It helps you develop and identify your future leaders within the company, ensuring continuity and long-term success.
US businesses are seeing high levels of change because of shifting demographics, globalization, and technology. Here are the reasons to consider real estate executive search for succession planning because of the challenges you’ll face with an aging workforce.
Need for New Top Talent Because of the Aging Workforce
The biggest driver for succession planning is that the workforce is now aging. Baby boomers were the largest generation in history, but they’re close to retirement age. They’re leaving the workforce (or about to), and they’re taking their professional expertise, skills, and knowledge with them.
Being proactive with real estate staffing needs now will help you identify exceptional candidates for leadership roles within the company. This will ensure you transition smoothly and reduce disruptions.
Technological Advancements
Most of the current talent lived before the internet. Though they might adapt to change, you also have great candidates out there who have lived with it for most of their lives. Technology is advancing quickly, and you need to move with it to be competitive.
Talent Management
You need to find the top talent now before everyone retires in your company. The best candidates are those who already have the skills required and have worked with you. Though promoting from within is crucial, you also need real estate executive search to ensure the right person is in each position. Consultants can help you!
Risk Management
When you focus on succession planning now, you reduce the risks to your company. You’ve got a plan in place. Find a vice president now with real estate executive search.
What Is Succession Planning?
Everyone knows that the aging workforce can cause problems as those people retire. You must focus on asset management now. Even Congress understands the challenges and opportunities available, which it reports on in this PDF.
A succession plan is the map to help you locate the successors for the critical roles in your business. You don’t want to be stuck with a new direct hire from outside because they won’t know what your organization is about. Instead, you should identify your critical employees, determine who you already have, and promote from within as much as possible.
Why Have a Succession Plan
Overall, not having a succession plan can adversely affect your business. It’s there to promote growth, but a poor plan means that you may have to go backward. Here are the reasons to have a succession plan:
More Productivity
When you promote from within, employees are more engaged because they know you care. This means more productivity as the years go by.
Risk for External Recruitment
You can always use real estate executive search to find a vice president or anything else. However, external recruitment is often a risk. When you promote from within, you already have the ideal candidate.
Costly Staff Turnover
Sometimes, employees will leave the business if they aren’t at least considered for the opening positions. Whether you specialize in multi-family housing in Virginia or commercial properties in San Francisco, it’s often wise to focus on who you already have first.
Who Needs a Succession Plan?
Every company should have a succession plan, but it might look different depending on how long it’s been in business.
Start-Ups
Start-ups will likely have various managers, senior consultants, leasing agents, administrative assistants, and others.
Larger Companies
Large companies will likely have many VP positions, including those for accounting, leasing, administrative tasks, asset management, property management, marketing, human resources, legal, finance, compliance, and investor relations. This is where executive search can come into play if current staff can’t handle the extra responsibility.
How a Real Estate Executive Search Firm Can Help with Succession Planning
Real estate industry recruiters can help with succession planning. Clearly, there’s a vacant position to be filled, and you cannot promote from within. Not only will they help you find what you need, but they will also be there to develop the succession plan.
Shorten Hiring Cycles By Getting Ahead of the Curve
Typically, recruiters have a shortlist of candidates you can consider in a pinch. Some of them might not be available or want the job, but it can shorten your hiring cycle significantly.
Find Qualified Candidates Ahead of Time Instead of Reacting
When you allow the executive search recruiters to help with the succession planning process, they will ensure you find the best talent available before the anticipated need. Your clients won’t see any blips in service, and you can start the process beforehand.
Commercial Real Estate Recruiters Know Your Culture and Staff Needs
Using a recruiter to help with succession planning means they can evaluate your staff and culture to find the ideal candidate when the time comes.
Changes in Organization Structure
Many times, companies have one person who handles multiple roles. It might be wise to work with a real estate recruiting consultant to determine if that’s still possible or if two people might be needed in the future.
Get Outside Opinions on Qualified Candidates
Typically, real estate recruitment firms offer an extra set of eyes or an outside opinion on your needs. In some situations, for example, you might not require someone in that same position.
Final Thoughts on Succession Planning with a Real Estate Executive Search Firm
Using commercial real estate recruiters for succession planning starts with the development of the plan. It makes more sense to know who’s available before you need them. The Quest Organization can help you with this! Please contact us for a free consultation at 212-971-0033 or email info@questorg.com.
Leave a Reply