What are the unique challenges of recruiting for family offices in the gcc?

Family offices in the Gulf Cooperation Council (GCC) region face a distinctive set of challenges when it comes to recruiting top-tier talent. The recruitment process within these entities requires a nuanced approach, considering the personal and professional demands unique to family offices. This report delves into the various aspects that make hiring for family offices in the GCC a complex endeavor.

Understanding Family Offices

Family offices are private wealth management advisory firms that serve ultra-high-net-worth individuals (UHNWIs). They are different from traditional wealth management firms in that they offer a total outsourced solution to managing the financial and investment side of an affluent individual or family. In the GCC, family offices often extend beyond financial management to include broader services such as legal affairs, private education, and lifestyle management.

Recruitment Challenges in the GCC Family Offices

Cultural Fit and Understanding of Family Dynamics

One of the primary challenges in recruiting for family offices is finding candidates who not only possess the requisite professional skills but also align with the cultural nuances and family values of the office. This is particularly important in the GCC, where family businesses contribute significantly to the private sector economy (Samer). Candidates must navigate the complex family hierarchies and dynamics, which requires a blend of discretion, sensitivity, and adaptability.

Diverse Skill Set Requirement

Professionals in family offices must have a diverse skill set, including financial acumen, legal expertise, and often, a deep understanding of the specific industries in which the family has interests. The unique nature of family office work demands a versatile individual capable of managing a wide range of responsibilities (Forbes).

Attraction and Retention

Attracting such multi-faceted individuals is a significant hurdle, primarily due to the discreet and private nature of family offices. Unlike larger corporations or public entities, family offices may not have the same level of visibility in the job market, making it harder to attract candidates. Additionally, retaining top talent can be challenging as professionals in these roles may seek different career advancements or more public recognition than a family office can provide (Asora).

Competition with Other Sectors

Family offices in the GCC are competing with other sectors for the same pool of talent. With the region’s growing financial services sector and the presence of multinational corporations, family offices must offer compelling reasons for candidates to choose them over potentially more lucrative or high-profile opportunities.

Compensation Structures

The compensation structures in family offices can also pose a challenge. While they may offer competitive salaries, the bonus and incentive structures may differ from those in the corporate sector, which can be a deterrent for some candidates.

Privacy and Discretion

Given the nature of family offices, there is a heightened need for privacy and discretion. Candidates must be thoroughly vetted to ensure they can be trusted with sensitive information, which adds another layer to the recruitment process.

Strategies for Overcoming Recruitment Challenges

To address these challenges, family offices in the GCC are becoming more strategic in their recruitment processes. They are highlighting their cultures and purposeful endeavors to attract candidates who are looking for more than just a job but an opportunity to be part of a legacy (Forbes). Additionally, they are focusing on candidates with flexible skillsets and those who demonstrate an ability to adapt to the unique environment that a family office presents.

Conclusion

Recruiting for family offices in the GCC requires a tailored approach that takes into consideration the cultural, personal, and professional complexities of these roles. It is essential for recruiters to understand the unique challenges and to develop strategies that can attract and retain the right talent for these critical positions.

About

Headquartered in London and Dubai, Warners Scott is a distinguished global executive recruitment specialist in Banking & Investments, Accounting & Finance, and Digital & Fintech. With over 18 years of industry experience, they have established strong relationships with top-tier banks, financial institutions, and accountancies. Their unique edge lies in these longstanding relationships with hiring managers and internal recruiters, a vast candidate network, and constant candidate engagement. This combination places them in a trusted position with both talent and hiring managers. Their deep understanding of recruitment needs allows them to uncover senior C-suite, EVP, SVP, and MD-level hidden, ready-to-move talent that others cannot access.

With tailor-made recruitment solutions for international and regional clients, Warners Scott works as dedicated business partners. Their services include retained, exclusive, and contingency searches, alongside permanent, contract, and interim staffing options.

In Banking and Investments, they excel with international and regional banks and investment houses in London and the Middle East, including conventional and Islamic banks. They cover areas such as Private Equity, Asset Management, Investment Banking, Treasury & Global Markets, Wholesale Banking, Digital & Technology, Risk Management & Compliance, and C-Suite Appointments.

In Accounting and Finance, Warners Scott collaborates with The Big 4 and Top 50 accounting firms, along with globally recognized consultancies. They specialize in Audit, Risk & Compliance, Tax (Private Client, Expatriate, and Corporate Tax), Corporate Finance, Transaction Advisory, Restructuring, Turnaround, Insolvency, Forensic Accounting, Disputes & Investigations, Forensic Technology, eDiscovery, Cyber Security, and Management Consultancy.

In Digital & Fintech, they support large banks, digital startups, and innovative Fintechs in areas such as FinTech (AI, Blockchain, Cloud Computing, Big Data), InfoSec/Cybersecurity (Application, Infrastructure, Network, Cloud, IoT securities), Digital Leadership, Digital Transformation, Software Development, IT Project/Program management, Data Science & Analytics, Data Privacy, and Data Architecture.

References

– Botha, Francois. “Not Your Typical Job: What Makes Family Office Recruitment Different.” Forbes, 30 June 2024, https://www.forbes.com/sites/francoisbotha/2024/06/30/not-your-typical-job-what-makes-family-office-recruitment-different/.

– “Family Office Recruitment: Issues & Challenges.” Family Office, https://www.familyoffice.com/knowledge-center/advisor-thinking/family-office-recruitment-issues-challenges.

– Samer. “The Role of HR in Family-Owned Businesses: Challenges and Solution.” Rasd, https://www.rasd.ltd/post/the-role-of-hr-in-family-owned-businesses-challenges-and-solution.

– “Talent Recruitment & Retention in Family Offices.” Asora, https://blog.asora.com/talent-recruitment-retention-family-offices.

– “Taking Talent to the Next Level: Trends in Running the Family Office.” Forbes, Deloitte, 21 May 2024, https://www.forbes.com/sites/deloitte/2024/05/21/taking-talent-to-the-next-level-trends-in-running-the-family-office/.