Perhaps the most important decision in attracting the next hire in the Covid era is geography, Townsend said, explaining that firms must identify whether they want to cast a broad net from a geographical perspective. Townsend said she is seeing more firms make strategic decisions about whether they want their talent to be in the firm’s office. “There is no right answer, but it’s something that needs to be strategically thought about,” she said.
Townsend said retention is arguably the most difficult part of finding good talent. Having a great culture is key, she said, noting that firm leaders are often unable to articulate their own culture.
“You have to have a culture that is clear, that you live and breathe every day, that the team knows and understands,” she said.
Townsend said career progression, opportunity and understanding what promotion looks like is also critical to the retaining people. She said many firms say they are doing this, but that is not the case, according to a 2019 poll BNY conducted that showed less than 10% of firms promoted someone within the firm. “We talk a lot about career progression and promotion, but we don’t see a lot of it actually happening, and that leads to people feeling like they need to go find opportunities elsewhere,” she said.
There is no quick fix when it comes to attracting and retaining top talent, whether a firm is big or small, she said. Townsend said firms need to prioritize human capital strategies and plan for the long term.
“When you put time and effort and care into creating that plan, don’t think of it as a cost to your business; really think of it as an investment in your firm,” she said. “Take time and be thoughtful and strategic about it because at the end of the day you are building the culture of your firm and the culture is driven by the people.”