Securing Biotech Talent – the building blocks to success

by Chris Coe

Why is it that so many life-sciences firms don’t use an executive search partner as an integral part of developing and delivering their growth strategy? One concern can be around resourcing costs and uncertainty about the return on investment. Another is tunnel-vision with the focus on day-to-day business issues, securing funding and executing the business plan. Some believe that positions can be filled in a more cost and time efficient way via internal networks. And, there can also be pressure from investors to avoid spending money with an executive search firm.

Here are some key reasons this approach can backfire:

Sourcing hires via the internal network of the board and investors.

In today’s uber fast and competitive environment, there may be pressure on a CEO or operating partner to hire via an internal network in order to fill a seat quickly. But there are inherent problems with this approach. Often, it’s the same set of candidates that is continually being recycled across a number of competing firms via board networks, for example. And, even though a suggested hire (often a former colleague) may have experience, it’s not the same as having an objective slate of diverse candidates to choose from, or at least allowing a valuable compare and contrast exercise.

Personal recommendations can backfire and cause friction

Recruiting through personal networks can also cause internal divisions. If a candidate is recommended by a board member or a member of the management team, the political pressure behind the recommendation can strain important relationships. Worse still, the appointment may backfire and impact the overall morale and productivity of the team or even lead to the exit of valuable executives.

Strategic resourcing planning is important

Whilst a life-science start-up or early-stage business is focused on delivery and hitting its short-term milestones, there may simply not be the bandwidth for a longer-term talent resourcing plan which looks ahead to18 months or even two years down the road. Each growth inflection point brings its own issues and challenges. It’s easy to be caught flat-footed, growing from a team of ten to a workforce of hundreds. Partnering with a search firm that already has extensive experience of the importance of getting the timing right for key hires can mean the difference between success and failure. When is the best time for the owner founder to take a step back? Is the current CEO the right person to drive the founder’s vision forward or obtain further funding?

The advantages of the inside-track

In addition to identifying candidates the business would not be able to identify or access themselves, another area where a trusted search partner will add value is through their access market intelligence. A search partner’s knowledge of the market and the conversations we have with senior leaders means that we have the inside-track on the reputation of a company versus its peers. We can also help to identify a position that the firm didn’t have on its radar that will be key to success. For example, governance expertise in early and growth stage companies can get overlooked despite its critical importance in life-sciences.

Invest strategically from the start

In conclusion, in a fast-growth early-stage venture backed business it’s crucial to invest in a consultative relationship with the right human capital partner from the outset. In this way, the best talent structure to ensure growth can be assured.

In our Board advisory capacity, Talentmark helps its clients to achieve their strategic business goals and key milestones. We also have close ties with the funding community and an unsurpassed track-record when it comes to putting in place top leadership teams for biotech start-ups.

If you’d like to hear more about our successful biotech partnerships, please contact me directly.

Contact Chris Coe