1：Target Candidates

General Recruitment Agencies

• Cover a wide range of industries and positions, from entry-level to mid-career professionals.
• Primarily support active job seekers who are already on the job market and have applied for open positions.

Headhunting Firms

• Focus mainly on executive, management, or highly specialized positions that require advanced expertise.
• Target passive candidates—high-caliber professionals who are currently employed and not actively seeking a new job, and who may not be listed on job boards.

2：Recruitment Process

General Recruitment Agencies

• Match candidates based on public job postings and their internal databases of registered job seekers.
• Aim for quick and efficient placements, prioritizing speed over depth of screening.
• Screening tends to be relatively broad, resulting in a large number of resumes sent to the employer, which can increase the hiring manager’s workload.
• Candidates often receive multiple job introductions simultaneously, which means well-known companies tend to attract them more easily, while small or lesser-known companies may find it harder to compete.

Headhunting Firms

• Do not post open listings; instead, they conduct customized research based on the client’s specific hiring requirements and directly approach suitable candidates.
• Carry out a thorough screening process, introducing only a small number of highly qualified candidates—minimizing the employer’s workload.
• Because candidates are sourced specifically for each role, they are often not in parallel discussions with other companies, resulting in a higher offer acceptance rate.
• Headhunters also assist with confirming candidate motivation and negotiating terms, while effectively communicating the strengths of the client company. This personalized approach helps even lesser-known or mid-sized firms secure top talent.

3：Recruitment Fees

General Recruitment Agencies

• Typically operate on a contingency fee basis, charging about 20–30% of the candidate’s annual salary upon successful placement.
• Used across a broad range of roles and industries.

Headhunting Firms

• Often use a success-based or retained search model, depending on the difficulty and seniority of the role.
• Because significant time is spent on research and in-depth screening, these firms generally handle mid- to senior-level or highly specialized positions.
• Fees typically range from 25–50% of the candidate’s annual salary.
• For senior or executive hires, where the impact on the organization is substantial, global companies often view the cost as an investment rather than an expense.

We hope this overview clarifies the key differences between general recruitment agencies and headhunting firms.
If you are facing challenges hiring managers, executives, or specialized professionals in Japan, please feel free to contact RYZE for a consultation.