A Swot Analysis of Capita

STRENGTHS

• The industry is a mature and experienced one, with a collective knowledge of all the business and public sectors in the UK.

• For businesses that do not have their own recruitment professional in house, the recruitment firm offers a straightforward way of sourcing new staff.

• Recruitment companies can save their clients a lot of time in selecting candidates and preparing suitable job specifications.

• Recruitment companies often have the best knowledge of the recruitment market, the type of applicants that there are, and the pay and conditions that are appropriate.

• Specialist recruitment companies play an important role for clients in niche sectors of the economy that need to recruit very specific expertise.

• Recruitment companies have databases of candidates which can prove invaluable to a client.

• Recruitment companies can act as brokers or advisors to both clients and candidates by creatively matching people to vacancies.

• Executive search firms fulfill an important role in this market, finding individuals who fit very specific criteria in circumstances where secrecy and confidentiality abound.

WEAKNESSES

• Recruitment companies are still dogged by a poor image, which the industry's leading organizations are seeking to remedy.

• The industry is highly vulnerable to changes in employment patterns.

• The industry suffers from a high staff turnover.

• Recruitment companies as a whole spend too little on training.

• One of the market's biggest weaknesses is that it is performing the role of intermediary — a role that is under threat from direct purchasing in many business sectors.

• The sector is dependent on candidate quality and candidate supply, and there are often shortages of candidates in the recruitment market, especially when the economy is weak.

OPPORTUNITIES

• Recruitment process outsourcing is still a growth market.

• Firms could provide clients with related services to recruitment, thus adding value.

• Recruitment companies could offer a more in-depth advisory service to clients.

• Serving specialist niches in the market, including specialist websites, could add value.

• Making sophisticated use of social networking sites would enable companies to access a wider range of candidates.

THREATS