S G Cowen : New Recruits
S G Cowen : New RecruitsPresented by - Group 1Ankur SharmaAnish
GuptaPrakhar NagoriPratyush Lahiri Choudhary
Raghav BhatnagarVinay JainYashvardhan Kabra
Investment Banking IndustryCharacteristicsWidespread
ConsolidationIncreased Public ScrutinyDearth of TalentDependence of
ProfessionalsCompetition in Labor MarketCompetition in Financial
MarketCompany BackgroundUS-based CowenFrance-basedSocit Gnrale
GroupSG CowenAcquiresFormsBoutique- Size: Asset Base of $430
billionFocuses on Volatile, yet Highly Profitable Sectors:
Healthcare and TechnologyMid-Sized: Lean, Flexible, Lack of
BureaucracySG Cowen:Organizational TraitsIn 1998Hiring
ProcessDecision Made in Winter/Spring 1Internally2.1Interns2.2New
Hires2.3Presentation at Core Schools3Assignment of Team
Captains4Informational Interviews5Campus Interview6Super
Saturday7Final Discussion and Offers8Shift from top 10 to
additional 15Addition of non-core applicationsInvolved Maybe
decisions and buffer offersCompany PresentationHappened well before
the interview roundsAddressed four questionsWho we areWhat do we
doWhat distinguishes us from competitorsWhat are the next
stepsEncouraged employees to make small presentationGive
substantial amount of time to informal talkFine line between
helping the students and giving them unfair advantagesCriteria for
HiringDemonstrates a pattern of successPrimary Criteria: The
Candidate who Is a fast learnerFeels excited while serving the
client and competing at highest levelsCultural FitInformational
InterviewFirst stage ahead of formal interviewsHelped firm to gauge
the seriousness and enthusiasm of candidatesFor candidates, it
helped to learn about the firm and industryTeam captainsBanking
professionalsAlumniSome candidates might receive an advantage due
to their initial informational interviews
On Campus InterviewsConducted by associates/ senior
associatesEncouraged to take detailed notes during the
interviewIdentification of talentAssessing skillsLiable for the
quality of candidates brought Easier to handle by HRAssociates are
associatesBreadth & long term view Future peers and rivalsSuper
SaturdayInterviews are conducted by senior employees of S G
Cowen.Multiple interviews/ interviewers: The candidate has to go
through five interviews lasting half an hour eachYield: 66%Pseudo
social setting with a formal interview processAttributes looked for
in the candidates: Commitment to Firm, Maturity, Interpersonal and
technical skills, leadership and work ethicsInterviews completed
till noon10Recruitment FunnelInitial ScreeningSelected
candidatesSuper SaturdayOn Campus RoundRejected
applicationsSelections based on final req. adjusted for
non-joiners3-4 selected out of 24Candidate 1: Natalia
GodlewskaHighest GPA in the finance departmentSpeaks five
languagesStrong finance backgroundImpressive work
experienceCommitted & hard-workingStrong referencesRelatively
weaker command over EnglishPotential lack of cultural fitRelatively
stiff and uncomfortable during the small talkCandidate 2: Martin
StreetPresentation and articulation skillsDynamic
personalityConfident and focussedAbility to carry out
ordersSubstantial leadership experienceNo business
experienceInvolved in recruiting events at other firmsUncertainty
about gradesInvolved in other selection processes, indicating
possibility to switch to other firmCandidate 3: Ken
GoldsteinExperience at PWC for 5 yearsExcellent
recommendationAccepted by every interviewerGood culture fitToo
matureDifficulty to take ordersMarried with 2 childrenLower
willingness to work 24/7Candidate 4: Andy SanchezEnthusiastic and
personableVery high score at GMAT and SATFit in the company
cultureFriendly and good at making people relaxSuccessful
entrepreneurLow GPAPossibility to leave the company and turn back
to his own businessUnsatisfied compensation/ salaryEvaluation
Sheet
Factors ConsideredCommitment to the
firmJudgment/MaturityInterpersonal SkillsLeadershipTechnical
SkillsWork EthicCandidate EvaluationRecommendations for Final
SelectionsThe candidate 4 i.e., Andy Sanchez seems a clear
selectionHowever, there is a close call between candidate 1 and
3Taking in mind the importance given by the company to commitment
to the work and group fit, we think the company should proceed with
candidate 1Final recruits:Andy SchenzNatalia GodlewskaAssessment of
the Selection ProcessPotential for bias due to pre-evalauation
during informal talks and informative interviewsEmployees forced to
work with strict timelines e.g. late interview roundsSenior
employees are less demanding w.r.t. candidates skills, junior
associates are much stricterSenior managers want to get done with
very quickly since its on a holidaySelectors might be biased based
on their own team preferences and demandsDifficulty in building
concensusOn-Campus RoundSuper SaturdayLack of attention to resumes
from non-core schoolsEvaluation of candidates from non-core schools
to be done during office hoursLack of interviewer training
Pre-recruitmentWay ForwardHuman capital is arguably the most
valuable resource of any organizationIt is critical to select the
best candidates to enhance company value and achieve strategic
goalsSG Cowen needs to reconstruct its recruitment and selection
process to more effectively identify optimal recruits while
eliminating current tendencies of subjectivity, discrimination, and
hurried decisionsWe believe that providing the bankers with HR
interview and selection training, implementing more standardized,
defined assessment measures, and encouraging greater time
commitment would be beneficial changes to better select new
hiresWay ForwardProcess ImprovementReconstruct its recruitment and
selection process to more effectively identify optimal recruits
while eliminating current tendencies of subjectivity,
discrimination, and hurried decisionsInterviewer TrainingProviding
the bankers with HR interview and selection training, implementing
more standardized, defined assessment measures, and encouraging
greater time commitment would be beneficial changes to better
select new hires