Hunt Scanlon’s Top 10 Recruiting Stories of 2025
December 23, 2025 – In 2025, the recruiting and executive search industry entered a pivotal transformation driven by the rapid integration of AI and data intelligence. As firms navigated uneven hiring demand and ongoing consolidation, recruiters increasingly turned to AI-powered platforms, advanced analytics, and leadership science to deliver sharper insight, faster outcomes, and measurable value for clients. Investor activity remained strong, but the competitive edge shifted toward firms that could combine human judgment with AI-enabled precision—particularly in high-stakes private equity, board, and C-suite searches—signaling a new era where technology, strategy, and leadership advisory join forces. These trends dominated our newswires, rankings and market intelligence reports in 2025. As we do every year, Hunt Scanlon Media took on the challenge of selecting our Top 10 stories that shaped the recruiting industry.
The executive search and leadership advisory industry entered a defining chapter as Heidrick & Struggles announced it will go private in a $1.3 billion all-cash deal led by Advent International and Corvex Private Equity. The transaction, closely followed by Hunt Scanlon, underscores how public market pressures are giving way to private ownership models that allow firms to invest more aggressively in talent, technology, and equity participation while accelerating growth and client impact.
Leadership resilience remained a central theme as CEOs across sectors confronted ongoing volatility, from geopolitical shocks to economic uncertainty. Hunt Scanlon’s exclusive conversations with industry leaders reinforced a clear takeaway: turbulence is no longer episodic but structural, and the CEOs who succeed are those who anchor organizations in purpose, clarity, and trust while adapting in real time.
At the same time, AI’s rapid rise continued to reshape leadership architecture itself. As highlighted by Hunt Scanlon coverage, the emergence of the chief AI officer reflects a shift from experimentation to accountability, with boards increasingly demanding executive-level ownership over AI strategy, governance, and measurable business outcomes.
Technology innovation within executive search also accelerated, led by HelloSky’s $5.5 million oversubscribed seed round backed by Hunt Scanlon Ventures. Built specifically for high-stakes executive recruiting, HelloSky’s growth and expanding leadership team signal how AI-driven talent intelligence platforms are becoming core infrastructure for modern search firms.
Industry leadership transitions made headlines as DHR Global appointed Priya Taneja as its next CEO, marking the first nonfamily and female chief executive in the firm’s history. Hunt Scanlon noted the appointment as both a milestone for DHR and a broader signal of generational change and increasing diversity at the top of the executive search profession.
Private capital continued flowing into leadership advisory, highlighted by KKR’s minority investment in ghSMART. The deal reflects a growing investor conviction—tracked closely by Hunt Scanlon—that leadership assessment, culture, and decision science are long-term value levers, not auxiliary services.
High-profile mandates reinforced the role of executive search firms as trusted stewards of mission-critical leadership decisions, exemplified by Spencer Stuart’s placement of Anna Paulson as president and CEO of the Philadelphia Fed. Such assignments underscore how search firms increasingly operate at the intersection of governance, policy, and institutional trust.
In addition, private equity firms are demanding leaders who can deliver immediate impact as deal timelines stretch and performance expectations rise. Mike Silverstein of Direct Recruiters, Inc., discussed with Hunt Scanlon how this shift is pushing recruiters to move beyond resumes—using deeper assessment, reference intelligence, and real-world insight to identify executives who can execute fast and lead through complexity.
Finally, Hunt Scanlon’s data and reporting pointed to accelerating consolidation and renewed growth across the recruitment sector. With M&A momentum building and fee revenue rebounding, executive search is entering a pivotal shift—one where scale, specialization, and leadership intelligence are redefining who wins in the next era of human capital advisory.
Let’s take a look back at the top recruiting stories of 2025!
Heidrick & Struggles to Go Private in Advent- and Corvex-Led All Cash Deal
Executive search, leadership consulting and culture shaping services provider Heidrick & Struggles International / (NASDAQ:HSII) has entered into a definitive agreement whereby a consortium of investors led by Advent International and Corvex Private Equity, and including several leading family offices, will acquire all of the firm’s outstanding public shares. This new investor consortium will include significant investment from many Heidrick leaders. The all-cash transaction values Heidrick’s equity at approximately $1.3 billion and will enable the firm to return to private ownership, with significantly more equity participation by current and future partners and leaders, enabling faster growth and greater client impact. “Heidrick’s stock is up 20 percent this morning on the news,” said Scott A. Scanlon, CEO of Hunt Scanlon Ventures, a global M&A advisor that has completed 25 human capital M&A transactions over the last 60 months. “Clearly, Wall Street is taking note.” Under the terms of the agreement, Heidrick stockholders will receive $59.00 per share in cash, representing a premium of approximately 26 percent to Heidrick’s 90-day volume-weighted average price per share. Upon completion, Heidrick will become a private company and focus on rapidly advancing its global leadership positions in executive search, interim talent solutions, leadership assessment and development, as well as purpose, culture, and performance consulting. As Heidrick’s partners, the consortium will enable the firm to invest in the people, technologies, and innovative solutions needed to create unrivaled value for current and future clients. As an immediate example, the firm will implement a new equity plan for current and future partners and leaders. Heidrick will continue to be led by CEO Tom Monahan, president Tom Murray, and the company’s current leadership team following the conclusion of the transaction. “This pivotal moment represents an exciting new chapter in Heidrick’s growth story, and a tremendous opportunity for us to join forces with an investment consortium led by two highly regarded and successful partners,” said Mr. Monahan. “Advent and Corvex know Heidrick well and bring a unique set of financial and strategic resources that will allow us to create even more value for clients and colleagues. We know the collective expertise and resources of the consortium will further accelerate our ability to develop differentiated, deep and durable global client relationships by ensuring Heidrick is the company where the best people do their best work.” The transaction, which was unanimously approved by the Heidrick board of directors, is expected to close by the first quarter of 2026, subject to the approval of the company’s stockholders and the satisfaction of required regulatory approvals and other customary closing conditions. Upon closing of the transaction, Heidrick will be a private company, and its common stock will no longer be listed nor traded on the Nasdaq stock market or any public exchange. Following the close of the transaction, the company will continue to maintain its headquarters in Chicago, IL, and will continue to operate under the Heidrick & Struggles name and brand.
Leading Through Turbulent Times: 5 Things Every CEO Can Focus On
Volatility has a way of stripping leadership down to its essentials, revealing what actually holds a company steady when the ground shifts. For CEOs, the goal in those moments isn’t to predict every turn, but to create the focus, trust, and flexibility that let teams keep moving through it. Major disruptions don’t arrive politely or on schedule—they enter into real life, interrupting routines and instantly reshaping what matters. In those moments, leadership becomes less about strategy decks and more about steadiness, perspective, and the ability to keep people grounded when everything feels uncertain. “I was getting ready to go to work when I first learned of the 9/11/01 terrorist attacks,” recalls Roy Notowitz, CEO Noto Group. “Just 12 hours earlier, I had returned from my honeymoon, feeling recharged and excited to dive back into building my business. But after witnessing the horror unfold, work suddenly seemed trivial and unimportant. Strong feelings of patriotism, resolve, and unity swept the nation in an instant. In the days and months that followed, lives were upended, and, as you would expect, hiring came to a screeching halt. I remember spending what felt like an eternity waiting for the market, and our sense of normalcy, to return.” That was just one of many seismic shifts Mr. Notowitz lived and worked through: the dot-com bubble bursting, the housing market collapse, COVID-19, the post-pandemic. Each wave of disruption left its mark. “Each one tested our assumptions, our leadership, and our teams,” he said. “And yet, despite the turbulence, opportunities still exist and success is always possible. I started Noto Group in the midst of a recession, and the foundation I built during that time was stronger as a result. The constraints and challenges of those early days forced me to focus, innovate, and prioritize what mattered most.” If there’s one thing Mr. Notowitz learned, it’s this: turbulence is not a detour, it’s the road. “And the CEOs who navigate it well don’t just adapt reactively,” he said. “They build the conditions for resilience, on purpose, with purpose, and alongside the people who power their organizations.” When circumstances are uncertain, people need more than KPIs, they need clarity of purpose, Mr. Notowitz explained. “Your company’s purpose is the North Star that keeps your team oriented when strategies shift or business models evolve,” he said. “It’s not just about inspiration, it’s about alignment. Purpose answers the why behind every decision, and it fuels discretionary effort, especially during tough times. Teams connected to something meaningful push through challenges with greater creativity, unity, and drive.”
The Emergence of the Chief AI Officer: What Leaders Need to Understand
Boards and CEOs are quickly realizing that AI isn’t just another tool—it’s becoming a foundational operating layer. That acceleration is forcing companies to rethink who sets priorities, manages risk, and turns experimentation into measurable value. Out of that pressure, a dedicated C-suite leader for enterprise AI strategy is starting to take shape. Not long ago, digital transformation was the new frontier for corporate innovation. The rise of artificial intelligence, however, makes that perspective seem quaint, according to a recent report from Slayton Search Partners’ Molly Hull. “As AI continues its seismic shift in how companies operate, compete, and grow, a new role is emerging at the executive table: the chief AI officer (CAIO),” she said. A recent IBM report revealed that 26 percent of organizations now have a CAIO, up from 11 percent just two years ago. This role is more than a “hype hire.” Although 78 percent of companies use AI in at least one business function, the return on those investments is questionable at best. As such, the market is signaling a clear need for strategic leadership to guide AI initiatives and align them with business outcomes, the Slayton Search Partners study explained. A chief AI officer is the senior executive responsible for guiding an organization’s AI strategy, implementation, governance, and ethics, Slayton Search Partners noted. “As the CAIO role continues to develop, it will look different from industry to industry,” said Ms. Hull. “Here are some examples I’m seeing from clients across several key sectors. Consumer packaged goods (CPG) companies are no strangers to disruption. One of our CPG client’s demand forecast models struggled to remain reliable amid these disruptions, as it relied heavily on historical data. By elevating AI leadership at the executive level, this client was able to embed advanced, real-time forecasting into the business. The impact was immediate that marketing and sales teams could make pricing adjustments dynamically,” Ms. Hull said. “In addition, operations could plan inventory and logistics with greater confidence. Lastly, the product innovation pipelines were suddenly informed by live consumer sentiment data rather than outdated surveys. This resulted in larger margins, faster speed-to-market, and a renewed sense of competitiveness in a turbulent market.” The distribution services sector is constantly facing margin pressure, labor shortages, and inventory complexity, according to Ms. Hull. “One client in this space was struggling with costly spoilage of perishable items and frequent out-of-stocks on high-demand products,” she explained. “The client’s traditional replenishment process used rules-based and backward-looking methods, making it nearly impossible to keep pace with shifting buying patterns.”
HelloSky Announces $5.5 Million Oversubscribed Seed Round, Crosses $1 Million ARR and Expands Executive TeamHelloSky (formerly Skyminyr), a talent intelligence platform purpose-built for the executive search industry, has closed a $5.5 million oversubscribed seed round. The raise includes participation from Caldwell Partners, Karmel Capital, True, Hunt Scanlon Ventures and prominent angel investors from Google and Cisco Systems. “As competition for executive talent escalates, organizations will increasingly turn to recruiting partners leveraging AI-driven platforms to gain a strategic edge,” said Scott A. Scanlon, CEO and co-founder of Hunt Scanlon Ventures. “They will lean on recruiters who can tap into precision talent platforms like HelloSky to integrate candidate identification, behavioral analytics, sector mapping, and human capital intelligence all in one place,” he said. “For executive recruiters this means shorter cycle times, more mandates, and unprecedented growth opportunities.” The proceeds of the funding will be invested primarily into engineering and go-to-market efforts. HelloSky has surpassed $1 million in annual recurring revenue (ARR) and expanded its management team to add executives in sales and marketing. Hugh Burnham has joined the company as EVP, sales and marketing, and Mike Kelch has joined as vice president of sales. Mr. Burnham previously ran his own marketing and public relations agency serving B2B technology startups for the past 21 years prior to its acquisition in 2023. Mr. Kelch has extensive experience in go-to-market and customer growth strategies for AI-driven solutions from previous roles at Scandit, Leafly and GolfNow. While many AI recruiting platforms have added executive search features as an afterthought, HelloSky was engineered from the ground up with AI and data science tailored specifically for high-stakes executive placements. The platform delivers unmatched precision in identifying candidates with exact-fit experience and qualifications for leadership roles. HelloSky has built a proprietary data science flywheel over five years, continuously training its talent intelligence models on behavioral signals, query patterns, and placement outcomes from over 700 expert executive search users. This reinforcement loop enables the system to optimize for precision discovery in the most complex executive searches, including those traditionally considered unsearchable. Unlike platforms designed for staff-level recruiting, HelloSky offers advanced executive competency smart tags, relationship intelligence and connection pathing, revealing actionable routes to top talent based on deep employment, investment, and education graphs, not just superficial LinkedIn ties. HelloSky consolidates human capital, company, talent, and investor data into a single AI-powered platform, said Mr. Scanlon. “With dynamic market mapping, real-time tracking, and its newly launched SmartRank technology, HelloSky is a game-changer for how executive talent is sourced and evaluated, eliminating the need for multiple disparate costly subscriptions,” he added. SmartRank transforms natural language job descriptions into structured qualification maps, then algorithmically identifies and ranks the most relevant candidates from HelloSky’s proprietary data platform—bringing unprecedented speed and precision to the talent discovery process, based on verified user reviews and market presence.
DHR Global Appoints First Woman, Nonfamily Member as CEO
DHR Global has appointed Priya Taneja as CEO, effective September 1, 2025. She will succeed Geoff Hoffmann, who will transition to the role of chairman of the board. This milestone marks a historic moment for the firm, as Ms. Taneja becomes the first nonfamily CEO in DHR’s 36-year history signaling a deliberate step forward as the firm accelerates into the next era of growth. She also becomes the third woman and first of color to run a top 10 executive search firm. Founded in 1989 by the family patriarch David Hoffmann, DHR last saw a leadership transition in 2012 when Geoff succeeded David as CEO. “Priya is a dynamic, trusted, and forward-thinking leader,” said Mr. Hoffmann. “She brings a rare ability to lead a global firm while staying deeply connected to our people, our culture, and our stakeholders. This transition has been thoughtfully considered for some time, and I couldn’t be prouder to see her step into this role. She’s the ideal leader for our next chapter, and I’m confident to know that the firm is in exceptionally capable hands.” Christopher W. Hunt, president and co-founder of Hunt Scanlon Media, said: “The appointment of Priya as DHR’s new CEO marks a historic moment, not just for the firm, but for the executive search industry. Clearly Priya, with nearly a dozen years’ experience in executive search, has a firm hand on the rudder and will lead DHR into what is an ever-changing and complex business world.” Mr. Hunt said there continues to be a lack of female representation at the CEO level among major search firms. “Given the number of extraordinary female professionals working in the industry today, it is still surprising that the largest global players have yet to appoint a female as chief executive. I hope that the appointment of Priya represents a clarion call to the largest recruitment firms to recognize the value of women across their organizations,” said Mr. Hunt. “We applaud DHR for helping to break this barrier. She is a superb choice.” Ms. Taneja currently serves as president and chief operating officer at DHR, a role she assumed in 2024 following more than a decade of transformative leadership within the firm. Since joining in 2013, she has been instrumental in driving strategic growth, operational excellence, and a collaborative, high-performing culture. After stepping into the operations leadership role in 2021, Ms. Taneja helped lead the firm through a period of remarkable growth, including five strategic acquisitions, expansion into 11 new markets, and the addition of 67 new partners to the global team. These milestones have significantly strengthened the firm’s capabilities and broadened its client reach. Ms. Taneja has also played a key role in strengthening employee development and engagement, leading initiatives that have shaped a vibrant, high-performing culture aligned with DHR’s strategic priorities. “At a time when talent retention is more critical than ever, DHR stands out with an average partner tenure of more than eight years and over six years for other team members, underscoring the strength of its culture and leadership,” the firm said. “It’s a true privilege to lead DHR into its next phase of growth,” said Ms. Taneja.
KKR Invests in ghSMARTghSMART, a global leadership advisory firm, and private equity powerhouse KKR announced that funds managed by KKR will acquire a significant minority stake in ghSMART. ghSMART partners with CEOs, boards, and investors to develop effective executive teams and support high-stakes leadership decisions. ghSMART’s founder, partners, and employees will retain majority ownership in the business and the current management team, led by CEO Jeff McLean, will continue to lead the company in their current roles. Financial terms of the transaction were not disclosed. “About a year ago, ghSMART began a thoughtful search to identify the right value-added investor,” said Geoff Smart, ghSMART’s founder and chairman. “This not only aligns with our strategic vision but also reinforces our commitment to being a culture-first employee-owned firm. With KKR’s support, we are well-positioned to invest intelligently to thrive in an increasingly digital world.” This investment marks a pivotal moment as ghSMART celebrates its 30-year anniversary. Founded in 1995 by Dr. Smart, the company pioneered the leadership advisory industry and serves many top organizations across Fortune 500 companies, asset management firms, private equity investors, and non-profits. ghSMART has completed nearly 30,000 leadership assessments and more than 5,000 C-suite advisory engagements to-date with a 98 percent client satisfaction rate. KKR will support ghSMART’s growth by helping to expand the company’s client base and further develop its digital product offerings. “This investment is truly a full-circle moment for the firm,” said Mr. McLean. “Thirty years ago, KKR generously provided data to Geoff for his PhD dissertation on management assessment in private equity, which facilitated the founding of ghSMART. With KKR’s backing, we aim to expand our services to assist even more organizations in unlocking value through strategic leadership hiring and high-stakes decision-making.” KKR sees opportunity in ghSMART’s high-impact model. It also plans to further invest in the company’s digital product offerings and AI platform which could be a gamechanger in the leadership assessment space. “At KKR, we have long recognized that talent is the foundation upon which companies create value for their stakeholders,” said Chris Harrington, partner at KKR. “The company stood out to us due to its incredibly high customer satisfaction, proving that ghSMART is synonymous with leadership excellence. We look forward to helping the company build upon its success and reputation to deliver even greater impact for clients in the years ahead.” That alignment underscores why leadership science is increasingly being viewed as a long-term value lever – not just a tactical support function. For ghSMART, the partnership with KKR will help expand digital offerings, grow its client base, and broaden its employee ownership program – part of a wider trend across KKR portfolio companies that emphasizes culture, performance, and equity alignment.
Spencer Stuart Recruits CEO for the Philadelphia Fed
Spencer Stuart has placed Anna Paulson as the 12th president and CEO of the Philadelphia Fed. She succeeds Patrick T. Harker. “Anna Paulson’s economics and monetary policy expertise, as well as her leadership at the Chicago Fed and throughout the Federal Reserve System, make her the ideal person to serve as president of the Federal Reserve Bank of Philadelphia,” said Anthony Ibargüen, executive chair, Culligan Quench and Culligan Latin America and chair of the search committee and of the Philadelphia Fed board of directors. “For two decades, Anna has demonstrated a strong commitment to the Federal Reserve’s dual mandate of price stability and maximum employment. Her expansive technical expertise and mission-driven focus will be a tremendous asset to the Philadelphia Fed and the communities it serves.” The selection of Ms. Paulson follows an expansive national search process that was announced in September 2024 and is consistent with Federal Reserve policies and the Federal Reserve Act. The search committee was composed of the Federal Reserve Bank of Philadelphia’s eligible Class B and Class C directors (nonbanking directors) in accordance with the Federal Reserve Act and the Bank’s bylaws. Ms. Paulson has 20 years of experience as a leader in policy analysis and research related to financial stability and monetary policy. As executive vice president and director of research at the Chicago Fed, she advises the bank’s president and CEO on monetary policy and attends FOMC meetings. Ms. Paulson leads the Chicago Fed’s research and policy analysis work, overseeing the department that provides analytic support for monetary policymaking, and conducts research on banking and financial markets, macroeconomics, microeconomics, and the regional economy. In addition, she is an expert on financial markets and institutions, with particular expertise in the insurance industry. Ms. Paulson established the Chicago Fed’s Insurance Initiative, which analyzes financial stability and regulatory issues in the insurance industry on behalf of the Federal Reserve System. During her time at the Chicago Fed, she also oversaw the Bank’s public affairs and community development divisions. Spencer Stuart has assisted with the hiring of half of the current Fed presidents, including that of New York Fed’s John Williams in 2018, as well as the system’s first black regional Fed president, Atlanta Fed’s Raphael Bostic, in 2017, as well as its only other non-white president, Minneapolis Fed’s Neel Kashkari. Spencer Stuart was also involved in the search for Cleveland Fed’s Loretta Mester in 2013 and Chicago Fed’s Charles Evans in 2007.
A Closer Look at Private Equity’s Evolving Playbook for Executive Talent
Private equity firms are raising the bar for executive talent, driven by a post-pandemic return to in-office expectations and an intensified focus on leadership performance. As firms prioritize in-person leadership to rebuild culture and drive alignment, a disconnect is emerging between employer demands and candidate preferences for flexibility. At the same time, a slowdown in deal flow and extended hold times are tightening the talent market—particularly for critical roles like CFO—forcing search firms to rethink their approach to sourcing, assessment, and value creation. To meet these shifting demands, executive recruiters are evolving into full-spectrum intelligence partners. From leveraging behavioral assessments and data analytics to surfacing non-obvious candidates and pre-deal talent insights, top firms are delivering more than hires—they’re delivering strategic guidance aligned with investment theses. In this high-stakes environment, PE sponsors want leaders who can act fast, scale impact, and build cultures that endure beyond any single deal. “In my experience, PE is keying in on candidates who have a demonstrable plan to come in and do more with less and fast,” said Mike Silverstein, managing partner of healthcare IT & life sciences at Direct Recruiters, Inc. “With the debt service on many PE holdings chewing into proforma margins, the concept of a candidate coming in and spending a quarter “observing” has become far less appetizing. PE is pushing hard for experienced candidates with prior PE experience and demonstrated, successful outcomes that can articulate a measurable, KPI-driven plan and have the confidence to execute that plan when dropped in the fray of a portfolio company. Speed to value is the undertone in every conversation.” Mr. Silverstein is big on 360 reference checking as a means to understand whether a candidate can impact change by leading and not just dictating. “I am leery of candidates who only know how to manage up but don’t pay attention to the folks who work for them (aka corporate politicians),” he said. “Some of our best candidates get referred to us by their “mentees” who would follow them into a fire. Leaders who have a following have the ability to guide organizations through choppy waters without creating a pit of talent attrition for the organization to fall into. Additionally, everyone’s resumes are a little chunky because of moves candidates made during the pandemic. To me, quality reference checks are a lot more important than a little bit of movement between 2020 and 2023.” In today’s high-stakes deal environment, one way search firms can create more value for their PE partners is backchannel scuttlebutt on leaders, products, market reputation, and whether people want to join an organization are all lining up at the backdoor, according to Mr. Silverstein. “My best investor relationships lean on me daily for intel on the stuff that is not on a company’s resume,” he said. “This kind of information is decision support data that the best investors swear by, and the average ones don’t value.”
M&A Momentum Builds as Human Capital Enters Pivotal Shift
The human capital sector is entering a defining moment. Long known for its fragmentation and founder-driven models, the sector is now moving rapidly toward consolidation, scale, and tech-enabled reinvention. According to Hunt Scanlon’s newly released 2025 Mid-Year Executive Search M&A Report, 58 percent of search firms polled are actively considering a transaction – an all-time high. For investors and founders alike, the message is clear: the deal window is open. “Buyers are actively seeking specialized and scalable platforms that bring sector-specific depth, embedded client relationships, and strong brand recognition,” said Drew Seaman, managing director at Hunt Scanlon Ventures. “They want growth. Egon Zehnder’s acquisition of The Prince Houston Group earlier this month, in which Hunt Scanlon served as the buy-side M&A adviser, underscores how top global platforms are now making strategic bets on targeted U.S. growth – oftentimes setting their sights on boutique operators who can bring them immediate lift into an industry- or functional-specific growth niche. “In this case, Prince Houston brought an extraordinarily deep 25-year client book in asset and wealth management,” said Mr. Seaman. “Uniting both firms reflects our belief at Hunt Scanlon that leadership advisory is a value multiplier.” Russell Reynolds Associates achieved this 20 months ago when it acquired Savage Partners, giving the world’s second largest executive search and leadership advisory firm swift access to the PE-backed software sector. In this case, Hunt Scanlon Ventures served as the sell-side M&A adviser. “In both instances, boutique firms brought unparalleled industry expertise – and connections – to large, global rivals,” said Mr. Seaman. “In return, these broad-based billion dollar advisory platforms brought international reach and expanded GTM teams and infrastructure,” he said. “These combinations, when fit together correctly, add tremendous go-forward value and Hunt Scanlon excels at delivering these types of finely crafted mergers,” he said. “Executive search is at a strategic inflection point,” said Mr. Seaman. “Leadership has emerged as the primary driver of enterprise value, and firms that recruit or advise on it are increasingly seen as fundamental to corporate growth and transformation. Executive search firms are increasingly seen as foundational partners in leveraging leadership as a primary value driver for organizations. As their credibility rises, so too does their investment value,” he said. According to Hunt Scanlon data, the first half of 2025 tells a tale of two quarters. Forty-two percent of firms reported revenue growth in Q1, but momentum slowed in Q2 as hiring decision-making lagged and budget caution crept in.
Growth and M&A Activity to Surge Across Recruitment Sector
Hunt Scanlon just released its annual rankings of leading executive search firms, giving the sector its first official performance review on last year’s activity. In the U.S. and globally, billions of dollars poured into the high-end recruitment sector in 2024, despite an economically challenging year. “The recruiting sector found stability and recovery in 2024 even as economic headwinds persisted right up through to the election,” said Evan Berta, chief market analyst at Hunt Scanlon. “Growth rates topped out at six percent, and the stage has been set for a strong run ahead.” Fee revenue at the 50 largest executive search firms in the U.S./Americas – the industry’s largest region – reached $6.041 billion, according to Hunt Scanlon. More than half (59 percent) of search firms reported positive growth, while 20 firms reported double digit gains. Russell Reynolds Associates grew by 10.8 percent in the Americas – the strongest growth rate among the Top 5 SHREK firms – catapulting it to the No. 3 spot on the Top 50 roster. Globally, the firm ranks No. 2. “Recruiting specialists focused on securing talent in private equity, technology, healthcare, and financial services showed the biggest gains in growth,” said Mr. Berta. NU Advisory Partners earned the distinction as the fastest growing search firm in 2024, rising 108 percent. It is a spin-out of Russell Reynolds Associates. “NU Advisory has carved out a niche in high-growth and innovation-driven industries,” said Mr. Berta. “Their focus on serving PE-backed clients has fueled its rapid expansion as investors seek proven leadership to drive value creation.” CEO and co-founder Nada Usina said that she and her expanding team have been focused on creating a better playbook for recruiting. “We are laser focused on using tech, data and AI – whether we’re building, buying, or modifying. We are making search smarter, faster, and built for how businesses move in 2025,” said Ms. Usina. Operationalizing this approach with a top-tier team, she noted, “is proving to make all the difference.” Matt Hamlin, a managing director with PierceGray – a leading boutique placing C-suite and functional leaders across private equity and the Fortune 500 – said growth last year was driven by three primary factors: continued client expansion, particularly in working with new PE firms for the first time; flexibility across functions – P&L leadership and finance were clear growth enablers in addition to the firm’s core supply chain and operations disciplines; and renewed energy from long-hold portfolio companies that have shifted to a continuation focus and a need for upgraded functional leaders aligned with strategy shifts. “While the first half of the year was more focused on cost-out and operational efficiency in most of the portfolio environments we serve,” he noted, “the back half of the year saw increased volumes in revenue-focused roles, as well as operating partner / advisor roles as our fund-level PE clients prepared themselves for increased deal activity in 2025 and beyond.”
Related: Hunt Scanlon’s Top 10 Search Assignments for 2025
Contributed by Scott A. Scanlon, Editor-in-Chief; Dale M. Zupsansky, Executive Editor – Hunt Scanlon Media
