The complexity of the requested documents and the scoring based on such criteria as “the number of international management personnel recruitment offices” or “the list of references from the clients with the highest revenue” made headhunters believe that, by Tuesday (the deadline to submit the documents and register for the tender), they were required to bring the documents for the final tender, which chooses the firms that will select chief executive officers for the large state-owned companies.
“I got calls from people in Austria and Germany who started putting together the documents required to participate in the tender, as they thought it was the one intended to select the companies that will recruit CEOs for state-owned companies. Considering 30% of the score comes from client references, how can one gather reference letters from 100 domestic and foreign clients in three working days?” said George Butunoiu, one of the best-known local headhunters.
The Economy Ministry representatives, however, say that this tender will decide who is to provide consultancy for the management of this project and help set new conditions for the headhunting contract.
The different sums earmarked for the contracts with headhunters added to the confusion. ZF this week wrote that the headhunter winning the first tender is likely to get an EUR120,000 contract by yearend. The guidelines published on the ministry’s website show two different sums earmarked.
According to ministry officials, the firm sealing the contract with the Economy Ministry by the end of next week is likely to get a total sum of EUR600,000 in a contract valid until next September. Of this sum, EUR120,000 at most could be received by yearend and the rest of the sum can be distributed in subsequent contracts, whose individual value cannot top EUR200,000.
Officials promise that the new private manager will be allowed to make changes to the management structure, by replacing or moving current managers from one department to another, depending on the audit they will perform when they get the position. Headhunters will also help consultants working on the project draw up a set of criteria regarding the experience and studies required of the companies’ board members.
Executive search companies have shown interest in the government’s project so far, saying it is the first time it resorts to professionals to make cost savings.
The need to change the management structure at state-owned companies has become, overnight, a business opportunity with a huge stake for companies on the executive search market, which, once they place a private executive in a state-owned company, will take the first step toward gaining some future contracts for other recruitment project at the same company.
(English version by Catalina Apostoiu; Editing by Loredana Fratila-Cristescu and Radu Bostan)