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8 Here are a few ways that well-placed algorithms and machine learning can help every HR department remove human biases and improve the hiring process. RANDY WILBURN, from page 5 “Instead of relying solely on a hiring manager, the algorithm can draw from a wider bank of information and process an enormous amount of data points that can help determine which potential candidates will be appropriate for a position.” For several decades now we’ve had personality tests to determine the types of profiles that perform the best in a variety of firm cultures. Now, algorithms will apply statistical modeling to candidate information from applications and other online forms that you put out there to gather information. This information, when parsed through a capable algorithm, can help HR departments predict the likelihood of whether a candidate will be a good fit.

Instead of relying solely on a hiring manager, the algorithm can draw from a wider bank of information and process an enormous amount of data points that can help determine which potential candidates will be appropriate for a position. In most cases, an algorithm can create a rating score of each candidate and compare that to historical information on former hires to determine the potential for success or failure. It sounds like a monumental task, but we are talking about a millisecond of computer time to give you the information you need to make a good hire. In an upcoming episode of The Zweig Letter Podcast , we have some very talented programmers who will discuss the growth of algorithms and machine learning in the recruitment space. It will shed additional light on this subject. Like humans, I don’t think computers will be infallible when it comes to the recruitment process. But I suspect that someone will develop a reliable algorithm that will make recruiting talent for your firm a much easier task. I know I can’t wait to use it. Firms are already employing this technology. Will your firm be next? RANDY WILBURN is director of executive search at Zweig Group. Contact him at rwilburn@zweiggroup.com. “Our leadership is young, enthusiastic, and competitive. Our transition to an ESOP has been viewed very positively, and we have had successful expansions of services, stable markets, and new offices with growth potential.” provided. We will likely continue to pursue acquisitions somewhat aggressively. TZL: What’s the greatest challenge presented by growth? CS: There are mechanical challenges like stressing the IT infrastructure, payroll, financing, leases, etc., but we be- lieve that the greatest challenge is culture. Whether you are growing organically, through acquisition, or both, you are adding people to your team who were not previously there. You need to maintain the cultural elements of what makes your firm special and communicate and protect the expecta- tions and accountability you have instilled. Find your cham- pions and make sure they are communicating the winning tendencies. TZL: What’s your prediction for 2017 and for the next five years? CS: We had a very strong 2016, a new high. Five of our last six years have been record highs, and we are predicting 10- 15 percent growth for 2017 based on current backlog and activity. Provided that the markets we serve are willing, we anticipate considerable growth in the next five years. Our leadership is young, enthusiastic, and competitive. Our transition to an ESOP has been viewed very positively, and we have had successful expansions of services, stable mar- kets, and new offices with growth potential.

CONFERENCE CALL, from page 7

CS: We provide some schedule flexibility for family activi- ties and such, but most of our people have a desire to be in our offices where the action is. This year, we will be a 100 percent ESOP. We believe this will be a fantastic mechanism to strengthen our culture – one of opportunity, knowledge sharing, competition, and accountability. TZL: How do you raise capital? CS: We use standard banking relationships. Like every- thing else, this relationship requires time and communica- tion. In an asset-poor industry such as ours, it’s key to find a bank that understands where your value is, how you do your work, and your strategies for future success. Our ESOP will be too new to use as a financing tool, but we’re open to that in the future. “We provide some schedule flexibility for family activities and such, but most of our people have a desire to be in our offices where the action is.” TZL: What’s your preferred strategy for growth, M&A or organic? Give us a synopsis of how your firm effected growth in the recent past. CS: In the past, we were strong proponents of organic growth. As a young firm, we were more comfortable mold- ing young talent the way we felt best; however, our acqui- sition activity has been fairly significant with three acqui- sitions in the last five years. In that time frame, our staff growth has been 30 percent through acquisition and 70 per- cent organically, but those two numbers are intertwined – many of the organic hires would not have occurred if it were not for the expansion and opportunities the acquisitions

THE ZWEIG LETTER February 6, 2017, ISSUE 1186

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