SIA have developed their own methodology for evaluating the potential of each staffing market. They have assessed 60 different staffing markets across six Continents and produced the “Most Attractive Staffing Markets Globally 2017”.
Methodology
SIA’s methodology provides a structure for understanding different strengths and weaknesses and a template for comparing a wide range of very different markets. Staffing markets have been ranked according to 10 different components, using data from SIA’s research as well as economic and other data:
- Market Size
- Protection of Permanent employees
- Regulations on Temporary Agency Work
- Ease of Doing Business
- Economic Growth
- Short-Term Growth
- Long-Term Growth
- Market Competition
- Political Stability
- Higher Education and Training
Opportunities
There are many opportunities to develop your business outside your home market – not just in some of the newer emerging staffing markets but also in established markets as well.
Ireland was identified as the most attractive overall and Malaysia as Asia’s most attractive market. With Brexit and other global political and economic activity, there is plenty of movement from last year’s table.
Not surprisingly, if you think a market is attractive then chances are plenty of other people will as well. If you simply want to go with the crowd, you may find that your growth ambitions will be disappointed. Better prospects may be found in less developed, less crowded markets.
Identifying high-growth staffing markets is only part of the story and will require considerable planning, resources and management expertise to be successful.
Of the markets analysed, Nigeria is the least attractive.
It is stressed that readers should not interpret ‘least attractive’ as ‘unattractive’. All staffing markets have potential if a recruitment agency has the right services/products, the right price, the right sales/marketing strategy and the right personnel. Using SIA’s analysis as a framework, you could choose to refine it further for your own purposes by weighting each of the scoring components.
Corporate Members
Corporate members can download a copy of the report as well as the accompanying interactive Market Attractiveness Assessment Tool. The Market Attractiveness Assessment Tool allows users to conduct their own assessment based on the indicators that they perceive as more relevant to their business case as well as to assign custom weighting to all scores.
HHMC Global works with owners and leaders of staffing and recruitment businesses on market valuations, buy/sell transactions, growth strategy and advisory matters. If this article raises issues relevant to your business, we would be pleased to continue the conversation.
