DOING THE MATH

For retained executive search to make sense from a budgetary perspective the positions have to be senior enough — and important enough — to warrant the investment in retained search.

Major global retained search firms have retained search fees of at least $100,000 per search engagement. Large search firms require higher fees in order to cover higher overhead. Additionally, most large global retained firms only accept searches for candidates with annual cash compensation of $300,000 a year or more.

In contrast, because Alphanumeric Group Inc. does not have huge overhead, our fees are usually more reasonable. Retained search fees at our firm typically range between low to mid-five figure and low-six figure fees per engagement. Though titles vary, most of the retained searches our firm undertake are roles at the vice president level and above or an extremely critical key contributor role. Board searches average mid-five to low-six figure range. For some C-level roles, the retainer is higher.

Unlike the traditional model of search consulting, we charge a fixed fee for our assignments. That means our only incentive is to deliver what is best for you. Our fixed-fee policy frees us to be diligent, thorough, and completely unbiased, able to assess internal and external candidates on an equal basis and facilitate hiring negotiations with no conflict of interest.