

Human Resources and Payroll in China 2016-2017 (5th Edition) -
21
Research Target Companies
Establish a list of “target companies” consisting of direct competitors and other firms who might
have suitable candidates. This can be followed by cold-calling target companies to obtain the name
and contact details of the target candidates.
Legal Note
No statutory law exists against cold-calling. However, we recommend that companies engage
a third party, usually a recruitment firm, to make the initial contact so that there is no clear
connection to the company at this stage.
Contact Target Candidates
When contacting target candidates whose profiles are not known, the purpose of the call is to
introduce the opportunity and obtain the candidate’s interest in the job opportunity. If the candidate
indicates an interest, the next step is to have him/her send a CV. Only at this stage will one be able to
assess whether the candidate is suitable for the position or not. This means that a significant amount
of resources are required to obtain profiles that are eventually found to be unsuitable for the position.
In China, it may still occur that senior Chinese professionals do not have a digital resume; in such
cases, making a structured inventory via the phone may be a feasible alternative for obtaining a
short candidate profile.
When the profiles of target candidates are already on hand, the potential employer can conduct a
proper CV screening before contacting the candidate to introduce the job opportunity and obtain
candidate interest.
Involve a Recruitment Firm
Companies have a number of internally controllable channels to find the right candidates to fill
vacant positions. However, it is more challenging to find qualified candidates for specialist and
managerial positions, as the supply of candidates becomes ever scarcer. Recruitment firms are often
used to reach this pool of talent in the market, who are generally passive candidates not actively
looking for a change in their career path. As being introduced via a third party comes natural tomost
Chinese in various social settings, they are generally receptive to being introduced to an employer
by a recruitment firm. This is in contrast with other markets where candidates prefer direct contact
with the employer and might consider intermediaries as an annoyance.
Companies considering engaging a recruitment firm to find specialists or managers should decide
whether to use a contingency or retainer search agreement. There are twomain differences between
these types of agreements: methodology of selecting candidates and payment.